10 Trends for Equipment Financing in 2014

Jan. 14, 2014
Economic improvement and favorable financing conditions will drive capital spending this year, according to the Equipment Leasing and Finance Assn. The association — representing both financial services companies and capital equipment manufacturers — identified its Top 10 Equipment Acquisition Trends for 2014.

Investing in new manufacturing equipment is not like buying lunch: there are short-term and long-term factors that have to be considered, and options have to be weighed based on factors other than cost or need, or ambition.

Equipment leasing is one option for manufacturing businesses. The Equipment Leasing and Finance Assn. — representing both financial services companies and capital equipment manufacturers — identified its Top 10 Equipment Acquisition Trends for 2014.

The list is based on industry-sponsored research, participants’ expertise, and ELFA member input.

U.S. businesses, nonprofits and government agencies will spend over $1.5 trillion for capital goods and fixed business investment (including software) this year, and more than half that cost will be financed. An environment shaped by continuing economic growth, wider credit availability, and favorable interest rates should inform businesses in their capital investment decisions. ”

“For a majority of U.S. businesses, equipment financing is a critical source of funding, helping them to acquire the equipment they need to operate and grow. Equipment acquisition plays a critical role in driving the supply chains across all U.S. manufacturing and service sectors,” offered ELFA President and CEO William G. Sutton, CAE.