Since being founded by a small team of data and communications professionals in 2003, Compass Communications Group has quickly grown into a premier communications solutions provider for senior living communities in Michigan and throughout the Great Lakes region.

In addition to wireless nurse call systems, Compass Communications Group provides access control, wander management, fall management, phone systems, CC camera systems, and other tools to help senior living and skilled nursing communities support the health and safety of their residents.

compass communications group

Finding the Right Partner a Challenge for Compass Communications Group

Skilled nursing facilities work hard to make their communities not only safe for residents, but also as comfortable and “home-like” as possible. But even after taking advantage of government incentive programs, upgrading technology can still represent a major capital expense and require additional financing.

During Compass Communications Group’s first few years in business, finding the right financing partner to help their clients purchase nursing call systems and other key tools was a major challenge.

“We tried a couple financing companies and it was a disaster,” says Robin Rosier, founding member and sales/account manager at Compass Communications Group. “Either I had to handle all the communication and financial paperwork with the client and do more work for little or no compensation, or the lender dropped the ball and I had to make excuses and chase folks down on both sides of the transaction.”

The final straw for one vendor, according to Rosier, was when the president at a major company called her to say that, if he didn’t know her personally, he’d never consider doing business with Compass again due to the way he was treated by the financing company representative.

Fortunately, things got a lot smoother once Team Financial Group entered the picture.

Team Financial Group Provides Easy and Painless Financing for Compass’ Clients

From the beginning, Compass Communications Group has believed in following the golden rule and approaching each installation as if they were working to keep their own family members safe.

That philosophy has helped Compass Communications Group build long-term, trusting relationships with their clients. And it’s why they demand the same level of dedication and integrity from their key business partners.

“Team Financial Group is a stellar finance partner,” Rosier says. “I can confidently turn over my clients to Joe (Smaby, Team Financial Group’s Vice President of Sales), knowing that he will handle everything professionally and treat my clients the way I would treat them.”

According to Rosier, multiple Compass Communications Group clients have commented about how smooth the approval process is with Team Financial Group.

More than 15 years later, the partnership between the two companies is still going strong. Team Financial Group has attended trade shows with Compass Communications Group over the years, and both companies keep each other in mind when networking and business opportunities arise that might benefit the other (or the other’s clients).

“We feel like Team Financial Group is part of our team,” Rosier says. “We would never consider working with anyone else.”

RELATED: Darby Metal Treating Finds a Trusted Partner in Team Financial Group and Boosts Its Growth

Get Fast Financing and Trustworthy Advice With Team Financial Group

At Team Financial Group, we offer a variety of fast, flexible financing terms and options to meet your business’ needs. Whether you need to finance heavy equipment, new office furniture, or have other specific needs, you can count on Team Financial Group to offer sound advice and sensible solutions.

Ready to get started? Apply for financing now using our quick and easy online application, or give us a call at 616-735-2393 if you have questions.

The content provided here is for informational purposes only. For financial advice, please contact our commercial financing experts.

Whether you’re starting a new business, looking to grow and expand your capabilities, or simply trying to ensure you always have quality equipment to do the job, choosing the right supplier for your business needs is critically important.

Whatever your equipment needs may be—manufacturing or construction equipment, work vehicles, office furniture, etc.—a good supplier can provide you with exactly what you need, when you need it. The wrong supplier might mean costly delays, poor quality equipment and raw materials, and an inability to meet your growing needs.

Are you evaluating potential suppliers and not quite sure which one to choose yet? Read on for five practical tips to help narrow down your shortlist. If you’re a business owner who needs help selecting the right supplier for your organization, reach out to Team Financial Group. We’re always happy to help.

1. Carefully Consider Your Current and Future Needs

Before you even start to look at suppliers, you need to look carefully at your own company. What are your current equipment needs? And if your business continues to grow, what do you project your needs might be in a few years?

Don’t just look at the specific equipment being purchased. Also consider things like:

The best supplier for your business is likely going to be one with a wide range of equipment offerings that not only suit your needs today, but can continue to partner with you as your business grows.

While, of course, it’s always possible (and sometimes inevitable) that you might need to change to a new supplier, being able to maintain a strong relationship with a single supplier over a long period of time often translates into greater efficiency, cost savings, and productivity versus constantly changing suppliers every few years.

2. Know Your Options

If you’ve been in your industry for decades, you might feel like you have a good handle on what’s out there. But if you’re a small business or startup, you might not know what kinds of suitable suppliers are even available to you.

