Bringing an energy drink brand from formulation to full-scale production requires far more capital than most founders expect, and much of it goes straight into machinery. Energy drink manufacturing equipment financing gives beverage companies a way to acquire canning lines, mixing tanks, pasteurizers, and labeling systems without draining cash reserves needed for ingredients, marketing, and distribution. This guide breaks down exactly how this type of financing works, what equipment qualifies, how to qualify for it, and how to choose the right funding structure for your production goals.
In This Article
Energy drink manufacturing equipment financing is a category of commercial lending designed specifically to help beverage producers acquire the physical machinery required to formulate, mix, carbonate, fill, seal, label, and package energy drinks at scale. Instead of paying the full purchase price of a canning line or pasteurization system out of pocket, a company borrows against or leases the equipment itself, spreading the cost over a fixed repayment term that typically mirrors the useful life of the machine.
This type of financing exists because energy drink production is one of the most equipment-intensive segments of the consumer packaged goods (CPG) industry. A single high-speed canning line can cost anywhere from $250,000 to well over $2 million depending on output capacity, automation level, and whether it includes integrated carbonation and pasteurization modules. Very few independent beverage brands can write a check for that amount without financing, which is why equipment-secured lending has become the standard path to owning production capacity.
Unlike a general-purpose business loan, equipment financing is secured by the asset being purchased. That collateral relationship changes the risk calculation for lenders, often making approval easier and terms more favorable than unsecured working capital products. For an energy drink brand moving from co-packing to in-house production, or an existing manufacturer upgrading a bottleneck piece of machinery, this financing structure is usually the most efficient way to get equipment on the production floor.
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Apply Now →Most energy drink brands start out working with a co-packer, a contract manufacturer that already owns the canning, mixing, and packaging equipment needed to produce beverages at scale. Co-packing is a reasonable way to launch, but it comes with real costs: high minimum order quantities, limited scheduling flexibility, thinner margins, and little control over formulation consistency or quality assurance. Once a brand has proven demand, moving to in-house or partially in-house production becomes the clearest path to protecting margin and controlling supply.
Here is why equipment financing specifically, rather than paying cash, tends to be the smarter move for growing beverage companies.
Key Insight: Brands that move from co-packing to in-house canning typically report a 15% to 30% reduction in per-unit production cost once volume is high enough to offset the fixed cost of owning the equipment.
Energy drink production involves a chain of specialized machinery, and financing can generally be applied to any piece of equipment used in the manufacturing, filling, or packaging process. Common categories include:
Nearly all of this equipment can be financed as new or used, and financing can be structured to cover a single machine, a full production line, or an entire facility retrofit in one package.
The mechanics of equipment financing are more straightforward than most business owners expect. Here is the general process from application to funded equipment on the production floor.
Work with your equipment vendor to get a formal invoice or quote for the machinery, including model, capacity, and total price. Lenders use this quote to structure the financing.
Provide basic business information, the equipment quote, and financial documentation such as recent bank statements and tax returns. Because the equipment secures the loan, documentation requirements are often lighter than unsecured products.
The lender reviews your business's cash flow, credit profile, and the equipment's resale value to determine loan amount, term length, and rate. Most decisions come back within one to three business days.
In most structures, the lender pays the equipment vendor directly, so you never have to front the purchase price and wait for reimbursement.
Once the equipment is installed and operational, you begin making fixed monthly payments over the agreed term, typically three to seven years depending on the equipment's expected useful life.
There is more than one way to structure equipment financing for an energy drink production line. Choosing the right structure depends on whether you want to own the equipment outright, prefer lower monthly payments, or need to preserve flexibility to upgrade equipment as your brand scales.
An equipment loan provides a lump sum to purchase machinery outright, with the equipment serving as collateral. You own the asset from day one, build equity as you pay down the loan, and can typically claim depreciation as the equipment ages. This is the most common structure for brands planning to keep equipment long-term.
Equipment leasing allows you to use the machinery for a set term in exchange for regular payments, often with lower monthly costs than a loan and the option to upgrade to newer equipment at the end of the term. This structure suits brands anticipating rapid growth or technology changes in their production process, since it avoids being locked into equipment that may need replacement in a few years.
SBA loans, particularly the 7(a) and 504 programs, can be used to finance manufacturing equipment and often carry lower interest rates and longer repayment terms than conventional equipment loans. The tradeoff is a longer, more document-intensive approval process, making SBA financing better suited to established producers than brand-new startups needing fast equipment turnaround.
An equipment line of credit gives growing manufacturers a standing credit facility they can draw on repeatedly to finance multiple pieces of equipment over time, rather than applying separately for each purchase. This is useful for producers building out a full production line in phases.
