Equipment Financing for Crushers and Heavy Equipment: Options and Rates in 2026
Financing Heavy Equipment in 2026
Most equipment purchases in the crushing and screening industry are financed — the capital cost of a $400,000+ crusher makes cash purchases impractical for many operators. Understanding your financing options helps you structure the best deal and get approved faster.
Types of Equipment Financing
Equipment Loans
A traditional loan where you borrow the purchase price and repay with interest over a fixed term. You own the equipment from day one.
- Typical terms: 36 – 84 months
- Down payment: 10 – 20%
- Interest rates (2026): 6 – 12% depending on credit and equipment age
- Best for: Operators who want ownership and plan to keep the equipment long-term
Equipment Leases
You make monthly payments to use the equipment. At the end of the lease, you can purchase it (usually for $1 or fair market value), return it, or upgrade.
- Typical terms: 24 – 60 months
- Down payment: First and last month's payment, sometimes $0 down
- Monthly cost: 15-25% lower than loan payments for same equipment
- Best for: Operators who want lower monthly payments, plan to upgrade regularly, or want to keep equipment off their balance sheet
Rental Purchase (Rent-to-Own)
Start with a rental agreement that converts to a purchase after a set period. Rental payments are credited toward the purchase price.
- Typical conversion: 6-12 months rental, then convert to loan
- Best for: Operators who want to try the equipment before committing, or who need equipment immediately while financing is in process
What Lenders Look At
Equipment financing is easier to qualify for than most business loans because the equipment itself serves as collateral. Lenders typically evaluate:
| Factor | Minimum for Approval | Best Rates Require |
|---|---|---|
| Time in business | 2 years | 5+ years |
| Personal credit score | 620 | 700+ |
| Annual revenue | $250,000 | $1,000,000+ |
| Down payment | 10% | 20%+ |
| Equipment age (used) | Under 15 years | Under 7 years |
Financing Used vs. New Equipment
New equipment is easier and cheaper to finance — lenders see lower risk and offer better rates. Used equipment financing considerations:
- Age limits: Most lenders won't finance equipment older than 10-15 years
- Higher rates: Expect 1-3% higher interest on used equipment vs. new
- Shorter terms: A 10-year-old crusher may only qualify for a 48-month term vs. 72 months for new
- Appraisal required: Lenders may require a third-party appraisal on used equipment over $250,000
Tax Benefits
Heavy equipment purchases offer significant tax advantages:
- Section 179 Deduction: Deduct the full purchase price of qualifying equipment in the year purchased (up to $1,220,000 in 2026)
- Bonus Depreciation: Additional first-year depreciation on new and used equipment
- Lease payments: Monthly lease payments are typically fully deductible as a business expense
Consult your tax advisor for specific guidance — these deductions can reduce the effective cost of equipment by 25-40%.
Tips for Getting Approved
- Get pre-approved before shopping — Know your budget before you find the machine. Pre-approval strengthens your negotiating position.
- Have financials ready — Two years of tax returns, a current P&L, and a balance sheet. Having these ready speeds approval by weeks.
- Put more down if possible — A 20% down payment instead of 10% can drop your rate by 1-2% and improve approval odds significantly.
- Use a specialized lender — Equipment financing specialists (Currency, Stearns Financial, Balboa Capital) understand heavy equipment values better than general commercial banks.
RPG Equipment can connect you with equipment financing partners. Contact us to discuss financing options for any machine in our inventory.
