Every Truck Financing Plan Is Unique – Here’s What to Expect

The question we get asked most often is: “Why don’t I have the same rate as the guy next to me?”

The answer is simple: not every business has the same mileage under its belt. Let’s take a look at the differences between business categories.

Start-up business and owner-operator

For businesses in their early stages, what we call start-ups, it’s important to take the time to build your relationship with lenders.

Once that relationship is established—and you are no longer acquiring your first truck—the need for security decreases. Down payments and personal guarantees are requested less often.

Fleet manager

As a fleet manager, your business has gained experience. You own 5 or more trucks and are experiencing strong growth. The ins and outs of financing are no longer a mystery to you.

Large fleet

Now you’ve reached the final destination. You are part of what we call a large fleet. With more than 10 trucks, your financing needs become more specific.

Conclusion

Now that you understand the differences between business categories in financing, this explains why you may not have the same rate as the guy next to you. Each rate depends on where your credit history stands.

We will take a closer look at what lenders are looking for in our next article.