Trailer Financing

1st Commercial Credit will evaluate your funding request based on your company’s monthly revenue, time in business and the equipment you will be purchasing or leasing.

• Condition of the trailer: We will review the make, model, vin/serial number, previous accidents reports, age, history, pictures and current valuations.

• Trailer vendor: We are flexible in adding new trailer vendors all the time. We prefer funding to reputable trailer dealers, as opposed to a private party from an individual. We will consider a private party sale from reputable trucking fleet companies that can demonstrate a historical service and maintenance record of the trailer.
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• Credit scores: Trade business credit score, as well as your own personal credit history, will be reviewed. We have programs for all type of borrowers regardless of your credit score, even with bad credit. The most important is you can show that you have had consistent monthly revenue in your business and can maintain recurring sales for at least the last 6 months.
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• Proof of down payment: We will need to know if you have enough cash available to pay for the down payment as well as meet other expenses. If you plan to finance $50,000 dollars, it is suggested that you have at least 10% ($5,000) of the finance amount for cash flow purposes and at least a down payment for your insurance. Depending on your used trailer purchase cost, credit and time in business, a down payment averages 10% to 30% to meet the loan to value ratios.
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• Time in business: It is important to have detailed financials if your business is under 2 years of operation. We would like you to demonstrate that you can run a profitable business and have saved up some money for future repairs, tires, insurance and trailer payments. Trucking companies with over 2 years of historical data are easier to approve, however they still fall under the same criteria in profitability and set-aside cash flow.
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• Trailer insurance: We will require insurance on the trailer for property damage and liability for at least 1 million.
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• Other documents: Typical documents we ask for are to provide proof of business, tax returns, profit and loss statements, balance sheets, bank statements, as well as permits and insurance.