Quick Answer

Manufacturing equipment financing covers CNC machines ($20K–$1M+), laser cutters ($30K–$1.5M), press brakes, injection molding machines, and industrial robots. Terms run 36–84 months with 10–20% down. Haas, Mazak, DMG Mori, Trumpf, and Amada are the most financeable brands with the strongest resale values and easiest lender approvals.

Complete Financing Guide

Manufacturing Equipment Financing

From a $20,000 CNC lathe to a $2,000,000 machining center. From a desktop laser to a $600,000 press brake line. This guide covers financing options, manufacturer comparisons, and approval requirements for every type of manufacturing equipment β€” with real numbers on costs, terms, and what lenders actually look for.

Explore Financing Options β†’ πŸ“ž (919) 907-2611
$5K–$5M+Equipment Price Range
36–84 moTypical Loan Terms
10–20%Typical Down Payment
600+Credit Score (preferred)

Key Facts: Manufacturing Equipment Financing

Price Range$5,000 – $5,000,000+
Top BrandsHaas, Mazak, Trumpf, Amada, Fanuc, DMG Mori
Down Payment10–20% typical; 0% for strong credit
Loan Term36–84 months
Credit Score600+ preferred; alt lenders from 550+
Made InUSA (Haas), Germany (Trumpf), Japan (Mazak, Fanuc)

Overview

What Is Manufacturing Equipment Financing?

Manufacturing equipment financing is a secured loan or lease used to purchase industrial machinery for production operations. The equipment itself serves as collateral, which typically results in lower interest rates and more accessible approvals than unsecured business loans. Manufacturing equipment spans an enormous price range β€” from a $5,000 bench-top CNC router to a $5,000,000 multi-pallet horizontal machining center β€” and lenders have developed specialized programs to accommodate every segment of this market.

Equipment financing for manufacturing works differently than general business loans. Lenders evaluate the equipment's resale value (or "collateral value") as a primary underwriting factor, often alongside β€” or even above β€” business credit scores. A Haas VF-4 machining center bought in 2020 for $80,000 might still be worth $45,000-$55,000 at auction, making it excellent collateral. A highly customized $200,000 special-purpose machine might be nearly worthless to a lender because its secondary market is narrow.

Most manufacturing equipment loans are structured as term loans (simple interest, fixed payments, equipment owned from day one) or as capital leases (functionally similar to loans, with a $1 purchase option at end). Operating leases with fair-market-value purchase options are common for high-technology equipment like 5-axis machining centers, Swiss-type lathes, and fiber laser systems where technology cycles are short and upgrade needs are frequent.

Equipment Prices & Terms

Manufacturing Equipment Financing by Machine Type

The table below covers the most commonly financed manufacturing equipment categories with price ranges for new equipment, top brands, and typical financing terms. Used equipment generally qualifies for the same loan programs at slightly higher rates and shorter terms.

