In the ever-evolving landscape of business, choosing the right equipment financing partner is a pivotal decision. This choice isn’t just about securing the funds to acquire essential assets; it’s about setting the course for your business’s success. And you need a partner who understands your unique needs, aligns with your industry, and shares your vision.
But with numerous financing options and providers vying for your attention, how do you navigate this important decision? To answer that, let’s walk through the top considerations for selecting the ideal equipment financing partner. Whether you’re upgrading machinery, expanding your operations, or launching a new venture, these insights will help you make an informed choice.
Before embarking on your quest for the perfect financing partner, pause and reflect on your equipment needs. What tools, machinery, or technology does your business require to thrive? Having a clear understanding of your needs is the first step in finding a partner who can meet them.
Consider the type, quantity, and lifespan of the equipment you need. Are you in a rapidly evolving industry where equipment quickly becomes obsolete, or do you require long-lasting assets? Your specific requirements will influence your financing options and the terms that best suit your business.
Remember, the right financing partner should not only provide funds but also offer guidance based on your unique situation. With a clear vision of your equipment needs, you’re better equipped to explore financing solutions that align with your goals.
Equipment financing comes in various forms, each with its advantages and considerations. It’s essential to understand the available options and choose the one that best suits your business model and financial situation.
Loans: Traditional loans offer a lump sum for equipment purchase, which you repay over time with interest. This option provides ownership from day one, but it can tie up capital and may require a significant down payment.
Leases: Leasing allows you to use equipment without ownership responsibilities. It often requires lower upfront costs and provides flexibility, but you won’t own the equipment at the end of the term.
Vendor Financing: Some equipment suppliers offer financing directly, streamlining the acquisition process. While convenient, this option may limit your choices to the supplier’s offerings.
Each financing option has its merits, and the right one depends on your business’s unique circumstances.
Selecting the right equipment financing partner extends beyond mere financial transactions; it’s about choosing a collaborator who understands the nuances of your industry. Industry expertise is invaluable when it comes to tailoring financing solutions that align with your business’s unique challenges and opportunities.
Why does industry knowledge matter? Consider this scenario: Your business operates in a highly specialized field with unique equipment requirements and regulatory considerations. A financing partner well-versed in your industry not only understands these intricacies but also anticipates potential hurdles.
By leveraging their industry expertise, they can structure financing agreements that accommodate your industry’s cyclicality, technological shifts, and growth patterns. They speak your language, ensuring that financing terms and conditions resonate with your specific needs.
In the digital age, reputation is a currency of its own. Before committing to an equipment financing partner, take the time to research and assess their reputation in the industry. A stellar reputation isn’t just a badge of honor; it’s a testament to their reliability, transparency, and commitment to client success.
Start by checking online reviews, client testimonials, and industry ratings. What are previous clients saying about their experiences? Look for patterns in feedback, paying close attention to factors like responsiveness, fairness in pricing, and the ease of the financing process.
Additionally, seek referrals and recommendations from trusted colleagues or industry peers. A reputable financing partner should have a track record of delivering on promises and fostering long-term client relationships.
Remember, choosing a financing partner is akin to entering a partnership. A partner’s reputation serves as a reliable indicator of their trustworthiness and their dedication to helping your business thrive.
Transparency is the cornerstone of a healthy financing relationship. When evaluating potential partners, pay close attention to the clarity and openness of their terms and conditions. Hidden fees, ambiguous language, or convoluted agreements can lead to unforeseen financial challenges down the road.
A reputable financing partner should provide a detailed breakdown of all costs, including interest rates, fees, and any additional charges. They should be willing to answer your questions and clarify any aspects of the agreement that may seem unclear.
Moreover, a transparent partner will openly discuss your responsibilities and obligations throughout the financing period. This ensures that you have a comprehensive understanding of your commitments, allowing you to plan your finances effectively.
As you explore your financing options, keep transparency as a guiding principle. Partners who prioritize openness not only build trust but also create a foundation for a successful and mutually beneficial relationship.
When it comes to financing, the numbers matter—a lot. Assessing interest rates and overall financing costs is a critical step in choosing the right equipment financing partner. These numbers can significantly impact your business’s bottom line, so it’s essential to examine them carefully:
Remember that the goal is to secure financing that not only meets your immediate needs but also fits within your long-term financial strategy. By carefully assessing interest rates and costs, you can make an informed decision that benefits your business.
Exceptional customer support and service are hallmarks of a reliable equipment financing partner. When you encounter challenges or have questions during the financing process, knowing that you have a responsive and knowledgeable team to turn to can make all the difference.
Flexibility in financing structures can be a game-changer for your business. The ability to tailor financing to your unique circumstances can enhance your financial management and growth strategies.
Seek a financing partner who offers customized solutions. At Team Financial Group, we believe in flexibility, allowing us to create financing structures that align with your business goals and cash flow requirements.
In the ever-changing business landscape, adaptability is key. Look for a partner who can adjust financing terms when needed, accommodating unexpected challenges or opportunities that may arise.
Explore partners who offer a range of financing options, allowing you to choose the structure that suits your needs best. Whether you prefer leases, loans, or vendor financing, having options empowers your decision-making.
By working with a partner who prioritizes flexibility, you can ensure that your financing arrangements evolve with your business, providing the agility needed to navigate changing market conditions.
Choosing an equipment financing partner is not merely a transaction; it’s the beginning of a long-term collaboration. Choose a partner who shares your vision for sustained success and is committed to building a lasting relationship.
Your journey to securing the right equipment financing partner starts now. The decisions you make today will shape your business’s future, and we’re here to guide you every step of the way. At Team Financial Group, we believe in forging enduring partnerships built on trust, flexibility, and a shared vision for success.
Contact us today to explore how Team Financial Group can be the catalyst for your business’s growth. Our team of experts is dedicated to understanding your unique needs, providing tailored financing solutions, and fostering long-term collaborations that propel your business forward.
Don’t settle for ordinary. Choose a financing partner that shares your commitment to excellence and your aspirations for a prosperous future. Your success story begins with a single decision, and we’re here to help you make it the right one.
Let’s embark on this journey together. Contact Team Financial Group and unlock the doors to a world of possibilities for your business. Give us a call at 616-735-2393 or fill out our online contact form and we’ll do the rest.
In the fast-paced and ever-evolving landscape of modern business, staying ahead often means embracing innovation and adaptation. This applies not only to products and services but also to the financial strategies that drive growth. For businesses of all sizes, securing the right equipment is not merely a necessity; it’s a strategic move that can shape the future.
Enter the world of customized equipment financing solutions—a game-changer in the way businesses acquire the tools they need to thrive.
In this article, we’ll look at the significant advantages of tailoring financing options to meet your specific business needs and goals. We are going to explore how flexibility, optimized cash flow, enhanced budgeting, and a competitive edge can all be achieved through customized financing.
