Posts Tagged ‘opportunities’
Finance, Financing, Leasing, Lease Opportunities for New, Used Construction Equipment Acquisitions
For construction equipment, new and used, leasing, lease, finance and financing opportunities in 2009 and the early part of 2010 were no different than most United States Industries.
Even though the United States is going through tough credit times, construction finance and lease opportunities are still available for the good credit applicant and not the so the good applicant. We are going to discuss the available construction financing and leasing programs in general to give you an idea that money is still available for start up and seasoned businesses.
First we are going to start with the applicant with great credit. That would be an applicant with 680 or higher credit and time in business that exceeds three years. The applicant should not have any prior bankruptcies and should have low debt ratios. This applicant can qualify up to $50,000 to $75,000 application only programs. Additionally, this gives the good credit applicant a good opportunity to acquire a great lending rate.
If the applicant seeks more than $50,000 to $75,000, they will have to provide more documentation to qualify. This would include two years prior years business and personal income tax returns and the summary page of your last three months business bank statements.( high average bank balances are looked at favorable) A personal financial statement might be required as well as interim financial statements. A copy of the invoice detailing the acquisition would be required as well..
Applicants with personal credit scores between 650 and higher still have a good opportunity to acquire their desired acquisition. They should have a minimum of three years in business without prior bankruptcies. Low debt to income ratios are also looked at favorable. Additionally, some lenders still might offer application only programs and anything beyond the minimum application only levels would require the same documentation as above.
With the second tier credit described above, the rates will be slightly higher than “A” Credit with great construction equipment financing and leasing opportunities available.
Applicants with Credit scores between 600-650, there are many lending programs available without perfect credit. Even though there may be some dings on the applicant’s credit, there are still finance and lease opportunities out in the financing market. There won’t be application only programs but plenty of lenders will look at you. Once again, strong healthy bank balances with time in business with profitable operations showing on your tax return is a big plus… Usually, full documentation information is required. The front money in these financing programs can run anywhere from 10-20% where as the first two programs can run as low as the first two payments..
There are other lenders that are not credit driven, but are story book driven. They work with start ups and seasoned businesses without perfect credit. They are more cash driven, and require some additional requirements to qualify. These lenders rates are higher than the programs described above but gives the applicant finance and lease options that might be available elsewhere..
There are other lenders that are not credit driven at all but look at the free and clear assets that are available to the lender. Most lenders like bulldozers, trucks, excavators, etc that have retained a good value. These are cash poor applicants but have good qualified assets that the lender will qualify. These lenders have their own formula to work out a lending base. One should call to find out the particular details (Copies of free and Clear Titles are required)
In this recession, many lenders have had to focus on their repossessed inventories instead of normal business due to cash flow demands, out of balance credit lines with their own lenders, and competing with other lenders for the small supply of buyers in the market place.
In the prior better times, there were many application only programs up to $250,000 and $150,000. This meant there were no financial statements, tax returns or bank statements required. Today, there are less application only lending programs available, or the available programs require more information and their rate factors are higher than before. Due to problems in the construction industry, many lenders have gone back to more conventional lending requirements. .
These leasing and financing changes have a tremendous impact on normal business for marginal credit buyers, start up businesses and more mature businesses. One interesting area that has arisen out of this economic downturn is dealer/special financing. With all the repossessions in the market place today, buyers still have a unique business opportunity to acquire a repossession with a credit score as low as 550. Used and new construction equipment repossessions can be obtained with very little or no money down, sixty months to repay, regardless of age, and more favorable financing terms than conventional construction equipment financing.
Since new business capital is difficult to obtain, it is suggested that the start up and seasoned business examine the repo markets. This could be a rewarding in the combination of both price and financing.
The following types of industries are examples of what we are describing here for construction equipment, new and used, leasing and financing includes the following
Excavators, Backhoes, Skid Steer and Wheel loaders, Dump trucks, Concrete Mixers, Compactors, Concrete Pumps, Dozers, Forklifts Etc
If conventional construction financing and leasing isn’t available to you for whatever reason, please check out the repossession market and see what deals you may be eligible for
Happy hunting for your new and used construction equipment and its related lease and finance needs.