So, if you’re feeling a little out of your depth with the sourcing process, don’t just sign up with the first supplier you find on Google that seems to have what you need. Some additional ways to find potential suppliers include:

3. Do Your Due Diligence

Even if a supplier seems like they meet all your requirements, you still need to do your research. Is this a reputable and reliable supplier? Can they really deliver everything they promise to deliver?

Remember: research takes time. We know it can be frustrating. But when you choose a supplier, you’re making a huge investment of time and capital that will have significant ramifications for your business. Investing a little extra time upfront for the supplier selection process is more than worth it in the long run.

RELATED: Purchasing Used Equipment? Use This Checklist Before You Buy

4. Consider Your Values

For many organizations, finding the right partner is about more than simply the cost of goods or even the best possible return on investment, absent any other considerations.

For example, if environmental sustainability and local community support are important corporate values, you’ll want to choose suppliers that share these commitments. Consequently, you might choose a supplier that demonstrates a commitment to reducing industrial or packaging waste. Or, you might choose to limit your supply chain to the local area whenever possible to support the local economy and cut down on shipping mileage.

5. Consider Your Budget

Obviously, cost is going to be a major consideration when looking for a supplier. After all, the entire point of investing in equipment is to, eventually, make money. Any company you choose must be able to deliver equipment that fits within your budget and doesn’t overextend your cash flow.

However, many companies become so fixated on the sticker price that they end up making a poor choice. The cheapest option upfront isn’t always the best choice. In fact, it often isn’t even the cheapest once all the “hidden” costs are considered.

If the supplier provides low-quality equipment that requires frequent repair or replacement, for example, the total cost to your business (including both actual expenses and opportunity cost from avoidable delays or shutdowns) can be much higher than working with more expensive suppliers.

Remember, too, that when you work with an honest, reputable, and flexible financing partner like Team Financial Group, you can discover the options that fit both your business needs and budget.

RELATED: The Beginner’s Guide to Commercial Equipment Financing

Team Financial Group: Fast, Flexible Financing For More Than 20 Years

Finding the right supplier for your business is often a complex and difficult process. But securing fast, flexible financing to pay for that equipment doesn’t have to be.

Since 2001, Team Financial Group has provided more than $600 million in financing in almost 10,000 different deals across Michigan and the Midwest. We partner with businesses large and small, in industries as diverse as manufacturing, construction, energy, agriculture, technology, and more.

We’re independently owned and completely dedicated to helping our customers grow their businesses with financial options that are customized to meet their unique business and financial needs.

To discover how we can help you finance your next major equipment purchase, give us a call at (616) 735-2393 or complete this brief online application.

The content provided here is for informational purposes only. For financial advice, please contact our commercial financing experts.

When Tim Maczka co-founded Team Financial Group in 2001 with partner Joe Smaby, they went through common growing pains many small businesses endure in their early years—along with a few additional responsibilities that might have been more unique, such as babysitting and mowing lawns.

But over the course of the past 20 years, Team Financial Group has provided more than $600 million  in funds with the goal of helping customers grow their businesses. Team Financial Group’s mission has remained the same since Day 1: delivering efficient, flexible financing while applying common-sense lending principles.

Here, we catch up with Tim, who tells us a little more about himself, the early days of Team Financial Group, and what the future holds for the company under CEO, President, and son Matt Maczka.

Tim Maczka has more than 40 years of financial services experience and holds a bachelor’s degree in finance from Central Michigan University. As the co-founder and chairman of Team Financial Group, Tim works closely with all aspects of the business, including funding, underwriting, and portfolio risk management.

RELATED: About Us: Who Is Team Financial Group?

What can you tell us about your background before you co-founded Team Financial Group?

I was a commercial lender, along with many other hats I wore, at Old Kent Bank during my 26-year career there. When Fifth Third Bank bought Old Kent and I left, I was excited to start Team Financial Group, even though the thought was nerve-wracking at the time because I had three kids in college. But I had a 52-week severance package and convinced my wife that I would know in a year how we were doing, and I would get another job if necessary. Twenty years later, here we are.

Tell us how the founding of Team Financial Group came to be?

There were five of us that started out, and Joe Smaby was my partner. He had worked at Old Kent Bank for 13 years, mostly in sales. I was the underwriter and funder, Joe was the sales guy, and away we went.

We didn’t have anywhere to go yet, so we started in Joe’s basement in May 2001. We quickly knew we had to get out of there, because his wife started using us as a babysitter. Those first few months, we traded Saturdays for who would mow the lawn. We wore every hat and tried to save as much as we could. Some good memories there.

What were the early days like at Team Financial Group?

We were calling on all sorts of vendors and partnering with them to offer equipment financing. We had some really good calls early in our startup days. With one company, Michigan Office Solutions—at that time they were called Commercial Equipment Company—we worked out a program for us to do all of their municipal financing, which was a huge opportunity and boost in the early stages of the company.

