Crestmont Capital Blog

Tanning Bed Financing: The Complete Guide for Salon and Business Owners | Crestmont Capital

Written by Crestmont Capital | April 12, 2026

Tanning Bed Financing: The Complete Guide for Salon and Business Owners

Acquiring high-quality tanning beds is a significant investment, but it's essential for attracting and retaining clients. Tanning bed financing provides a strategic way for salon owners, fitness centers, and spas to obtain the latest equipment without depleting their cash reserves. This guide covers everything you need to know about financing commercial tanning equipment to grow your business effectively.

In This Article

What Is Tanning Bed Financing?

Tanning bed financing is a business funding solution that allows you to acquire commercial tanning equipment through a loan or lease agreement. Instead of paying the full purchase price upfront, you make predictable monthly payments over a set term. This arrangement makes high-end equipment accessible while preserving your working capital for other essential business operations like marketing, payroll, and inventory. The cost of commercial tanning equipment can vary significantly, with prices ranging from $1,000 for a basic entry-level unit to over $50,000 for a state-of-the-art high-pressure bed or advanced red light therapy system. For most business owners, paying such a large sum out-of-pocket is not feasible or financially prudent. Tanning salon equipment financing bridges this gap, enabling you to equip your facility with revenue-generating assets immediately. This type of financing is not limited to traditional tanning salons. A wide range of businesses utilize it to enhance their service offerings and create new revenue streams. Fitness centers and gyms often add tanning services as a membership perk, while day spas, wellness centers, and resorts integrate tanning and red light therapy to provide a more comprehensive client experience. For any business looking to offer these services, financing is the primary method used to acquire the necessary equipment. Ultimately, financing is a strategic tool for growth. It allows you to stay competitive by offering the latest technology that clients demand, from powerful UV beds to popular spray tan booths and wellness-focused red light therapy systems. By breaking down a large capital expenditure into manageable payments, you can invest in the future of your business and start generating a return on your new equipment from day one.

Benefits of Financing Tanning Beds vs. Paying Cash

While paying cash for equipment might seem like the simplest option, financing often provides superior financial and operational advantages for a business. The primary benefit is the preservation of working capital. Cash is the lifeblood of any small business, and tying up tens of thousands of dollars in equipment can leave you vulnerable to unexpected expenses or unable to seize new opportunities. By financing, you keep your cash free for marketing campaigns, hiring staff, or managing day-to-day operational costs. Financing also offers significant tax advantages that can lower your overall equipment cost. Under Section 179 of the IRS tax code, businesses can often deduct the full purchase price of qualifying new or used equipment in the year it is placed into service. This can provide a substantial tax saving. Additionally, payments on a true tanning bed lease may be considered an operating expense and can be fully deducted, further reducing your taxable income. Always consult with a tax professional to understand the specific benefits for your business. Another key benefit is the ability to keep your technology current. The tanning and wellness industry evolves quickly, with new features and more efficient models released regularly. Financing, particularly leasing, makes it simple to upgrade your equipment at the end of the term. This ensures your salon always offers the best and most desirable services, helping you stay ahead of competitors without facing another large, upfront capital expense every few years.

Industry Insight: According to the Equipment Leasing and Finance Association (ELFA), eight out of ten U.S. companies use financing to acquire the equipment they need to operate and grow. This highlights that financing is a standard and strategic business practice, not just a last resort.

Looking to Finance Tanning Equipment?

Get fast, flexible equipment financing from the #1 business lender in the U.S. Decisions in as little as 24 hours.