While not used to purchase the equipment itself, a business line of credit is often paired with equipment financing to cover installation costs, facility modifications, staff training, or the working capital gap that occurs while new equipment ramps up to full production capacity.
| Structure | Ownership | Typical Term | Best For |
|---|---|---|---|
| Equipment Loan | You own the asset | 3-7 years | Long-term equipment you plan to keep |
| Equipment Lease | Lender owns, you use | 2-5 years | Brands expecting to upgrade equipment often |
| SBA Equipment Loan | You own the asset | Up to 10-25 years | Established producers seeking lowest rates |
| Equipment Line of Credit | You own each draw's asset | Revolving | Phased production line build-outs |
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Every beverage manufacturer's equipment needs are different. Get matched with a financing structure built around your growth stage.
Apply Now →Equipment financing tends to be more accessible than unsecured business loans because the machinery itself reduces the lender's risk. Even so, lenders evaluate several factors before extending an approval.
Pro Tip: Having a signed purchase order from a retailer or distributor strengthens an equipment financing application significantly. It demonstrates concrete demand and gives lenders confidence the new production capacity will be used immediately, not sit idle.
One of the most practical decisions an energy drink producer faces is whether to finance new or used equipment. Both options are financeable, but each comes with tradeoffs worth understanding before committing to a purchase.
New machinery comes with full manufacturer warranties, the latest automation and efficiency features, and typically lower maintenance costs in the first several years. Lenders often view new equipment favorably because it holds resale value longer and carries less mechanical risk. The tradeoff is a higher purchase price and, in some cases, longer lead times for delivery and installation.
Used equipment financing can dramatically reduce the upfront capital needed to establish a production line, making it a popular option for brands transitioning off co-packing for the first time. Reputable used equipment dealers often refurbish canning lines and mixing systems to near-new operating condition. The key is verifying maintenance history, remaining useful life, and whether replacement parts are still readily available before financing a used purchase.
Brands producing high volumes with long-term growth plans often benefit more from new equipment, since the efficiency gains and lower downtime pay for the price difference over time. Brands just transitioning from co-packing, or those testing a new product line before committing to full-scale expansion, frequently start with used equipment to reduce initial capital exposure while validating demand.
Crestmont Capital works with beverage producers at every stage, from brands financing their first canning line to established manufacturers expanding an existing facility. Rather than offering a single rigid loan product, Crestmont structures financing around the specific equipment, production goals, and cash flow profile of each business.
Our underwriting team understands the capital cycle of beverage manufacturing, including how co-packer transitions, seasonal demand, and retailer payment terms affect cash flow. That context allows us to structure financing that fits the realities of running a production facility, not a generic lending template.
Whether your business needs an equipment loan to own a canning line outright, a lease to preserve flexibility for future upgrades, or a working capital loan to bridge cash flow while new equipment ramps up, Crestmont can structure and coordinate these products together.
Applications are typically reviewed within one to three business days, and approved funds are paid directly to your equipment vendor, so you are not left fronting a six or seven-figure purchase while waiting on reimbursement.
Every Crestmont client works with a dedicated funding advisor who understands the beverage manufacturing space and can help structure financing around future growth, not just the immediate purchase. For related reading, see our guide on energy drink company business loans, which covers broader financing options beyond equipment, and our breakdown of bottled water production equipment financing for producers evaluating similar canning and filling machinery.
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Apply Now →Beyond choosing a financing structure, it is worth stepping back and comparing financing broadly against the alternative of paying cash outright, since this decision affects your company's overall capital strategy.
Paying cash avoids interest costs entirely and results in immediate, unencumbered ownership. However, it ties up a large sum of working capital that could otherwise fund ingredient purchases, marketing, or the next production run. For most growing beverage brands, the opportunity cost of tying up six or seven figures in a single asset outweighs the interest savings, particularly during a growth phase when cash flow is needed elsewhere.
Financing spreads the cost over time, preserving cash for operations while still building toward full ownership. The tradeoff is the cost of interest over the life of the loan, though this is often offset by the ability to deploy preserved cash toward revenue-generating activities like marketing or inventory.
Leasing offers the lowest monthly payment and the most flexibility to upgrade equipment, but total cost over time is typically higher than an equipment loan if you intend to keep the machinery long-term. Leasing works best when technology is evolving quickly or when a brand is not yet certain about long-term production volume.
The right choice depends on your growth trajectory, how confident you are in long-term production volume, and how much you value preserving cash versus minimizing total interest cost. Many established producers use a mix, financing core long-life equipment like canning lines while leasing equipment more likely to be upgraded, such as labeling or coding systems.
