Semi-Truck Financing Options
With Semi-Trucks even for a used one like a used Kenworth 2009 TANDEM AXLE
SLEEPER costing in the range of $110K or more, owner operators and small trucking company owners should review the
numerous big rig financing options out there to put a new or used semi-truck out on the
road making money.
What, you have an extra $100K - $200K in cash on hand to outright purchase a new
or used big rig outright? Well, you're more fortunate than many folks out there.
As always, cash talks and you may be able to negotiate a great deal on a brand new
semi-truck but is that the wisest use of your capital?
After all, you will be:
- Reducing your operating capital needed for future expenses and business
- Eliminating a good chunk of change that you control and could be used to
invest in things that allow your money to grow. Once that seed money floats out of your hands; it is gone
- Investing in a piece of equipment that will start depreciating (losing value)
as soon as the tires hit the pavement.
With that said, the cash method to pay for a big rig may still be the best option
especially if the discount makes it too sweet a deal to pass on. You should still stop long enough to ask
your trucking accounting tax specialists for their advice.
You may be surprised to learn that your trucking accountant recommends due to
business tax requirements and to hold on to your sizable amount of seed money that you might be better off to
finance or lease a semi-truck.
Better yet, if you have the cash to purchase a truck, don't put yourself in the
position of having the pressure of the best deal of the century pulling you in blindly where you ignore other
Go ahead before you ever step on a dealer's truck lot and create a team of
advisors starting with your trucking accountant to find out what is the best financial route for you to take
to get that big rig on the road.
Your accountant may also recommend that a neutral trucking finance specialist be
included on your team during your planning phrase.
I Know I Need Semi-Truck Financing Options To
You or your company will be looking at getting on the road by obtaining a loan or
leasing semi-trucks. If you are an individual or a couple, you can also use owner operator programs offered at many
transportation companies that allow you to be the owner of your own rig.
So, do you go for a loan or a lease?
Getting a loan can be harder to get than leasing a big rig or fleet of
Loans typically require better credit scores, a sizable down payment and sometimes
even additional collateral.
Depending on the financial group used to finance the big rig, you can design your
payment to match your incoming business accounts receivables. You can have a fixed monthly, quarterly or even
annual payment to match your busiest time of the year.
Leasing a truck gives you several options to use to carry out your
After consulting with your team of advisors, you may decide the walk away lease is
better than the operating lease or you may decide the lease to purchase plan fits your budget.
Individuals with credit issues usually have a better chance of getting a big rig
on the road by leasing.
Some leasing plans available even offer repair/maintenance service and towing as
part of the lease plan which could save your business if your operating capital is limited.
Owner Operator Lease Purchases: