Here are the facts.
Here’s a surprising stat: Application volume for construction equipment under $40,000 is only 7% off all-time highs.
- App volume is also higher than it was in 2017 and 2019.
Why it matters: With all the talk of a looming recession, higher rates, and bank tightening, you might think that demand for construction equipment financing would be falling fast. But in many cases, it’s growing.
Take a closer look: Here’s the data application flow for 2023 construction-related assets under $40,000 compared to 2019, according to research firm Sawbux:
Takeaways for brokers:
- The supply chain is healing. There is pent-up demand for equipment that was very difficult to source in recent years.
- There is still record government funding of shovel-ready projects being deployed.
- Many larger contractors have backlogs of work that are so full, smaller contractors are running into the void to keep work moving.
- Banks are pulling back and cash positions are weaker, driving more demand for commercial equipment financing through vendors.
TimePayment can help. As bank funding becomes less flexible, TimePayment offers brokers a great solution for contractors seeking alternatives. We’ve helped over one million customers with transactions from $500 to $1.5MM+, and brokers rely on TimePayment for the speed, convenience, and technology solutions they need to grow.
- It’s fast, easy, and free to sign up.
- Approved brokers start with lease finance programs like $1 Buyout, Lease-to-Own, Fair Market Value, 90 Day Deferred, and our exclusive TurboLease.
- Visit our Broker page if you want to learn more or contact us if you want to discuss how we can help your business.
*2023 Sawbux Greenwich Study of Commercial Finance Decision Makers