What are the requirements to get equipment financing as a contractor in 2026?
What contractors need to qualify for equipment financing in 2026: credit score, time in business, revenue, the equipment quote, and required documents.
Most lenders require a credit score around 600+, 6 months to 2 years in business, and steady revenue (often ~$15,000/month). You also need a written equipment quote from the vendor plus bank statements and, for larger loans, tax returns. The equipment usually serves as collateral.
To get equipment financing as a contractor in 2026, most lenders look for a personal credit score around 600 or higher, at least 6 months to 2 years in business, and steady revenue (commonly about $15,000 a month, though some lenders set an annual minimum closer to $250,000). You also need a written quote for the equipment you're buying, plus basic business documents. Because the machine itself secures the loan, qualifying is often easier than for an unsecured loan.
Think of it as five things underwriters check: credit, operating history, cash flow, the equipment quote, and your paperwork. Hitting the middle of each range gets you approved; exceeding them gets you better rates.
Credit score
Most equipment lenders want a FICO score of 600 to 650, with the best rates reserved for 700+. Subprime and bad-credit-friendly lenders go lower. For example, National Funding sets a 600 minimum, Balboa Capital and JR Capital use 620, and eLease will consider scores as low as 550. Lower scores usually mean a larger down payment or higher rate. See what credit score is needed for equipment financing for the full tier breakdown.
Time in business and revenue
Operating history is usually 6 months to 2 years. Online and specialty lenders accept as little as 6 months; banks typically want 2 years. On revenue, a common benchmark is around $15,000 per month (roughly $180,000 annually), though some bad-credit lenders like National Funding instead require $250,000 in annual revenue. Qualification is case-by-case — strong revenue can offset a thin credit file, and vice versa.
The equipment quote
This is the document contractors often forget. A vendor quote or invoice for the equipment is required across every loan size because the lender finances a specific asset and that asset serves as collateral. Get a written quote from your dealer before you apply — it sets the loan amount and any down payment.
Documents you'll need
Paperwork scales with loan size. Bay Street's checklist runs: under $75K is "app-only" (vendor quote, driver's license, voided check); $75K–$150K adds 3 months of business bank statements; $150K–$250K adds a year of business tax returns; and $250K–$500K adds 2 years of returns plus a current profit-and-loss statement. If you also pursue an SBA 7(a) loan, note the SBA screens loans of $350,000 or less with a minimum FICO SBSS business score of 165 — a threshold the SBA raised in 2025.
Sources
What business owners say
4.9-
This company was lightning fast and the experience was amazing. Thank you, Dan — you're a real pro!
-
Good service Joseph Krajewski is the best agent ever. He provided excellent service. I strongly recommend working with him if you have the opportunity.
-
They gave me a chance when nobody else would. I'm very satisfied.