Our Take
4.1
NerdWallet rating
The bottom line:
JR Capital stands out as a specialized equipment financing lender that offers a higher funding maximum than other online competitors and doesn’t require a down payment. It can be a good option for established businesses that have lower credit scores.
JR Capital - Equipment financing
Max Loan Amount
$10,000,000
Min. credit score
620
Apply now
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Pros & Cons
Pros
- Funding available within 48 hours.
- Competitive rates and repayment terms.
- Flexible payment options available, including deferment options for certain industries.
- No down payment required.
- Can be used to build business credit.
Cons
- Must have good credit to qualify for no prepayment penalties.
- Charges an origination fee.
Full Review
JR Capital is an online lender that specializes in equipment loans. It can finance any type of new or used business equipment, including trucks and trailers, as well as construction, manufacturing, farming and medical equipment.
JR Capital is known for its competitive rates, large loan amounts and flexible repayment options. This lender can be a good option for businesses with a few years of operation that want faster financing than banks can offer — as well as for those with lower credit scores.
Editor’s note: Although JR Capital also offers a working capital loan for newer businesses, this review focuses on its equipment financing.
Consider JR Capital if you:
✔️ Want to work with a specialized equipment lender.
✔️ Don’t want to pay a down payment.
✔️ Have a lower credit score (620+).
How much do you need?
We’ll start with a brief questionnaire to better understand the unique needs of your business.
Once we uncover your personalized matches, our team will consult you on the process moving forward.
JR Capital equipment loan features
JR Capital’s financing functions like most equipment financing — when you buy equipment using a JR Capital loan, the equipment itself serves as collateral. You don’t have to provide any additional collateral to secure the loan. If you fail to repay, however, the lender can seize your equipment to recover its losses.
Here’s what you can expect from JR Capital’s equipment financing:
4.1
NerdWallet ratingLoan amount | $ 10000 to $10 million. |
Estimated interest rate | 5.99 % to 18 % |
Fees |
|
Terms | 24 to 84 months. |
Repayment schedule | Monthly. Annual payments available for farmers. Three- to six-month payment deferrals available for medical, farming and waste service businesses. |
Funding speed | Approval as fast as two hours. Funding available the same day for non-titled deals and within 48 hours for titled deals. |
Did you know?
A non-titled deal means that you’re financing equipment that does not require an ownership title. Requirements vary by state, but heavy equipment such as dump trucks, excavators, bulldozers, cranes and harvesters typically don't need a title. If you’re unsure if your equipment qualifies as a titled or non-titled deal, JR Capital can help you figure it out.
JR Capital loan requirements
To qualify for equipment financing from JR Capital, you’ll need to meet the following minimum requirements:
- Credit score:620.
- Time in business:24months (in some cases, JR Capital can prioritize industry experience).
- Annual revenue: No minimum requirement.
In most cases, JR Capital will require you to sign a personal guarantee. The lender may be willing to make an exception for companies that have well-established business credit with Paynet. JR Capital only requires a UCC lien, however, for non-titled deals.
A personal guarantee holds you personally responsible for repaying the debt if your business defaults on the loan. A UCC lien, on the other hand, allows a lender to seize your business assets to recover its losses in the case of default.
Where JR Capital stands out
Large maximum funding amount
JR Capital offers equipment loans up to $10 million — making it a good option for those who need to purchase expensive machinery. JR Capital’s funding maximum is much higher than similar competitors. Triton Capital and Balboa Capital, for example, only offer equipment loans of up to $
250000
and $500000
, respectively. Keep in mind, however, you’ll likely need strong credentials to qualify for larger loan amounts.» MORE: Compare the best large business loans
No down payment required
Many equipment loans, especially SBA or bank loans, require a down payment — ranging anywhere from 10% to 20% of the loan amount, or more. If you’re hesitant or can’t afford to provide that much of a payment upfront, JR Capital might be a worthwhile option to consider.
Fast access to funds
JR Capital offers a simple, streamlined application process that helps you get access to capital faster. The lender can provide approval decisions in as little as two business hours. After you’ve been approved, you can get funding as fast as the same day for a non-titled deal. For titled deals, you can get funds in as little as 48 hours. JR Capital’s financing timeline is much faster than more traditional equipment lenders; bank and SBA equipment loans can take anywhere from a few weeks to a few months to fund.
Where JR Capital falls short
Not a good option for startups
JR Capital requires that you have at least
24
months in business to qualify for an equipment loan. The lender can prioritize industry experience in some cases — but this still means that most startups will need to look at alternative options.» MORE: Best business loans for startups
Prepayment penalties may apply
If you think you’ll be able to repay your equipment loan early, JR Capital may not be the best option. JR Capital may charge prepayment penalties — although some businesses can qualify to have them waived. Eligibility is based on your creditworthiness.
In comparison, some competitors, like Triton Capital, don’t charge prepayment penalties at all — whereas others, like National Funding, actually offer prepayment discounts.
Limited fee information available online
JR Capital provides limited information about rates and fees on its website — meaning you’ll have to reach out to a representative for details. Although it says that rates start at
5.99
%, it doesn’t provide a maximum interest rate or any specifics regarding fees and prepayment penalties. NerdWallet gathered that information from the lender.Alternatives to JR Capital
eLease
eLease
eLease - Equipment financing
NerdWallet Rating
4.0
Min Credit
550
Apply now
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If you’re a startup looking for equipment financing, you might consider eLease. Like JR Capital, eLease has no minimum annual revenue requirement, but it can work with startups and borrowers with credit scores as low as
550
.ELease offers competitive interest rates, ranging from
7.5
% to 22
%, and long repayment terms, up to 72
months. Similar to JR Capital, eLease can also be a good choice for those looking to make large equipment purchases — as the lender has no maximum funding limit. It’s important to note, however, that eLease requires you to apply over the phone.National Funding
National Funding
National Funding - Equipment financing
NerdWallet Rating
4.6
Min Credit
600
Read Review
Apply now
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Borrowers who don’t need large amounts of financing might consider National Funding as an alternative to JR Capital. National Funding offers equipment loans of up to $
150000
and repayment terms up to 60
months.You may be able to qualify for National Funding with just
6
months in business — and the lender has a slightly lower credit score requirement than JR Capital, 600
compared with 620
. National Funding will require at least $250000
in annual revenue, however.National Funding can also be a good option if you think you’ll repay your loan early, as it offers prepayment discounts instead of charging prepayment penalties.
» Want more specific equipment financing recommendations? Check out our guides to:
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Methodology
NerdWallet’s review process evaluates and rates small-business loan products from traditional banks and online lenders. We collect over 30 data points on each lender using company websites and public documents. We may also go through a lender’s initial application flow and reach out to company representatives. NerdWallet writers and editors conduct a full fact check and update annually, but also make updates throughout the year as necessary.
Our star ratings award points to lenders that offer small-business friendly features, including:
- Transparency of rates and terms.
- Flexible payment options.
- Fast funding times.
- Accessible customer service.
- Reporting of payments to business credit bureaus.
- Responsible lending practices.
We weigh these factors based on our assessment of which are the most important to small-business owners and how meaningfully they impact borrowers’ experiences.
NerdWallet does not receive compensation for our star ratings. Read more about our ratings methodology for small-business loans and our editorial guidelines.
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