Santa Monica, CA -- (SBWIRE) -- 04/18/2013 -- As the American economy continues to rebound, there are still many construction companies that are plagued with poor cash flow and damaged credit. Oftentimes, they do not fit within traditional lending standards. As a result, they are left with few financing alternatives. What this means is that they must be creative in seeking funds for their business.
One way to do this is through construction equipment refinancing. Construction companies can use their free and clear equipment as collateral to obtain a working capital loan regardless of credit.
VMI LLC is announcing a promotion to provide working capital loans based on owned construction equipment. Under this construction equipment refinancing program, VMI is able to provide cash to the construction company by using the heavy equipment as collateral. The kinds of heavy equipment they will consider are bulldozers, excavators, loaders, scrapers, graders, tractors, dump trucks and cranes. Acceptable manufacturers are John Deere, Caterpillar, Case, Komatsu, Hitachi, New Holland and Volvo. All types of credit are considered because the equipment qualifies for the loan, not credit alone. Working capital loans range from $50,000 up to $2 Million.
The business loan can be used to service payroll, procure supplies and inventory, complete projects or pay subcontractors. The program is intended to be a financing alternative for construction companies that need cash but don’t qualify for traditional financing. In some cases getting a loan against equipment to obtain working capital is the best way to keep the business alive.
Skylar Marshall, Communications Specialist for VMI LLC, noted "Construction equipment refinancing is the best working capital solution especially in this marketplace. We provide alternative financing options to an industry that is bereft of funding choices especially in this economy. We are funding just as many $600,000 deals as we are $60,000 ones. The uniqueness of this program is what sets VMI apart from traditional financing. VMI provides a nonbankable source of funds to businesses that need it the most."
To help construction companies get the working capital they need, VMI has a three step process in which to get an asset based business loan. The first step is to complete a one-page application. Step two consists of VMI reviewing the pledged construction equipment for consideration. Once approved for a working capital loan, a formal approval form is presented to the applicant. The final step is funding. This usually takes three days from receipt of signed approvals.
About VMI LLC
VMI LLC provides secured construction equipment financing for companies that need working capital. Construction equipment funding is available for tractors, excavators, bulldozers, loaders, graders, scrapers, dump trucks, cranes, forklifts, backhoes, steers and other heavy equipment. Working capital loans are approved based on the equipment, not just credit. For more information on getting a working capital loan using equipment, please visit http://www.financeheavyequipment.com