Today’s business environment demands agility and the ability to seize opportunities as they arise. One size does not fit all, and traditional financing often falls short of meeting the diverse and dynamic needs of modern enterprises. Customized equipment financing solutions empower businesses to make strategic decisions that align with their unique circumstances, industry dynamics, and growth aspirations.
Join us on this journey as we uncover the transformative power of customized equipment financing and discover why Team Financial Group stands out as a trusted partner in delivering tailor-made financial solutions that make sense for your business.
Business landscapes evolve rapidly, so the ability to adapt and customize becomes a strategic advantage. Customized equipment financing solutions offer businesses like yours the power to tailor financial strategies to unique needs, goals, and circumstances.
And flexibility is at the core of this approach.
With flexible financing, businesses can choose options that align with their cash flow, allowing them to maintain a healthy financial position while investing in essential equipment. Whether we’re talking about adjusting repayment schedules, choosing lease structures, or opting for variable rates, customization ensures that financing is not a one-size-fits-all model.
Customized financing also enables businesses to optimize cash flow and preserve working capital. Instead of tying up capital in equipment purchases, they can allocate resources where they are needed most—whether it’s for operational expansion, marketing initiatives, or unforeseen opportunities. This agility is invaluable in today’s dynamic business environment.
By embracing tailored financing solutions, businesses enhance their budgeting and financial management. With predictable and flexible financing structures, they can create budgets that accurately reflect their financial commitments. And this clarity leads to better decision-making and more effective financial planning.
A key advantage of customized equipment financing solutions is their ability to optimize cash flow and preserve working capital. For businesses, maintaining a healthy cash flow is essential for day-to-day operations, growth initiatives, and seizing new opportunities.
Traditional financing models often require substantial upfront capital for equipment purchases. This can strain a business’s cash reserves, limiting its ability to respond to unexpected expenses or invest in growth areas. Customized financing, on the other hand, allows for more flexible payment structures.
Businesses can choose financing terms that align with their cash flow patterns, ensuring that monthly or periodic payments are manageable. This flexibility liberates working capital, providing the financial freedom to allocate resources strategically. Whether it’s expanding the workforce, launching a new product line, or seizing a time-sensitive market opportunity, preserved working capital is a valuable asset.
Additionally, optimized cash flow can enhance financial stability and resilience. It minimizes the risk of liquidity problems, which can be detrimental to business operations. With a healthier financial position, businesses are better prepared to navigate economic uncertainties and weather unexpected challenges.
One of the most compelling advantages of customized equipment financing solutions is the transformative impact on budgeting and financial management. Businesses thrive when they have clear visibility into their financial landscape, enabling them to make informed decisions and allocate resources effectively.
Customized financing brings this clarity to the forefront. By tailoring financing structures to match specific business needs, it becomes easier to create accurate and predictable budgets. Businesses can factor in financing commitments seamlessly, ensuring that they have a clear picture of their financial obligations.
This enhanced budgeting empowers businesses to make strategic choices confidently. They can allocate funds with precision, prioritizing areas that drive growth and profitability. It also facilitates long-term planning, allowing businesses to map out their financial journey with greater certainty.
Likewise, customized financing solutions simplify financial management. With predictable payment schedules and terms, businesses can streamline financial operations. This reduces the administrative burden associated with tracking multiple financial commitments, ultimately leading to improved operational efficiency.
In essence, customized equipment financing solutions become a strategic tool for businesses, enabling them to achieve financial clarity, make informed decisions, and manage their finances with precision.
In today’s fiercely competitive business landscape, gaining a competitive edge is paramount. Businesses that can adapt swiftly and invest strategically are often the ones that outpace their competitors. Customized equipment financing solutions play a pivotal role in this equation.
Having the right financing structure can provide a significant competitive advantage. It allows businesses to seize opportunities, whether it’s upgrading to the latest technology, expanding production capacity, or diversifying product offerings. These strategic moves can set businesses apart from competitors and capture a larger market share.
On top of that, customized financing empowers businesses to align their equipment with industry trends and customer demands. It ensures that their equipment is up to date, efficient, and capable of delivering high-quality products or services. This not only enhances customer satisfaction but also strengthens brand reputation, a valuable asset in competitive markets.
While the advantages of customized equipment financing solutions are clear, the choice of the right financing partner is equally significant. Team Financial Group stands out as the ideal partner for businesses seeking tailored financial solutions that make sense for their unique circumstances and goals.
This starts with our collaborative approach to financing. We understand that no two businesses are alike, and their financing needs may vary widely. That’s why we work closely with our clients to identify the right financing structure that aligns with their specific objectives. Our dedicated team practically becomes an extension of your business, ensuring that the solutions we provide are not just financially sound but also strategically beneficial.
Our streamlined application and approval processes are designed with efficiency in mind. We know that time is of the essence for businesses, and delays can hinder progress. With Team Financial Group, you can expect a swift and seamless experience from application to funding. We take the complexity out of financing, so you can focus on what matters most: growing your business.
Furthermore, our commitment to collaborative solutions means that we strive to ensure that financing makes sense for all parties involved. We believe in creating win-win scenarios where businesses can thrive while preserving their financial health.
Navigating financing can sometimes feel like a cumbersome and time-consuming process. We recognize the value of your time and resources, which is why we’ve designed our application and approval processes to be streamlined and efficient.
Our application process is straightforward and user-friendly. It allows you to submit your financing request with ease, saving you valuable time. Once your application is received, our dedicated team works diligently to review it promptly. We understand that waiting for financing approval can be stressful, so we prioritize quick responses.
Our goal is to make financing fast, flexible, and easy for small-to-mid-sized businesses. In many cases, we can offer same-day approval and funding on a request for an equipment loan, lease, or financing agreement. This ensures that your business can act swiftly on opportunities and secure the equipment you need without unnecessary delays.
Our commitment to efficiency extends to all aspects of the financing journey. We believe in providing a hassle-free experience that empowers your business to thrive.
At Team Financial Group, we understand that financing is not a one-size-fits-all proposition. We believe in the power of collaboration and creating financial solutions that make sense for all parties involved. When you partner with us, you’re not just accessing financing; you’re joining forces with a team dedicated to your business’s success.
Our collaborative approach means that we take the time to understand your unique circumstances, industry dynamics, and growth aspirations. We work closely with you to identify the financing structure that aligns with your specific objectives. Whether it’s adjusting terms, tailoring payment schedules, or exploring creative financing options, our goal is to ensure that your financing solution is not just financially sound but strategically beneficial.
We take pride in fostering win-win scenarios where businesses can thrive while preserving their financial health. After all, you deserve a partner who is invested in your success and dedicated to delivering custom financing solutions that empower your business to reach new heights.
The benefits of customized equipment financing solutions are profound. They empower businesses to adapt swiftly, optimize cash flow, enhance financial management, and gain a competitive edge. And at Team Financial Group, we’ve made it our mission to deliver tailor-made financial solutions that make sense for your business.