What was it like having your son, Matt, rejoin Team Financial Group?

I was 48 years old when we started the company, and one of the first things I wrote on a notebook I kept on my desk was “succession.” Matt was working as a civil engineer in Indianapolis, and I kind of wrote him off as a possibility. But after nine years working in the construction industry, Matt told me he was getting a master’s degree in finance. I thought to myself, “Wow, that’s interesting.” When he was done with school and said he was interested in coming to work with us at Team Financial Group, I remember thinking, “Yes, my prayers have been answered.” It’s been a blessing for all of us. Matt fit right in, came in with an eagerness to learn and a humbleness that made it really nice.

How have you seen Team Financial Group change in the past few years?

System-wise, Matt brought in a lot of operational expertise. We went through a complete conversion of all our systems. I remember at the time Matt joined us, I think we had about $50 million in assets, and he wrote on a whiteboard right away, “What does $100 million look like?” Joe and I got a little nervous about that, but it was good. We always had a lot of hustle, but Matt brought an aggressiveness that we didn’t always have.

What are you most proud of regarding Team Financial Group?

That we’ve been here for 20 years. The failure rate of small businesses is fairly high, so the fact that we’ve built a business that is stable and growing and well capitalized is a compliment to all of us and our customers. We’re pretty proud of that.

When you put the numbers to it, over $500 million in capital to small businesses, not just in West Michigan, but all of Michigan, is pretty exciting. On the employee side, we have employees that started right out of school. (Accounting Manager) Tanya Schulz been with us for 19 years. If you look at the longevity of our employees, it’s pretty exciting too.

What does the future hold for Team Financial Group?

I think we’re just getting started. The management team keeps getting better. I think there’s an old saying that goes, “The first generation starts a business, the second generation grows it.” Matt is definitely poised to take us to the next level, no question about it.

What do you like to do away from office?

My wife and I like to bicycle, golf, and we love our nine grandkids. Our world kind of revolves around that. We’ve been going on these bike tour trips, starting about 10-15 years ago, and we go to great places. We’re going to Yellowstone National Park on a bicycle trip next year. We like outdoor activities. We live on a lake, and that’s a magnet for our grandkids, so we like that. Our church is a big part of our life, too.

For us, it’s all about our customers and employees. We feel strongly about our accomplishments. That’s really the bottom line. Take care of customers and they’ll take care of you.

Partner With Team Financial Group for Fast, Flexible Financing

At Team Financial Group, we work with clients to identify and customize financing solutions that meet their unique needs. Our commercial equipment financing options can improve your business’ cash flow and overall financial health.

To get fast, flexible financing today, please complete this brief online application.

The content provided here is for informational purposes only. For financial advice, please contact our commercial financing experts

If you’re a regular follower of the news, then you likely have come across more than a few stories about cryptocurrency. This digital-based market is sure to evolve and grow in popularity in the coming months and years and, as a result, you might be wondering if cryptocurrency lending is right for your business needs.

You also might be simply wondering, “What is cryptocurrency lending?”

Unlike traditional stocks, bonds, and mutual funds, cryptocurrency lending offers a number of financing benefits that may appeal to small businesses and startups, including short-term flexibility, low interest rates, and convenience. However, crypto lending platforms also contain elements of risk that are important to understand before you make any sort of digital transaction.

Here, we’ll outline some of the key terms used in the crypto marketplace, and identify how crypto lending differs from traditional financing, including potential pitfalls. If you’re unsure about your options, you may want to consider consulting with an experienced and reliable financing partner like Team Financial Group to learn more about all your financing choices.

Learning Where Crypto Can Take Your Business ​Starts With Understanding the Basics

For all the buzz surrounding crypto, it still can be a confusing world filled with strange names and acronyms. Here’s a quick rundown of common terms that you might come across as you research cryptocurrency lending as a financing option.

Cryptocurrency

A digital or virtual currency (aka “money”) stored, created, and processed by cryptography, making it difficult to counterfeit or duplicate. Crypto assets operate with a decentralized finance structure that allow them to operate outside of many government rules and regulations. Examples include Bitcoin, Ethereum, Dogecoin, Litecoin, and Ripple.

Stablecoins

Cryptocurrencies that are backed by more traditional government-issued fiat currencies, such as the U.S. dollar, meaning their prices remain steady. Examples include Tether and Dai.

Digital assets

Digital material and assets that hold some sort of value and are owned by a company. This might include photos, videos, PDFs, logos, illustrations, audio content, even spreadsheets and Microsoft Word documents.

