Operating a business comes with its own set of financial difficulties and securing the money you need for big purchases is just one of them. Business auto loans can grant you the means to expand your fleet or acquire a specialized vehicle to improve your processes. Here’s what you need to know about some of the most common types of business auto loans that Woodsboro Bank can help you acquire.
Is A Business Auto Loan The Same As A Personal Auto Loan?
If you want a loan to purchase a vehicle, can’t you just take out a personal auto loan? For many reasons, it’s not that simple for businesses. From the terms of the loan and what vehicles are allowed to the maximum amount you can borrow, business auto loans provide greater opportunities to suit these needs. Personal auto loans are meant for private individuals who are not intended to primarily use the vehicle for business purposes.
Class 8 & Heavy-Duty Loans
Not all types of vehicles are covered under standard auto loans. If you are in need of a heavy-duty vehicle or a Class 8 truck, there are specific loans for you. Loans for large vehicles often offer broader terms, such as an increased cap on the number of miles allowable on used vehicles—sometimes, this number can be 500,000 or more, which is far more than the average private vehicle achieves. Many heavy-duty vehicle loans also offer lengthier terms due to their overall higher cost.
Commercial Lines Of Credit
Sometimes, what your business really needs isn’t a single large vehicle—but multiple vehicles over time. In these situations, a business line of credit for auto financing can be a valuable asset. With a line of credit, you can regularly lease vehicles as needed or finance smaller vehicles without the need to take out a loan every time. Depending on how your business operates, this helps to preserve your cash flow and make budgeting more predictable.
Loans For Specialty Vehicles
Not all vehicles will suit the needs of your business, and you might need specialty options in order to achieve your goals. If your financing must include provisions for modifying a vehicle or adding accessibility, like a wheelchair lift, you might find that a specialty vehicle loan is more advantageous than a standard business auto loan.
Trust Your Local Bank To Provide Personalized Solutions For Your Commercial Needs
The right loan for your situation will depend on your specific needs—and that’s why Woodsboro Bank spends time getting to know each and every customer. We are happy to recommend personalized products to help you achieve your goals. Reach out to schedule an appointment or ask any questions you may have.