Are you ready to experience the transformative power of customized financing? Contact Team Financial Group today to explore how we can help you secure the right equipment financing solution. Simply call 616-735-2393 or fill out our online contact form and let’s work together to drive your business forward.
Don’t let financing stand in the way of your success—partner with Team Financial Group and unlock the full potential of your business!
In the dynamic world of business, where every decision counts and every resource matters, there’s no room for financial missteps. For businesses of all sizes, obtaining the right equipment is not merely a transaction—it’s an investment in growth, efficiency, and competitiveness. This type of strategic move shapes the future of your business.
And this is where the concept of common-sense lending principles comes into play. In this article, we will dive into why these principles matter profoundly in equipment financing and how they can be the guiding force behind your business’s success.
Imagine a scenario where every financial decision aligns seamlessly with your business goals, where your financing partner is not just a provider but a collaborator in your journey to success. This is the world we’ll explore—a world where common-sense lending principles are the foundation of every transaction, and where choosing the right financing partner is paramount.
Common-sense lending principles should serve as the guiding light in the world of equipment financing, fostering fair and transparent financial transactions. And these aren’t just abstract concepts we’re talking about. Rather, they translate into tangible benefits for businesses seeking financial solutions:
When a financing partner adheres to these principles, it means that the terms and conditions of your financing agreement are designed with your business’s best interests in mind. It means that your partner understands the unique dynamics of your industry, your growth aspirations, and your financial health. It means that your financing journey is not just a transaction but a strategic collaboration.
To fully appreciate the significance of common-sense lending principles, it’s essential to understand the context in which equipment financing operates. The world of equipment financing is always moving, where businesses across various industries seek to acquire the tools and machinery necessary for their operations.
But equipment financing is not merely about procuring assets; it is a strategic move that fuels business growth and sustainability. Whether you are upgrading technology, expanding production capacity, or launching new products and services, the right equipment can propel your business ahead of the competition.
However, the equipment financing landscape presents its own set of challenges. Businesses must navigate through a sea of options, ranging from traditional lenders to specialized financing providers. They must decipher complex financing terms and evaluate the impact of these terms on their cash flow and profitability.
In this landscape, common-sense lending principles serve as a beacon, guiding businesses to make informed decisions and choose financing partners who prioritize fairness, transparency, and long-term success. And selecting the right financing partner in this landscape is critical.
Selecting the right financing partner is a decision that can shape the trajectory of your business. This strategic partnership can support your objectives and values and is more than simply a matter of obtaining funds. And the consequence of choosing the wrong partner can hinder growth and jeopardize financial stability.
Imagine a scenario where your financing partner’s terms are opaque, laden with hidden fees, and skewed in their favor. Or a scenario where the interest rates are exorbitant, leaving you burdened with unnecessary costs. Such scenarios are not uncommon when businesses do not prioritize common-sense lending principles from their equipment financing partner.
Choosing the right partner means opting for a collaborator who upholds these principles, ensuring that your financing terms are clear and tailored to your unique needs. It means working with a partner who respects your long-term goals and actively contributes to your business’s success.
When it comes to navigating the complex terrain of equipment financing, selecting the right partner is essential. Team Financial Group is the smart choice for businesses seeking a financing partner that exemplifies common-sense lending principles.
At Team Financial Group, we don’t just provide financing: we foster collaborative partnerships that align with your business’s success. Our unwavering dedication to common-sense lending principles is a key reason we stand out in our industry. When you partner with us, you can trust that your financing terms are designed with your best interests in mind because we believe in fairness, transparency, and customized solutions for your unique needs.
Because we are committed to these principles, we go well beyond the transactional approach many lenders take. Our team works alongside you to identify the financing structure that complements your objectives and facilitates growth. And by understanding your industry, goals, and challenges, we almost become an extension of your business.
Something else that sets Team Financial Group apart is our firm commitment to providing exceptional customer service and support throughout your financing journey. Here’s how we make a difference:
By choosing Team Financial Group, you’re gaining a partner who is invested in your business’s growth, understands the significance of common-sense lending principles, and is committed to your long-term success.
In this journey through the world of common-sense lending principles and their profound impact on equipment financing, we’ve explored the significance of fairness, transparency, and collaboration. We hope you can see that choosing the right financing partner is not just about securing funds; it’s about securing your business’s future.
The equipment financing landscape is rich with opportunities, but it’s also riddled with complexities. Common-sense lending principles act as your compass, guiding you toward partners who value your success as much as you do. When these principles are woven into the fabric of your financing journey, you’re not just making transactions; you’re building relationships that last.
In Team Financial Group, you’ve discovered a partner who embodies these principles. We believe in fairness, transparency, and customization. Our collaborative approach ensures that your financing solutions are as unique as your business, aligning perfectly with your goals and aspirations.
Now that you’ve explored the world of common-sense lending principles and learned why choosing the right financing partner is crucial, it’s time to take action. Contact Team Financial Group today to embark on a financing journey that prioritizes your business’s success.
Whether you’re looking to upgrade equipment, expand operations, or seize new opportunities, our team is here to support you every step of the way. Let’s turn common-sense lending principles into tangible success for your business.
Feel free to contact us online or by calling 616-735-2393 and our team will be happy to start working with you.
Facing rejection from a bank for equipment financing can be disheartening and frustrating, especially when you have a solid business plan and a clear vision for your company’s growth. As a business owner, you understand the importance of acquiring the necessary equipment to enhance productivity, expand operations, and stay competitive in the market. However, a bank’s decision to decline your loan application should not be the end of your pursuit.
At Team Financial, we recognize the challenges that business owners like you encounter when seeking traditional lending options. Banks often have strict requirements and may reject loan applications based on factors such as limited credit history, insufficient collateral, or being a startup without an extensive financial track record. While these criteria are used to assess risk, they can leave many deserving businesses without the financing they need to thrive.
That’s where alternative financing options come into play. Team Financial Group is here to provide a smart and reliable solution to help you overcome the setback of a bank rejection. As a private company specializing in equipment financing for small and medium-sized businesses, we offer flexible and tailored financing options that align with your unique needs and circumstances.
We understand that a bank’s decision doesn’t define your business’s potential for success. Our mission is to bridge the gap between business owners and the equipment you require, ensuring that the lack of traditional financing doesn’t hold back your prospects for growth.
When a bank turns down your equipment financing request, it’s essential to understand the reasons behind their decision. Common factors that may contribute to rejection include:
While these reasons can be discouraging, it’s important to remember that they don’t reflect the potential of your business or its viability.
At Team Financial Group, we empathize with the challenges business owners face when seeking traditional lending options. We believe that a bank rejection should not deter you from obtaining the necessary equipment to drive your business forward.
By understanding the reasons for bank rejection, you can strategize and explore alternative financing options that cater to your specific needs and circumstances.
Rather than dwelling on a bank’s rejection, it’s important to explore alternative financing options that can provide a pathway to acquiring the equipment your business needs. Alternative financing offers flexibility, tailored solutions, and a more personalized approach compared to traditional lending institutions.
