What Documents Are Required for Equipment Financing (and How Long the Process Really Takes)

If you’re thinking about financing equipment, you’re probably wondering: What do I need to apply? And how long is this going to take?

The good news is, compared to traditional bank loans, equipment financing tends to be much faster and more straightforward — especially when you’re working with lenders who specialize in it.

Let’s break down exactly what you’ll need and how long the process usually takes.

📄 Documents You’ll Need to Apply

One thing many business owners overlook: your business credit score may be checked, too. Unlike personal credit, pulling business credit typically does not require your authorization. Lenders may reference data from systems like:

Experian Business (Intelliscore Plus)
Equifax Small Business Risk Score
Dun & Bradstreet PAYDEX

While there’s no universal minimum, a PAYDEX score above 70 or a business credit score above 650 (on a 300–850 scale) is often considered healthy. These scores help lenders evaluate how reliably your business pays vendors, suppliers, and other obligations — and may factor into both approvals and rates.

Most equipment financing deals don’t require a mountain of paperwork. Here’s what most lenders typically request:

✅ Core Documents:

Driver’s License (to verify your identity)
Business Entity Docs (LLC, S-Corp, etc.)
Voided Business Check or Bank Verification
Vendor Quote or Invoice (details about the equipment being purchased)
3–6 Months of Business Bank Statements
Credit Application or Personal Financial Statement (PFS)

🧾 Sometimes Requested:

Business license or EIN confirmation letter
Prior-year tax return or YTD financials
Equipment photos, serial numbers, or age (mainly for used assets)

The more organized you are — especially when it comes to having a clean, itemized invoice and recent bank statements — the faster this process moves.

🧾 App-Only vs. Full Financial Package: What’s the Difference?

One of the big benefits of working with equipment finance companies is the availability of “app-only” or “doc-light” programs — especially for smaller deals.

Most lenders offer app-only approvals up to $150K–$250K, depending on credit, time in business, and industry. That means you won’t need tax returns, financial statements, or a detailed business plan. Instead, decisions are made based on your application, credit, and bank statements.

For larger deals or deals with risk factors (e.g., used equipment, weaker credit, newer businesses), lenders may require a full financial package, which can include:

Prior-year tax returns
Year-to-date P&L and balance sheet
Business debt schedule (used to calculate DSCR and assess existing obligations)
Projections or a business plan (especially for startups)

And if you’re going through a bank or SBA lender, expect to provide a full financial package — with more documentation, stricter underwriting, and longer timelines.

⏱️ Timeline: How Long Does Equipment Financing Take?

Depending on the lender, equipment, and complexity of your deal, the timeline can vary.

🟢 Fast-Track Deals (1–3 business days):

Equipment is new and from a known vendor
Borrower has 600+ credit
Bank statements are healthy and clean
All documents submitted upfront with no surprises

🟡 Moderate Deals (3–5 business days):

Equipment is used but from a reputable seller
Minor issues on bank statements or credit
Missing documents that need follow-up

🔴 Slower or Complex Deals (5–10+ business days):

Private party sale or custom-built equipment
Equipment inspection or valuation is required
Borrower has recent overdrafts or weak credit
Entity documents are incomplete or outdated

Traditional banks (especially if using SBA programs) can take several weeks due to more extensive documentation, internal reviews, and collateral analysis.

⚡ Tips to Speed Up the Process

Get a vendor quote before applying — lenders can’t fund without it
Have your bank statements ready in PDF format
Be upfront about any challenges — surprises cause delays
Respond to follow-ups quickly — hours, not days

Want to Know What You Qualify For?

Diogenes can help match you with equipment finance companies that move quickly and understand your business type.

Next in the series: Banks vs. Specialty Lenders: Who Actually Offers Equipment Financing?