FAQs for Business Equipment Leasing Brokers

Are you interested in learning more about business equipment leasing? Does the rigidity of owning expensive heavy equipment seem unappealing? There is an alternative to buying your business equipment. With business equipment leasing, you can pay for the equipment you need on a monthly basis without needing to tie up capital in large down payments and origination fees. In addition to our many popular alternative lending offerings, RJ Funding Services is proud to provide business equipment leasing programs to businesses in diverse industries—especially manufacturing and fabrication.

Now that alternative lending programs have become more popular, many entrepreneurs have questions about their funding options. Following are answers to common questions about business equipment leasing.

What is business equipment leasing entail?

Business equipment leasing entails working with a broker to establish an agreement on the terms of renting equipment like heavy machinery. The lease is paid on a monthly basis. There is no down payment required or origination fee as one would encounter with a traditional loan. The length of the lease is predetermined as well and is normally about three to five years. At the end of the leasing agreement, there might be an option to buy the rented equipment at a fair rate (adjusted for depreciation).

What are the benefits of leasing business equipment?

Depending on your situation, there are quite a few aspects of leasing business equipment that you might find beneficial. Many business owners enjoy that they do not have to tie up capital in the procurement of expensive equipment. Others enjoy that the cost of leasing equipment is a tax write off because the lease is technically considered an operating cost. Another benefit to renting business equipment is that entrepreneurs can maintain a competitive edge by using the newest equipment available every few years.

How do I know if alternative lending is right for me?

If conventional financing does not meet your business objectives, you might want to consider your alternative lending options. There are many types of financing programs available that can meet your needs.

RJ Funding Services is accredited and A+ rated by the Better Business Bureau. Call us today at (855) 461-1685 to learn more.

Business Equipment: Should You Lease or Buy?

Purchasing equipment is one of the most important aspects of operating a business—especially if your industry requires heavy and specialized machinery to manufacture and fabricate products. Buying heavy equipment is very expensive and doing so can tie up your funds for years. There is an alternative to buying equipment, however. By choosing an equipment leasing program, a business owner can rent specialized machinery and other items for a fair monthly rate. This eliminates the need for large amounts of capital or taking on excess debt to buy new equipment. If you are looking to expand your operations by opening another factory or increasing production by taking more customer orders, leasing your equipment might be a wise choice.

Since every business owner’s needs are unique, it is best to carefully review your financing options. If business equipment leasing interests you, we invite you to call our firm at (855) 461-1685 to speak with one of our helpful leasing professionals. Following are a few reasons why leasing business equipment is beneficial.

Benefits of Equipment Leasing

Budgeting Benefits

Leasing equipment can make meeting target budgets that much easier. By paying for a company’s equipment monthly, the upfront costs of buying expensive, specialized machinery are eliminated. Since there is no down payment or origination fee, the money that would go toward buying equipment upfront can be put towards paying off debts, marketing, and hiring new personnel.

Tax Advantages

Leasing equipment can be advantageous for tax reasons, too. Unlike conventional loan payments, properly structured lease payments can be written off as an operating expense. This situation can diminish tax liabilities that occur with depreciating equipment. When it comes to evaluating tax advantages, it is best to speak with your accountant or tax preparer to ensure that you are making the best decisions for your needs.

A Competitive Edge

Those who lease equipment enjoy the fact that they can maintain an edge over their competition by having up-to-date equipment. Purchasing equipment locks an entrepreneur and his or her funds up for years, if not decades. Leasing, however, gives a business owner flexibility because he or she has access to the latest equipment for the duration of the leasing agreement. This means that new equipment can be incorporated into a business’ operations every few years, giving a company a potential competitive edge.

For more information on business equipment leasing and our other alternative financing solutions, call RJ Funding Services today at (855) 461-1685.

Business Equipment Leasing from RJ Funding Services

At RJ Funding Services (Rafter J Funding), we offer an array of alternative financing solutions for small businesses and large corporations alike. Our lending firm works with businesses in all industries throughout the United States and Canada (including Quebec). One of our most popular alternative financing solutions is business equipment leasing—especially for heavy machinery.

Sometimes businesses get into financially difficult situations when their funds are tied up from purchasing equipment—especially for heavy machinery, which is very costly. Moreover, buying equipment can slow down a businesses’ growth by tying up funds that could be used to increase production or establish additional facilities. With business equipment leasing, however, businesses can pay a flat monthly fee for the cost of equipment to ease the burden of having capital absorbed by purchasing expensive equipment upfront.

