In the world of small and mid-sized businesses, timing is everything. Whether you’re looking to upgrade equipment before peak season, expand your services to meet demand, or simply keep operations running smoothly, a delay in financing can mean the difference between seizing opportunity and missing it altogether.

Unfortunately, delays in the financing process are all too common. But here’s the good news: most are avoidable.

At FPG, we believe financing should empower growth—not get in its way. That’s why we’ve put together this guide to help you avoid the three most common reasons business financing gets held up—and how to fix them before they become roadblocks.

Let’s dig in.

Why Financing Delays Hurt SMBs

For larger companies with deep reserves, a slow financing process might be inconvenient—but manageable. For SMBs, however, it’s different.

Time-sensitive needs like:

  • Replacing essential equipment before it breaks down

  • Capitalizing on seasonal sales opportunities

  • Expanding facilities to meet new demand

…all require speed, clarity, and alignment.

When financing is delayed, your business can lose revenue, damage customer relationships, or fall behind competitors. But delays don’t have to be inevitable. By identifying the most common slowdowns—and partnering with the right team—you can move faster, smarter, and with more confidence.

Reason #1: Incomplete Applications

The Problem:
 One of the most common delays in equipment financing? Missing information. When you’re focused on running a business, paperwork understandably takes a backseat—but to a lender, even small gaps can trigger a full stop. That leads to back-and-forth emails, follow-ups, and avoidable slowdowns.

What Lenders Typically Need:
 To keep things moving, here’s a quick guide to what’s essential—and what’s nice to have depending on your situation.

✅ Must-Have Info (for nearly every deal):

  • Basic Business Info: Legal name, business structure, and EIN

  • Ownership Details: Contact info and ownership percentages

  • Time in Business: Startup date or incorporation year

  • Equipment Details: Vendor quote, product specs, serial numbers if available

➕ Sometimes Needed (depending on amount or credit profile):

  • Bank Statements: Typically last 3 months

  • Financial Statements: Tax returns, P&L, or balance sheet (especially for larger or tougher transactions)

  • Licenses & Insurance: Varies by industry—we can often help track these down or collect just before funding

Pro Tips to Stay Ready:

  • Keep digital copies of key documents handy

  • Loop in your accountant early to make sure financials are current

  • Ask your lender for a checklist up front (we’ve got one ready for you)

At FPG, we make this simple.
 You get a digital application, a clear list of what’s needed, and real people ready to walk you through the process—no guesswork, no surprises.

 

Reason #2: Choosing the Wrong Financing Option

The Problem:

Sometimes delays happen not because your documents are missing—but because the financing you’re applying for isn’t the right fit for your business model, cash flow, or timeline.

Maybe the repayment terms are too aggressive. Maybe it’s just not aligned with how you plan to use the equipment.

When there’s a mismatch, lenders have to reassess, rework, and requalify—which slows everything down.

Financing Types in Brief: E

There’s no one-size-fits-all solution, but here’s a quick look at some of the most common equipment financing structures—and how they’re typically used:

  • ✅ Equipment Financing Agreement (EFA)
     Fixed monthly payments. Full ownership the entire time.
     A straightforward structure that’s easy to understand and often comes with potential tax advantages. No surprises, no residuals—just a clean path to ownership.
  • ➖ Fair Market Value (FMV) Lease
     Lower monthly payments, but with a catch.
     At the end of the term, you’ll have the option to buy—but at fair market value, which can vary. FMVs can work well in the right situations and may offer strong tax benefits. Just make sure you’re clear on the terms before moving forward.
  • 💡 Working Capital Financing
     Covers everything that goes with the equipment: installation, staffing, supplies, advertising, and more. Often used alongside equipment financing to ensure the purchase leads to real business growth.
  • 📆 Deferred & Seasonal Payment Plans
     Flexible payment structures designed around your business cycle. Great for seasonal businesses or those ramping up new offerings.

How to Choose the Right Fit:

Ask yourself:

  • What’s the expected ROI of this equipment?

  • When will it start generating revenue?

  • What’s my seasonal cash flow pattern?

  • Do I plan to own or upgrade this equipment later?

The right financing structure should match your growth strategy—not strain your operations.

FPG works one-on-one with every client to recommend structures that match your goals. We don’t push one-size-fits-all deals. We craft flexible plans designed to work with your business, not against it.

Reason #3: Working with Inflexible Lenders

The Problem:

You’ve probably experienced it: radio silence after you apply. A process that seems stuck in slow motion. Endless requests for documents you’ve already provided. Or a flat “no” with no explanation and no alternatives.

That’s the reality of working with rigid, traditional lenders. They often follow strict pass/fail scorecards, lack industry-specific knowledge, and don’t have the agility to structure creative solutions.

The FPG Difference:

  • Fast Approvals: Decisions within 2–4 hours of receiving your application package

  • High Approval Rate: 90% of customers are approved—thanks to our flexible underwriting approach​

  • Diverse Lending Network: A direct lender with access to 50+ funding sources means more options, even for credit-challenged businesses

  • Real People, Real Support: You’re always a call or text away from your dedicated finance partner

Rigid lenders look for reasons to say no. FPG looks for ways to say yes.

We understand the urgency SMBs face. That’s why we built a model focused on responsiveness, transparency, and the human touch. Our clients don’t wait in the dark—they move forward with clarity and confidence.

Conclusion: Preparation + Partnership = Speed

Financing delays aren’t just frustrating—they’re costly. But the good news? With the right preparation and the right partner, you can take control of the timeline.

By staying organized, aligning your financing structure with your goals, and choosing a lender who understands SMBs, you can move fast when it matters most.

Don’t let preventable delays slow your momentum.

✅ Ready to fast-track your financing?

Download our free Pre-Qualification Checklist to make sure you have everything you need for a smooth and speedy approval.

At FPG, we’re here to help you grow—on your timeline, with your goals in mind.

FPG | Real People. Real Expertise. Real Growth.

Let’s simplify the process. Let’s grow your business. Let’s get started. Call us: (603) 696-7076