Apply Now →

Types of Tanning Bed Financing Available

When you decide to finance a tanning bed, you have several options. The right choice depends on your business goals, financial situation, and whether you want to own the equipment long-term. Understanding these different structures is the first step toward securing the best deal for your salon. **Equipment Loans:** An equipment loan is a straightforward financing option where a lender provides the funds to purchase the tanning beds, and you repay the loan with interest over a set term. The equipment itself serves as collateral for the loan. At the end of the term, you own the tanning beds free and clear. This is an excellent choice if you plan to use the equipment for many years and want to build equity in your business assets. **Equipment Leasing:** A tanning bed lease allows you to use the equipment for a specific period in exchange for regular payments. Leases often have lower monthly payments than loans and may not require a significant down payment. There are two common types: a $1 buyout lease (or capital lease), which functions similarly to a loan and allows you to own the equipment for a dollar at the end, and a Fair Market Value (FMV) lease (or operating lease), which gives you the option to purchase the equipment at its market value, return it, or renew the lease at the end of the term. FMV leases are ideal for businesses that want to upgrade to new technology every few years. **Working Capital Loans:** While not specifically for equipment, a working capital loan provides a lump sum of cash that can be used for various business needs, including purchasing tanning beds. This option offers flexibility if you need to finance more than just the equipment, such as salon renovations, initial marketing for your new service, or a bulk purchase of tanning lotions and supplies. **Other Options:** A Business Line of Credit provides access to a revolving credit line you can draw from as needed, making it suitable for ongoing expenses or smaller equipment purchases. For businesses with strong credit and a solid history, Small Business Administration (SBA) loans offer excellent rates and terms. However, the application process for SBA loans is typically longer and more intensive than for other types of commercial tanning equipment financing.
Financing Type Best For Typical Term Down Payment
Equipment Loan Long-term ownership and building equity. 2-7 years Often 0-10%
Equipment Lease Lower payments and upgrading technology. 2-5 years Often first & last payment
Working Capital Loan Financing equipment plus other business costs. 1-5 years Varies
Business Line of Credit Ongoing or unexpected equipment needs. Revolving None
SBA Loan Established businesses seeking the lowest rates. 5-10+ years 10-20%

How Tanning Bed Financing Works: Step by Step

The process of securing tanning bed financing is designed to be fast and straightforward, allowing you to get your equipment and start generating revenue quickly. While specific steps may vary slightly between lenders, the general process follows a clear path from application to funding. For most business owners, the entire timeline can be completed within just a few business days. The first step is to complete a simple financing application. Most modern lenders, like Crestmont Capital, offer a secure online application that takes only a few minutes to fill out. You will provide basic information about your business, such as its legal name, address, time in business, and estimated annual revenue. You will also need to specify the amount of financing you are requesting and provide details about the tanning equipment you intend to purchase, including a quote or invoice from the vendor. After submitting your application, a financing specialist will review your information. They may request additional documentation to verify your business's financial health, typically including the last three to six months of business bank statements. The lender uses this information to assess risk and determine the rates and terms they can offer. Thanks to streamlined underwriting processes, approvals are often granted within 24 to 48 hours. Once approved, you will receive a financing agreement outlining the terms, and upon your signature, the lender will pay the equipment vendor directly. Your business then receives the equipment, and you begin making your scheduled payments to the lender.

By the Numbers

Tanning Industry and Equipment Financing at a Glance

$3.5B

Global tanning bed market value (2024)

