When unexpected expenses crop up, a business loan can help meet the sudden financial burden. Of course, the use of business loans does not have to be restricted to just unexpected financial obligations. In fact, a business can seek a loan to purchase new equipment or upgrade existing equipment. The Small Business Association notes that business loans can be used for everything from start-up funding to paying off other business debts.
Before applying for the loan, it is a good idea to do some comparison shopping for your new business equipment. This gives you the opportunity to know how much money you will need to cover the cost of the needed equipment. According to Dun & Bradstreet, there are also some financial documents which you will likely need to gather up in order to submit your application for a new business equipment loan.
Often, this includes things like profit and loss statements, cash flow projections, and information on any collateral that will be used to secure the loan. A business loan can be either secured or unsecured, so you might not actually need to divulge any collateral information for the business.
The type of equipment you can buy for a business with the funds from a business loan is varied. It can include everything from office equipment, such as computers and copy maker machines, and larger equipment such as a forklift or delivery truck. Practically any equipment you need for the business can be purchased with a business loan, however there is typically a minimum loan amount that varies by lender. Rates and repayment terms vary by loan.
To apply for funding for your small business, use the form on the right to begin the application process.