Canada · Equipment financing
Put the equipment to work without losing sight of cash flow.
A machinery, vehicle, or technology purchase is more than a supplier’s price. The business also needs cash to deliver, install, insure, and operate the asset. A useful financing review starts with the complete project and the point at which the equipment is expected to produce revenue.
I work online with Canadian business owners to review financing needs and compare the available structures. Send the equipment quote, business location, amount and currency, and target delivery date. Product availability depends on the asset, applicant, province or territory, and provider.
Compare ownership and total cost
An equipment loan generally finances a purchase, while a lease provides use of equipment under its contract. The agreement determines ownership rights, security, end-of-term choices, and any buyout. Compare those terms alongside the payment amount.
BDC’s buy-or-lease guide recommends looking beyond the headline price, including transport, training, insurance, installation, and maintenance. Its equipment loan page also notes that a down payment may be required depending on the financing structure and risk assessment. Those are useful reference points, not a promise of terms from me or another provider.
Questions to answer before committing
- What cash is due at signing, delivery, and installation?
- Is the quote in CAD or USD, and who bears any exchange-rate change before payment?
- Does financing cover the full project or only specified equipment costs?
- When do payments start relative to delivery and the first expected revenue?
- Who pays for insurance, maintenance, and repairs?
- Is there a final payment or purchase option, and how is its amount determined?
- What happens if delivery is delayed, the asset is sold, or the agreement is ended early?
Confirm the answers in the provider’s written documents. Ask your accountant about tax and accounting treatment for the proposed structure; a general financing comparison is not a tax conclusion.
Prepare the equipment file
Include the supplier’s quote with a description of the asset, condition, price, currency, and delivery plan. For used equipment, gather the available specifications and identifying details. Explain where the equipment will operate, what it replaces or adds, and how it supports the business.
Prepare current business financial information and the details of existing financing. A simple budget should separate purchase costs from the cash needed to keep operating during the transition. The provider may request additional asset information, valuation, security details, or guarantees during review.
Protect the operating budget
Review the equipment payment alongside payroll, rent, inventory, and existing debt. Keep a separate estimate for maintenance and downtime. If buying the asset would use the business’s operating cash, compare a dedicated equipment structure with the alternatives before drawing on a revolving line.
See the Canadian working capital guide for payment-planning questions and the Canadian financing overview for broader options. Service is fully online throughout Canada and the United States; the financing review remains specific to your location and transaction.