80%+

of U.S. businesses use financing for equipment acquisition

$50K+

Cost of a high-end commercial tanning bed unit

24 Hrs

Typical approval time for equipment financing

Tanning Bed Costs: What to Expect

The cost of commercial tanning equipment is a primary factor in your financing decision. Understanding the price ranges for different types of units helps you create a realistic budget and determine the appropriate financing amount. Prices are influenced by brand, features, technology, and condition (new vs. used). Here is a general breakdown of what you can expect to pay for various types of equipment: * **Entry-Level Stand-Up or Lay-Down Beds ($2,000 - $5,000):** These are basic, reliable units ideal for businesses adding tanning as a secondary service or for new salons on a tight budget. They offer standard tanning performance without advanced features like high-pressure facials or intricate cooling systems. * **Mid-Range Lay-Down Beds ($5,000 - $15,000):** This is the most common category for dedicated tanning salons. These beds often include more lamps, dedicated facial tanners, body cooling fans, and integrated audio systems, providing a more comfortable and effective experience for clients. * **High-Pressure Commercial Beds ($15,000 - $35,000+):** These top-of-the-line units use specialized high-pressure quartz lamps that filter out most UVB rays. This results in a faster, deeper, and longer-lasting tan, commanding a premium price per session. * **Red Light Therapy Beds ($3,000 - $20,000):** A rapidly growing segment, red light therapy beds do not produce a tan but offer skin rejuvenation and wellness benefits. Costs vary based on the number of LEDs, wavelength options, and overall bed size and quality. * **Automated Spray Tan Booths ($2,000 - $10,000+):** UV-free tanning is a major market. Automated spray tan booths from brands like VersaSpa or Mystic Tan offer privacy and consistency, with costs depending on the level of automation and solution-heating features. Beyond the sticker price of the equipment, it is important to factor in associated costs when applying for financing. These can include delivery and installation fees, which may require specialized technicians and electricians to ensure proper setup and ventilation. You should also budget for initial staff training, a starting inventory of tanning lotions and supplies, and potential software costs for managing client appointments and memberships. Including these expenses in your total financing request ensures you are fully funded for a successful launch.

Pro Tip: Financing used tanning beds can be a great way to save money, but work with a lender who understands the equipment. Lenders may have age restrictions (e.g., no older than 5-7 years) and will want to ensure the equipment is in good working order. While new equipment comes with a warranty and the latest features, a well-maintained used bed from a reputable brand can offer excellent value and a faster return on investment.

Qualification Requirements for Tanning Bed Financing

Qualifying for tanning bed loans or leases is accessible for a wide range of businesses, from established salons to brand-new ventures. Lenders evaluate several key factors to determine your eligibility, rates, and terms. The stronger your business profile, the more favorable your financing options will be. The most significant factor is typically your personal and business credit score. A higher credit score demonstrates a history of responsible financial management and reduces the lender's risk. Business owners with a FICO score of 680 or higher will generally qualify for the best rates and terms. However, many lenders, including Crestmont Capital, have programs designed for business owners with credit scores in the low 600s or even below, ensuring that financing is still an option. Time in business is another important consideration. Lenders prefer to work with businesses that have been operating for at least two years, as this provides a track record of stability and revenue. For startups or businesses less than two years old, financing is still very possible. Lenders will place more weight on the owner's personal credit score, industry experience, and a detailed business plan that projects future revenue and profitability. Lenders will also assess your business's annual and monthly revenue. They need to see that you have sufficient and consistent cash flow to comfortably handle the new monthly payment for the tanning equipment. A common minimum requirement is around $10,000 to $15,000 in monthly revenue, though this can vary. To verify this, you will typically be asked to provide your most recent three to six months of business bank statements. Other required documents usually include a completed application and a formal quote or invoice for the equipment you wish to purchase.

Ready to Upgrade Your Tanning Equipment?

Flexible equipment financing from $5,000 to $5 million. No collateral required for most transactions. Apply in minutes.

Get Approved Today →

How Crestmont Capital Helps with Tanning Bed Financing

At Crestmont Capital, we specialize in providing fast, flexible, and reliable financing solutions for businesses in the beauty and wellness industry. We understand the unique needs of salon and spa owners and have structured our programs to help you acquire the revenue-generating equipment you need with minimal hassle. Our streamlined process ensures you can get from application to funding in as little as 24 hours, so you can get your new tanning beds installed and serving clients without delay. We offer a comprehensive suite of funding products to match your specific goals. Our equipment financing programs provide a direct path to ownership, allowing you to build equity in your assets. For those who prioritize lower monthly payments and the flexibility to upgrade technology, our equipment leasing options are an ideal fit. You can learn more about the fundamentals in our guide to equipment financing 101. Crestmont Capital is committed to helping businesses of all sizes and credit profiles. We understand that a less-than-perfect credit score shouldn't be a barrier to growth. That's why we offer specialized bad credit equipment financing programs designed to provide fair and accessible funding options. Whether you're a brand-new startup or an established salon looking to expand, our dedicated financing advisors will work with you to understand your needs and craft a solution that fits your budget. Beyond just equipment, we can also support your overall business growth. If you're looking to finance a package of tanning beds along with renovations, marketing, and inventory, our flexible small business loans can provide the comprehensive funding you need. We have extensive experience providing tanning salon business loans that cover all aspects of opening or expanding your operations.