By partnering with a reputable private financing lender like Team Financial Group, you gain access to solutions designed to meet the unique needs of small and medium-sized businesses. Benefits of taking this approach include:
Team Financial Group understands that each business is different, and a one-size-fits-all approach doesn’t work. We offer flexible terms and customized financing solutions tailored to your specific circumstances and growth objectives. Our experienced team takes the time to understand your business plan, cash flow, and equipment requirements to create a financing plan that aligns with your goals.
Unlike the lengthy approval process often associated with traditional banks, Team Financial Group streamlines the financing process to provide quick and efficient approvals. In many cases, we can offer same-day approval and funding for equipment loans, leases, or financing agreements. Our goal is to make financing fast, flexible, and easy for small-to-mid-sized businesses, so you can acquire the equipment you need without unnecessary delays.
Choosing a private financing company like Team Financial Group as your financing partner comes with several significant benefits:
When you choose Team Financial Group as your equipment financing partner, we strive to make the process as seamless and straightforward as possible. Follow these steps to secure the financing you need:
At Team Financial Group, we are committed to supporting your business’s growth by providing tailored financing solutions and a seamless process from application to equipment acquisition.
If you have any questions about what it would mean to offer financing for your customers, get in touch with us. We’d love to work with you to find a solution that makes sense based on your customer base and business needs.
Ready to get started? Give us a call at 616-735-2393 or fill out our online contact form and we’ll do the rest.
In the competitive world of business, one of the most significant challenges that companies face revolves around the age-old question: How do you get paid? For businesses operating as suppliers or distributors, ensuring timely payment from customers can be a perpetual struggle. Late payments, cash flow gaps, and unreliable revenue streams can put immense strain on a company’s financial stability and hinder its growth prospects.
While these challenges may seem insurmountable, there are opportunities for businesses to overcome them and establish a more reliable and streamlined payment process. One such opportunity lies in forging a strategic vendor partnership with a private lending company like Team Financial Group.
With Team Financial, businesses can unlock a range of benefits that address the very pain points you face when it comes to getting paid. From closing more sales and receiving payments faster to gaining access to the full selling price upfront and mitigating transaction risks, a vendor partnership with a reputable private financing company offers tangible solutions to the payment challenges that have long plagued businesses. Additionally, this can significantly enhance your company’s reputation, foster stronger client relationships, and position it as a reliable and trusted partner in the eyes of your customers.
Let’s take a look at how a strategic vendor partnership with an independent equipment financing company can empower your business, transform the way it operates, and pave the way for a more secure and prosperous future.
If you are seeking an alternative to traditional financing options (banks, credit unions) for your equipment needs, you have choices. Something that separates Team Financial from the pack, though, are our vendor partnerships.
A strategic vendor partnership offers businesses a multitude of advantages, revolutionizing the way you handle payments and boosting your overall financial stability. Five key benefits from this kind of partnership include:
Hopefully this gives you an understanding of how a vendor partnership with Team Financial Group can transform your business and pave the way for sustainable growth and success. Now, let’s walk through what it’s like to work with us in a vendor partnership.
RELATED ARTICLE: How Easy Equipment Financing Helps Grow Your Business
At Team Financial Group, we take pride in our commitment to delivering exceptional service to our valued vendor partners. Our success lies in the careful balance we strike between employing streamlined, standardized processes to maximize efficiency and providing the flexibility necessary to meet the diverse needs of each vendor.
We understand that every vendor operates uniquely, and we tailor our approach accordingly, ensuring that our financing solutions align perfectly with your requirements. By blending efficient processes with the right amount of flexibility, we foster strong and collaborative relationships with all our vendors, enabling us to provide you with the best possible financing experience. Our goal is to support your growth, enhance your business operations, and contribute to your overall success.
While every relationship is unique in certain regards, the two main approaches we use in our vendor partnerships are:
Some of our valued vendor partners prefer to focus solely on their core business operations and leave the financing aspect to us. When a potential customer expresses interest in equipment financing, these vendors simply reach out to us via phone or email, and we take care of everything from that point forward.
This collaborative arrangement relieves our passive vendor partners from the burden of handling additional paperwork or managing the intricacies of financing, allowing them to seamlessly offer financing options to their customers. By entrusting us with the financing process, they can concentrate on what they do best while still providing a convenient and hassle-free financing solution to their clientele.
Other vendor partners prefer to take the lead and retain control over the financing process, and we can fully support their approach. In such cases, we assist by taking on the underwriting responsibilities and preparing the documentation. Once the paperwork is in order, the vendor takes charge of communicating with their client and managing all aspects of the financing arrangement.
This collaborative partnership allows vendors to maintain a direct relationship with their customers while benefiting from our expertise in financing and documentation. By working hand in hand, we empower vendors to navigate the financing landscape confidently, ensuring a seamless and efficient experience for their clients.
If you have any questions about the potential benefits and implications of offering financing options to your customers through a vendor partnership with Team Financial Group, please feel free to reach out to us.
Our team is passionate about collaborating with businesses like yours to identify the most suitable financing solution that aligns with your specific customer base and unique business needs. And we are happy to answer any questions you might have about this kind of partnership, and what it can mean for your company.
Don’t hesitate to contact us today by calling 616-735-2393 or filling out our online contact form to explore the possibilities and discover how our customized financing solutions can contribute to your business’s success!
Commercial electric vehicle charging stations can make your business more attractive to potential customers, and the benefits of providing charging stations will only increase as the EV market continues to grow. Between local and federal financial incentives, widespread adoption of standardized charging equipment, and a massive increase in embracing EV technology from the public, there’s never been a better time to add EV charging stations to your business.
Despite the financial incentives and array of options for commercial EV charging stations, you may find that EV charging stations cost more than the capital you’re willing to spend outright. If so, you’re not the only business who feels that way – which is why there are also some great programs for financing charging stations.
If you aren’t already familiar with equipment financing, check out our FAQs on equipment financing here. You might find that you’d benefit more from a lease than a loan, depending on the specifics of your business. For Michigan-based businesses, you can potentially get an even better deal through the MI Saves program. (Team Financial Group is a MI Saves financing partner, and we’ll explain what that means for you shortly.)
If you already drive an electric vehicle, then you are part of a fast-growing group of owners who don’t need further convincing that EV is the way to go. And it probably won’t surprise you to learn that for gearheads across the nation, taking vintage vehicles and converting them to electric has become a popular new hobby. On top of that, the USPS has announced that it is on its way to owning the largest electric vehicle fleet in the world, with intentions to have over 60,000 Next Gen Delivery Vehicles on the road by 2028. At this rate, gas stations could soon be a thing of the past!
With such widespread adoption of electric vehicles, the need for charging stations is set to grow commensurately. Adding commercial EV charging stations to your business can provide you with numerous benefits:
While electric vehicle supply equipment may be an exciting project for your business, the out-of-pocket cost – especially for DC fast chargers – can make you do a double-take. That means it’s worthwhile to learn about all the financial incentives available to you and your business.