E-lending

E-lending is similar to a traditional mortgage application process. However, lenders are virtual and do not have a physical branch, office, or location. Communication with crypto loan processors and brokers are conducted via email, phone, or online chat.

Blockchain technology

The technology at the center of most digital currencies facilitates the process of recording transactions and tracking assets with a digital ledger of data that can be duplicated and distributed across a business network.

Fintech

Financial technology refers to a financial services company that integrates technology into a product or service in order to improve its functionality and speed up delivery to customers. Fintech examples include lending-as-a-service apps, alternative lending, and crowdfunding.

Smart contracts

A term used to describe computer code that automatically executes an agreement and is stored on a blockchain-based platform. Details of the loan amount, agreement, and repayment terms between borrowers and crypto exchanges are directly written into the code.

Distributed ledger technology

A digital system for recording asset transactions with details and information recorded in multiple places at once. Unlike traditional databases used by banks and financial institutions, a distributed ledger is a decentralized network, meaning there is no conventional data storage or administration functionality.

RELATED: A Handy Guide to Equipment Financing Language

The Cryptocurrency Landscape Offers Opportunity — But Also Risk

While blockchain lending might seem like an appealing choice for small businesses, there are a number of potential crypto lending risk factors that borrowers should note compared to more traditional financing options.

Unpredictable values: The volatility of the crypto markets makes it more risky than traditional investing. Take bitcoin, for example. At one point in 2017, a single bitcoin was worth almost $20,000. Then, in 2018, bitcoin value dropped to $3,100, wiping out billions of dollars in the cryptocurrency market. Those kinds of losses resulting from price fluctuations can be devastating to small businesses.

Security concerns: Cybersecurity should be a concern for businesses of any size, especially when it comes to cryptocurrency lending. If you do decide to explore crypto loans, it is important that you put procedures in place to protect yourself from fraud, hacks, and other potential cyberattacks.

Lack of regulation: Lawmakers are starting to put more stringent rules and regulations in place at the state and federal levels, so borrowers will need to be prepared to adjust quickly as crypto lending changes.

Technical knowledge: The crypto marketplace also seems to change by the minute, meaning digital tools need to be consistently established, maintained, and updated. This constantly evolving landscape requires an extensive amount of research and vigilance for crypto loans, which may be a challenge for small businesses with limited resources.

Uncertain future: While cryptocurrency lending provides a number of appealing options and choices for businesses looking for financing flexibility, it still remains a relatively new marketplace. There are a lot of unknowns, meaning there are just as many potentials risk as there are rewards. You could say the old saying, “We don’t know what we don’t know,” definitely still applies.

Team Financial Group Makes Equipment Financing Fast, Flexible, and Easy

While cryptocurrency lending may be an intriguing option for small and midsize businesses looking for new ways to foster growth, a financing partner like Team Financial Group offers significant benefits that blockchain lending cannot provide.

We’ve worked with businesses across dozens of industries and provided financing for companies with a wide range of credit scores and histories. As an independent financing partner, we have more flexibility than a bank, so we treat you as more than just a credit score. Instead, we look at the whole picture of your business, your team, and your annual revenue to find a financing option that works for you.

Additionally, if you’re a vendor, here are just some of the reasons why working with Team Financial Group as your financing partner can benefit your business and your customers:

Still have questions about cryptocurrency lending or any of your potential equipment financing options? Let us know. We can help you learn more so you can understand all your options and make an informed choice for your business.

Partner With Team Financial Group for Your Equipment Financing

At Team Financial Group, we work with clients to identify and customize financing solutions that meet their specific needs. Our commercial and office equipment financing options can improve your business’ cash flow and overall financial health.

If you’re not sure which type of equipment financing option is right for your business, just get in touch with our experts. We’ll talk with you, learn about your company, and come up with a financing strategy that makes sense for you. To discover how your business can get fast, flexible financing today, please complete this brief online application.

 

References

Locke, T. (2021, Jan. 9). “Thinking of buying bitcoin? What experts say about big crypto concerns: ‘You have to be mentally prepared.’ ” CNBC. Retrieved from: https://www.cnbc.com/2021/01/09/what-experts-say-about-cryptocurrency-bitcoin-concerns.html 

 

The content provided here is for informational purposes only. For financial advice, please contact our commercial financing experts. 

 

 

 

 

 

As a growing business, you need to get your operations up and running as quickly as possible. However, you might quickly discover that related expenses exceed your cash on hand. Rent and utilities for office spaces are an obvious drain for small business owners, but office equipment and furniture costs also can add up in a hurry.

For example, depending on your specific business needs, you may need to supply each employee with a computer, desk, and chair. There also can be shared equipment like printers, copiers, servers, and maybe even a refrigerator and fancy coffee maker for your office break room.

