Grain Equipment Financing: Equipment Loans, Leases & SBA Programs
Grain handling and storage equipment—bins, augers, conveyors, dryers—costs $10,000–$200,000+ depending on capacity. Spread the cost with equipment financing. Decisions in 24–48 hours for qualified applications. Farmers nationwide.
- Equipment financing decisions in 24–48 hours
- Loans and leases for bins, augers, conveyors, dryers
- Typical terms 24–84 months; SBA/ag real estate to 10–20 years
- Credit 600+; 0–20% down payment
Grain Equipment Financing at a Glance
Why Grain Equipment Financing Makes Sense for Farmers
Grain handling and storage equipment includes grain bins (silos), augers, conveyors, grain dryers, and support systems. Grain bins store harvested grain on-farm, reducing reliance on commercial elevators and improving marketing flexibility. Augers and conveyors move grain; dryers reduce moisture for safe storage. Capacity ranges from small farm-scale to large commercial systems. With complete systems costing $50,000–$200,000+, paying cash ties up capital you need for inputs and seasonal expenses.
Equipment financing spreads the cost over the equipment's useful life. Ag lenders often offer terms of 24–84 months for portable equipment; SBA 504 and ag real estate loans can extend to 10–20 years for bins. Tax benefits—Section 179 and bonus depreciation—reduce the true cost. Note: Some lenders treat grain bins as real estate; clarify structure with your lender. Apply now to get matched with lenders who specialize in agriculture equipment financing.
What Is Grain Handling and Storage Equipment?
Grain equipment includes grain bins, augers (grain legs), conveyors, grain dryers, and support systems. Grain bins store harvested grain on-farm. Augers and conveyors move grain from combines to bins, between bins, and into trucks. Grain dryers reduce moisture for safe storage. Essential for row-crop and grain operations that want to add storage, improve handling, and capture seasonal price opportunities.
Why Grain Equipment Financing Is Different
Grain bins, augers, and handling equipment serve farms and elevators. Ag lenders specialize in grain equipment. Seasonal harvest revenue; payments may align with crop sales. Used grain equipment 5–10 years old is financed. Often bundled with tractors and combines. Clarify whether bins are financed as equipment or real property—affects terms and structure.
Grain Equipment Financing Options
Several financing structures work. Choose based on cash flow, tax situation, and whether bins are equipment or real property.
Equipment Loans
Most common for portable equipment (augers, conveyors) and some bin systems. 0–20% down, terms 24–84 months. Rates 6–15%. Equipment financing.
Equipment Leasing
Lower monthly payments. At lease end, return, purchase at fair market value, or upgrade. Operating leases treat payments as operating expenses.
SBA and Ag Real Estate
SBA 504 and agricultural real estate loans can finance grain bins when treated as real property. Terms 10–20 years. USDA guaranteed loans also support grain storage.
Working capital loans suit operating expenses. Use equipment financing for grain equipment to secure better rates tied to the asset.
How Much Does Grain Equipment Cost?
New grain bins range from roughly $2–4 per bushel (e.g., $20,000–$40,000 for 10,000 bushels). Augers and conveyors cost $3,000–$25,000+. Grain dryers $15,000–$80,000+. A complete system can run $50,000–$200,000+. Used grain equipment typically costs 30–50% less. Many lenders finance used equipment. Obtain a written quote—lenders use it to structure financing. Estimate payments.
Grain Equipment Financing Rates and Monthly Payments
Rates typically range 6–15%. Terms run 24–84 months for standard equipment financing; SBA and ag real estate extend to 10–20 years for bins. A $75,000 system at 8% over 60 months would run roughly $1,520/month. Financing calculator. Down payment requirements vary.
Requirements to Finance Grain Equipment
Lenders evaluate several factors. Meeting these improves approval odds.
Credit: Most lenders look for 600+. Credit requirements. Down payment: 0–20%. Time in business: 1–2+ years. Documentation: Bank statements, tax returns (Schedule F), profit & loss, equipment quote. Acreage and production may be requested for larger storage projects. What lenders look at.
What to Have Ready Before You Apply
Gather: 3–6 months of business bank statements, tax returns (business and personal if required), recent profit and loss, equipment quote, business formation documents, and basic info. Lenders may ask for a voided check for ACH.
When to Apply for Grain Equipment Financing
Apply when you have a clear equipment need, a written quote, and financials showing your business can support the payment. Apply before harvest—approval often takes 1–5 days for equipment loans; real estate/504 loans add 30–60+ days. Early application gives you time to compare. Axiant Partners matches businesses with lenders—submit once, receive offers typically within 24–48 hours.
Tips to Get Approved
- Improve your credit score. Pay down balances, correct errors, avoid new credit.
- Provide strong revenue documentation. Clean bank statements and organized financials.
- Consider a complete package. Financing bins, augers, conveyors together can simplify and improve terms.
- Make a larger down payment. Reduces lender risk.
- Clarify equipment vs real estate. If financing bins, ask whether the lender treats them as equipment or real property.
- Work with a broker. Apply through Axiant to connect with multiple lenders.
Common Mistakes to Avoid
- Skipping the equipment quote. Lenders need it to structure the loan.
- Applying with incomplete financials. Missing documents cause delays.
- Focusing on rate alone. Terms, fees, flexibility matter.
- Waiting until the last minute. Rush approvals may limit options.
- Not clarifying equipment vs real estate. Bins may be financed differently than augers and conveyors.
Why Businesses Finance Grain Equipment Rather Than Pay Cash
Paying cash ties up working capital. Financing spreads the cost, matches expenses to revenue, and preserves liquidity. Equipment loans and leases offer tax benefits—Section 179 and bonus depreciation; lease payments as operating expenses. Many businesses prefer to finance to keep reserves for emergencies or opportunities.
How the Grain Equipment Financing Process Works
Standard equipment financing approval takes 1–5 business days. SBA and ag real estate add 30–60+ days. Day 1: submit application and documents. Days 2–3: lender review. Day 4–5: approval, documentation, funding. Funds go to the seller; you take possession.
Get a Quote & Apply
Obtain a written quote. Complete one application—we submit to multiple lenders.
We Match You With Lenders
Our team identifies lenders whose programs fit your grain equipment purchase.
Review & Approve
Equipment financing often requires minimal docs. Decisions in 24–48 hours.
Funding & Closing
Once approved, sign documents. Funds go to the seller. You take possession.
Related Agricultural Equipment
Browse financing for similar equipment. One application, we match you with lenders.
Grain Equipment Financing FAQ
Can you finance used grain equipment?
Yes. Many lenders finance used grain bins, augers, and conveyors. Age, capacity, and condition affect approval.
What credit score is required?
Most lenders look for 600 or higher. 680+ qualifies for the best rates.
Can you finance grain bins and augers together?
Yes. Lenders often finance a complete package—bins, augers, conveyors, dryers—as a single equipment loan.
Is grain equipment considered real estate or equipment?
Portable equipment (augers, conveyors) is typically equipment. Grain bins may be equipment or real estate depending on lender and whether affixed. Clarify with your lender.
How long does approval take?
1–5 business days for equipment loans. SBA and ag real estate add 30–60+ days.
What documents are needed?
3–6 months of bank statements, tax returns, profit and loss, equipment quote, and business formation documents.
More Equipment Financing Resources
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Applications are reviewed within 24–48 hours. We match farmers with lenders who specialize in agricultural equipment financing.
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