When purchasing any vehicle, one of the most important decisions is whether to buy a new vehicle or a used one. However, the case becomes even more particular if you’re looking for financing a used truck as it requires thorough research and you need to make a choice between personal and commercial vehicle loans.

Reviewing of your business’ assets and equity

If you’re buying a truck for commercial purposes, your lender will first review the assets and equity of your business. Your lender will focus on certain parameters before agreeing upon the terms and conditions. Unfortunately, newly introduced businesses may have a harder time securing financing.

Lifespan of your vehicle

The age of the vehicle is of the utmost importance for your lender because older trucks will be hard to finance. Furthermore, your business’ cash assets play a major role in determining the terms and conditions of the loan and also influence the amount of down payment. Depending on the lifespan of your business and its cash assets, the down payment on the commercial truck can range anywhere between 0% and 15%.