As an alternative to conventional equipment procurement, RJ Funding Services offers business equipment leasing programs. An equipment leasing arrangement normally involves a company paying monthly payments on equipment purchased by a broker for a predetermined amount of time. For example, equipment can be leased for five years. Sometimes, there is an option to buy built into the agreement that allows a business owner to purchase the equipment they have been using at the end of the leasing period. When it comes to buying equipment after leasing, the cost of equipment is adjusted to a fair market value based on its depreciation.

The RJ Funding Services Experience

When a company chooses to work with our team at RJ Funding Services, clients will receive individualized attention from our knowledgeable staff along with the security of working with a firm that boasts a well-respected reputation. RJ Funding Services is accredited with the Better Business Bureau and holds an A+ rating. We are also members of the National Association of Equipment Leasing Brokers (NAELB).

If you are interested in our alternative lending offerings, call us today at (855) 461-1685 to speak with one of our personable and experienced team members.

1. RJ Funding Services, a National Association of Equipment Leasing Brokers member

Our founder and president, Stephen F. Williams places a high priority on professional development. By joining and contributing to associations that benefit business owners, consumers, and alternative lenders, our team at RJ Funding Services (also known as Rafter J Funding) can provide our diverse client base with factual and current information as well as promote changes in the non-traditional lending industry that benefit business owners and brokers. Our team is proud to announce that our president, Stephen Williams is now a member of the National Association of Equipment Leasing Brokers (NAELB).

How NAELB Membership Benefits Our Clients

The NAELB is committed to helping professionals and brokers within in the alternative lending industry maintain familiarity with the latest trends and upcoming regulations that affect lenders and business owners alike. Since education is a high priority of the organization, members of the NAELB have access to annual nationwide conferences and regional events that offer seminars and workshops on specialized topics. Additionally, those who are members of the NAELB can peruse distance learning courses as well. In addition to educational benefits, the NAELB provides networking opportunities for industry leaders.

Business Equipment Leasing

Business equipment leasing is one of our most popular offerings; and for good reason, too, leasing business equipment like heavy machinery can help keep a business afloat in times of hardship, expansion, or unexpected growth. Leasing machinery and other types of equipment is a great option for controlling corporate expenses and maintaining smooth business operations.

RJ Funding Services is committed to providing business owners and entrepreneurs the best service possible. By staying up to date with our ever-changing industry, we can help our clients choose the lending solutions that are right for them.

We serve businesses throughout the United States and Canada. Call us today to speak with a friendly member of our staff.

 

Alternative Financing Available for Quebec

RJ Funding Services (also known as Rafter J Funding) provides alternative and non-traditional financing to companies throughout the United States and Canada. We were just recently approved to provide non-traditional lending services for the entire province of Quebec! This is an incredible accomplishment because Quebec has strict regulations on business contracts, which differ from most of North America. Our team at RJ Funding Services can now help Quebec entrepreneurs and business owners secure access to capital for real estate loans, asset-based loans, Merchant Cash Advances (MCAs), venture capital, and large project funding.

Canadian Businesses Turn to Alternative Lenders

Market research has shown that increasing numbers of Canadian-based companies utilize non-traditional financing to expand their businesses, increase their operations, and purchase necessary items like inventory or equipment. As with U.S. businesses, Canadian businesses, including those in Quebec, seek out alternative lending because of the stringent regulations associated with banks and conventional finance institutions. Now, more than before, conventional financial institutions are more rigid in their lending practices due to the recent recession. Since alternative lending provides capital based on factors like monthly receivables, assets, and purchase orders, entrepreneurs can build their businesses efficiently with access to capital much more quickly.

A Robust Economy in Quebec is Good for Business

Quebec has maintained steady economic growth for over two decades. This growth paired with the province’s resiliency has proven that the region’s robust economy has plenty of room for entrepreneurs to establish businesses of all kinds. From companies in the retail and hospitality industry to real estate and construction, Quebec’s economy is diverse with ample room to grow.

If you are a current business owner or executive in Quebec looking for additional funding to expand your operations, give RJ Funding Services a call at (855) 461-1685. We can help you navigate your various options to find the lending solution that works for you.

The ABCs of Alternative Lending: Terms You Need to Know, Part II

In our previous post, we discussed alternative financing terms you need to know if you are evaluating your business lending options. Alternative lending is a new concept to many people—especially those who are only familiar working with conventional financing institutions. Our team at RJ Funding Services is very experienced with helping clients navigate their many options for small business funding and corporate lending. RJ Funding Services (also known as Rafter J Funding) is an A+ BBB-Accredited company that provides an array of funding solutions for companies off all sizes and in all industries.

