Lending & Leasing

An EFA is similar to a loan. Instead of calculating the loan payments using a stated interest rate, the EFA has finance charges that are set as fixed payments over the term of the agreement. In either case, we offer custom payback schedules that increase your company’s cash flow while still retaining the benefits of asset ownership.

Operating leases, both FPO and FMV, offer customized payment schedules to fit your company’s needs. Because payments are lower than comparable loans, these leases allow you access to expensive assets that may not be possible with a traditional loan. At the end of the lease term, you have multiple options. You can extend the lease or purchase the asset for either a fixed price agreed to at the onset of the lease (FPO) or a fair market value price determined near the end of the lease (FMV). We can even finance your purchase option to help you avoid a large payment in the event you choose to purchase the asset. Alternatively, you can return the machines and lease new units to keep your fleet fresh. These products are sometimes described as true leases or tax leases.

A finance lease offers some additional ownership benefits and spreads the cost over time. Similar to the operating lease, we can customize a payment plan to match your business needs, offering payment predictability and simplicity that will free up working capital to support your operations. This benefits your cash flow while concurrently investing in your business. Typically, finance leases offer an end-of-term purchase option that is known at the onset of the lease. This option can also be financed which will give you ownership at the end of the option repayment period.

Working capital is the lifeblood of a business, representing the funds available for day-to-day operations. Proper management of working capital is crucial for sustaining business operations and fueling growth. You can leverage your equipment’s equity as we offer asset-backed or unsecured working capital loans, each of which allow access to the capital your business needs to grow.

A sale/leaseback, is a transaction where a company (you) sells an asset to a buyer (us) and then leases the same asset back from the buyer. The company that sold the asset becomes the lessee and the buyer becomes the lessor. This transaction allows a company to access capital that is otherwise tied up in an asset. Proceeds of the sale can be used for working capital or other investments. A sale/leaseback can also provide tax benefits and allow a company to continue using the assets while mitigating the risks of ownership.

Note: You should consult your own tax, legal and accounting advisors before engaging in any transaction.

These leases are available on titled assets only (vehicles, trucks, etc.). A terminal rental adjustment clause (TRAC) lease allows the lessee to purchase the vehicle at a fixed price at the end of the lease. This structure has a lower payment than a traditional loan and still offers an option to purchase at the end of the lease. The purchase option can be paid outright or financed for an additional period. A “Split TRAC Lease” has identical characteristics of a TRAC lease, except the final or residual value of the asset is split between the lessee and the lessor. This arrangement offers a sharing of the risk created at the onset of the lease.

An equipment line of credit is a flexible financing option that allows businesses to use equipment as collateral for a line of credit, which benefits businesses that need access to working capital but don’t have real estate or other unencumbered assets to serve as collateral. With an ELOC, a business can access the funds it needs to support daily operations, invest in growth opportunities, and improve cash flow.