Rick has over thiry years in the financial field, including financing,
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Tags: Acquisitions, Construction, Equipment, Finance, Financing, lease, Leasing, opportunities, used | 
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China – ASEAN Free Trade Area of the full completion of construction machinery industry can give new opportunities for development
China – ASEAN Free Trade Area on January 1, 2010 fully completed, since the free trade zone 90% of the products began to achieve a zero tariff, import and export of ASEAN countries showed 500% growth in volume, since the free trade zone will become a consumer has a 1.9 billion persons, 4.5 trillion total trade of the huge market, second only to North America, the European Union the world’s third largest free trade zone.
With the completion of a free trade zone, located in South, Southwest and ASEAN with the Department of Pan-Tonkin Gulf region of Guangxi have become the most potential for development, it is learned from the free trade area in Guangxi will use the cooperation mechanism, and actively participate in and promote pan-North Bay port, engineering machinery, logistics, warehousing and many other sub-regional cooperation; will use this opportunity to accelerate the South Canton, your broad, Hunan, Guangxi, and other inter-provincial railway construction projects, speed up the region and beyond roads, bridges, water conservancy and other infrastructure facilities construction. At the same time, the ASEAN countries also take advantage of this opportunity, a substantial increase in infrastructure and investment in large-scale projects.
With the completion of a free trade zone, engineering machinery industry is facing rare opportunities for development. Due to historical, environmental, technological and other factors, the ASEAN countries is lagging behind the development of construction machinery industry, the ASEAN countries every year from China to import large quantities of construction machinery products. After several decades of development, China-made engineering machinery products overall quality, performance significantly improved the quality of some products with Germany, the United States, Japan and comparable prices are much cheaper, but as an old neighbor of ASEAN countries, ASEAN countries are more willing to doing business with China.
Rare opportunities for development, leading city of the regional advantages, clean and efficient administrative environment, suitable living environment, etc. All of this so that the Pan-Tonkin Gulf region of Guangxi has been more and more attention from investors, with the flow, logistics, the continuous flow of funds collection, transportation and logistics infrastructure into matchmaking, an important condition for ensuring sustainable development. Construction machinery industry and logistics industry will be the first development in the region leading the industry. It is learned that Xu workers, in the Alliance, the 31 other well-known enterprises in Guangxi have been actively developing the Pan-Tonkin Gulf regional markets, a high-profile pan-Tonkin Gulf region to participate in exhibition in Guangxi. Another exhibition organizing committee got the news from the GICE: The second session of the GICE Construction Machinery Exhibition will be held July 2, 2010 in Nanning International Convention and Exhibition Center. Present the Organizing Committee and Nanning in Qingdao two simultaneous investment, exhibitors and visitors register enthusiastic audience.
GICE exhibition is the largest in southwest China market, professional engineering machinery exhibition, the last exhibition display area 11,000 M2. From XCMG, sany, the Alliance, Komatsu, Liu steam, Guangxi Construction Machinery, mountain workers, in construction, METSO Minerals, TRIO Jiefu Lang, Luo Jian, Wang Jian, Schnell, Yuhua lifts, lofty saint engineering and many other well-known brands at home and abroad full debut exhibition scene, spectators and media at home and abroad shows the area of today’s most advanced engineering machinery products and technologies. Of which 31 heavy machine to carry out only 1 hour, on the reservation out of 5 excavator and a platform forklift, worth nearly 500 million yuan. Yuhua the South China Sea have two lifts to carry out the same day sold to customers in Vietnam. Komatsu machinery, Zoomlion, Hunan deed long, lofty San large industrial and other exhibitors are given orders, Spare Parts are also news of success, Dongguan Xin-Zhi and other exhibitors have also signed with the domestic and ASEAN customer orders. Show last GICE attracted from the United Kingdom, Vietnam, Thailand, Hong Kong and other 10 countries and regions to visit a professional audience. Guangxi TV station and a number of news media conducted a follow-up reports GICE exhibition, more than 50 professional websites, media coverage GICE exhibition publicity.
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Tags: Area, ASEAN, asean countries, asean free trade area, China, completion, Construction, Development, doing business with china, exhibition, Free, full, Germany, give, Guangxi, Hong Kong, Hunan, Industry, Japan, Jian, Liu, Machinery, Nanning, North America, North Bay, opportunities, Qingdao, San, South Canton, South China Sea, southwest China, Thailand, Trade, United Kingdom, United States, Vietnam, Xin-Zhi, Xu |
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