Fit the Right Trailer to the Right Customer to the Right Financing

In this economic environment, the question of how to finance has become even more important to customers. Trailer manufacturers and their dealers need to be able to walk through the most common options to help their customers get the trailers they need for their business operations.

Commercial Leasing

Leasing allows the customer to use the equipment without having to pay for it all up front. Lease payments are generally lower than loan payments. Leases also tend to be easier to get because leases are based on income and not only on credit score.

Commercial leasing is especially good for generating revenue right away since there's usually no down payment required (or only a small one). This means that many small business owners choose this route when they need equipment immediately but can't afford it all at once.

Your customer will probably look into this option if they have a solid business plan but don’t have cash to buy outright. Clicklease specializes in customized leasing plans for small business customers who fit this profile.

Asset-Based Lending

Asset-based lending is a way for small businesses to get financing by using the value of their property as collateral. This option can be appealing because it doesn't require the borrower to put up personal assets as collateral. 

Asset-based lenders will look at a business's equipment, inventory, accounts receivable and real estate as possible collateral. The amount that a customer can borrow will depend on how much equity they have in these assets and how quickly the assets can be sold if needed.

Traditional Equipment Financing

Traditional equipment financing is a form of asset-based lending, which means the lender will be more willing to loan money for equipment if the borrower has collateral. The most common type of collateral is real estate property, but it can also be personal property like cars or motorcycles.

This type of traditional equipment financing is ideal for businesses with have excellent credit and sufficient cash flow.

Working Capital Business Loans

Working capital loans are short-term financing options that allow customers to use money in a business account to pay for expenses. A working capital loan can be used for anything from paying bills, buying supplies, and hiring employees to funding marketing efforts or purchasing inventory.

To qualify, small businesses must have at least two years of operating history and a minimum average revenue stream over those two years. They also need a current financial statement and projections that prove they'll be generating enough income within six months of being approved by the lender.

When it comes to financing, there’s no one-size-fits-all solution. But there are many options like Clicklease that can help your customers find a solution that works best for them. By taking the time and care to explore every possibility, you’ll be able to find a financing option that fits into your budget and grows with your business over time.

_{This is a sponsored post by Clicklease.}