Equipment TypePrice Range (New)Top BrandsTypical Term
CNC Vertical Machining Centers 3-axis$50K–$300KHaas VF series, Mazak Nexus, DMG Mori NVX, Okuma GENOS M, Doosan DNM36–84 mo
CNC Vertical Machining Centers 5-axis$150K–$1M+Mazak Variaxis, DMG Mori DMU, Makino D/F series, Hermle C series, Grob G series48–84 mo
CNC Lathes / Turning Centers$20K–$300KHaas ST series, Okuma GENOS L/LB, Doosan PUMA, Mazak Quick Turn, Nakamura-Tome36–72 mo
Swiss-Type CNC Lathes$80K–$400KCitizen L/M series, Star CNC SR/SB, Tsugami B/S series, Hanwha XD, Miyano ABX36–60 mo
Fiber Laser Cutters$50K–$1.5MTrumpf TruLaser 3000–5000, Bystronic ByStar Fiber, Amada ENSIS/REGIUS36–84 mo
CO2 Laser Cutters$30K–$400KEpilog Fusion, Universal Laser, Trotec Speedy, Kern Lasers, Boss Laser24–60 mo
Plasma Cutting Systems$15K–$350KHypertherm EDGE, Lincoln Electric, ESAB Omni, Miller, Koike Aronson24–60 mo
Waterjet Cutting Systems$50K–$600KFlow Mach 500, OMAX OptiMAX, KMT Streamline, Jet Edge, WARDJet36–72 mo
Press Brakes$25K–$800KTrumpf TruBend 5000/7000, Amada HG/HD, LVD Dyna-Press/Easy-Form, Bystronic Xpert36–72 mo
Turret Punch Presses$40K–$600KAmada EM/EX series, Trumpf TruPunch, Murata Wiedemann, Prima Power E5/E636–72 mo
Injection Molding Machines$20K–$2MEngel e-motion/victory, Arburg Allrounder, Husky HyCAP, Milacron Roboshot, Sumitomo SE48–84 mo
Blow Molding Machines$30K–$500KGraham Engineering, Bekum BA/BM, Kautex KCC, Jomar IMB, Davis-Standard36–72 mo
Horizontal Machining Centers$200K–$1.5MMakino a40/a51/a61, Mazak HCN/HCR, Okuma MA/MB, Kitamura Mycenter-HX48–84 mo
Industrial Robots 6-axis$50K–$300KFanuc M-10/M-20/R-2000, KUKA KR series, ABB IRB series, Yaskawa Motoman36–72 mo
Collaborative Robots (Cobots)$25K–$100KUniversal Robots UR3e/UR5e/UR10e/UR16e, Fanuc CRX-10iA, ABB GoFa/YuMi36–60 mo
Robotic Welding Cells$80K–$600KLincoln Electric POWER WAVE, Miller Auto-Continuum, ABB FlexArc, Panasonic TAWERS36–72 mo
Industrial Welding Equipment$5K–$150KLincoln Electric PowerWave/Flextec, Miller Deltaweld, ESAB Rebel/Aristo, Fronius TransPuls24–60 mo
Conveyor Systems$10K–$1MHytrol E24/E-Z Bed, Dorner 2200/3200, Ashland Conveyor, Roach Conveyors36–72 mo
Hydraulic Presses$30K–$500KSchuler HPM, Bliss Industries, Minster Stamptec, Pacific Press, Greenerd36–60 mo
Metal Shears$20K–$400KAmada HFE, LVD Easy-Cut, Durma AD-S, Cincinnati, Pacific Shears36–60 mo
Surface Grinding Machines$15K–$300KOkamoto ACC, Chevalier FSG, Haas SHG, Kent KGS, Blanchard (rotary)36–60 mo
EDM Wire$30K–$400KMitsubishi MV series, Fanuc Ξ±-series, Sodick AQ/ALC, Makino U series36–72 mo
EDM Sinker/Ram$30K–$500KMitsubishi EA/SG series, Fanuc ROBOCUT, Sodick AD/AG, Makino EDAF/EDNC36–72 mo

Manufacturer Overview

Manufacturing Equipment Brands by Country of Origin

Lenders treat American-made equipment differently from imported equipment when assessing collateral value. Haas Automation (headquartered in Oxnard, California) has the deepest secondary market of any CNC brand in North America β€” used Haas machines sell at auction predictably, which gives lenders confidence. German and Japanese brands like Trumpf, Mazak, and Fanuc also have strong resale markets. Understanding brand origin helps you anticipate lender preferences.

Haas AutomationπŸ‡ΊπŸ‡Έ Oxnard, CA β€” USA

World's largest CNC machine tool builder by units. Haas VF VMCs and ST lathes are the most commonly financed CNC equipment in North America.

Mazak CorporationπŸ‡―πŸ‡΅ Japan (US HQ: Florence, KY)

Premium Japanese CNC manufacturer. Mazak Nexus, Variaxis, and Integrex machines are widely financed and hold excellent resale value.

DMG MoriπŸ‡©πŸ‡ͺπŸ‡―πŸ‡΅ Germany / Japan

Merger of DMG (Germany) and Mori Seiki (Japan). DMG Mori NVX, DMU, and NLX machines represent the premium tier of CNC manufacturing.

OkumaπŸ‡―πŸ‡΅ Japan

Japanese precision machine tool manufacturer. Okuma GENOS M and LB series are highly regarded for long service life and strong resale value.

Doosan Machine ToolsπŸ‡°πŸ‡· South Korea

South Korean manufacturer producing DNM machining centers and PUMA lathes. Strong value proposition for job shops needing quality at lower cost.

MakinoπŸ‡―πŸ‡΅ Japan

Japanese manufacturer specializing in high-precision machining centers, especially 5-axis and die/mold applications. Premium brand with excellent resale.

FanucπŸ‡―πŸ‡΅ Oshino, Japan

World leader in CNC controls, robots, and factory automation. Fanuc CNC controls power more machines globally than any other brand.

KUKA RoboticsπŸ‡©πŸ‡ͺ Augsburg, Germany

German industrial robot manufacturer (now majority owned by Midea Group). KUKA KR series robots are widely used in automotive and general manufacturing.

