Construction businesses in Eugene and Salem—from residential contractors to civil infrastructure firms—often require heavy, costly equipment. Whether you're purchasing excavators, mixers, aerial lifts, or fleet vehicles, securing the right financing helps you grow without depleting working capital. This guide covers equipment loan and leasing options for construction firms in Eugene and Salem, including local SBA and community lender solutions.
Construction companies typically finance:
Earth-moving machinery (backhoes, bulldozers)
Concrete and asphalt mixers
Trucks, trailers, and work vans
Scaffolding and lifts
Specialized tools and technology (surveying, GPS)
Financing allows firms to use equipment immediately and amortize costs over the tool’s productive life.
Equipment loans and leases offer:
Fixed monthly payments (typically over 3–7 years)
Asset-based collateral—equipment secures the loan
Ownership at term end (loan) or flexibility to upgrade (lease)
Tax benefits, such as accelerated depreciation
These options let Eugene and Salem contractors preserve cash and respond quickly to project demands.
Up to $5 million usable for machinery, vehicles, working capital
Flexible repayment and low down payment requirements
Structured financing for both facility and equipment
Provides fixed, long-term rates with a small down payment
Ideal when purchasing land or buildings alongside equipment
Up to $50,000 for smaller equipment purchases or toolsets
Delivered via nonprofit lenders with business support
SBA options provide stability and attractive terms for larger investments.
Local CDFIs in Oregon offer:
Loans from $10,000 to $500,000
Faster, mission-oriented approvals—great for minority-owned or rural contractors
Business coaching and flexible terms
These lenders can fill gaps when traditional lenders are cautious.
Banks and credit unions in Eugene and Salem provide:
Equipment-specific term loans
Agricultural or contractor-focused lending
Custom repayment aligned with project cash flow
Local relationships often result in faster turnaround and responsive service.
Determine equipment need and cost estimate
Choose financing: lease or loan
Prequalify with lenders—bank, SBA, CDFI
Gather docs—financials, credit, quotes
Compare terms: interest, fees, ownership structure
Finalize loan, take delivery, and deploy equipment
Track ROI—equipment uptime, job bids, profit per asset
| Loan Type | Amount | Best For | Considerations |
|---|---|---|---|
| Equipment Loan | Varies | Ownership of heavy machinery | Requires collateral tied to equipment |
| Equipment Lease | Varies | Upgrading equipment frequently | No equity; terms can be shorter |
| SBA 7(a) Loan | Up to $5M | Large purchases and working capital needs | Requires strong financials and documentation |
| SBA 504 Loan | Large asset bundles | Combined property and equipment investments | Includes borrower contribution and CDC oversight |
| SBA Microloan | Up to $50K | Small tools, starters or backup equipment | Limited to smaller amounts |
| CDFI Loan | $10K–$500K | Underserved firms, flexible needs | Good terms; local approval process |
| Bank/CU Term Loan | Varies | Local contractors with good records | Depends on lender relationship and credit |
An Eugene masonry contractor needed to upgrade its fleet and mixer:
Secured a $150,000 equipment loan from a local credit union for two trucks
Used a $75,000 CDFI loan for a mixer, scaffolding, and small tools
Result: bids won for larger residential jobs, a 30% increase in revenue, and timely loan repayment
Maintain credit scores above 650 (personal and business)
Prepare two years of financial statements and tax returns
Present vendor quotes or appraisals for major equipment
Collateralize new/used machinery to boost lender confidence
Consult Oregon SBDC or SCORE mentors for application prep
Compare 2–3 offers for the best interest rates and terms
Equipment financing is crucial for construction firms in Eugene and Salem. By understanding your needs, choosing the right loan type, preparing strong documentation, and selecting a local lender, your business can access the tools needed to build capacity, secure more contracts, and grow profitably.
Define equipment needs and total budget
Choose financing strategy: loan vs. lease
Gather financials, quotes, and projections
Meet with multiple lenders—banks, SBA, CDFIs
Apply and deploy equipment to scale projects
Need help identifying the best lender or preparing loan documentation? I’m here to help your construction business get the equipment and funding it deserves.