A qualified financing partner can help you find every cost saving advantage in your local area, like the ones listed below.
RELATED: 7 Tips for Purchasing New Equipment for Your Business
Team Financial Group is here to help you find the best opportunities for financing your commercial EV charging station. We can help you take advantage of many of the regional incentives, and as a MI Saves-authorized lender we can help you get a better interest rate on your clean energy projects.
Any commercial property user or owner can utilize MI Saves for better financing for their clean energy projects, including EV charging stations.
A big benefit is that MI Saves has a network of authorized contractors to help you ensure the quality of workmanship, as well as timeliness of installation.
In addition, since MI Saves functions as insurance for independent lenders, your financing partner can offer you better interest rates on your charging station loan. This includes upgrades to existing electrical infrastructure, net metering system software, and related projects.
RELATED: How To Save Money With MI Saves Financing
This grant is specifically for increasing the availability of DC fast charging stations across Michigan by providing funding to qualified applicants. To be eligible, an organization must simply host publicly accessible charging stations.
The program is currently prioritizing funding for projects in more remote areas of Michigan, to ensure there are no “unfulfilled nodes” or EV charging station deserts. The grant is for either 33.3% of the total cost or a direct match of what the electric utility is paying (up to $70,000), whichever is the lesser amount, for eligible EV charging equipment.
As with many grants, there is some red tape to jump through. Awardees are expected to provide monthly progress updates and site metrics, as well as documentation of expenditures. While larger organizations might have the bandwidth to meet these requirements, small to medium businesses might not have the resources to dedicate to detailed monthly reports.
If you’ve been turned down for this grant or can’t justify the resources to meet the program requirements, you can always turn to Team Financial Group for fast and flexible financing. Even without this grant, you may be able to take advantage of other incentives, like the recently extended Inflation Reduction Act tax credit for your commercial charging stations. Contact Team Financial Group to learn more!
RELATED: A Smarter Way to Finance Equipment for Business
Finding the right financing partner for your commercial EV charging station doesn’t have to be a challenge. Team Financial Group is well-versed in green energy projects like the DC fast chargers needed for the fast-paced electric car industry. We can help you right-size your commercial EV chargers for your location and find you the optimal financing to make the project affordable.
If you already have the project scoped out and just need some help with the EV charging station cost, Team Financial has the flexibility to get you what you need – we often can even get same-day approvals on your equipment financing loan.
Get in touch with us today for any questions about federal and local incentives for commercial EV charging station installations, or to talk about the different financing options that can help power up your business.
Our team of financing experts is here to help you transition to an electric future, just give us a call at 616-735-2393 or fill out our short online contact form to connect with us.
References
ChargePoint, Inc. (2015). Leading Retailer Partners with ChargePoint to Attract and Retain Loyal Customers. Campbell, CA: ChargePoint. Retrieved from https://www.chargepoint.com/files/casestudies/cs-retail.pdf
Growing or establishing a small business requires money, and usually more than most small business owners have on hand. When it comes to acquiring a small business loan—something that can be important for leasing or buying equipment—most people think of going to a bank to borrow money.
Banks generally offer the best interest rates, but the application process can be cumbersome and lengthy. Even if you’ve got a successful business model that is very profitable, and a great credit score, you still might not check all the right boxes for the bank’s approval.
What does it take to get approval on a business loan from a traditional lender like a bank? Keep reading to find out!
However, if your business doesn’t meet the qualifications, there are still some great financing options that can work to your advantage. Team Financial Group, with more than 20 years of financing experience, will take a holistic look at your business finances and work with you to find a business loan solution that fits your business – even if the bank has turned you down.
Banks can be attractive places to get a loan because they can offer the best interest rates and are traditionally thought of as safe and secure lenders. But in order to remain safe and secure, they often have more stringent requirements for business term loans than alternative lenders, particularly because they cannot lend to businesses that they deem “risky” or likely to default.
Therefore, most banks want to see a solid history of profitable business before they’ll approve a bank business loan. And they establish this by looking at the following factors.
Not only must the business have a high credit score, but since bank loans are often required to be personally guaranteed by the owner, the bank will want to see the owner’s personal credit score as well. For small business loans with the best interest rates, credit scores of 690 or above are preferred.
To get approval for Small Business Administration (SBA) 7(a) loans for equipment, the SBA is the guarantor instead of the business owner. If your own credit score isn’t great, this might help you gain approval on a bank loan.
Typically, banks only lend to businesses who have been in business for a minimum of two years. If you don’t have the business history to qualify, a nontraditional lender will probably be a better fit for your financing needs.
In order to secure a small business bank loan, you’ll need to show that your small business has consistent cash flow. The amount will vary by lender, but some banks expect to see an annual revenue from $50,000-250,000 to approve business loans.
An alternative may be to apply for a business line of credit, which can act like a credit card for your business to borrow money against.
RELATED: How Much Working Capital Do I Need for My Business?
Depending on the type of bank loan you’re applying for, and how good your credit score is, you might be asked to put up business assets as collateral. If you default on your loan, the bank has the right to seize these assets. Collateral is not required for unsecured loans, but an unsecured business loan may have greater requirements for a personal guarantee from the owner(s).
After the bank has dug into your past financials, they’re going to want to see how you’ll use this loan to improve your future. Your business plan should include how you expect to use your small business loan to achieve your goals, and how you expect to repay the loan. This is a way to see if you have the cash flow to cover all your expenses, plus the monthly payments for the loan.
RELATED: How to Cut Your Business Costs: 9 Tips
After you’ve double-checked and submitted all your paperwork, there’s still a waiting period to see if the bank has approved your application. This can be about 2-4 weeks for most bank business loans. For SBA loans – even if you’re working with an SBA-preferred lender – the approval can take as long as 3 months. If you’re rejected, you may have to start over from scratch. That might not fit your timeline, in which case you’ll need to look at other business financing options.
If you’re struggling with bank approvals for small business loans, there are plenty of other options. If you have the option to refinance commercial properties, that can be a way to raise capital for business expenses. Online lenders can offer easier and faster approvals for loans, and local credit unions may also be an option. Private lenders can also be a good choice, especially if you are looking for a lender with extra flexibility.
Unlike a bank, Team Financial Group can take a big picture look at your company and see that even though you don’t meet a bank’s requirements for business history, your business plan and credit score are both excellent and you have a promising future. In fact, that’s exactly what we did for Walnut Grove Excavating after they were turned down by the banks.
In addition, Team Financial can help you find financing fast: we often can get same-day approvals for your business. Plus, we may find that a standard term loan is not the best fit for your business. We can offer equipment leasing which will protect you from rising interest rates and help you save money on a down payment. We want to get to know you and your business, so that we can figure out the best way to help you succeed!
RELATED: 20 Questions: Here’s How Equipment Financing Works
If the banks have turned you down, or you are looking for a faster, more flexible option, give us a call.
