The best equipment financing for a veteran-owned business depends on what the equipment costs, how long you've been operating and how fast you need it. If you have 2+ years in business, $100,000+ in annual revenue and a 640+ FICO, Ameris Bank Equipment Finance (formerly Balboa Capital) decides quickly and finances new or used equipment. For large, long-lasting machinery, an SBA 504 is usually the cheapest route. And if the equipment broke down today or you don't meet a bank's minimums, Merchant Fund Express, our recommended funder, often decides in 2 to 4 hours based on your deposits.
Being a veteran doesn't change the terms of private equipment financing: the business is what counts. But many veteran-owned businesses share the same needs, like trucks and trailers, construction equipment, HVAC tools, security gear or technology for government contracts. We compared each option using its official website and sba.gov, checked in October 2026.
Key takeaways
- Equipment financing uses the equipment itself as collateral, so it usually asks for less than an unsecured loan.
- Ameris Bank Equipment Finance generally asks for 2+ years, $100,000+ in revenue and a 640+ FICO, with select programs up to $50,000 for businesses between 6 months and 2 years old.
- The SBA 504 finances machinery with a useful life of at least 10 years, on 10-, 20- or 25-year terms.
- Since March 2026, SBA 7(a) and 504 loans require 100% of owners to be U.S. citizens or U.S. nationals.
- When the equipment is urgent, speed matters more than rate; if you can wait, compare against the SBA.
- Our recommended funder offers $5,000 to $5,000,000 and doesn't require collateral in most cases.
The best equipment financing options for veterans, ranked
- Merchant Fund Express (recommended funder). For when the equipment can't wait: the compressor that burned out, the truck you need to start a contract next week, or the used or specialized machine your bank won't touch. Amounts run from $5,000 to $5,000,000, decisions often come in 2 to 4 hours and credit starts at FICO 500; stronger credit and cash flow usually bring better offers. It reviews sales and deposits, not just credit, doesn't require collateral in most cases, and applying is free with no impact to your credit. Spanish-speaking support is available.
- Ameris Bank Equipment Finance (formerly Balboa Capital). Now a division of Ameris Bank. It finances commercial vehicles, computers, machinery, software, furniture and technology, new or used. With just the application it goes up to $500,000 for "hard" collateral and $350,000 for "soft" collateral such as software. It gives decisions within an hour during business hours and, if approved, can fund the same day. It generally asks for 2+ years in business, $100,000+ in annual revenue and a 640+ FICO. Businesses between 6 months and 2 years old may qualify for up to $50,000 in select programs, with a personal guarantee. Most contracts run 24, 36, 48 or 60 months.
- Accion Opportunity Fund (leasing). A nonprofit that leases equipment with 100% financing, no large down payment and fixed monthly payments, for restaurants, health care, services, small manufacturing, transportation and construction. All shareholders must be U.S. citizens or permanent residents. It also finances food trucks up to $350,000 over 36 to 60 months and offers advising in English and Spanish.
- SBA 504 loan. For long-term machinery and equipment with at least 10 years of remaining useful life, arranged with a bank and a Certified Development Company. According to sba.gov, the 504 portion goes up to $5.5 million, with 10-, 20- or 25-year terms and a fixed rate. Your minimum contribution is 10%, or 15% for a new business.
- SBA 7(a) loan. Up to $5 million to buy and install machinery and equipment, among other uses, through an SBA-approved bank. It works if you want to bundle equipment, working capital and other needs into one loan.
- SBA microloans. Up to $50,000 for machinery, equipment, furniture or supplies, with terms up to seven years and rates that, per sba.gov, generally fall between 8% and 13%. A good fit for tools, a diagnostic computer or office equipment.
Side-by-side comparison
| Option | Amounts | Time in business | Credit | Best for |
|---|---|---|---|---|
| Our recommended funder (#1) | $5,000 to $5,000,000 | Based on sales and deposits | From FICO 500 | Urgent or hard-to-finance equipment |
| Ameris Bank Equipment Finance | Up to $500,000 application-only | 2+ years (6 months in select programs) | FICO 640+ | New or used equipment, fast decision |
| Accion Opportunity Fund | Depends on the equipment | Depends on the program | Depends on the program | Leasing without a big down payment |
| SBA 504 | Up to $5.5 million (SBA portion) | Operating business | Set by the bank | Long-life machinery |
| SBA 7(a) | Up to $5 million | Operating business | Set by the bank | Equipment plus other uses |
| SBA microloan | Up to $50,000 | Depends on the lender | Depends on the lender | Small, low-cost equipment |
How we rank. We don't use ratings or scores. We compare speed, minimum time in business, minimum credit, whether owners with an ITIN or no SSN are accepted, documents, amounts and collateral. We only use facts from official sites; if a detail wasn't on the company's site today, we left it out. The full method is in how we rank business funding options.
