Equipment Finance - find the right solution for your machine purchase

Annually, we present an analysis of the best ways to finance machines among the 30 lenders and banks that Krea works with.

Which bank stood out as the best equipment finance solution in 2023?

According to our analysis and evaluation, we believe that Marginalen Bank, Aros Kapital and Grenke Leasing have offered the best solutions for how small businesses can finance equipment. Our analysis was based on five important criteria: cost, funded amount, payout rate, impact on financial ratios, and approval rate.

» Read more: Krea's guide to the best options for equipment financing

First of all, you need to choose a supplier and what equipment you want to buy or lease. Through Krea, you can basically finance all types of machines, regardless of whether they are new or used.

In addition to the machines themselves, the lender has demands on the company. Common requirements are:

• The company must be registered in Sweden
• The company must have been active for at least 3 months

You can apply for equipment financing regardless of whether you own a limited company, sole proprietorship or trading company. Usually, the object itself is the only security for the loan or lease. In some cases, lenders may require a guarantee commitment.

There are no formal requirements that the company needs to make profit or to not have payment remarks. However, a well-managed economy in the company and a better credit rating lead to better conditions.

Krea lets more than 30 banks and other lenders compete in company financing.

Marginalen Bank, Froda, Svea Bank, Aros Kapital, Capcito, Capitalbox, Euro Finans, Fedelta, FundingPartner, Kameo, Mynt, OPR, Qred, Bizcap, Realkredit, Terox Finans, SBL Finans, and Treyd.

In addition to business loans, your company can also receive proposals for Real Estate Loans, Business Credit, Leasing, and/or Factoring with the same application.

The following entities have the opportunity to provide you with proposals for other financing solutions: Ikano Bank, Nordic Finance, Finansia, Invoier, ABS Global Factoring, Grenke Leasing, CapIQ, IMH Finans, SBP Nordic, SBP Kredit, and FINQR.

For larger financing solutions, Krea collaborates with all relevant banks, including most major banks, such as Nordea and SEB.

Yes, in many cases, you can pay off the entire business loan in advance. In several cases, it is free of charge, and with some lenders, there may be a small fee for doing so.

This information is clearly stated when you receive your various business loan proposals.

Yes, having a few payment remarks is quite common for businesses.

Having payment remarks, whether for you or your company, may not be an obstacle to obtaining financing for your business. Having payment remarks does not necessarily mean that your company lacks future repayment ability.

Each lender makes an individual assessment of your company's repayment capacity, and loan proposals you receive may vary depending on the nature of these remarks.

When specifying a guarantor, it means that the person becomes obligated to take over the debt if the company cannot pay voluntarily. Guarantors are usually used in cases where the company cannot meet the repayments, serving as an additional security for the lender.

In the application with Krea, we recommend that you specify yourselves as guarantors, as we have observed that it increases the likelihood of your application being approved.

In addition to you as a guarantor, other individuals in the board can also act as guarantors for all banks and other lenders. You can always specify who should be guarantors in your application.

The longest term among our lenders is 5 years (60 months). Most proposals from our lenders are without binding periods, which means you can repay the loan early if you wish, typically without any additional costs. Therefore, it's generally better to apply for the maximum repayment term to minimize your monthly payments during the loan period.

Amortization of business loans can be straight-line or as an annuity, where interest and repayments are always the same amount. A business loan with a 5-year term means you would amortize 3 333 kronor on a loan of 200 000 kronor.

Krea lets over 30 banks and lenders compete in business financing. The following entities have the potential to provide proposals for business leasing:

We collaborate with, among others, Nordic Finance, Marginalen Bank, Grenke Leasing,

In addition to business leasing, your company can also receive proposals for business loans, real estate loans, factoring, and/or business credit with the same application.

The following entities have the potential to provide proposals for other financing solutions: Froda, Aros Kapital, Capcito, Euro Finans, Fedelta, FundingPartner, Kameo, Mynt, Qred, Bizcap, Realkredit, Terox Finans, SBL Finans, Treyd, Ikano Bank, A.B.S Global Factoring, Invoier, Alfa Finans, Billecta, CapIQ, Finansia, FINQR, Svea Bank, OPR, Capitalbox, and Finly.

For larger financing solutions, Krea collaborates with all relevant banks, including most major banks such as Nordea and SEB.

Unlike business loans, lease agreements are generally locked to the original repayment period.

However, if you sell or transfer the asset during the lease term, you can apply to transfer the lease agreement to the buyer. This process involves the leasing company approving the buyer as the new lease.