Team Financial Group’s mission is to apply common-sense lending principles to small businesses, unlike traditional banks which have strict requirements. We’ll dig into the details of your business so that we can see what the banks missed: if you’ve got a solid business plan and need a financial boost to achieve success, we’ll try to help you get there.
If you’d like to learn more about what sets Team Financial Group apart from traditional lenders like banks, give us a call at 616-735-2393 or fill out our short online contact form. Our expert team is always happy to help!
Typically, expanding or growing your business is one of the biggest goals for any small business owner. This makes sense because reaching a wider customer base, expanding operations, and increasing production, capacity, and efficiency all can provide huge benefits for a company.
At the same time, when a company tries to grow too fast, the results can be disastrous. For this reason, a wise business owner will protect cash flow during periods of growth. That is an important way to ensure that the financial health of the business stays intact.
Defending your cash flow often involves finding a way to spread out the cost of major purchases. Doing so can ensure there’s always a good buffer to handle emergencies. And by utilizing smart equipment financing solutions, a business can experience several benefits that help them on the path to solid growth.
Before we jump into that, let’s start by looking at what kinds of equipment can be obtained with smart financing to benefit businesses – you might even be surprised by the variety of equipment we finance so you can grow your company.
It is usually easier to qualify for equipment financing than business loans, like SBA loans (Small Business Administration). This means an important first step is knowing exactly what “equipment loans” can all encompass. The fact of the matter is that virtually any business makes equipment purchases that would qualify for an equipment loan. After all, can anyone do business these days without even a phone or computer (or tablet)?
That said, here are some specific types of business equipment from different industries that can qualify for financing:
It is worth noting that we could really have included “and more” at the end of each of those lists. While this serves as a decent sampling of the kinds of equipment we help companies finance, it’s certainly not an extensive list of all options. (If you ever have questions about if what you’re thinking about obtaining would qualify for financing, please don’t hesitate to ask – we are always happy to answer any questions you might have!)
Remember, if you need it for your business, it probably qualifies for equipment financing. And when your company needs to make upgrades or expand, financing may be a better solution than you’d expect!
RELATED: 20 Questions: Here’s How Equipment Financing Works
Even the best-laid plans of a savvy business owner can go awry in a hurry. The company vehicle breaks down, a key piece of machinery suffers a failure, the heating or cooling system breaks, etc. And if you’ve put all your spare funds into expanding operations, these business-critical moments can be highly stressful and frustrating.
The solution to maintaining flexible and healthy balance sheets is equipment financing. With equipment loans, the potential benefits are numerous. You can:
Creating the best environment for business growth often depends on finding the right equipment financing company. From traditional lenders to independent financers, your approval and payments can vary greatly. That’s why we encourage you to learn more about your options, including private equipment financing companies.
RELATED: How Equipment Financing Works: 5 Myths Debunked
When it comes to equipment loans, many institutions are concerned with their minimum credit score requirements or a small new company’s lack of an extensive business history. That said, you will find that it’s typically the traditional lenders, like banks, that are overly preoccupied with those numbers. An independent lender like Team Financial Group can take a holistic look at your finances to see that your annual revenue is in great shape, and we can be more understanding when one bad choice may have affected your credit score (but it doesn’t completely exclude you from credit approval).
When it comes to purchasing equipment, we understand that sometimes you’re in a bind: production is down and you need to get it back up and running ASAP. To this point, we frequently offer same-day equipment financing agreement approvals because we have the flexibility that other lenders don’t. Costly equipment can make or break small businesses, and we want to see you succeed in whatever industry sparks your passion.
For us, that industry happens to be equipment financing. We work closely with small business owners to help you achieve your goals, with solid advice on your best loan or lease options and competitive interest rates.
RELATED: $1 Buyout Lease vs. FMV Lease: What’s the Difference?
Team Financial is proud to showcase how our clients, from within a variety of industries, have enjoyed growth and success. While many of these businesses started as clients, we now have professional and personal relationships that put us in a position to help guide them to a brighter financial future.
If you’re considering the possibilities for your own business, be sure to check out our client success stories to see how we’ve worked with other organizations to expand operations and find more happy customers. And if you have any questions, or are ready to start exploring your own equipment financing options, please feel free to reach out and contact us and we will be happy to help you however we can!
Entrepreneurs and business owners choose Team Financial Group for different reasons. One that people often bring up is the personalized attention they receive. Investing time in understanding their companies is important to us as well as them. Doing so gives our team a clearer picture than what a loan specialist at a bank gets from staring at an application form, and that allows us to help more businesses.
Along with the deeper insight we gain, our approach means we don’t simply get a deal done and move on to the next one, like a conveyor belt. Instead, we care about what happens next. Your success matters to us, and we want to see your company thrive.
With more than 20 years of financing experience, we know what it takes for companies to succeed. While there are other factors that go into it, a big part of having a successful company is being able to stay on track with business goals.
No one is going out on a limb in saying that you want your business to grow and generate greater revenue. After all, that is typically the overarching vision for most companies. To make that happen, though, you need to develop a set of goals for your business. In doing so, you lay the foundation for your ability to stay on track for success.
If you want to continually make progress toward your goals, it helps to start by having ones that make the most sense for your company. And that means they link back to your overall vision. In Stephen R. Covey’s seminal business classic, The 7 Habits of Highly Effective People, one of the habits is to begin with the end in mind. When it comes to goals, this is sage advice.
So, in the early stages of establishing your goals, you should identify the various areas that connect to revenue, such as personnel, equipment, marketing, sales, and accounting. For new entrepreneurs and small business owners, it can help to think about this as being like the various departments at a large corporation. The heads of those departments create goals and plans for their respective domains. Entrepreneurs often wear many hats, which means it can be easy to lose sight of certain areas (depending on their backgrounds, interests, etc.). Taking time to list these out, though, makes them visible.
From that point, you can then consider how the areas impact your revenue stream and company’s profitability. Often, that entails keeping costs low (like through efficient practices and equipment) and increasing sales. If you have goals aligned with those objectives, you’re on the right path.
Going hand-in-hand with keeping the end in mind is to make sure you choose goals that are SMART. And, in this case, we aren’t talking about intelligence directly. (Although, some say it is definitely smart to have SMART goals.) Instead, this is an acronym for:
Specific. If you are training for a marathon, you could say “I want to run faster.” The problem with this kind of goal, however, is that it’s incredibly vague. After all, how do you know what faster means precisely? An example of a better goal would be along the lines of “I want to average 13-minute miles.” This specificity gives you a clear target.
Measurable. To stick with your goals, it helps to have a clear picture of current and past states. When you trend in the right direction, you stay motivated. If you don’t see progress, you have an opportunity to make adjustments. Of course, for that to happen, your goal needs to be measurable. And this means something like “we want to be the best insurance company” doesn’t work (because best isn’t measurable). As you can probably see, this element ties in strongly with the previous one.
