“How Fast Can I Get A Lease Approval?”
When applying for lease financing for a piece of new or used equipment, business owners many times wonder how fast the application and approval process can be.
This is most common in situations where the applicant is new to lease financing and is comparing the potential application process to what they may have previously encountered at a bank or other financial institution when applying for some form of loan or mortgage.
One of the key benefits of equipment financing via an equipment lease is the speed of the application process.
In the high majority of cases, approvals can be secured within 24 to 48 hours with funding to follow shortly there after.
The length of time can also certainly be longer if there are more risk elements for a leasing company to asset and go through.
Larger deal sizes will also potentially require additional time as more than one level of approval may be required.
For the most part, if you have good credit and a solid financial profile, a leasing approval is going to be provided to you in 24 hours most of the time.
Compared to a bank loan process this is exceptionally fast and hard to match.
And when you have the ability to get financial leverage at or near 100% of the asset value, leasing can become a powerful option to consider.
But like any type of application process, the more accurate and complete an application package is, the easier its going to be for someone to assess the information and provide a lending/funding decision back in your favor.
This point cannot be over stated as poorly prepared and presented information can end up adding days to the process with the back and forth required just to clarify the facts.
Even worse, interpreting poor information incorrectly can just lead to a decline without any clarification even requested.
Another benefit of the leasing process is the amount of information that is initially required for most deals.
To make a formal request for financing, all you need to provide initially is a completed and signed application form along with an invoice, estimate, or quote from the seller for the asset you want to acquire.
From this information alone you may be able to get an approval issued, especially if the amount of financing requested is under $100,000.
There may be other pieces of information required prior to funding, but that usually does not slow down the process provided you can get the information back to the leasing company as soon as possible.