Who Tanning Bed Financing Is Best For

Tanning bed financing is a versatile tool that benefits a wide array of businesses looking to add or upgrade tanning and wellness services. The structure of financing makes it an ideal solution for different business models, each with unique goals and operational needs. **Existing Tanning Salons:** For established salons, financing is the key to staying competitive. It enables you to replace aging equipment, upgrade to high-performance beds that command higher prices, or diversify your offerings with popular services like red light therapy and automated spray tanning. This keeps your client base engaged and prevents them from going to a newer, better-equipped competitor. **New Salon Startups:** For entrepreneurs opening their first salon, financing is often essential. The high upfront cost of a full suite of tanning beds, a front desk system, and initial inventory can be prohibitive. Tanning bed financing allows you to equip your entire salon with professional-grade equipment from day one, giving your new business a strong foundation for success without draining all your startup capital. **Fitness Centers and Gyms:** Many gyms and health clubs use tanning as a valuable upsell or an included perk in premium membership tiers. Financing allows them to add a tanning suite without a major capital investment, creating a new, high-margin revenue stream and increasing member retention by offering more services under one roof. **Spas, Resorts, and Hotels:** High-end hospitality and wellness businesses can enhance the guest experience by offering tanning, red light therapy, or spray tan services. Financing makes it easy to add these luxury amenities, which can be bundled into spa packages or offered as a-la-carte services, boosting per-customer revenue and overall appeal.

Tips for Getting the Best Tanning Bed Financing Deal

Navigating the financing process can be simple, but a few strategic steps can help you secure the most favorable terms and rates for your business. Being prepared and knowledgeable empowers you to make the best decision for your salon's financial health. First, know your credit score before you apply. Your personal and business credit are primary factors in any lending decision. By checking your scores in advance, you can address any errors or issues and have a clear understanding of what to expect. A higher score generally leads to lower interest rates and better terms, so taking steps to improve it can pay off significantly. Second, gather your financial documents ahead of time. Most lenders will require recent business bank statements, a formal quote for the equipment, and basic business information. Having these documents organized and ready will speed up the application and underwriting process, getting you an approval decision faster. Third, compare offers from multiple lenders, but look beyond just the monthly payment. Analyze the interest rate or factor rate, the total repayment amount, the length of the term, and any potential fees. A lower monthly payment over a much longer term could result in you paying significantly more for the equipment in the long run. Understand the full cost of financing before committing. Finally, negotiate with your equipment vendor. Sometimes, vendors have relationships with preferred lenders or may be able to offer promotional financing or bundle deals. Don't hesitate to ask if they can provide a better price on the equipment package, which in turn reduces the total amount you need to finance. A good relationship with your vendor can be a valuable asset.