Purchase Order Financing

Purchase Order  (PO) Financing involves RJ Funding Services paying for materials and inventory upfront for large purchase orders. We then handle the collection process from a company’s customers as well. PO Financing is beneficial when a client does not have the materials or inventory to fill an unexpected or large order. By having RJ Funding Services pay for the materials and inventory upfront to fulfill the order, our clients do not miss out on a potentially lucrative opportunity to meet their customers’ needs.

Business Equipment Leasing

Buying equipment upfront is sometimes impossible for businesses, particularly those that utilize heavy machinery. Fortunately, there is a way to get the equipment you need without having to pay for all of it upfront. Business equipment leasing allows a company to pay a fixed monthly payment for leased equipment. Sometimes there is an option to purchase the equipment at fair market value after the leasing agreement ends.

Asset-Based Lending

Another popular offering we provide is asset-based lending. This option allows our clients to forego immediate capital for big purchases and instead leverage their company’s assets for immediate cash or a revolving line of credit. Asset-based loans mean that a business can use its inventory, machinery, and real estate as collateral for funding.

If rigid traditional lending institutions do not meet your needs or if you require access to cash quickly, give our team at RJ Funding Services a call. We work with companies of all sizes throughout the United States and Canada (including Quebec). Call us at (855) 461-1685 to speak with our knowledgeable and courteous staff.

RJ Funding Services Now Offers Alternative Lending to Quebec!

RJ Funding Services (also known as Rafter J Funding) is a leading non-traditional financing firm that offers innovative business funding solutions to companies throughout North America. We have been servicing loans in Canada for quite some time and our team could not be more thrilled to announce that we now have expanded our offerings to the entire province of Quebec!

Quebec Small Business Funding

Of Canada’s many beautiful provinces, Quebec is certainly unique. Quebec’s rich cultural ties to France and its strikingly intriguing culture afford its people an economic climate that includes businesses of varying industries. With Quebec’s unique and independent legal structure, some businesses have trouble securing funding from sources outside the province. This is because both alternative lenders and conventional financers need to meet stringent regulations set forth by the province. For instance, documents and contracts must be drafted in French. When it comes to contracts, wording is incredibly important, and therefore business communication needs to be very precise—especially in a language that is foreign to a non-traditional lending firm.

Fortunately, RJ Funding Services is approved to provide financial assistance to companies throughout Quebec because our team takes the regulations of the province seriously by meeting all required criteria.

Alternative Financing Options in Quebec

RJ Funding provides offerings that solve specific financial needs. One of our most popular lending solutions is Merchant Capital Advances (MCAs), which allow a business to leverage future receivables for expedient access to capital. An MCA can help offset an unpredictable emergency such as equipment breaking down or help a company expand its services without collateral. We also provide small business loans with traditional repayment structures, business acquisition funding, and business equipment leasing.

RJ Funding Services is an accredited BBB firm with an A rating and we have extensive experience working with companies in the retail and hospitality industries. Call us today at (855) 461-1685 to speak with a friendly and helpful member of our staff.

The ABCs of Alternative Financing – Terms You Need to Know

RJ Funding Services is one of North America’s premier alternative financing firms—serving businesses and entrepreneurs throughout the United States and Canada. While more business owners and investors are pursuing alternative lending as a source of business funding, there are many people unaware that access to capital beyond traditional lenders is available. Our firm is proud to offer small businesses and corporations of all sizes a one-stop source for all their funding needs. Since alternative financing is new to many people, the following is a quick crash course on common terminology.

Merchant Cash Advances

A Merchant Cash Advance (MCA) is one of the fastest ways to access capital a person needs to keep their business running. An MCA is not technically a loan because business owners are essentially selling their future receivables for funding. In fact, a flat percentage is deducted from daily credit card batches until the amount fronted is paid. Most MCAs are approved between 24- and 72-hours, making them a very quick alternative to conventional loans.

Private Money (Bridge Loans)

Those who invest in real estate can likely attest to the rigid nature of conventional home loans. Many times, investors can have their funds locked up while they are waiting for the closing process on a property to complete. Private money, or bridge loans, is an alternative financing option that gives a real estate investor the funds needed to purchase another property. This type of lending is short-term and must be used for real estate.

