Need Cannabis Equipment Financing for your business? We can help with your Extraction Equipment, Testing Equipment, Processing Equipment, Packaging Equipment, Trimmers, and Harvestor needs!
Are you looking to finance equipment between $25k - $500K?
Are you looking for 36mo.-48mo. terms?
Are you state licensed?
Need financing for your cannabis business? We can help! Check out all the Cannabis Equipment We Can Finance.
We know it’s important for your cannabis products to have only the good stuff in them. Heavy metals, mold, potency, etc. all effect your brand in a negative, or positive way; not mention can get you into trouble with varies governmental agencies.
You’ve got enough on your mind already. Do I need HPLC for potency testing? Should I go AAS or ICP-MS for heavy metal testing? Is GCMS testing overkill when LCMS MS will do? Let us take one of those worries off the plate…the money part.
Cannabis Extraction Equipment has become extremely popular within the cannabis financing space. We recognize this and have worked hard to include all aspects of the extraction process into our Cannabis Equipment Financing program.
Supercritical CO2 Extractors, Alcohol Evaporation systems, Butane, Ice Water extraction equipment; take your pick, we can finance it. We can handle all aspects of the Cannabis extraction process.
With so many new brands and different market shares, it’s important to get noticed, stay fresh, eliminate waste, and keep costs down. Match the system you need, with the one you want.
Whether you bring your own vendor, are vendor looking to offer financing to your clients, or working with one of our vendor partners, we can help with everything from Filling Machines to Packagers to Labeling Machines to Cartoners to combos that do it all. Contact us today for your next Processing & Packaging project!
Got fields? We finance harvesters. What about hundreds of pounds of dried buds to be trimmed? We can handle trimmers from the size of a human to a whole room.
The simple answer is because they legally can’t. Well, federally regulated banks can’t anyway. However, we may not be too far from traditional lending institutions being able to lend to Cannabis based businesses as cannabis gains ever more popularity, and more importantly, legalization in more states; there is a strong push to change the outdated laws regarding banking regulation.
There is current legislature, the S.A.F.E. Banking Act, that was passed by the House of Representatives on September 25, 2019. The bill was then rolled into the Heroes Act, which was passed through the House, but has yet to be voted on in the Senate.
Well you could try to get an SBA Loan, but with all the federal regulation, it is highly improbable that you’ll get one (that doesn’t mean you shouldn’t try though!). So who does that leave? Alternative lenders, which are Credit Unions, Private Lenders, and Venture Capital Investors.
A simple search will show you plenty of fly-by-night finance companies trying to take advantage of the green rush, but you’ll want a company that understands what a “good deal” looks like. You’ll want a company that focuses on the relationship, not the commission at the end of a single transaction; Envision Finance Corporation does just that.
We aren’t afraid to tell you what is and isn’t favorable terms, we aren’t scared to tell you to pass on a deal or take someone else’s offer. Our root deciding factor to all our decisions is, “is this the best option for our client?”. It’s an approach we wished more people in the industry would take and implementing that change starts with us. We want to build long lasting relationships between our clients and vendor partners.
To answer the question more directly…turn to us for your Cannabis Equipment Financing needs.
Cannabis Equipment Financing is risky Lenders, and the more risky it is for them, the more expensive it is for you. First consider, cannabis is still federally illegal. Adding to that risk is the chance that current or future administrations in the United States will not only NOT further the total legalization of cannabis, but rather roll back the progress that has been made.
Secondly, while cannabis may be booming now, it hasn’t always been so. Cannabis as a legal commercial business hasn’t been around very long, financing for cannabis equipment even less so. That means that there isn’t a lot of data to base failure rate off of; essentially repayment performance analysis isn’t as accurate as it is in other sectors. This means more risk, which translates to your butane extraction system being more expensive to finance.
Thirdly, resale of cannabis equipment doesn’t have the strongest of markets; meaning that in the event of a default, a Lender will have more difficulty recouping their loses by trying to re-sell the equipment.
One of the biggest benefits to using financing over cash is the fact that you get to hang onto your cash; meaning you’ll have it to use elsewhere, either strategically for growth or defensively in saving. For example, say you were going to buy a new CO2 Extractor. Instead of handing over the entire sum, you pay a small amount and keep the rest. That left over can now be used to buy raw product to process or maybe go towards labelling or packaging machine.
Similarly, the money could be saved for a planned slow season or simply just for a rainy day. The point is, is that by financing you could take what would otherwise be gone and grow that into something better or use it as a safety net.
Credit cards aren’t really a great option when compared to leasing cannabis equipment either. Assuming you have enough credit to purchase say something like a GCMS or LCMS MS, what are the interest rates going to look like on those? Additionally you’d likely notice your credit score dip tremendously, as your debt to available credit ratio will likely be shot. What happens if/when an unexpected cost occurs or business slows?
You’d have nothing to fall back on because all your credit is maxed out and no lender wants to loan out to someone who’s maxed out all their credit. On the flip side of that coin, would you want all your credit tied up if a potential expansion opportunity came up? You want to keep your cash in your pocket, credit available for opportunities/emergencies, and your cannabis equipment financed on affordable monthly payments.
Depending on how you or your CPA have your tax plan setup, there can be (and usually are) huge tax incentives to leasing new or used equipment through Section 179 of the IRS Tax Code. Head over to our Section 179 explained to find out more and remember to always consult a tax professional before making any major decisions.
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Now is the time to grow your business. Envision Finance is here to help you succeed!