Real-World Scenarios: Tanning Bed Financing in Action

**Scenario 1: A New Salon Owner Equipping Her First Location** Sarah is opening "Glow Up Tanning Studio," her first business venture. She needs to purchase a package of five beds: two mid-range lay-down units, two entry-level stand-up units, and one automated spray tan booth. The total equipment cost from the vendor is $42,000. As a startup with no business history, paying cash is impossible. Sarah applies for tanning bed financing with Crestmont Capital. Based on her strong personal credit score (740) and solid business plan, she is approved for a $45,000 equipment loan to cover the beds and installation costs. She secures a 5-year term with a predictable monthly payment, allowing her to preserve her remaining cash for marketing and operational expenses during her crucial first year. **Scenario 2: An Established Gym Adding a Tanning Amenity** "Peak Fitness," a successful gym with over 1,000 members, decides to add a tanning suite to create a new revenue stream and enhance its premium membership package. The owner, Mike, wants to add two high-performance lay-down beds and one stand-up unit, costing $28,000. Instead of a loan, he opts for a 3-year Fair Market Value (FMV) lease. This results in a lower monthly payment compared to a loan and gives him the option to upgrade to the newest models in three years, ensuring his gym's amenities remain modern. The new service generates over $2,000 in monthly revenue, easily covering the lease payment and adding pure profit to his bottom line. **Scenario 3: A Med Spa Upgrading to Red Light Therapy** Dr. Evans runs a successful medical spa and wants to capitalize on the growing demand for non-invasive wellness treatments. She decides to replace an underused room with two full-body red light therapy beds, which cost $18,000 each for a total of $36,000. She uses an equipment financing agreement to purchase the beds. Because of her business's strong revenue and excellent credit, she qualifies for a low interest rate over a 4-year term. The beds become a popular service, and she markets them as an add-on to her existing aesthetic treatments, generating a significant return on her investment within the first year. **Scenario 4: A Franchisee Expanding to a New Location** David is a franchisee of a national tanning salon brand and is opening his third location. He needs to purchase the brand-mandated package of ten assorted tanning beds and two spray tan booths, totaling $115,000. Having an established relationship with Crestmont Capital from his previous locations, the process is expedited. He submits the vendor invoice and his updated financials. Within 48 hours, he is approved for the full amount on a 7-year equipment loan. The financing allows him to standardize his new salon with the same high-quality equipment as his other successful locations without disrupting the cash flow of his existing operations.

Frequently Asked Questions

What exactly is tanning bed financing? +

Tanning bed financing is a type of business funding, specifically an equipment loan or lease, that allows you to acquire commercial tanning beds, spray tan booths, or red light therapy systems for your business. Instead of paying the full price upfront, you make regular monthly payments over a predetermined term, allowing you to conserve cash and generate revenue from the equipment immediately.

How much can I borrow for tanning equipment? +

Financing amounts can range from as little as $5,000 to over $1 million, depending on the lender and your business's qualifications. The amount you can borrow depends on factors like your credit score, time in business, annual revenue, and the cost of the equipment you wish to purchase. Most lenders can finance 100% of the equipment cost, including soft costs like taxes, delivery, and installation.

What credit score do I need to finance a tanning bed? +

While a credit score of 680 or higher will typically secure the best rates, financing is available for a wide range of credit profiles. Many lenders, including Crestmont Capital, have programs for business owners with credit scores as low as 600. For scores below that, options may still be available but could require a larger down payment or have higher rates.

Can I finance used tanning beds? +

Yes, most equipment financing companies will fund the purchase of used tanning beds. However, there may be restrictions on the age and condition of the equipment. Lenders want to ensure the asset has enough useful life to outlast the financing term. It's best to discuss the specific used equipment you're considering with your financing advisor.

How long does the approval process take? +

The approval process for tanning bed financing is typically very fast. With a streamlined online application and minimal documentation requirements, most businesses can receive an approval decision within 24 to 48 hours. Funding can occur shortly after, often within the same week.

What documents do I need to apply? +

For most applications under $250,000, you will typically only need a completed one-page application, a formal quote or invoice from the equipment vendor, and your last three months of business bank statements. For larger requests or more complex situations, additional financial documents like tax returns or profit and loss statements may be required.

Is there a down payment required? +

Many equipment financing programs require little to no money down for well-qualified businesses. Some lease agreements may only require the first and last month's payments upfront. For businesses with challenged credit or startups, a down payment of 10-20% might be requested to offset the lender's risk.

Can I finance red light therapy beds or other wellness equipment? +

Absolutely. Equipment financing is not limited to just traditional tanning beds. You can finance a wide range of related equipment, including red light therapy beds, cryotherapy machines, hydromassage beds, automated spray tan booths, and salon management software. If it's an asset that helps your business generate revenue, it can likely be financed.

