We’ve been talking about them for a couple of weeks without using the label, so I thought it might be a good time to define a hard asset.
If you have a piece of equipment such as a thresher, a lawnmower or a gas pump, you have a hard asset. Once you’ve bought it out from a lease or just plain bought it, it’s yours, as is everything that comes with it. It’s called a hard asset because it’s a tangible thing, and because like other assets, it depreciates in value over time.
Let’s better understand a hard asset by examining a few types, and then talk a little bit about how financing can help you get them.
Types of Hard Assets
- Construction equipment
- Agricultural equipment
- Rental equipment
- Landscaping equipment
- Machine tools
- And a whole heck of a lot more!
Financing For Hard Assets
So now that you know what applies, you probably would be interested in hearing how financing can help.
Simply put, most of those equipment types can be financed to allow you easy-to-track monthly payments, taking away the need to pony up a lot of your hard-earned capital up-front. It can also allow you to get a larger volume of equipment than you would be able to through buying.
As you might suspect, financing your assets takes care of cash flow issues to some extent, as well. And you should be able to buy out the equipment at the end, hopefully for a low price.
Equipment financing, as we’ve mentioned several times in recent weeks, can be had fairly quickly. You’ll need to have decent credit to make it through the process intact, but even if you don’t, it’s worth giving Direct Capital or your existing trusted financing partner a call to see if you qualify.
You’ll be glad that bulldozer is taking up more space in your garage than in your wallet, I think.
Have you used equipment financing for hard assets?