Equipment Financing Part 4

In conclusion to Equipment Financing Part 3

As I have said time and again, financing has been the complete bane of my startup.  I have been trying to close on my lease for the Ellex Ultra Q YAG laser for the past 2 months now, and it has been killing me. I already signed the purchase order at AAO with a 10% deposit. The YAG has already been delivered and installed, but I still had no way of paying for it until now. Ellex gave me until the end of the month to find financing before they were going to take the YAG back.

Although Funding Well originally told me (on their second round) that everything would be covered, they have once again failed to completely come through for me. I was able to close on $100,000 worth of equipment, which paid for my exam lane and a Topcon NW8F FA fundus camera, but the YAG has been a different story. They eventually backed out, and forced me to look into other leasing companies.  Fortunately, I finally closed on all my equipment today!

My credit is pure junk right now. My FICO score is 715 with 15+ hard inquiries on it. I can’t believe how difficult it was to finance this $30,000 piece of equipment. One company offered me loan shark rates at nearly 30% over 5 years with a 20% security deposit! If I wasn’t able to get anything better, I was actually going to take it.  However, before I signed on the dotted line, I just had to look around one last time.  Thank goodness I did. I figured how much worse can my credit get, and would it even make a difference at this point? I ended up going with another broker at 15.5% with no money down. Still exorbitantly high, but much prettier than 30%.

I’m finally done.  The hospital nearby will be getting a Lumenis Selecta Trio soon, so I should be able to do my SLTs, PRPs, and focals over there for the time being. I never EVER want to fill out another personal financial statement again.

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