How an equipment sale-leaseback works
With a sale-leaseback, you sell equipment your business already owns to a lender or leasing company, then immediately lease it back. Your trucks, machines or tools never leave your shop. What changes is that the equity locked in that equipment becomes cash in your bank account, and you make regular lease payments instead.
- Step 1: We review the equipment you own and its estimated value.
- Step 2: A funding partner makes an offer to buy the equipment based on its value and your business.
- Step 3: You sign the sale and the lease at the same time, and receive the funds.
- Step 4: You keep using the equipment and make lease payments. Many leases include an option to buy it back at the end.
Why Miami businesses choose sale-leasebacks
- Fast access to capital without taking on a new unsecured loan
- No disruption to operations, crews or customers
- Use the cash anywhere: payroll, inventory, expansion or paying off more expensive debt
- Credit flexibility, because the equipment value carries much of the decision
- Potential balance sheet and tax advantages, which your accountant can confirm
Equipment that often qualifies
Construction equipment such as excavators, loaders and lifts. Trucks, tractors and trailers. Manufacturing and CNC machinery. Medical and dental equipment. Restaurant and commercial kitchen equipment. Printing, packaging and material handling equipment. In general, equipment that holds its value and can be appraised is the best fit.
Sale-leaseback vs. equipment loan refinance
An equipment refinance keeps the title in your name and places a loan against it. A sale-leaseback transfers ownership to the lender during the lease. Depending on your credit, tax situation and how much cash you need, one may be a better fit. We will show you both where they are available.
What you need to apply
- A list of the equipment you own, with make, model, year and condition
- Proof that the equipment is owned free and clear, or the current payoff if financed
- Recent business bank statements
- Our short application