Equipment is the engine of your business. Whether you’re a contractor who needs a new excavator to win bigger jobs, a restaurant owner replacing a commercial oven, a medical practice adding diagnostic imaging, or a trucking company expanding its fleet — the equipment you use directly determines your capacity to generate revenue. Equipment financing lets you acquire that capacity without depleting your working capital or waiting until you’ve saved enough to buy outright.

Unlike working capital loans or lines of credit — where the money is fungible and the lender is exposed to general business risk — equipment financing is secured by the equipment itself. That collateral structure means lenders can often approve larger amounts at lower rates compared to unsecured financing, and qualification standards are frequently more accessible for businesses with limited credit history.

Martimus Financial connects businesses with equipment financing up to $5,000,000 per transaction through a specialized network of equipment lenders and leasing companies. We work with businesses across construction, healthcare, transportation, food service, manufacturing, and dozens of other equipment-intensive industries. Our advisors structure financing that matches your cash flow — whether that means a purchase loan you’ll own outright or an operating lease that keeps your balance sheet clean.

What Is Equipment Financing?

Equipment financing is a loan or lease used specifically to acquire business equipment. In an equipment loan, the lender advances the full cost (or a portion) of the equipment, you repay over a set term, and you own the equipment outright at the end. In an equipment lease, you make periodic payments to use the equipment for a defined period, with options to purchase, return, or upgrade at the end of the lease term.

Equipment loans are generally preferred when you want long-term ownership, the equipment has a long useful life, or you want to build equity in a depreciating asset. Most equipment loans cover 80–100% of the equipment’s cost, with terms of 2–7 years. The equipment serves as collateral, reducing or eliminating the need for additional security.

Equipment leases come in two primary forms. An operating lease is structured like a rental — payments are typically lower, the equipment doesn’t appear on your balance sheet as a liability, and you can upgrade to newer equipment at the end of the term. A capital lease (finance lease) is structured more like a loan — you’re expected to own the equipment at the end, and it appears on your balance sheet.

Section 179 of the U.S. tax code allows businesses to deduct the full purchase price of qualifying equipment in the year it’s placed in service (up to annual limits), rather than depreciating it over time. This can make equipment financing particularly tax-efficient. Consult your accountant to understand how Section 179 applies to your specific situation.

Who Qualifies for Equipment Financing?

Equipment financing has more accessible qualification requirements than most other loan types, because the equipment itself serves as collateral. This reduces lender risk and allows financing for businesses with younger operating histories or lower credit scores than would be required for unsecured loans.

Lenders evaluate the equipment itself in addition to your business profile — they consider the equipment’s age, remaining useful life, ease of resale, and whether it’s new or used. New equipment from established manufacturers is easiest to finance. Heavily specialized, obsolete, or low-resale-value equipment may require a larger down payment or face narrower lender options.

Startups with no business history can sometimes qualify through specialized equipment lenders if the equipment value is sufficient and the owner has a strong personal credit profile. Speak with a Martimus advisor if you’re a startup — we know which lenders serve early-stage businesses.

Types of Equipment We Finance

• Construction & Heavy Equipment: Excavators, bulldozers, cranes, lifts, compactors, skid steers, concrete mixers.
• Commercial Vehicles & Transportation: Semi-trucks, box trucks, cargo vans, trailers, refrigerated transport, specialty vehicles.
• Restaurant & Food Service: Commercial ovens, refrigeration systems, prep equipment, POS systems, walk-in coolers.
• Medical & Dental Equipment: Diagnostic imaging (MRI, X-ray, CT), dental chairs and tools, exam tables, surgical equipment, laboratory instruments.
• Manufacturing Machinery: CNC machines, lathes, presses, conveyor systems, printing equipment, packaging machinery.
• Technology & IT Infrastructure: Servers, networking equipment, phone systems, point-of-sale systems, specialized software hardware.
• Agricultural Equipment: Tractors, harvesters, irrigation systems, processing equipment.
• Fitness & Wellness Equipment: Commercial gym equipment, therapy tables, aesthetic devices, salon equipment.

Equipment Financing Amounts, Terms & Rates

Rate and term ranges shown are illustrative. Actual financing terms depend on equipment type, age, business profile, and lender underwriting. Not a commitment to lend.

Benefits of Equipment Financing

• Preserve Working Capital: Acquire revenue-generating equipment without depleting cash reserves you need for operations.
• Equipment as Collateral: No need to pledge other business assets — the equipment you’re buying secures the loan.
• Tax Advantages: Section 179 deductions and bonus depreciation may allow you to deduct the full equipment cost in year one.
• Fast Approval: Equipment loans fund faster than most other loan types — sometimes within the same business day.
• Build Equity: Unlike a lease, a purchase loan builds equity in the asset as you repay.
• Immediate Revenue Generation: Acquire the equipment now and let it generate revenue while you repay the financing.

Potential Drawbacks to Consider

• Obsolescence Risk: Technology equipment can become outdated before the loan is paid off. A lease structure may be preferable for fast-moving technology categories.
• Equipment-Specific Collateral: If your business fails, the lender can repossess the equipment — and if the resale value is lower than the remaining balance, you may still owe a deficiency.
• Financing Cost: Interest paid over the loan term means you pay more than the equipment’s purchase price. Compare total financing cost against cash purchase when evaluating.

How to Apply for Equipment Financing

Frequently Asked Questions

Why Work With Martimus Financial?

Equipment financing is highly specialized — the right lender depends heavily on your equipment type, industry, and business profile. A lender who specializes in commercial vehicles may not be the right fit for medical device financing. Martimus Financial maintains relationships with specialized equipment lenders across more than a dozen equipment categories, so you’re matched with a lender who actually understands your business and the asset you’re financing.

Our advisors will also help you evaluate the loan vs. lease decision, understand Section 179 tax implications, and compare total cost of financing across offers — not just the monthly payment. Questions? Apply free or call (919) 457-5200.

Related Funding Programs

Also see: Construction Equipment Financing | Trucking & Fleet Financing | Apply Free