← Commercial Finance Answers

New contracts & business growth

Can equipment finance complete before a new contract starts?

Potentially, but the lender needs to assess the business and delivery timetable before the asset is required.

The practical answer

Potentially, but the lender needs to assess the business and delivery timetable before the asset is required.

Provide the signed contract, mobilisation date, supplier lead time, payment terms and forecast. Show how deposits, staff and operating costs will be covered before the first customer payment.

Agree funding conditions early, especially for made-to-order equipment. A contract start date does not guarantee lender payout by that date, so allow time for credit, supplier checks and documentation.

Important

Commercial finance is subject to status, lender approval and the specific asset and transaction. The right structure depends on the complete circumstances of the business.

What should I do next?

Have the asset details, supplier information and an outline of what the business needs ready. DCF can then discuss the requirement and identify which lenders may be suitable.

Read: Equipment finance for a new contract →