Equipment loan APRs typically run 8% to 18% depending on credit profile, time in business, and equipment age. Established businesses with strong credit (680+) and 2+ years of operation usually see 8–12%. Newer businesses or limited credit profiles see 14–18%. Used or specialty equipment may price 1–3 points higher than new equipment.

Equipment loan terms typically run 36 to 84 months. Shorter terms (24–36 months) are common for vehicles, electronics, and short-life equipment. Longer terms (60–84 months) suit heavy machinery, construction equipment, and assets with 7+ year useful life. Match the term to the equipment's productive life to avoid paying for equipment after it has been replaced.

Equipment financing down payments range from 0% to 20%. 100% financing (no money down) is available for established businesses with strong credit on new equipment from approved vendors. Used equipment typically requires 10–20% down. Startups and limited-credit borrowers should expect 15–25% down.

Yes. Equipment financing is collateralized by the equipment itself, so lenders accept lower credit scores than on unsecured loans. Approvals are routine down to a 600 FICO; some asset-based lenders will fund credit profiles below 600 with stronger time-in-business and revenue. Expect higher rates (14–22%) and larger down payments (15–25%) at lower credit tiers.

Finance when the equipment has a long useful life and you want to own it outright at the end of the term. Lease when you need to upgrade frequently, want lower monthly payments, or expect to deduct the full payment as an operating expense. Loans build equity; leases preserve cash flow but you don't own the asset unless you exercise a buyout.

Equipment financing is faster (3–10 days to fund vs. 30–90 days for SBA), uses the equipment as collateral, and is less paperwork-intensive. SBA 7(a) and 504 loans offer longer terms (up to 25 years) and lower rates (around prime + 2.75%) but require extensive documentation, personal guarantees, and 6–12 weeks to close. Use equipment financing for speed; use SBA when the rate savings over a long term outweigh the wait.

Most equipment loans fund in 3–10 business days. Pre-approval often comes within 24–48 hours of submitting bank statements and a credit application. Same-day funding is possible on smaller deals (under $50,000) with established borrowers. Larger deals over $250,000 or specialty equipment may require additional appraisal and take 2–3 weeks.

No. The calculator is free. Axiant Partners does not charge borrowers application or origination fees — we are paid by the lender on funded deals, so applying costs nothing and creates no obligation.