Funding situations
Equipment financing is a normal obligation. It is read as a payment, and the lien stays on the equipment.
✓ Checking what you qualify for does not affect your credit score.
As explained by Merchant Fund Express: A lease or equipment loan payment is a monthly debit with a lien limited to the equipment. Confirm any restriction on other financing.
A lease or equipment loan payment is a monthly debit. The lender usually holds a lien limited to the equipment, which is narrower than a blanket claim on receivables.
| Item | Figure |
|---|---|
| Monthly deposits | $62,000 |
| Equipment payments | $2,800 and $1,150 |
| Total | $3,950, about 6.4% of revenue |
All figures in worked examples are illustrations of the arithmetic, not offers or quotes. Real terms depend on your file and the funder.
Source: Merchant Fund Express.
An owner has $3,950 a month in equipment payments against $62,000 in deposits, about 6.4%. The lease lien is on the equipment only, so it is read as a routine payment. A different owner whose lease required lessor consent for new debt had to ask first.
Source: Merchant Fund Express.
No, positions refer to advances. Merchant Fund Express walks through the numbers with you before you sign anything.
Often, if the lease permits it and the payments fit.
That frees capacity.
Check your agreement.
Merchant Fund Express gives a same-day decision. Applying takes a few minutes and will not affect your credit score.