ABB RoboticsπŸ‡ΈπŸ‡ͺ ZΓΌrich, Switzerland

Swiss-Swedish multinational. ABB IRB series robots are industry leaders in arc welding, painting, and material handling applications.

Universal RobotsπŸ‡©πŸ‡° Odense, Denmark

Pioneer of collaborative robots (cobots). UR3e, UR5e, UR10e, and UR16e are the world's most deployed cobot platform.

TrumpfπŸ‡©πŸ‡ͺ Ditzingen, Germany

German family-owned company and world leader in laser cutting and sheet metal fabrication. TruLaser and TruBend are industry-standard equipment.

BystronicπŸ‡¨πŸ‡­ NiederΓΆnz, Switzerland

Swiss manufacturer of fiber laser cutting systems, press brakes, and bending automation. ByStar Fiber is a leading high-power laser platform.

AmadaπŸ‡―πŸ‡΅ Isehara, Japan

Japanese sheet metal fabrication equipment manufacturer. Amada ENSIS fiber laser, HG press brakes, and punch presses are globally dominant.

HyperthermπŸ‡ΊπŸ‡Έ Hanover, NH β€” USA

Employee-owned American company. Hypertherm plasma cutting systems are the industry standard for CNC plasma cutting applications worldwide.

Lincoln ElectricπŸ‡ΊπŸ‡Έ Cleveland, OH β€” USA

American welding and cutting products company founded 1895. Lincoln Electric PowerWave systems and robotic welding cells are widely deployed.

Miller ElectricπŸ‡ΊπŸ‡Έ Appleton, WI β€” USA

American welding equipment manufacturer (subsidiary of Illinois Tool Works). Miller Deltaweld and Auto-Continuum are industrial welding standards.

EngelπŸ‡¦πŸ‡Ή Schwertberg, Austria

Austrian family-owned injection molding machine manufacturer. Engel e-motion and victory series are global leaders in precision injection molding.

HurcoπŸ‡ΊπŸ‡Έ Indianapolis, IN β€” USA

American CNC machine tool builder known for conversational WinMax control. Hurco VM and BMC series are popular in job shops and medical device machining.

For a detailed comparison of American vs. Asian manufacturing equipment, see our American vs. Asian Equipment Financing guide.

Financing Comparison

Manufacturing Equipment: New vs. Used Financing

FactorNew EquipmentUsed Equipment
Interest Rate5–8% APR typical6–12% APR typical
Loan TermUp to 84 months36–60 months typical
Down Payment0–10% for strong credit10–20% more common
Warranty CoverageFull manufacturer warrantyLimited or none
TechnologyLatest controls & featuresMay lack newer features
Upfront CostHigher purchase price30–60% less than new
Monthly PaymentHigher (price + rate)Often lower despite higher rate
Section 179 DeductionFull amount eligibleFull amount eligible

See our detailed New vs. Used Equipment Financing guide for a full breakdown.

Licensing & Compliance

Manufacturing Business Licensing Requirements

Operating a manufacturing facility in the United States requires compliance with multiple federal and state regulations. Some lenders β€” particularly those dealing with aerospace or defense suppliers β€” verify compliance before funding. Understanding your licensing requirements helps ensure your business is properly positioned for both operations and financing.

Business License

State and local business license required. Manufacturing operations may require specific state licensing in some jurisdictions, particularly for hazardous materials handling.

OSHA Machine Guarding

29 CFR 1910.212 mandates guards on all machinery with rotating parts, cutting actions, or hazardous zones. Non-compliance is among the most cited OSHA violations for manufacturers.

Lockout/Tagout (LOTO)

29 CFR 1910.147 requires written LOTO programs and employee training for all equipment that could unexpectedly energize during maintenance. Mandatory for any CNC or powered equipment.

Electrical Permits

Three-phase 208V or 480V electrical work requires licensed electrician and building permits in most jurisdictions. Required before CNC machines can be energized in a new facility.

EPA Coolant Disposal

Metalworking fluids and coolants are regulated under EPA Resource Conservation and Recovery Act. Facilities generating over threshold quantities need hazardous waste permits.

ISO 9001 Certification

Not legally required but expected by most automotive and aerospace customers. Certification costs $10,000–$25,000 for initial audit plus annual surveillance audits.

AS9100D (Aerospace)

Required for aerospace supply chain work. Builds on ISO 9001 with stricter requirements. Certification costs $15,000–$35,000 and takes 6-18 months to achieve.

ITAR Registration

Required if manufacturing items on the USML (defense articles). $2,500 annual registration fee with DDTC. Required for many defense subcontractors.

For complete manufacturing licensing requirements by state, see our Manufacturing Business Licensing Requirements guide.