We'll be straight with you: if you qualify for the SBA or a bank and can wait a few weeks, that's usually cheaper than fast financing. Our recommended funder ranks first because it covers the cases the bank doesn't cover in time: urgent equipment, used or specialized equipment, and businesses that don't meet bank minimums yet. For a primer on how the product works, read our guide to equipment financing for veterans.
What veteran-owned businesses usually finance
Many veterans turn military experience into technical or service businesses. Here are common needs and which option tends to fit:
- Trucks, trailers and work vehicles: equipment financing over 36 to 60 months. If the vehicle is for a contract that starts now, speed wins.
- Construction or excavation machinery: expensive, durable equipment. Compare an SBA 504 or 7(a) against a bank equipment loan.
- HVAC, electrical and plumbing: tools, detectors, an upfitted van. Smaller amounts fit a microloan or fast equipment financing.
- Security and surveillance: cameras, radios, patrol vehicles. If you have a signed contract, bring it: it helps show how you'll repay.
- Technology for federal contracts: servers, software licenses, cybersecurity gear. Heads up: software usually counts as "soft" collateral, and limits are lower.
The SBA notes that the federal government sets aside a share of its contracts for veteran-owned businesses. If you're going after that market, plan your equipment before you win the bid: a contract you can't perform for lack of equipment costs you the relationship.
Buy, finance or lease?
| If your situation is... | What usually fits | Why |
|---|---|---|
| Equipment that lasts many years and won't go obsolete | A loan or financing to buy it | You own it at the end and keep using it |
| Technology you replace every 2 or 3 years | A lease | You can upgrade at the end of the term |
| Little cash for a down payment | A lease or 100% financing | You protect your working capital |
| Large machinery and a stable business | SBA 504 or 7(a) | Long terms and lower cost if you qualify |
| Urgent or hard-to-finance equipment | Fast, sales-based capital | Decisions in hours |
To go deeper, read equipment leasing vs. buying. Ask your accountant about the Section 179 deduction too, because it can change the math on buying versus leasing.
Before you sign, run a simple test: estimate how much extra money or how many hours the equipment saves you each month and compare that to the monthly payment. If the equipment earns or protects more than it costs each month, the decision is usually sound; if not, look at cheaper, used or leased equipment. To estimate payments on different terms, use the equipment loan calculator, and remember that a longer term lowers the payment but raises the total cost.
What lenders will ask for, and common mistakes
Have these documents ready:
- The equipment quote or invoice, with make, model, year and serial number if it's used.
- Business bank statements for the last 3 to 6 months.
- Business tax returns (2 years for a bank or the SBA).
- Photo ID, your EIN and your LLC or corporation documents.
- Signed contracts, if the equipment is needed to perform one.
Mistakes we see often:
- Paying for equipment out of working capital and coming up short on next month's payroll.
- Choosing a term longer than the equipment's useful life: you'd still be paying for something that no longer works.
- Buying from a seller the lender won't accept. Confirm before you put down a deposit.
- Not comparing. Get at least two written offers showing the monthly payment and the total cost.
- Skipping free help. The SBA's Veterans Business Outreach Centers (VBOCs) offer mentoring and workshops to help you prepare your plan.
When your statements and quote are ready, you can apply with Merchant Fund Express; it's free and won't affect your credit. Prefer Spanish? Leer en español.
Frequently asked questions
Can I finance a work truck if my business is less than 2 years old?
Yes, but you'll have fewer options. Ameris Bank Equipment Finance says businesses between 6 months and 2 years old may qualify for up to $50,000 in select programs, with a personal guarantee. A funder that reviews sales and deposits can also help. The more time and revenue you have, the better your terms will be.
Is there equipment financing with special terms just for veterans?
We didn't find private equipment lenders with verifiable special terms just for being a veteran. Terms depend on the business, the equipment and your credit. Veteran benefits sit mostly with the SBA: free advising at VBOCs, Boots to Business training and federal contracting programs that can strengthen any application.
Can I finance used equipment?
Yes. Ameris Bank Equipment Finance finances new or used equipment, and many lenders do the same. With used equipment, terms tend to be shorter because the equipment is worth less and has less life left. Bring the invoice with the year, model and serial number to speed up the review.
Can I use an SBA 504 loan to buy equipment?
Yes, if it's long-term machinery or equipment with at least 10 years of remaining useful life, according to sba.gov. It can't be used for working capital or inventory. For smaller equipment or gear with a short life, a 7(a), a microloan or regular equipment financing is a better fit.
Does Merchant Fund Express finance equipment for veteran-owned businesses?
Yes. Merchant Fund Express reviews businesses with sales and deposits, whether the owner is a veteran or not, and the capital can be used for equipment. It often decides in 2 to 4 hours, considers credit from FICO 500 and doesn't require collateral in most cases. Applying is free and won't affect your credit.