Getting the crane your business needs to grow and profit doesn’t have to put you in the negative. With financing designed to make cranes affordable, you’ll be able get your crane and save your cash. In this article, Serena Doescher with Beacon Funding, shows you four flexible financing plans.
No Money Down
For a lot of small businesses, keeping cash on hand is what keeps their business afloat, but that shouldn’t mean they can’t expand by adding a crane. If, like many others, you like to keep a good amount of liquidity for your business, flexible financing plans that require no down payment is ideal. Rather than using your cash to pay for a chunk of the crane upfront, you can spread out the cost over the length of the payment plan. You don’t have to worry about going months without cash in your account. Before choosing a plan that requires no money down, remember to consider some of the terms. Plans with no upfront payment normally come with longer term lengths or higher monthly payments. It’s up to you and your crane financing consultant to figure out if avoiding a down payment is best for your business model.
Wouldn’t it be nice for your crane to start helping you bring in revenue before you have to begin making monthly payments? It turns out that’s entirely possible. A deferred payment plan lets you do just that. With this type of buy now/pay later plan, you can get your crane, put it to work for a few months, begin profiting at a higher rate, and then start paying for the crane. You can usually push off the payments for up to six months, giving you a good amount of time for that crane to start paying for itself.
A skip payment plan is a little different than the others, but is still a great option for a lot of businesses in need of a crane. With this type of plan, you can skip certain months’ payments making it ideal for businesses that have a slower season. For example, let’s say your business doesn’t generate quite as much business during the winter. From November to February, you could have a monthly payment as low as $0! During your busier months, the payment goes back up accordingly. This structure allows you to have a worry free slow season while still being able to afford the crane you need during your busy time.
A lease-to-own program is perfect for businesses on a tight budget that still want to own their crane. With the financing programs described above, you receive ownership of the crane immediately and work to pay back the lender. With lease-to-own, the lender purchases the crane and you make monthly payments that allow you to use it and work towards owning it.
These monthly payments tend to be lower than with financing and require a little something at the end to officially “purchase” the crane. This end-of-lease payment varies based on how you customize the plan. One option is to have a dollar buyout, where the payment is less than the cost of a cup of coffee. Another option would be to pay 10% of the purchase price of the crane and keep the monthly payments nice and low. If those don’t work for your business, your consultant can help you come up with the perfect buyout option. Overall, this plan is a great alternative to renting since your monthly costs are still low, but you’re working towards owning it at the end.
No matter what payment plan you choose to help you afford your crane, remember to find a great lender that knows your industry. To learn more about these plans and other great options, visit www.beaconfunding.com.
Serena Doescher is an Expert Business Writer for Beacon Funding, a leading crane financing company. She holds a Bachelor of Arts degree in Journalism from the University of Iowa and has dedicated her post-grad career to helping business owners understand the financing process and the benefits it holds. Her expertise lies in financing commercial vehicles and decorated apparel equipment. She can be contacted directly at sd[email protected].