No money down equipment financing means the lender covers the full cost of the asset and you keep your cash in the bank. The equipment itself serves as collateral, which keeps financing accessible and rates competitive. Provide Capital finances new and used business equipment from $5,000 to $5 million nationwide.
You select the machine, submit a vendor quote, and the lender funds the seller directly. Instead of wiring a 10% or 20% deposit, you finance the entire invoice plus freight, installation, or sales tax if you choose to roll them in. You then make fixed monthly payments over the agreed term. You will sign a UCC filing that gives the lender a security interest in the equipment. This is standard and releases once the final payment clears. You maintain full use and operational control from day one.
Because the equipment secures the transaction, underwriting weighs the asset's resale value and your cash flow heavily. Rates vary by credit profile, equipment age and term. A contractor with ten years in business financing a new excavator will see different numbers than a startup buying a five-year-old box truck.
We lend against hard assets that hold value in construction, healthcare, dental, restaurant and food service, manufacturing, transportation, agriculture, HVAC, and forestry. In transportation, we finance box trucks and refrigerated trailers. In agriculture, combines and tractors. In manufacturing, CNC machines and presses. In healthcare, imaging and diagnostic devices. In HVAC, chillers and rooftop units. Each category has its own depreciation curve and resale market, which we factor into the term.
Specific examples we handle regularly include Scissor Lifts financing for warehouse and construction crews, Dump Trucks financing for aggregate haulers, and Skid Steers financing for landscapers and farmers.
Used equipment is eligible. We look at age, hours, maintenance records, and auction values. A well-maintained three-year-old skid steer often qualifies more easily than a neglected newer unit with questionable service history.
| Feature | No Money Down | Traditional Down Payment |
|---|---|---|
| Upfront cash | $0 | Usually 10% to 20% |
| Working capital impact | Preserves cash for payroll and fuel | Reduces liquidity immediately |
| Monthly payment | Higher because more is financed | Lower because principal is reduced |
| Collateral required | Equipment only | Equipment only; may need extra collateral on borderline files |
| Approval focus | Credit, asset value, time in business | Same, though equity can offset weaker credit |
| Total interest over term | More | Less |
| Best fit | Growth, seasonal swings, cash conservation | Lowering total cost, strong current cash position |
Rates vary by credit profile, equipment age and term. That is the only honest way to quote equipment finance. A brand-new CNC machine for a manufacturer with strong credit may qualify for a rate at the lower end of the spectrum. A seven-year-old used dump truck for a two-year-old hauling company will be priced to reflect higher risk.
Terms generally run from 24 to 84 months. Heavy construction equipment with a long expected life often justifies a longer term, which lowers the monthly burden. Smaller restaurant equipment or IT hardware may be better suited to a 24- or 36-month schedule so you are not paying for an asset you have already replaced.
For businesses with heavy seasonality, we can structure skip payments or seasonal schedules where you pay more during peak months and less during off months. The total term still stays within standard ranges, but the cash flow alignment reduces stress.
For tax year 2026, the IRS allows businesses to deduct the cost of qualifying equipment under Section 179 and bonus depreciation, subject to annual limits that adjust for inflation. The specific dollar caps, phase-out thresholds, and bonus depreciation percentages for 2026 depend on the inflation-adjusted figures published by the IRS. Because these numbers change yearly and interact with your taxable income, you should consult a CPA to determine the exact benefit available for your 2026 return.
Used equipment qualifies for the same Section 179 deduction as new equipment for tax year 2026, provided it is new to you. This is important for buyers of used dump trucks or skid steers who want to conserve cash with no money down and still capture a first-year write-off. Confirm with your CPA that the placed-in-service date falls within the 2026 tax year.
One strategic point: even with no money down, you may still claim a first-year deduction if you meet IRS requirements. This creates a timing advantage where you generate tax savings before you have fully paid for the machine. A CPA can model this for your specific 2026 tax situation.
We underwrite based on three pillars: the borrower, the business, and the collateral. Ideal candidates have at least two years in business, a credit history that shows responsible repayment, and a machine that holds resale value. Startups are not excluded, but they may need to show prior industry experience, a signed revenue contract tied to the equipment, or a stronger guarantor.
Most deals require a personal guaranty from the owner or owners. This is not a sign of weak credit; it is standard practice in equipment finance under $5 million. The guaranty aligns interests and allows us to rely on the collateral rather than blanket liens on all business assets.
We do not offer guaranteed approval. Every application is reviewed individually. Same-day approvals are possible when the file is clean and the equipment is straightforward. Complex deals, such as those involving customized manufacturing lines or overseas vendors, may take longer due to valuation and verification steps.
Speed depends on preparation. Gather your driver's license, last three months of business bank statements, and a detailed equipment quote from the vendor. For larger transactions, we may also request tax returns or interim financials.
We pay private-party sellers, dealerships, auction houses, and manufacturers directly. If you buy from a private party, we need a bill of sale and may need an independent appraisal. If you buy from a dealer, the process is usually faster because the dealer provides the invoice and handles title transfer.
Once submitted, we review credit, verify the seller, and confirm equipment specs. For deals under $250,000, same-day approvals are common. Larger transactions may require 24 to 48 hours for a decision. After approval, documents are e-signed and the vendor is paid. Most clients take delivery within one to three business days of final approval.
This structure works best when you need to preserve liquidity for labor, inventory, or seasonal dips. A forestry contractor buying a chipper in early spring may want to keep cash on hand for payroll until logging season peaks in late summer.
It also fits when the equipment will generate revenue immediately. If a dental practice adds a second panorex machine and begins billing right away, the monthly payment can be covered by new patient revenue while the practice retains its cash reserve.
If your business earns a 15% margin on jobs that require additional equipment, financing the full cost and keeping cash to fund two more jobs can generate more profit than the finance cost. The math depends on your actual margins, but the principle holds: cash is more valuable when it is working.
If the monthly payment stretches your operating cash flow to the breaking point, even a small down payment can create breathing room. Evaluate your average monthly bank balance after all operating expenses. If the new payment leaves you with less than 60 days of overhead in reserve, consider reducing the financed amount.
Also reconsider if the equipment is highly specialized with a limited resale market. In those cases, the lender may require a down payment regardless, or the rate may reflect the added collateral risk.
If rates vary by credit profile, equipment age and term, a borderline credit file combined with no down payment can push the monthly cost higher than the revenue the equipment generates. In that scenario, delaying the purchase, cleaning up credit, or putting 5% down can flip the deal from a strain to a growth tool.
You may still owe documentation fees, filing fees, or the first payment depending on the structure. The key difference is that the equipment cost itself is fully financed.
Startups can qualify, but approval depends on personal credit, industry experience, and the equipment type. Terms may be shorter or require a personal guaranty. There is no guaranteed approval.
We look at the full credit profile, not just a single number. Higher scores improve the rate and structure, but we work across the spectrum. Rates vary by credit profile, equipment age and term.
Both structures are available. A finance loan or $1 buyout lease puts the title in your name after the final payment. A fair market value lease may offer a lower monthly payment but requires a decision at the end of the term.
For tax year 2026, you may be able to deduct the full cost under Section 179 or bonus depreciation if you meet IRS requirements, even if you did not put cash down. Speak with a CPA to confirm the 2026 limits and how they apply to your return.
Some structures allow prepayment with a discount; others are fixed. Ask your account manager to show you the payoff schedule before you sign.
If you are mid-purchase and want to keep your cash working, apply now with your equipment quote. We review files quickly and can often deliver an answer the same day. Whether you need Scissor Lifts financing, Dump Trucks financing, or Skid Steers financing, we structure the deal around your actual cash flow.