Running a small business is expensive. But there are solutions available that can help you get off the ground, and one of those options is financing your office equipment.

Here, we’ll outline the benefits of office equipment financing and why it might make sense for you. If you need help with an equipment loan for your small business, the experienced lenders at Team Financial Group can help you find financing solutions tailored to meet your unique needs.

RELATED: How Much Working Capital Do I Need for My Business?

Your Small Business Office Equipment Shopping List Can Grow Long

Even if your office isn’t that large, there is a wide variety of business equipment you could consider adding to your shopping list. In addition to the examples listed above, here are some other potential items you could choose to finance:

As you can see, it doesn’t take much for office equipment costs to stretch into the tens of thousands. That’s why many new and small businesses explore the flexibility that comes with equipment financing.

RELATED: Business Health: How Equipment Financing Can Help Your Cash Flow

Your Business Can Enjoy the Benefits of Office Equipment Financing

Instead of renting your office furniture and equipment, which is typically too expensive to be a viable long-term option, take advantage of these five key benefits that come with business equipment financing:

RELATED: Get These Tax Benefits With Commercial Equipment Financing

Partner With Team Financial Group for Fast, Flexible Financing

At Team Financial Group, we work with clients to identify and customize financing solutions that meet their specific needs. Our commercial and office equipment financing options can improve your business’ cash flow and overall financial health.

If you’re not sure which type of equipment financing option is right for your business, just get in touch with our experts. We’ll talk with you, learn about your company, and come up with a financing strategy that makes sense for you. To discover how your business can get fast, flexible financing today, please complete this brief online application.

The content provided here is for informational purposes only. For financial advice, please contact our commercial financing experts

Twin brothers Nathan and Norman Miller put their dreams on the line in 1998 when they built a new workshop and entered the firewood industry with the creation of DYNA Products.

The Millers centered DYNA Products around their strong faith, building a robust company culture dedicated to providing quality products at a fair price and backed by superior customer support. Thanks to that approach, DYNA Products is now one of the top manufacturers of world-class firewood processing equipment, with a 37,000-square-foot facility located in Millington, Michigan.

More recently, DYNA Products has enjoyed significant growth in both the manufacturing sector and the rental market. As a result, they needed additional equipment that required significant capital. That’s when they turned to Team Financial Group.

equipment financing

Team Financial Group Helps DYNA Products With Crucial Funding

The seasonal nature of DYNA Products’ business, along with complexities related to depreciation and equipment life cycles, often made it difficult for them to work with a bank. They wanted to find a partner who would understand their strategy and direction, and then could provide tailored terms to help maintain their growth.

After listening carefully to DYNA Products’ needs, Team Financial Group was able to provide fast, flexible financing that helped the company buy updated manufacturing and expand its rental fleet.

“We appreciate the values that Team Financial Group adhere to and the company’s emphasis on personal relationships,” DYNA Products CEO Nathan Miller says. “Ultimately, Team Financial Group understood our needs and core business strategy and believed in us. They offered competitive rates and service that blew the banks out of the water.”

“I would advise other companies to take a look at Team Financial Group and let them have a chance to prove their value,” Nathan says.

RELATED: Achieving Rapid Growth at Scale

team financial group

Team Financial Group: Fast Financing and Trustworthy Advice

At Team Financial Group, we offer a variety of fast, flexible financing terms and options to meet your business’ needs. Whether you need to finance heavy equipment, new office furniture, or have other specific needs, you can count on Team Financial Group to offer sound advice and sensible solutions.

Ready to get started? Apply for financing now, using our quick and easy online application, or give us a call at 616-735-2393 if you have questions.

The content provided here is for informational purposes only. For financial advice, please contact our commercial financing experts. 

 

 

 

 

 

Leasing equipment is a popular way for small businesses to acquire the assets they need to operate without purchasing these items upfront. While this can be a cost-effective strategy to foster growth, it’s important to understand all the details and options available before entering into a lease agreement.

The differences between capital and operating leases can be confusing but nonetheless it’s important to know the different nuances involved to help you make the right choice for your business.

Below, we’ll outline the differences between a capital and operating lease, along with the benefits associated with each. If you still aren’t sure if one of these options is best, you can consult with an experienced lender like Team Financial Group to help determine your next step.

Many Businesses Take Advantage of Both Types of Leases

There are a number of key differences to note if your business is trying to determine if it wants to use either an operating lease or a capital lease.

Operating leases

Operating leases are similar to renting, with lease payments treated as operating expenses. Lessees can obtain and use assets for a set period of time, but there is no transfer of ownership rights. Common assets for operating leases include technology, vehicles, and office equipment.

