Sale-Leaseback Financing: Put Your Equipment’s Value Back To Work

How Equipment Sale-Leaseback Financing Works

In simple terms, equipment sale-leaseback financing lets you use the value of equipment you own or recently purchased to access working capital. Your business continues using the equipment while making fixed payments over an agreed-upon term.

The process typically starts with identifying the asset you want to use for financing. Lenders may review details such as the equipment type, year, condition, hours or mileage, market value, purchase date, and ownership status before determining available terms.

"Sale-leaseback financing gives businesses a way to unlock capital from equipment they already own or recently purchased, without giving up those assets. For equipment-heavy operations, it can be a useful tool for improving cash flow while keeping day-to-day work moving."

Kenny Segin, Currency Director

What Equipment May Qualify For Sale-Leaseback Financing

Sale-leaseback financing may be available for a wide range of business equipment, depending on the asset type, age, condition, market value, and lender requirements. Eligible equipment may include:

Farm machinery such as tractors, combines, sprayers, balers, seeders, and other agricultural equipment, including specialty crop machinery
Semi-trucks and work trucks, including day cabs, sleepers, dry vans, bucket trucks, service, hooklift, and other vocational models
Trailers like flatbeds, refrigerated trailers, and other commercial trailers
Construction equipment such as excavators, dozers, loaders, skid steers, backhoes, graders, and compactors, as well as asphalt paving and other roadwork machinery
Oilfield equipment and other mining machinery used in energy, drilling, and field service operations
Cranes and material handling equipment such as telehandlers, forklifts, boom lifts, scissor lifts, and other lifting machinery
Logging equipment such as skidders, feller bunchers, forestry mulchers, log loaders, and log trucks, as well as landscaping and tree care equipment ranging from stump grinders and chippers to mulchers and chainsaws
Turf and groundskeeping machinery, including commercial mowers, utility vehicles, and other maintenance equipment

Not sure whether your equipment qualifies? Contact CurrencyFinance to speak with a financing specialist.

Who Can Apply For Sale-Leaseback Financing?

Sale-leaseback can be a fit for businesses and qualifying individuals looking to free up working capital from equipment they own. A sale-leaseback can help:

Trucking companies expanding their fleets, perhaps to secure new shipping contracts
Contractors and construction companies upgrading older assets over time
Landscaping businesses requiring funds to manage overhead costs during the offseason
Farmers buying seed, fertilizer, and other planting materials before harvest
Tree care operations seeking tax advantages from new truck purchases

Contact Currency today to learn how strategic sale-leaseback financing can help your business.

What’s The Difference Between Sale-Leaseback Financing, Equipment Refinancing & Working Capital Loans?

There are a few ways businesses can access capital, depending on what they own, what they owe, and how they plan to use the funds. Besides sale-leaseback financing, CurrencyFinance offers equipment refinance and working capital loans. See how these instruments compare:

Sale-Leaseback Financing

Equipment Refinance

Working Capital Loan

Best For

Unlocking capital from owned or recently purchased equipment

Reworking existing equipment debt

Covering general business expenses and cash flow gaps

How It Works

Uses the value of eligible equipment to structure financing while the business continues using the asset

May replace or restructure current financing tied to equipment

Provides short-term funding to support operating needs and day-to-day expenses

Asset Requirement

Typically requires owned or recently purchased equipment

Typically tied to equipment with existing financing

May not require equipment as the core asset

Use Of Funds

Working capital, business growth, equipment upgrades, repairs, or other operational needs

Adjusting existing equipment debt to better fit current needs

Payroll, rent, inventory, repairs, and other operating costs

Key Differences

Lets businesses access capital from equipment value while keeping equipment in use

Focuses on revisiting current equipment financing

Focuses on business cash flow rather than a specific asset

“Sale-leaseback financing works best when a business has value tied up in equipment it still relies on every day. The key is understanding the asset, the timing, and the reason for financing before deciding whether this structure makes sense.”

Carson Schott, Currency Manager

Sale-Leaseback Financing Benefits

For companies managing growth and other seasonal or unexpected costs, this financing option can offer a flexible way to support a wide range of business needs.

Increase Cash Flow

Turn the equipment you own into working capital you can use right away. Funds can support near-term business needs, help ease cash flow pressure, or give your company more flexibility when revenue and expenses do not align.

Avoid Downtime

Continue using your machinery, trucks, trailers, or other business equipment without interruption. Sale-leaseback financing allows you to access capital from existing assets while keeping essential equipment in service for day-to-day operations.

Fund Business Priorities

Use available capital to support equipment upgrades, repairs, expansion plans, new hires, technology investments, or other operational goals. Depending on your situation, there may also be potential tax considerations, such as Section 179 deductions. Consult a qualified tax advisor for guidance.

What To Consider Before Applying For Sale-Leaseback Financing

While sale-leaseback financing can be useful, it may not be the right fit for every business. Before applying, consider how costs, equipment eligibility, and repayment terms may affect your options.

Terms Should Fit Your Cash Flow

Your total financing cost, payment amounts, and agreement terms can vary depending on factors such as your credit profile, equipment value, and lender requirements.

Not All Equipment May Qualify

Lenders may review the equipment’s age, condition, market value, usage, and ownership status before approving financing.

Tax Treatment Can Be Complex

Potential tax benefits from bonus depreciation, section 179 tax deduction, and other tax advantages may depend on your situation and financing structure. Consult a qualified tax advisor for guidance.

How To Get Equipment Sale-Leaseback Financing Through CurrencyFinance

CurrencyFinance offers sale-leaseback financing under an equipment finance agreement (EFA) structure. It’s available to those businesses that purchase equipment outright, typically within 30 to 90 days of purchase, depending on the lender.

You obtain needed financing while making fixed monthly payments to the lending company for a negotiated term. The process is simple:

Identify the asset for sale-leasebackNote the year, hours, condition, market value, and other factors that can impact financing terms.
Work with CurrencyFinanceOur financing specialists will pinpoint lending partners that can meet your equipment leaseback needs.
Finalize your sale-leaseback with the lenderEstablish financing terms, a monthly payment schedule, and end-of-agreement terms.

Reach out to our financing experts with any questions about the equipment sale-leaseback process.

Turn Owned Equipment Into Opportunity With Sale-Leaseback Financing

Keep Your Machinery. Get the Capital You Need.