Attainable. There’s a saying that goes something along the lines of “everything’s impossible until somebody does it.” While that spirit is admirable in a sense, it’s necessary to be realistic about matters. Going back to our marathon goal example, if you currently run 14-minute miles, trying to drop down to 7-minute miles for the next marathon is almost definitely not going to happen. Making that the goal only sets yourself up for failure.
At the same time, you don’t have to give up your dream of running 7-minute miles. Instead, set a more attainable goal for your next marathon (like maybe 13-minute miles), and then another realistic one for the race after that, and so on until a 7-minute mile pace is possible.
One more important thought about attainable goals is that it makes a lot of sense to focus on that which you can control. For example, someone could directly improve manufacturing speed by purchasing more-efficient equipment, but they can only influence (not control) potential customers to buy their product. If your goals are properly aligned, though, you will find stronger influence in areas outside your sphere of control.
Relevant. This was touched on a bit when we looked at beginning with the end in mind, but SMART goals connect to something larger that you want to achieve. In the Specific stage, we determined that “running faster” isn’t a solid goal, but that is your overall intent, right? Well, we could look at the 13-minute mile pace goal and see that it is absolutely relevant to becoming a faster runner.
Time-bound. There is another common saying about how “a goal without a date is just dream.” To make sure you aren’t just dreaming, SMART goals have time constraints. These keep you accountable and are essentially the track in “staying on track” with your goals. The best practice here is to use benchmarks and milestones along the way. By breaking the timing down into stages, you don’t have to wait until the end to see progress.
All five SMART elements play integral roles in achieving your goals, and by taking this approach, you can put your company in a position for success.
When you set out to accomplish specific objectives and want to keep progress moving forward, staying flexible can seem like a tricky proposition. But built-in flexibility is valuable when our unpredictable universe throws curveballs (like, say, a global pandemic that completely upends entire industries). In a more positive context, being nimble also allows you to capitalize on unforeseen opportunities.
Some people may think that being flexible opens the door too much for flip-flopping or giving up on goals. That might happen sometimes, but indecision and quitting aren’t synonymous with flexibility. Besides, there are times in life when the best course of action is to reassess, or possibly even abandon, the pursuit of a goal that is simply draining resources.
You might be familiar with the sunk cost fallacy. If not, the basic gist is that humans are often reluctant to ditch something when we’ve invested a lot into it, even in cases when an objective second person would clearly see that walking away is more beneficial. And that is why it is important to be at least somewhat flexible with your goals.
One way to build in that flexibility is to have contingencies in mind. Knowing that you have a backup plan in place makes it easier to pull the plug on an endeavor that isn’t proving worthwhile.
You’ve probably heard that the best way to eat an elephant is one bite at a time, right? While that probably holds true in the literal sense, it’s most commonly used as an apt metaphor for approaching goals.
If you decide to utilize the SMART goals model, you’re most likely already doing that by making sure you have attainable and time-bound goals. If not, this is a good strategy for creating a roadmap that is easy to follow. And, really, it just makes sense.
There are different approaches you could take here. One that works well for many businesses can be found in the EOS (Entrepreneurial Operating System) based on Gino Wickman’s popular book Traction. Companies that use EOS or follow Wickman’s teachings take larger, long-term objectives and break them down into quarterly goals. In turn, these goals are then broken down even further into weekly action items. This approach makes it incredibly easy to eat even the biggest proverbial elephant.
Business systems of all varieties can play an important role in helping you stay on course to achieve your business goals. And the good news here is that you have a variety of choices available for which system you implement.
While EOS is a popular option for businesses and organizations across the globe, it may or may not appeal to you. Perhaps you find yourself more interested in adopting a Lean or Six Sigma system that is keyed in on improving efficiency in your processes. Or you could be drawn to SYSTEMology, which some consider to be a valuable resource for owner-dependent businesses.
Any of those systems are fine choices for certain circumstances and objectives. Of course, it’s worth noting that they don’t have to be mutually exclusive options. For example, you might wish to implement SYSTEMology in early stages of growing your business, and then switch to the EOS model later. Or your company may even benefit best from utilizing a hybrid combination of approaches.
No matter which path you choose, though, a key to meeting your goals is having a system in place and making sure everyone is following it.
Along with following a system, your business needs proper resources to succeed in your goals. And people can be a powerful resource.
If you own a small business, there is a decent chance you launched your company by yourself. Maybe you are still currently in this stage. But if your business has grown to the point that you’ve started bringing others on board, you should already see the value of having the right people in place.
Even the most talented individuals cannot do it all on their own, so delegation is a vastly underrated business skill. Knowing what to keep on your plate, and what to delegate, makes a profound difference if you want to stay on track to achieve goals.
It makes your life easier when you have a dedicated team you can trust. And while entrepreneurs often wrestle with control issues, a trustworthy team of good people in the right roles means you can let go a bit and focus on company goals, instead of trying to do it all yourself.
For your employees to do their best work, they need to have proper tools and equipment. With that being the case, it is important to assess your equipment needs—and potentially upgrade or purchase/lease equipment (new or used)—if you want to achieve company goals.
In some cases, the key obstacle here is finding financing for business equipment. After all, banks and other traditional lenders aren’t always easy to work with. Fortunately, you have other options when you need to acquire new or used equipment for your company. A private financing company, like Team Financial, can be a great choice if you are seeking fast, flexible financing.
A key part of successful delegation is knowing that things are getting done. More than that, it’s even better when you know that they are being completed efficiently. Key performance indicators (KPIs) can help with this.
Exactly what you track depends, of course, on your specific business goals. In turn, this dictates the method you should use to collect your data.
For internal metrics, a wise practice is to go back to your SMART goals and focus on the measurable elements. Decide what kinds of metrics will tie back to them, and then make sure you are capturing them at appropriate intervals.
Done well, the KPIs you establish can provide a sense of ownership from team members. That “done well” caveat is necessary because KPIs also have the capacity to cause stress or fear. And while stress is a normal part of life, research shows that excessive amounts inhibit productivity even for smart, talented, and hard-working employees.
Any successful coach will be quick to tell you the importance of motivating a team if you want to pick up the win. While it’s easy to see immediate impact in the sports world, something that often gets lost in the shuffle of the day-to-day grind is that members of your team benefit when the company performs well. And that’s why things like transparency and celebrations can be game changers for successful businesses.
To stay on track with business goals, make sure everyone knows what the goals are. Perhaps more importantly, they should also know why the company is trying to attain them and how their individual efforts contribute to success. When employees do, they tend to be more engaged, motivated, and productive.
Along with the goals themselves, vested parties also want to know how things are going along the way. For this reason, it is highly beneficial to be transparent with your team. If there are issues, it’s best to be upfront about them. A key reason to do this is because people can often tell when things aren’t going well. Trying to hide that is an insult to their intelligence.
Another reason is because this puts you in a position to take ownership of the situation. Proactively saying what is happening and, more importantly, what you are going to do about it, is a power move. That is true leadership, and it’s what your team should expect.