Venture Capital

Venture capital is a type of lending provided by private investors or networks of private investors to expand the reach of an emerging company’s products or services. There are different stages of business growth and venture capital provides funding so that a business can expand its customer base. This funding helps a company increase its production of products, hire new staff, and expand offices/stores.

Business Acquisition Funding

Like some other types of alternative lending, Business Acquisition Funding provides capital for a specific purpose. Acquiring a business is a common practice that offers the advantages of absorbing existing brand power, inventory or unique services, and customers. Business Acquisition Funding is a loan that’s sole purpose is for the purchase of an existing business.

RJ Funding Services (also known as Rafter J Funding) is a BBB-accredited business that offers ethical and innovative lending solutions to all types of businesses. Check back for future blog posts on alternative lending terminology and information on our services. Call us at (855) 461-1685 to speak with a member of our team.

Alternative Corporate Funding Options for the US and Canada

At RJ Funding Services (also known as Rafter J Funding Services), we know that businesses of all sizes require access to capital from time to time—especially in today’s rigid lending environment set forth by traditional banks. Tight regulations and long processing times can put even the most powerful corporations in a pinch. Fortunately, RJ Funding Services has a multitude of alternative lending solutions for corporations throughout the United States and Canada in need of capital. Below are two of our most popular non-traditional funding options for larger or more established corporations.

Large & Major Project Funding

Large and major projects are massive undertakings in the corporate world. From conceptualizing a project to the man hours involved to make it happen, a lack of funding can quickly make or break a business—especially one that is attempting to develop a niche market or establish new operations in another location.

RJ Funding Services offers financial placements with our network of lenders for large project funding up to $25 million and major projects up to $500 million. Those seeking this type of funding need to provide proof of proprietary and proven technology, an experienced team of executives, and clear exit strategies where appropriate. Click here to view more information on Large and Major Project Funding requirements.

Venture Capital

Hundreds of profitable and successful companies throughout North America began as startups. From social media giants to IT corporations like Microsoft, startups are the backbone of producing proprietary services to the general public. As startups grow, they will eventually require venture capital to broaden their consumer base and expand their services. RJ Funding works with networks of seasoned investors looking to fund salable projects. We can help budding entrepreneurs and corporations secure both growth stage and late stage venture capital.

Our team at RJ Funding Services is here to help you succeed. We have an array of non-traditional lending solutions that can help businesses of any size. Our connections within the alternative lending industry as well as our proven track record for excellent client service means that our clients enjoy the best of both worlds: award-winning customer service and access to quick capital.

Call us today at (855) 461-1685 to discuss your business needs.

Purchase Order Financing: Is it Right for Me?

Recently, RJ Funding Services (also known as Rafter J Funding Services) added Purchase Order Financing to our list of offerings. Purchase Ordering Financing (PO Financing) is a type of non-traditional business funding option that focuses on supplying funds for verified purchase orders. Essentially, PO Financing is a short-term lending solution where our firm, RJ Funding Services, will pay the costs of the materials or supplies needed to fulfill a purchase order. Following is some helpful information on this newest offering.

PO Financing 101

Simply defined, Purchase Order Financing allows a business to continue to operate even if it cannot fulfill a purchase order when supplies or materials are low. For example, a large order could come in and company might not have enough supply or capital to purchase the raw materials necessary to complete the order. PO Financing allows a company to fulfill an order, avoid losing business, and maintain a good reputation.

PO Financing is approved based on the buyer’s credit worthiness. When approved, RJ Funding will pay for the materials needed to fulfill the order. Our firm will take a small handling fee because we advance the capital and then collect the money owed directly from the buyer. The money will then be dispersed back to the manufacturer or distributing company.

Who Benefits From PO Financing

Companies in the manufacturing, distributing, and import/export industries can benefit from Purchase Order Financing. Some wholesalers and resellers benefit as well. We have worked with established businesses and startups. Those who benefit from this form of alternative financing are companies who are in a situation where they lack the resources or reserves to fulfill an order.

What to do Next

If you think that PO Financing might help your business, we recommend calling our firm to discuss your funding needs. You can also accelerate the approval process by submitting an application online by clicking here.

Serving businesses in an array of industries throughout the United States and Canada, RJ Funding Services is one of North America’s leading non-traditional lending firms. Our team works closely with our clients to deliver old-fashioned customer service with the latest technology and newest industry offerings. Call us today at (855) 461-1685 to learn more about how we can help you.