Backhoe loader financing

A backhoe loader is two machines on one set of wheels, a loader on the front and an excavator on the back, that drives itself to the job on the road. For a utility contractor, a municipality or a one-machine contractor it does the work of a fleet. iFinancial Group finances backhoes new or used, with the attachments on the same approval, on a one-page application. No tax returns and no audited financial statements to apply, no minimum and up to $1,000,000.

Who you're dealing with

iFinancial Group has funded equipment since 1997, roughly $600 million of it, in all 50 states. We're a direct lender, not a broker, so the file is underwritten in house and not shopped around. Our customers have ranged from independent manufacturers to global technology companies. We've barely advertised in almost three decades. The business came from repeat customers, referrals, and vendors sending us their customers.

What you're financing

A standard 14 to 15 foot dig depth backhoe loader, the most common size, typically lists new from about $100,000 to $150,000. A 15 to 17 foot machine with an extendable dipper, four wheel steer and a cab runs roughly $140,000 to $180,000. Compact backhoes run $60,000 to $90,000.

Those are market ranges. The maker, the hours, the extendable dipper and the cab move them.

What goes on the same approval

The machine, the loader bucket, a multipurpose bucket, the backhoe buckets, a hydraulic thumb, a hammer and a quick coupler all go on one approval. A trailer isn't usually needed since a backhoe drives to the job, which is part of why one-machine contractors buy them.

Freight and an extended warranty are soft costs and can ride on the same deal, on many deals up to 30% of the total.

Who buys them and how the payment gets covered

Utility and pipeline contractors, plumbers and septic installers, municipalities and water districts, farms, and general contractors who want one machine that digs, loads and backfills. A backhoe on a utility contract works every day the contract runs, and a municipal purchase is usually against a budget line, not a loan.

Where the work is seasonal, seasonal payments follow it.

New or used

A standard backhoe five to ten years old typically trades from about $40,000 to $90,000. The used market is deep and steady because rental fleets and municipalities cycle backhoes on a schedule, and dealers, auctions and private sales all move them. All three are financeable here.

On a used backhoe, the tires, the loader and backhoe pins, the swing frame and the hours get the inspection. On the financing side it's the invoice or bill of sale, the serial number, and proof of what was paid. There's no title on most backhoes; the lender's claim is a UCC filing against the serial number.

What slows a backhoe deal down

Mostly nothing. Backhoes are on dealer lots, used ones are everywhere, and a deal can fund inside a week once the terms are signed.

A one-machine contractor starting out is the file that takes a little more. It starts with the one-page application, and a newer business will typically need a little more up front, usually the work the machine is bought to do.

How it works with iFinancial Group

It's the same one-page application whether the equipment is small or the deal runs to $1,000,000: no tax returns and no audited financial statements to apply, no minimum and up to $1,000,000. Decisions typically come back within 24 hours, and an approval holds up to 60 days. New and used equipment, terms up to 84 months, and soft costs up to 30% so freight, setup and training can go in the same deal. Payment structures beyond level payments are there when the equipment earns unevenly. We've been doing this since 1997, in all 50 states.

Other construction equipment: excavator, mini excavator, skid steer, compact track loader, wheel loader, dozer, motor grader, telehandler, compactor, asphalt paver, aerial lift. Or start with construction equipment financing.