Income Potential

CNC Machine Shop Revenue & Owner Income

A CNC machine shop's revenue potential scales directly with the number of machines running, their utilization rate, and the billing rate achieved. Job shops in aerospace and medical command the highest rates; general job shops serving local manufacturers earn less but have more consistent work. The following income benchmarks assume a 2-shift operation with 70%+ utilization.

Entry-Level Job Shop

1–2 CNC Machines

$150K–$400K Revenue

$45K–$120K Owner Income

Typically 1-2 VMCs or a VMC + lathe. Owner operates machines directly. Machine rate: $75–$95/hour standard VMC.

Growing Job Shop

3–6 Machines

$500K–$1.5M Revenue

$120K–$300K Owner Income

Multiple machining centers, likely 1 lathe. First employees hired. Starting to pursue ISO 9001. Machine rate: $85–$120/hour.

Established Job Shop

8+ Machines + Automation

$2M–$8M+ Revenue

$300K–$1M+ Owner Income

5-axis capability, ISO certified, dedicated estimating staff. Serving aerospace/medical/defense. Machine rate: $120–$250/hour 5-axis.

For detailed income projections by shop size and specialty, see our CNC Machining Business Income guide.

Tax Savings

Section 179 Deduction for Manufacturing Equipment

Section 179 of the IRS tax code allows businesses to deduct the full purchase price of qualifying manufacturing equipment in the year it's placed in service, rather than depreciating it over 5-7 years. For 2024, the Section 179 deduction limit is $1,220,000, with a phase-out beginning at $3,050,000 in total equipment placed in service.

All CNC machines, laser cutters, press brakes, injection molding machines, industrial robots, welding equipment, and virtually all manufacturing equipment qualifies for Section 179 β€” whether purchased outright or financed. This creates a powerful combination: you can finance a $250,000 CNC machining center, deduct the full $250,000 in year one, and use the resulting tax savings to help service the debt. At a 25% effective tax rate, the tax savings alone would be $62,500.

Bonus depreciation (100% first-year expensing for qualified property) is being phased down: it was 80% in 2023 and 60% in 2024. Combined with Section 179, most manufacturing businesses can still achieve significant first-year deductions on equipment purchases. Consult your tax advisor for your specific situation. See our complete Section 179 Equipment Deduction guide for full details.

Getting Started

How to Finance Manufacturing Equipment: Step by Step

Financing manufacturing equipment follows a predictable process. Understanding each step β€” and what lenders look for β€” significantly improves your approval odds and terms.

  1. Identify the equipment and get a quote. Lenders need an equipment invoice, dealer quote, or auction listing to underwrite the deal. Have the machine's make, model, year, and serial number ready.
  2. Check your business credit and personal credit. Business credit bureaus (Dun & Bradstreet, Experian Business, Equifax Business) report separately from personal credit. Both may be checked for manufacturing loans.
  3. Gather your financial documentation. Most lenders need 2 years of business tax returns, 3-6 months of business bank statements, and a current P&L statement for loans over $100,000.
  4. Submit the application. For equipment loans under $150,000, many lenders offer simple 1-page applications with fast approvals (24-72 hours). Larger transactions take longer.
  5. Review the term sheet. Compare APR (not just payment), total cost of financing, prepayment penalties, and whether you own the equipment from day one.
  6. Fund and take delivery. Once approved, lenders typically pay the dealer or seller directly. You take delivery and begin making payments on the agreed schedule.

For a complete explanation of the financing process, see How Commercial Equipment Financing Works.

Related Pages

Manufacturing Equipment Financing by Machine Type

For detailed financing guides by specific machine type, including model-by-model breakdowns and lender-specific programs, see our equipment-specific pages:

Equipment Financing

0% Down Available on All Brands

Axiant Partners finances all major equipment brands β€” Caterpillar, Komatsu, John Deere, XCMG, SANY, and 200+ more. 0% down available for qualified borrowers regardless of brand. Terms 36–84 months.