Capital leases

Compared to operating leases, a capital lease are treated more like a loan and would be considered debt. Assets are owned by the lessee rather than the lessor and typically are used for equipment that will be kept long term. To be classified as a capital lease, these conditions must be met:

The accounting treatment between an operating lease and capital lease is also handles differently. For operating leases:

For capital leases, which sometimes are referred to as “finance leases”:

Depending on your equipment requirements, your business may choose either an operating or a capital lease — or maybe even a combination, depending on the types of assets you need.

RELATED: Equipment Financing and Leasing Solutions

Which lease is right for your business? Well, it depends.

There are a number of benefits associated with both operating and capital leases that might influence the decision-making process for your business.

Here are some of the advantages of using an operating lease:

Meanwhile, the benefits of a capital lease include:

Here’s an example that might resonate: You could use an operating lease for a copier or other technology for your office, while a capital lease may make more sense for a bulldozer or telehandler if you are in the construction industry. Ultimately, the decision is very unique to your business and all considerations need to be taken into account when determining which is best for you.

Related: Purchasing Used Equipment? Use This Checklist Before You Buy

Contact Team Financial Group to Learn About Your Equipment Financing Options

Need assistance determining which type of financing lease option makes the most sense for your business? We can help you learn more about a capital vs. operating lease and determine if one is right for you. We also specialize in offering fast and flexible equipment financing for a wide range of small businesses.

Call Team Financial Group today at 616-735-2393 or fill out our contact form to talk with a financing expert. If you’re ready to apply for financing, fill out our short online application and we’ll get the process started.

The content provided here is for informational purposes only. For personalized financial advice, please contact our commercial financing experts.

 

While the long-lasting effects of the coronavirus pandemic will continue to be felt for months and years to come, there is reason for optimism as we head into the summer months. That is certainly true when it comes to commercial lending.

According to the Equipment Leasing and Finance Foundation (ELFA), COVID-19 may have “accelerated digital adoption by seven to 10 years.” The result? An estimated $1.8 trillion is expected to be spent on capital goods and fixed business investments this year, with many of those assets needing some sort of financing solution.

In this blog, we’ll outline how businesses have adjusted their operations due to the coronavirus and why they are re-examining their equipment needs. If you need help determining if your business needs to re-think its leasing and financing strategy, you may want to reach out to an experienced independent commercial lender like Team Financial Group to learn more about your options.

RELATED: We Make Equipment Financing Fast, Flexible, and Easy

Businesses Are Still Adjusting Their Equipment Needs Due to the Coronavirus

One of the biggest impacts that COVID-19 had on businesses of all sizes, was an increase in the mobile workforce and how operations subsequently reconfigured their technology equipment to continue running smoothly. With many employees forced to work out of their home for long stretches, businesses had to quickly adjust their resources so remote workers could continue to do their jobs.

As remote workers are starting to return to the workplace, businesses will need to determine if their technology equipment needs to be updated or expanded again. Even businesses that embrace a hybrid work model will need to evaluate if their equipment is flexible enough to allow workers to successfully operate both remotely and at the office.

And how are businesses going to acquire that technology equipment? The vast majority – nearly 8 in 10, according to the ELFA – will use some sort of equipment financing solution to modernize operations and boost growth.

4 Factors to Consider When You’re Exploring Commercial Lending Options

The coronavirus pandemic forced many businesses to rethink their business operations. While things haven’t necessarily returned to normal just yet, more companies are beginning to invest in equipment and software to meet increased demand and build for the future.

As a result, here are four commercial lending trends that we’ll be keeping our eye on throughout the rest of 2021 and beyond:

RELATED: How to Choose the Right Commercial Lender For Your Business

Contact Team Financial Group to Learn About Your Equipment Financing Options

Need help determining how recent commercial lending trends might affect your business? We can help you stay ahead of the curve. We specialize in offering fast and flexible equipment financing for a wide range of small businesses.

Call Team Financial Group today at 616-735-2393 or fill out our contact form to talk with a financing expert. If you’re ready to apply for financing, fill out our short online application and we’ll get the process started.

References

For Construction Pros. (2021, January 25.) “Top 10 Trends That Will Influence Equipment Acquisition in 2021.” Retrieved from: https://www.forconstructionpros.com/business/business-services/financing-insurance-leasing/press-release/21244352/equipment-leasing-and-finance-association-top-10-trends-that-will-influence-equipment-acquisition-in-2021 

Vogt, A. (2020, November 18.) “5 Ways COVID-19 is Shaping the Equipment Finance Company of the Future.” Equipment Licensing and Finance Association. Retrieved from: https://www.elfaonline.org/news/industry-news/read/2020/11/18/5-ways-covid-19-is-shaping-the-equipment-finance-company-of-the-future

 

The content provided here is for informational purposes only. For personalized financial advice, please contact our commercial financing experts.

