A financing program for used equipment dealers.
Used equipment is where manufacturer financing usually stops. Our program lets independent and multi-line dealers offer financing on pre-owned trucks, trailers, heavy equipment, and machinery — we place each deal with a lender whose guidelines fit the unit's age, hours, and condition.
- A used equipment dealer financing program lets an independent or multi-line dealer offer buyers financing on pre-owned equipment, with a third-party lender underwriting and carrying the deal.
- Captive and manufacturer programs are typically built around new units; used equipment usually needs lenders that underwrite pre-owned assets.
- Lenders set their own limits on age, hours, and mileage — a unit one lender won't touch can fit another's guidelines.
- Used equipment terms generally track the unit's remaining useful life, so older equipment often means a shorter term.
- Five North Capital is a brokerage, not a direct lender — we match each used equipment deal to an institutional lender and manage it through funding.
What is used equipment dealer financing?
Used equipment dealer financing is a program that lets a dealer of pre-owned equipment offer buyers financing at the point of sale. A third-party lender underwrites the buyer and the unit, funds the deal, and pays the dealer — the dealer doesn't lend its own money.
Financing used equipment takes more matching than new. Lenders weigh the specific unit — its age, hours or mileage, condition, and resale market — alongside the buyer. Because guidelines differ widely from lender to lender, working with a network is often the difference between a financed sale and a cash-only one.
Why used equipment dealers add a lender network
Finance what captive programs won't
Manufacturer financing is usually tied to new units of one brand. A lender network covers pre-owned, mixed-brand inventory.
Turn aged inventory
Offering a monthly payment on older units widens the pool of buyers who can take them — especially smaller operators who can't pay cash.
More units that fit somewhere
Age, hour, and mileage limits vary by lender. Matching each unit to the right lender means fewer deals die on equipment guidelines alone.
No credit risk on your books
The lender carries the loan or lease, so you sell the unit without financing it in-house.
How the dealer financing program works
Four steps from sign-up to a funded deal. No software to install and no change to how your sales team works.
- 1
Apply as a dealer partner
Tell us what you sell, new or used, typical price points, and how your customers finance today. We'll follow up to get your dealership set up.
- 2
Share your financing link
You get a dealer-specific financing link to put on your website, inventory listings, emails, and quotes — or turn it into a QR code for the lot and showroom. Every inquiry through it is tagged to your dealership.
- 3
We match each buyer to a lender
When a customer applies, we review the deal against our institutional lender network and place it with the lender best suited to the equipment, the buyer's profile, and the deal size.
- 4
The deal funds, you deliver
We manage the process through documents and closing. In a typical transaction, the lender pays the dealer directly once documents are signed and delivery is confirmed.
What used equipment can your customers finance?
Lenders in our network finance a wide range of pre-owned equipment, including:
- Used semi trucks, box trucks, and vocational trucks
- Used dry van, reefer, flatbed, and specialty trailers
- Used excavators, loaders, dozers, and skid steers
- Used cranes, aerial lifts, and telehandlers
- Used CNC machines and fabrication equipment
- Used forklifts and material handling equipment
- Used agricultural equipment (lender-dependent)
- Used medical, restaurant, and commercial equipment
Which used equipment buyers can get financed?
- Small contractors buying their first machine
- Owner-operators buying a used truck or trailer
- Established businesses adding capacity at a lower cost
- Newer businesses (depending on lender program and the owner's credit)
- Buyers with less-than-perfect credit (programs vary by lender)
- Businesses replacing a unit that just went down
What do lenders look at on a used equipment deal?
On top of the buyer's credit and business profile, used equipment deals are underwritten on the unit itself:
- Age of the unit — each lender sets its own maximum age, and older units typically get shorter terms.
- Hours or mileage — usage affects both value and remaining useful life.
- Condition — photos, an inspection, or an independent appraisal may be required on higher-value units.
- Resale market — equipment with an active secondary market is easier to finance.
- Title and serial number — a clean title and verifiable VIN or serial number are standard.
- Sale price vs. value — lenders compare the sale price with the unit's market value when setting the amount they'll finance.
Loans vs. leases on used equipment
Equipment loan
The most common structure for used equipment — the buyer owns the unit and pays it down over a term tied to its remaining useful life.
$1 buyout lease
Structured like a loan with ownership transferring for $1 at the end, documented as a lease.
Fair market value lease
Less common on used equipment, but available from some lenders depending on the unit's age and condition.
Used Equipment Dealer Financing FAQs
How can a used equipment dealer offer financing to customers?
Partner with a financing source that works with lenders who underwrite pre-owned equipment. As a Five North Capital dealer partner, you share a dealer-specific link with buyers, and we match each deal to an institutional lender whose guidelines fit the unit and the buyer.
How old can used equipment be and still get financed?
There's no single cutoff — each lender sets its own maximum age, hours, and mileage by equipment type. Older units can often still be financed with a lender whose guidelines fit, usually with a shorter term.
Do lenders require an inspection or appraisal on used equipment?
Sometimes. Smaller deals may only need photos and the serial number, while higher-value units can require an inspection or independent appraisal.
What terms are typical for used equipment financing?
Terms generally track the equipment's remaining useful life. Used equipment financing commonly runs 2 to 5 years, with newer, lower-hour units qualifying for longer terms.
What down payment is typical on used equipment?
It depends on the buyer's credit and the unit. Equipment financing down payments generally range from 0-20%, and used equipment sometimes requires more than new, particularly for older units.
Can buyers finance mixed-brand or older inventory?
Yes. Unlike manufacturer programs, lenders in our network aren't tied to a brand, so mixed-brand inventory can be financed subject to each lender's guidelines on age and condition.
Is it harder to finance used equipment than new?
It usually takes more matching, because lenders underwrite the specific unit as well as the buyer. That's why working with a lender network, rather than a single bank, tends to help most on used equipment.
Can buyers with fair or limited credit finance used equipment?
Often, yes. Some lenders in our network have programs for buyers with fair credit or limited history, typically with a larger down payment or shorter term.
Dealer programs: Dealer financing program overview · Truck dealers · Trailer dealers
Related: Equipment down payment guide · Construction equipment financing · Equipment loan calculator
Become a Dealer Partner
Tell us about your dealership and we'll be in touch to get you set up to offer financing to your customers. Have a buyer ready now? Send them to our financing application.