What's the difference between a loan and a lease for tanning equipment? +

The main difference is ownership. With an equipment loan, you are the owner of the tanning bed from the start, and it becomes a long-term asset on your balance sheet. With a lease, you are essentially renting the equipment for a set term. Leases often have lower payments and provide flexibility to upgrade at the end of the term, while loans are better for building equity in your business assets.

Can new businesses get tanning bed financing? +

Yes, startups and new businesses can qualify for tanning bed financing. Lenders will place more emphasis on the owner's personal credit score, industry experience, and a comprehensive business plan. While terms might be slightly different than for an established business, financing is a very common way for new salons to get equipped and open their doors.

Are there 0% financing options available? +

True 0% financing is rare from third-party lenders. These offers typically come directly from equipment manufacturers as a sales promotion. It's important to read the fine print, as sometimes the equipment price is inflated to cover the financing cost, or the 0% rate only applies for a short introductory period. It is always wise to compare a 0% offer with a traditional financing quote to see the true total cost.

How do I choose the right financing amount? +

Your financing amount should cover the total cost of getting the equipment operational. This includes the purchase price of the tanning beds, plus any applicable taxes, delivery fees, and installation costs. It's better to request a slightly higher amount to cover unforeseen expenses than to come up short and have to pay out-of-pocket.

What happens if I can't make my payments? +

If you anticipate difficulty making a payment, it is critical to contact your lender immediately. Most lenders are willing to work with businesses facing temporary hardship and may be able to offer solutions like a short-term deferment. Proactive communication is key to protecting your business and your credit.

Can I pay off my equipment loan early? +

This depends on the terms of your specific financing agreement. Some equipment loans allow for early prepayment without penalty, while others may have a prepayment penalty to account for the interest the lender would have earned over the full term. Be sure to clarify this with your lender before signing the agreement.

How are spray tan booths financed? +

Spray tan booths are financed in the exact same way as traditional tanning beds. They are considered essential business equipment for salons and spas. You can use an equipment loan or lease to acquire automated booths from leading brands like VersaSpa, Mystic Tan, or Norvell, just as you would for any other piece of commercial tanning equipment.

Start Your Tanning Equipment Financing Application

Join thousands of salon and spa owners who trust Crestmont Capital. Apply in minutes - no obligation.

Apply Now →

How to Get Started with Tanning Bed Financing

1
Apply Online
Complete our quick application at offers.crestmontcapital.com/apply-now - takes just a few minutes.
2
Speak with a Specialist
A Crestmont Capital advisor will review your equipment needs and match you with the right financing option.
3
Get Funded
Receive your funds and purchase your tanning equipment - often within days of approval.

Conclusion: Invest in Your Salon's Growth

Investing in modern, high-quality tanning equipment is fundamental to the success and growth of any salon, spa, or fitness center. However, the substantial upfront cost can be a significant hurdle. Tanning bed financing removes this barrier, transforming a massive capital expenditure into a manageable and predictable monthly operating expense. This strategic approach allows you to conserve your cash for other critical areas of your business while immediately benefiting from the revenue your new equipment generates. From preserving cash flow and gaining tax advantages to having the flexibility to upgrade to the latest technology, the benefits of financing are clear. Whether you are a startup building your first salon or an established business looking to refresh your offerings with high-pressure beds or red light therapy systems, there is a financing solution tailored to your needs. The process is faster and more accessible than ever, with approvals often happening in under 24 hours. Don't let a lack of capital hold your business back from its full potential. By using tanning bed financing, you can equip your facility with the best tools to attract clients, increase revenue, and stay ahead of the competition. Take the next step toward growing your business today. Ready to explore your options? Apply now with Crestmont Capital to see what you qualify for. Our simple application takes only minutes, and our dedicated advisors are ready to help you find the perfect financing solution for your business.

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.
View full post