  • ✓ 0% down for qualified borrowers
  • ✓ All brands including XCMG and SANY
  • ✓ New and used equipment
  • ✓ Startups and established businesses
  • ✓ Decision in 24–48 hours

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Common Questions

Manufacturing Equipment Financing β€” Frequently Asked Questions

What is the monthly payment for CNC machine financing?
Monthly payments depend on machine cost, loan term, and interest rate. A $75,000 used Haas VF-2 financed over 60 months at 7% APR runs approximately $1,485/month. A new $250,000 Mazak Nexus VMC financed over 72 months at 6.5% APR runs approximately $4,190/month. A $500,000 5-axis machining center over 84 months at 7% APR runs approximately $7,540/month. Most CNC machine loans are financed at 6–10% APR depending on credit profile, time in business, and machine age.
Can I finance used CNC machines?
Yes, used CNC machines can be financed through equipment lenders that specialize in industrial machinery. Terms are typically shorter (36–60 months vs. 84 months for new) and interest rates slightly higher (1–3% premium over new equipment rates). Machines from recognized brands β€” Haas, Mazak, DMG Mori, Okuma β€” qualify most easily because their secondary market is deep and values are predictable. Age matters significantly: most lenders prefer machines under 10–12 years old, though some specialty lenders will finance older Haas equipment that holds value well.
What credit score is needed for manufacturing equipment financing?
Traditional bank lenders and SBA programs require 650+ personal credit scores for manufacturing equipment loans. Equipment-specific lenders and alternative financing companies often work with scores as low as 580–600, especially when the equipment has strong collateral value. For large transactions ($500K+), most lenders want 680+ and at least 2–3 years of profitable business history. The specific machine β€” a recognizable brand with an active secondary market β€” often matters as much as the credit score in manufacturing equipment deals.
Should I lease or buy a CNC machine?
Buying with a term loan makes sense for CNC machines that will be used for 7+ years and retain value β€” standard VMCs, lathes, and grinders fit this profile. You build equity, own the machine outright at payoff, and qualify for the full Section 179 deduction. A capital lease ($1 buyout) is functionally identical to a loan. Operating leases with fair market value buyout options make more sense for high-technology equipment β€” 5-axis machining centers, Swiss-type lathes, or fiber laser systems β€” where technology cycles are 3–5 years and upgrade needs are frequent. The lower monthly payments of an operating lease also preserve working capital for job shops in early growth phases.
How long does manufacturing equipment financing approval take?
Simple manufacturing equipment transactions under $150,000 with a recognized brand machine can be approved in 24–72 hours with basic documentation (1-page application, equipment invoice, 3 months bank statements). Transactions between $150,000 and $500,000 typically take 3–5 business days and require more documentation (tax returns, P&L). Large transactions above $500,000 β€” or startup situations β€” take 5–15 business days and may require a full credit package including business plan, equipment appraisal, and financial projections.
Can a startup machine shop get financing?
Yes, startup machine shops can obtain equipment financing, though it requires more work and typically higher down payments than established shops. Startup-friendly equipment lenders look for 680+ personal credit, 20–30% down payment, and sometimes a personal guarantee. The owner's machining experience and existing customer commitments (purchase orders, letters of intent from future customers) can help. Many successful machine shops start by purchasing one used Haas machine at $25,000–$40,000 (often with 100% personal credit approval), then build credit history to finance larger machines as they grow. See our How to Start a CNC Machine Shop guide for complete startup costs and financing strategies.
Does Section 179 apply to CNC machines and manufacturing equipment?
Yes β€” CNC machines, laser cutters, press brakes, injection molding machines, industrial robots, welding equipment, and virtually all manufacturing equipment qualifies for the Section 179 deduction. For 2024, the limit is $1,220,000 per year with a phase-out starting at $3,050,000 in total equipment purchases. This means you can finance a $300,000 CNC machining center, deduct the full $300,000 in year one, and potentially save $75,000 in taxes (at 25% effective rate). The equipment must be placed in service during the tax year. Both new and used equipment qualifies. Consult your tax advisor for your specific situation.
How do lenders value manufacturing equipment as collateral?
Lenders assess manufacturing equipment collateral value based on brand reputation, age, condition, versatility, and secondary market depth. Haas, Mazak, Okuma, and DMG Mori machines command the highest collateral values β€” they sell predictably at auction and retain 40–60% of original value after 5–7 years. A $80,000 Haas VF-2 from 2018 might be appraised at $40,000–$50,000 for lending purposes, making a $60,000 loan well-secured. In contrast, a $200,000 custom special-purpose machine might be appraised at $20,000–$40,000 because few buyers can use it. Generic or unknown brands are typically valued at 20–30% of purchase price. Highly specialized equipment like semiconductor fab machines may be valued close to zero for lending collateral despite high purchase prices.

Ready to Finance Your Manufacturing Equipment?

Whether it's a $25,000 used CNC lathe or a $1,500,000 machining center, explore financing options for your specific equipment. No obligation to see what you qualify for.

Explore Manufacturing Equipment Financing β†’ πŸ“ž Call (919) 907-2611

Informational resource only. Not an offer of credit or guarantee of approval. Terms vary by lender and equipment type.