Manufacturing business loans
Manufacturers fund equipment, raw materials, and AR gaps with equipment financing, lines of credit, and invoice factoring — with terms up to 7 years on machinery.
Industry overview
US manufacturing is 10.3% of GDP and employs 12.9 million workers (BEA / BLS 2024). The sector is dominated by small-to-mid-size shops — 98% of US manufacturers have fewer than 500 employees (NAM).
Capital needs split three ways: machinery (CNC, presses, robotics, tooling), raw materials (steel, aluminum, polymers), and B2B receivables (net-30 to net-90). Equipment financing handles machinery, lines of credit handle materials, and invoice factoring handles AR.
SBA 504 is the workhorse for plant real estate and large machinery — 90% LTV, 25-year terms on real estate, 10-year terms on equipment, fixed rates around 6.5%.
Common funding needs
- CNC and machinery purchases
- Raw materials cash flow
- Slow-pay B2B AR
- Plant expansion
Manufacturers fund machinery, materials, and growth with equipment financing and B2B invoice factoring.
Pros
- Equipment financing up to 100% on CNC, presses, robotics, and tooling
- Invoice factoring funds B2B receivables in 24 hours
- SBA 504 at 6.5% fixed for real estate and large equipment
- Lines of credit smooth raw-material cycles
Cons
- Long machinery lead times can outrun 30-day commitment letters
- Customer concentration (>20% from one buyer) compresses factoring approval
- Specialty/used equipment may require more down or shorter terms
Common mistakes to avoid
Funding raw materials with equipment loans
Match financing to asset life. Materials are 30–90 day cycles — use lines of credit, not 5-year amortizing loans.
Skipping invoice factoring on slow-pay buyers
If your top buyers pay net-60, factoring at 1.5–3% per invoice is often cheaper than carrying that AR on a working capital loan.
Underestimating tariff and material price swings
Pre-buy hedges via lines of credit can lock in pricing — a small interest cost beats a 15% steel price hike.
Real-world scenarios
$425k 5-axis CNC at 100% financing
A precision-machine shop financed a Haas 5-axis CNC at 100% with a 60-month term, paid back from new aerospace contract revenue.
$180k AR factoring program
A metal stamping shop with two slow-pay automotive Tier-1 customers factored AR at 2.25%, funding payroll and materials without draws on its bank LOC.
Illustrative scenarios based on common deal structures. Actual terms vary by underwriting.
Lead-gen pre-check
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Free pre-check
Eligibility checker
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Underwriting disclaimer: The eligibility checker is a self-reported pre-qualification tool. It does not constitute an offer of credit or a guarantee of approval. Every funded file goes through full underwriting — including bank statement analysis, business verification, and a credit inquiry whose type (soft or hard) is disclosed before you sign. Final terms, rates, and amounts depend on underwriting and the specific lender or program.
Business funding in as little as 24 hours
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Free to apply. No upfront fees. Available to qualified applicants with a complete file; timing varies by funding provider.
Funding products
Equipment Financing
Up to 100% financing for the gear you need
- Amount
- $10,000 – $5,000,000
- Speed
- Funded in 3–7 days
Invoice Factoring
Turn unpaid invoices into immediate cash
- Amount
- $10,000 – $10,000,000
- Speed
- Funded same day
Business Line of Credit
Revolving capital you can draw on demand
- Amount
- $10,000 – $1,000,000
- Speed
- Approved in 1–3 days
SBA Loans
Government-backed loans with competitive rates and long terms (US only)
- Amount
- $50,000 – $10,000,000 (7(a) + 504 combined)
- Speed
- Funded in 30–60 days
Top states for manufacturing
All states & provinces — manufacturing
Industry-specific manufacturing financing pages for every state and province we fund.
FAQs — Manufacturing
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Get funded in as little as 24 hours
$5,000 to $25,000,000. Free pre-qualification. No upfront fees. Same-day decisions for clean files.