An excellent way to keep your team motivated in pursuit of goals is to celebrate victories when they happen. Even taking time to acknowledge small wins and recognize the effort that went into them can be profoundly motivating for your team. This keeps everyone excited to push through to the next step of company goals.
At the start of this post, we mentioned how important your success is to our team. And because we want you to succeed, we want you to have all the information you need to stay on track with your business goals. Following the tips that we laid out in this article should help you with that. Of course, if you need financing for business equipment, we are always here for you.
If you want to see how Team Financial Group can help your company achieve its goals, feel free to learn more about us here. And if you’re ready to connect with a private company that offers fast, flexible financing, don’t hesitate to reach out online or by calling us at 616-735-2393.
Small businesses can find themselves at a point of conflict when they need to make a large purchase but paying the entire cost up front could potentially put their cash flow in jeopardy. At that point, smart business owners will often start exploring their financing options.
If you find yourself in this situation, we hope it’s because your company is enjoying success and looking to expand. At the same time, it is also quite possible that you simply need to replace equipment that has broken down or become obsolete. Either way, you probably aren’t looking forward to the expense already, but then there’s also the headache that can sometimes come with trying to find appropriate funding for your business needs.
The good news is that you may find this process much easier than expected, especially if you know a thing or two about the key differences between traditional and private financing. And if you happen to be a new entrepreneur or you have a unique situation, like perhaps an atypical income flow, you just might find that a private lender will be best suited for handling your company’s financing needs.
RELATED: Equipment Financing Options
For the average small company, there are a handful of business funding options available to buy the equipment they need. Not all of them are well-suited to all types of businesses, so please consider this a starting point that may require more investigation. That said, options can include:
For nearly all businesses, it makes sense to take out a loan with the most favorable terms that their qualifications allow. Even if your business doesn’t have a high credit score, or you’re concerned that financing is too expensive, there may be some good options available for you. Private business financing often comes with more flexibility than banks and lenders that can work with you to find a solution that fits your needs.
RELATED: How Private Equipment Financing Works: 5 Myths Debunked
A traditional lender, like a bank, is regulated by the federal government. Due to the strict regulations that these financial institutions must adhere to, banks tend to be rather inflexible. And they often reject new small businesses immediately for loans because of an unwillingness to assume the kind of risk they believe comes with a lack of an established history of profitability.
Private commercial lenders, on the other hand, have significantly greater flexibility and may loan to the small businesses that banks consider to be too risky. Along with flexibility, private organizations can have different application processes that can work in the favor of businesses.
While a bank has a rigid set of questions they must ask—even if the nature of one viable company is drastically different than that of another, equally viable company in a different industry—a private lender can get to know your business’s specific situation. With that information, they determine their level of confidence in your business model. And that’s why private financing companies can accept businesses that might not have the perfect established history that banks need to see.
Naturally, there is a bit of tradeoff here. Because banks are more highly selective, they often have better interest rates. But that becomes a moot point for an applicant who has been denied by their bank. Fortunately, you can find a private financing company who will work with you to find options that make sense for your business.
Let’s take a closer look at some specific areas where you find the biggest differences between banks and private lenders:
The basic truth of the matter here is that your credit score matters, regardless as to who your lender is. That said, banks typically have higher minimum credit score requirements. A private lender has more flexibility to possibly accept an applicant with a lower credit score, especially if there are other factors that offset this potential risk. (It is worth noting here that “lower” and “low” are not the same.)
This can be helpful for applicants who perhaps experienced an adverse event that greatly affected their credit score. While a bank might be quick to pull out the “REJECTED” rubber stamp, a private financing company is more likely to understand what happened and may still be able to work with you and potentially find a way to lend you the money you are seeking.
As we had just mentioned, interest rates are a key distinction. But along with willingness to take risk (or not), another factor at play is that banks have access to funds, that they in turn issue for loans, from both using their customers’ deposits and borrowing federal funds. The access to this kind of capital contributes to lower interest rates for those who qualify for bank loans.
Bank loans are governed with layers of regulation, which makes the loan process less than expedient. If you don’t need the funding urgently, your credit is pristine, and your company has an extensive history of success, it might be worth waiting in order to get a more favorable rate. However, private lenders that keep the approval process in-house are much faster. In fact, there are times when you may find that your application was approved the same day you applied. That can be absolutely critical to keeping a business running when a machine breaks down and needs to be replaced.
RELATED: How Do Commercial Financing Partners Evaluate Loan Applications?
A traditional loan from a bank typically has no flexibility when it comes to repayment. You owe your monthly payments, every month, and missing payment too many times can put you in default. And that is the case even if your company is in an industry where cash flow can be seasonal in nature or there are extenuating circumstances. Private financiers, at their discretion, can potentially offer a more flexible arrangement or loan option, like a buyout lease.
At Team Financial Group, we offer private business loans with a personal touch. We invest our time in getting to know you and your business, and this allows us to better understand your unique challenges and see how we might help you find more success.
With over 20 years in operation, our team has a wealth of knowledge to guide our financing decisions. Above and beyond that, we also are happy to share our knowledge and insight to help businesses like yours grow. And clients seem to appreciate it. Joel Eerdmans—owner of JDE Concrete—said, “I most certainly view Team as if they are part of my unofficial Board of Directors” after we were able to help his company navigate equipment financing options. The fact he considers our guidance to have been pivotal to navigating acquisitions means a lot to us.
Another client, Michael Husby, had purchased a rundown golf course that he and his wife believed had potential. To turn things around, he needed to acquire several pieces of turf equipment, and we provided Michael with competitive, flexible financing for them. We were excited to see the progress as he turned his course into one of the premier golf experiences in Northern Michigan. Michael said, “We may have never reached our goals without the help of Team Financial. They trusted our plan and provided us excellent financial counsel.”
As we’ve noted, sometimes businesses have fluctuating cash flow or lagging revenue situations due to the nature of their industry. While traditional lenders turn away good, profitable companies like these, we see the bigger picture. An example of this is American Apple, a farm-based business that just needed someone who could find a solution that worked with their finances. We even found a way that allowed them to take advantage of tax benefits.
Hopefully, you can see that we want to use our knowledge to help businesses grow. More than that, we are always willing to put in the work to identify solutions that make sense for your company. In some cases, that means offering same-day turnaround on private business loan applications. This makes Team Financial a fast, flexible option for small businesses throughout Michigan and the Midwest.
We consider ourselves fortunate to be in a position where we’ve been able to help many small business owners in a wide array of unique situations. If you’d like to get a better look at our extensive track record and hear what others have to say about Team Financial, feel free to check out our collection of success stories.
And if a bank or other lender has already told you “No,” don’t give up. With private business loans and equipment financing, your company still has plenty of opportunities to get what you need to grow and prosper. If we happen to be the right fit for you, maybe your business will be our next client success story!
Now that you know about us, we’d love the opportunity to learn about your company and financing needs. To see what we can do for you, simply give us a call at 616-735-2393 or fill out our online form and we’ll schedule a time to talk.