Tommy’s Boat Group has been putting people on the water since 1981. Over the course of the past 40 years, Tommy’s Boat Group has expanded to become the largest dealer of Malibu boats and Axis wake boats in the world, with nine locations in the United States providing a variety of sales, service, and rental services.

With its mission to be the top full-service provider to water-sports enthusiasts at all levels, Tommy’s Boat Group is consistently seeking long-term stability and growth that also allows them to give back to the communities they serve.

Team Financial Group Helps Tommy’s Boat Group With Its Honest, No-Nonsense Approach

Speed is one of the biggest challenges facing Tommy’s Boat Group. Tommy’s has experienced a lot of growth as of recent years and is constantly needing to obtain equipment quickly to prevent downtime at dealerships. That’s where Team Financial Group stepped in to lend a hand.

Team Financial Group provided the type of smooth and efficient financing solutions that were ideal to help Tommy’s Boat Group enjoy steady growth in a fast-paced industry.

“Our work with Team Financial has always been no-nonsense and to the point,” Tommy’s Boat Group Corporate Controller Nick Rehkopf says. “There is not a myriad of hoops to jump through to move the process forward. They are straightforward with their approach and willing to answer any questions or concerns if and when they arise.”

Rehkopf has known Team Financial Group President and CEO Matt Maczka and his family for more than 30 years. Rehkopf appreciates the honest, down-to-earth principles that Team Financial Group uses to guide their business.

“The customer service and ease of doing business puts Team Financial Group a step above other financing lenders out there,” Rehkopf says. “Team Financial Group offers competitive rates and options for your financing needs.”

RELATED: Achieving Rapid Growth at Scale

Get Fast Financing and Trustworthy Advice With Team Financial Group

At Team Financial Group, we offer a variety of fast, flexible financing terms and options to meet your business’ needs. Whether you need to finance heavy equipment, new office furniture, or have other specific needs, you can count on Team Financial Group to offer sound advice and sensible solutions.

Ready to get started? Apply for financing now using our quick and easy online application, or give us a call at 616-735-2393 if you have questions.

The content provided here is for informational purposes only. For financial advice, please contact our commercial financing experts.

Equipment financing is often a complicated topic. You might have a lot of questions and waiting for the answers can be frustrating.

That’s why we’ve compiled 20 of the most common questions we hear from small business owners about how the equipment financing process works. Hopefully, this will help you understand all the leasing and loan options and benefits available to you. If you still have questions when you’re done reading, please reach out to us. You can use our online contact form to get in touch.

Equipment Financing 101: Answers to Your Most Frequent Questions

1. Why Would I Finance Used Equipment?

Regardless of whether you are buying used or new equipment, financing allows you to keep cash and working capital available for building inventory or managing receivables and payables. Many successful businesses like to follow the “long-term financing for long-term assets” rule. If the equipment you are acquiring has a useful life cycle of three years or greater, then conserve your cash as working capital for short-term business needs and use long-term financing for those long-term assets (like equipment).

RELATED: How Much Working Capital Do I Need for My Business?

2. How Is a Lease Different Than a Loan?

For tax, and accounting purposes, a $1 buyout lease is identical to a loan. You own the equipment, and it depreciates. Team Financial Group simply takes a lien, or security interest, in the piece of equipment as collateral. With a fair market value (FMV), or “true lease,” Team Financial Group owns and depreciates the equipment, and the client can expense the monthly payments for tax purposes.

RELATED: $1 Buyout Lease vs. FMV Lease: What’s the Difference?

3. Are There Any Tax Advantages Associated With Equipment Leasing?

You should consult your tax advisor for details about how the different types of equipment leases may affect your taxes. However, it is important to note that many of the “tax advantages” advertised by various lenders are more a matter of timing when your accountant will be expensing or writing off the equipment. With FMV leases, the expenses are in the lease payment itself.

On the other hand, $1 buyout lease expenses are tied to monthly interest AND depreciation. With depreciation, there is some flexibility with timing, so your tax liability often can be deferred. Again, consult your tax advisor to determine what is best for your company.

RELATED: Get These Tax Benefits With Commercial Equipment Financing

4. Is Collateral Necessary to Obtain a Loan or Lease?

Yes, it is. Your equipment will be used as collateral for your loan. There will be some differences depending on the type of lender (asset-based vs. credit risk, for example), but all will require some sort of collateral for your loan.

