It’s no secret nowadays that the cannabis market is booming like never before. Thanks to laws around the substance easing up all over the nation, recreational users and business owners alike are looking to get involved in the industry.
One of the downsides of being a cannabis business owner is trying to find a way to produce high-quality cannabis at a decent rate. Luckily, cannabis equipment exists and is designed to help speed up the growing process.
Unfortunately, this equipment can cost a large sum of money. That’s why cannabis equipment financing exists. It’s a sure-fire way to reduce the costs you spend on growing and maintaining your business.
Keep reading to learn more about financing cannabis equipment.
Why Cannabis Equipment Is Important
Whether you’re planning to launch a business in the cannabis industry or looking to improve your current one, you’re going to need to produce rapid amounts of cannabis. Unfortunately, traditional methods for farming and harvesting cannabis are slow. Using these traditional methods might seem more beneficial since everything is hand-grown and organic, but can actually lose you both time and money.
That’s why many cannabis businesses look towards cannabis equipment to help grow faster and higher-quality cannabis. Not only does cannabis equipment help you grow cannabis faster, but reduces the cost of producing cannabis as well. When you have good quality cannabis equipment, you’re often spending less money on paying workers to tediously grow and harvest everything by hand.
But if you’re unsure what cannabis equipment is, you might be wondering if it’s even necessary. While using equipment is not 100% necessary to grow and sell, it makes everything much easier. This is because the equipment that’s used is designed to help speed up the process of growing and make it safer and more cost-effective.
Listed below are some of the more popular types of cannabis equipment:
- Cannabis lighting equipment for providing artificial lighting
- Custom HVAC units to help maintain ideal temperature and humidity
- Extraction equipment for removing CBD or THC from cannabis plants
- Security Equipment
Plenty more cannabis equipment is available. These are just some of the more important ones. Taking a look at some of them, one can conclude that they won’t exactly be cheap.
That leads us to today’s topic: financing.
Can You Finance Cannabis Equipment?
By all means, yes, you can finance cannabis equipment. In fact, it’s one of the more popular ways of buying cannabis equipment. But before we get into why it’s so good (the benefits of it), let’s first examine what financing cannabis equipment would look like.
Before you finance or lease any equipment, you have to talk with your team and ask what specific equipment you’ll be needing. Knowing this ahead of time will speed up up the process tremendously.
Arguably the hardest part of financing cannabis equipment is finding a place to get a loan for the equipment. This is because of how heavily restricted the cannabis market is, especially considering specific factors such as state-to-state transactions. Finding a loan through traditional means such as a bank can prove to be a real challenge.
The good thing is though, there are people out there willing to help you get the equipment you need for your cannabis business. This is what we specialize in here at Hasanov. We work alongside numerous financial institutions and lenders to get you the right equipment for the best price.
How Does Financing Work?
We know how intimidating financing any type of equipment or device can be. There’s usually tons of paperwork to do, multiple calls to make, and too many people to meet with. Financing something can also even involve things like credit, which is a whole other hassle in itself.
The good thing with financing cannabis equipment is that there are multiple options. Since you’re often dealing with equipment in a wide variety of sectors (security equipment, HVAC, lighting, etc.), no two financing experiences will be the same.
Obviously, all of these options might seem like they can complicate the process. In this situation, it’s better to stick with one that takes care of most of the work for you.
Because we know how complicated financing can be, we’ve simplified the process into three simple steps.
First, you’ll tell us all about your business. You’ll also want to mention the equipment you’re looking for and what options you’ll be willing to consider. This is why knowing what equipment you need is so vital ahead of time.
From there we find the best lenders and financial institutions for your business and get in touch with you about their information.
Last but definitely not least: shopping! Once everything is set up and everyone is agreeance with one another, all that’s left for you to do is shop. You pick out whatever equipment you want.
Benefits of Cannabis Equipment Financing
Now we’ve talked extensively about how to finance cannabis equipment, but is it really the better option? We think so.
Allow us to convince you why:
- You can customize leases and loans to fit your budget
- Some payments for loans are tax-free if the vendor is not required to collect tax
- You can purchase the equipment once the lease is over
- Flexible contract times, ranging anywhere from 1-5 years
- Oftentimes, no down payments are required
In addition, loans are approved rather quickly. Approval shouldn’t take more than two to five business days.
Leasing is also the better option because you don’t have to spend tons of money on upfront payments. You can enjoy the benefits of used or new cannabis equipment without your wallet crying.
Get Your Financing Estimate Today
Ready to explore your options for cannabis equipment financing? Go ahead and give us here at Hasanov Capital a call today!
You can complete your application for a loan all on our website. No having to talk to multiple people, make tons of phone calls, or worry about finding the right vendor. We do all of that for you.
We invite you to start your application or book your consultation by visiting our page.