By the Numbers
Energy Drink Manufacturing Equipment Financing - Key Figures
$98.8B
Projected global energy drink market size, driving demand for new production capacity (Forbes)
90%
Typical maximum loan-to-value on new canning line equipment financing
3-7 Yrs
Typical repayment term, matched to equipment's useful life
1-3 Days
Typical underwriting turnaround for equipment-secured financing
Financing a canning line, mixing system, or full production build-out does not need to be a slow or complicated process. Here is how to move from equipment quote to funded machinery with Crestmont Capital.
Work with your equipment vendor to finalize the machine specifications and total purchase price before applying.
Complete Crestmont's online application with basic business details and the equipment quote. No impact on your credit score to see your options.
Your dedicated advisor reviews your production goals and recommends the structure, term, and rate that fits your business.
Once approved, funds are paid directly to your vendor and your equipment is delivered and installed, often within days of final approval.
It is a form of commercial financing used to purchase or lease machinery involved in producing energy drinks, including mixing tanks, canning lines, pasteurizers, and labeling equipment. The equipment itself typically secures the loan.
Costs vary widely based on speed and automation level, ranging from roughly $250,000 for a basic mid-capacity line to well over $2 million for a fully automated high-speed system with integrated carbonation and pasteurization.
Yes, though it may require a signed purchase order or distribution agreement demonstrating confirmed demand, along with the founder's personal credit history, since the business itself may not yet have an established revenue track record.
Many lenders can work with scores in the mid-600s or even lower, since the equipment itself reduces risk. A stronger credit score typically results in a lower rate and higher approval amount, but is not always a hard requirement.
Yes, used equipment financing is a common and often more affordable path for brands transitioning off co-packing for the first time. Lenders will typically want to verify the equipment's maintenance history and remaining useful life.
An equipment loan gives you ownership of the machinery from day one while you repay the loan. A lease lets you use the equipment for a fixed term with lower monthly payments, often with the option to purchase, upgrade, or return the equipment at the end of the term.
Most equipment financing decisions are made within one to three business days once the equipment quote and financial documentation are submitted. SBA-backed equipment loans typically take longer due to additional documentation requirements.
Many equipment financing structures allow for 90% to 100% financing of the equipment cost, especially for new machinery from established vendors. Down payment requirements are typically higher for used or highly specialized equipment.
Typically an equipment quote or invoice, 3-6 months of business bank statements, recent business tax returns, and basic company formation documents. Startups may also provide a purchase order or distribution agreement.
Yes. Financing can be structured to cover a single machine or an entire production line, including mixing, filling, sealing, pasteurization, and packaging equipment, either as one package or in financed phases.
SBA loans can offer some of the lowest rates and longest repayment terms available for equipment purchases, making them attractive for established manufacturers. The tradeoff is a slower, more document-heavy approval process compared to conventional equipment financing.
Because the equipment secures the loan, the lender can repossess the machinery to recover losses in the event of default, similar to a vehicle loan. This is why lenders assess cash flow carefully before approving financing, to help ensure payments are sustainable.
Brands that transition to in-house production commonly see per-unit cost reductions of 15% to 30% once volume is sufficient to offset the fixed cost of owning equipment, since co-packer labor markups and per-unit fees are eliminated.
Yes. Many producers pair equipment financing with a separate working capital loan or line of credit to cover installation, facility modifications, or the temporary cash flow gap while new equipment ramps up to full production capacity.
New equipment offers full warranties and lower maintenance risk, which suits brands planning long-term high-volume production. Used equipment lowers upfront capital needs and often works well for brands transitioning off co-packing for the first time or testing a new product line before committing to full-scale expansion.
Energy drink manufacturing equipment financing gives beverage producers a practical way to build production capacity without draining the cash needed to run the rest of the business. Whether you are transitioning off a co-packer for the first time, adding a pasteurizer to meet a retailer's requirements, or phasing in a full production line over 18 months, the right financing structure can match your equipment purchase to your company's actual cash flow and growth timeline. With equipment-secured approval decisions often returned in one to three business days and funds paid directly to your vendor, financing remains one of the fastest, most accessible ways for an energy drink manufacturer to move from co-packed volumes to owned production capacity.
Disclaimer: The information provided in this article is for general educational purposes only and is not financial, legal, or tax advice. Funding terms, qualifications, and product availability may vary and are subject to change without notice. Crestmont Capital does not guarantee approval, rates, or specific outcomes. For personalized information about your business funding options, contact our team directly.