5. If I Apply for Financing, How Long Is the Approval Process?

Team Financial Group frequently can approve and fund loans in less than 24 hours. That being said, there are instances when we may need to wait for additional financial information from a customer or equipment information from the vendor and that may require additional time.

6. What Do I Need to Apply for Financing?

If you have been in business for several years, we generally will be looking for a short, one-page application for requests less than $150,000. For larger requests, we might also need copies of your tax return and financial data.

We may be able to take your application over the phone, which only takes arounds 5-10 minutes.

RELATED: What Do I Need to Prepare Before Applying for a Commercial Loan?

7. What Are Your Approval Requirements?

For small businesses, we typically look at the owner’s credit history as the basis for loan approval and financing terms. For larger deals, we may need financial statements or tax returns. However, compared a bank, we have more flexibility and will consider your business’ overall health rather than a single metric.

8. How Will My Interest Rate Be Determined?

Your interest rate will be finalized by your strength of credit (aka credit risk), loan or lease terms, and collateral valuation. Your strength of credit is determined by a combination of factors, including the age of your business, industry, cash flow, credit reports, annual revenue, and—with larger deals—an evaluation of financial statements.

RELATED: 5 Tips to Improve Your Personal Credit Score

9. Are There Any Application Fees?

Only when the deal closes. Typical “Origination/Documentation” fees are $200-$500, depending on the size and complexity of your transaction.

10. Do You Finance Vehicles?

Yes, when used for a commercial application. Below is a more in-depth list of business equipment we’ve financed:

11. Are There Any Requirements Related to Equipment Vendors?

We don’t have any specific requirements, and we work with many different vendors. We employ streamlined, standardized processes when working with our vendor partners, which helps us maximize efficiency. We try to balance this approach by offering as much flexibility as each vendor needs.

RELATED: 5 Reasons to Become a Vendor Partner for Equipment Financing

12. What Can I Do If I Have Bad Credit?

We do our best to approve deals even if your credit is not perfect. Sometimes, additional collateral or a significant down payment can help a deal get done.

That said, we do have to pass on deals at times. Even when that is the case, though, we will provide feedback and guidance to improve your credit so you can secure financing in the future. We want to provide resources and information to customers we haven’t worked with yet so that we can hopefully work with them in the future. We have compiled many of these resources on our blog and we are always open for a conversation.

RELATED: 5 Tips to Improve Your Personal Credit Score

13. What if We Want to Finance More Equipment in the Future?

The longer we have an established relationship and get to know your business, the easier the entire process will be. We strive to make every transaction smooth and easy. On a monthly basis, nearly 50% of our originations are repeat clients because they have found that it saves them time and money to work with Team Financial Group. A simple phone call or email can get things rolling.

When necessary, we can even get deals approved, documented, and closed within only a few hours.

RELATED: Equipment Financing FAQs

14. How Long Should I Finance My Equipment?

We suggest that you finance equipment over its “useful life,” which typically matches the depreciable life of the asset.

15. Do You Have Any Maximum or Minimum Leasing Amounts?

Generally, $5,000 is our minimum and $5,000,000 is our maximum for leasing and loan amounts. However, we have made exceptions.

16. Do You Lease Software or Maintenance?

Yes. However, software and maintenance leases provide no collateral value, so strong business credit is necessary in these situations.

17. Do I Need to Insure the Equipment?

Yes. Team Financial Group needs to be added as a loss payee in case of fire, theft, etc.

18. Can I Pay Off My Account Early?

Yes. Sometimes, paying off a loan or lease is a smart decision, especially if it reduces your debt-to-income ratio or reduces the amount of interest you’ll pay.

RELATED: Should I Pay Off My Equipment Loan Early?

19. What Happens at the End of a Lease?

After the final payment with a $1 buyout lease, Team Financial Group will release any liens on the equipment and you will own it, free and clear.

With a FMV or Fixed Purchase Option lease, you will need to inform Team Financial Group of your intentions 90 days before the end of the lease. This might include equipment purchases, equipment returns, or continuing to rent the equipment on a month-to-month basis.

20. What is a Sale-Leaseback?

A sale-leaseback is a means to acquire capital for your business by using equipment that is owned free and clear.

RELATED: What Is a Sale-Leaseback, and Why Would I Want One?

Contact Team Financial Group to Learn About Fast, Flexible Financing

Still have questions? Let us know. We’ll be happy to work with you to identify and customize business financing solutions that meet your unique needs. Team Financial Group’s commercial equipment financing options can improve your business’ cash flow and overall financial health.

To get fast, flexible financing today, please complete this brief online application.

The content provided here is for informational purposes only. For financial advice, please contact our commercial financing experts.

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