Heavy machinery, like forklifts and scissor lifts, is a crucial tool in industries from construction to warehousing. And these complex and specialized machines can be expensive. However, whether you’re starting a new business or updating your current operation, the investment can streamline your jobs and pay for itself within months. Through the smart financing of heavy equipment, you can see a return on your investment even more quickly. This guide outlines the financing process to help you make smart decisions when buying equipment.
Strategies for Saving Money and Hassle When Financing Heavy Equipment
Much like in the automotive industry, heavy machinery bought brand new from the dealer can depreciate quickly. Unless your budget can accommodate a new lift, or the intensity of your job demands a fresh machine, you’re probably better off buying used.
These vehicles may not come with all the same protections, but they are still reliable and can be bought for a fraction of their original price. This reduces your burden when seeking financing and increases your chances of getting approved at an excellent interest rate.
Factor in Freight Costs
Sticker price isn’t the only factor to consider when financing heavy equipment. You also need to consider where an item is located and how to get it to your yard. When selling lifts, most dealers list a price for the machine and then offer additional freight services to cover transportation.
Generally, the closer the machine is to you, the lower the freight costs will be. This means that a machine located 100 miles from you may ultimately be more affordable than an identical model at a better price that’s halfway across the country. Some dealers include freight costs in their financing plans, which can help make freight more affordable.
Steps to Take Before Financing Heavy Equipment
1. Verify the Condition
When buying used, it’s crucial to get a full picture of the machine’s history and usage. Ask the dealer how many hours the battery has racked up, and check the tires, hydraulics, and lift mechanisms for damage or signs of wear. Some wear is to be expected on used equipment, but you want to verify that the dealer’s description matches the machine’s actual condition.
2. Check All Safety Features
Once you’re confident that the condition is accurate and appropriate to your needs, check that all safety features are intact and functioning properly. Systems like the horn, seatbelts, and brakes all need to meet industry guidelines for safety. Ensure everything is safe by comparing the machine against all relevant OSHA requirements.
3. Ensure It Meets Your Needs
Without question, the most important consideration before financing heavy equipment is whether the machine fits your needs as closely as possible. Financing a lift is a serious financial burden for many businesses, and acquiring the wrong vehicle could make or break your operations.
Don’t settle for a piece of equipment that doesn’t meet all your needs, and don’t choose a machine based solely on price. Once you’re confident that the machine you’re looking at is the right one for your business, you can move forward with the financing process.
Financing Through Aerial Titans
At Aerial Titans, we offer competitive financing options designed to ensure that anyone who needs a machine has access to one. Our application process only takes a matter of minutes, and buyers can get same-day approval on most purchases. We don’t require any minimum down payment, meaning you can get 100% financing as soon as we’ve verified your credit.
Those with less-than-perfect credit don’t need to fret! We offer a variety of programs that can accommodate most credit situations. Our financing plans last up to 72 months, depending on your needs, and include taxes and freight to help get your vehicle to you as fast as possible. Qualified equipment can also be deducted as an expense through IRS Section 179.