Request for Proposal

Equipment Financing Tip #3

Get Multiple Bids – Try to work with at least 3 Equipment Leasing or Financing Companies… There is no harm in shopping around a little bit. Every leasing and financing company is different, they get their money from different sources and they have different ways of structuring their leases or loans.  The only way to know which company’s structure is best for you is by looking at different options.

Here are some great reasons why you should obtain multiple bids:

• The chance that you receive the lowest bid possible from one proposal is slim
• Each proposal may offer a different structure (i.e. capital lease vs. operating lease, fair market value etc.)
• You can increase your chances of working with someone you really get along with
• You already have to put together one financing package, it is easy to make copies and send those out to multiple lenders
• A backup plan will be available in case of a last second emergency with the company you choose

As you can see, you can only benefit from requesting multiple bids. So for your next equipment lease, go ahead and shop.