Inspect the asset, not the listing
Confirm serial number, hours or kilometres, configuration, visible condition, maintenance records and major component history. Use a qualified inspector for specialized or high-value equipment when appropriate.
A lender’s acceptance is not a mechanical inspection and does not confirm that the equipment is fit for the buyer’s purpose.
Verify the seller and title
Establish the seller’s legal identity and ownership. Private sales may require corporate documents, purchase evidence, lien searches and lender-controlled payouts.
Walk away from cash side deals, mismatched serial numbers or a seller who will not provide normal verification.
Compare value and useful life
Look beyond asking prices. Compare year, hours, specification, condition, attachments and geography. An appraisal may be appropriate where the market is thin.
The payment term should not exceed a realistic productive life for the business. A cheap machine that cannot remain reliable is not a financing win.
Key points to carry into the transaction
- Confirm serial number and ownership
- Review hours, kilometres and maintenance
- Inspect specialized assets
- Compare price with like-for-like equipment
- Resolve liens before funding
- Avoid non-refundable commitments before review