Here at Point Blank, we speak often of the troubles many small business owners run into when they head to a bank or a traditional lender for a loan. They don’t necessarily have the best reputation for being the easiest or most flexible places to deal, which is why we almost always recommend seeking out the help of an alternative lender.
There are several reasons why obtaining financing through a non-traditional lender, like Direct Capital, will save your sanity (and money):
Less restrictions. This is a big one. Where banks put restrictions on their technology and equipment loans, Direct Capital works with each client to provide the right kind of financing to fit each individual need – whether you are buying new equipment or used equipment on eBay.
More forgiving. Sure, having decent credit is important no matter where you’re heading for a loan, but for a bank it’s going to be important times 100. An alternative lender like Direct Capital will be much more likely to have a program to fit customers looking to finance a startup or for those with less than perfect credit. Direct Capital can even arrange for deferred or seasonal payments, or payments in line with the revenue that the new equipment will generate.
No minimum balances. Banks generally require a minimum account balance during the life of the loan -sometimes requiring up to 30% of the loan amount to be tied up in their reserves while you are paying back a loan from them. With equipment leasing instead of a bank loan through Direct Capital, our customers always have access to their cash.
Financing the full cost. With a leasing agreement through Direct Capital, virtually all of the essential intangible costs of the equipment like training, delivery, installation, and maintenance can be rolled right into the agreement, something you won’t find at the bank.
As always, if you’re in the need for equipment financing check out the programs that Direct Capital has to offer.
Have you had any bad experiences getting financing from a bank?