Phone:
(888) 201-2860
Business Hours
Mon-Fri: 9AM - 6PM
Address
97 Newkirk Street, 3rd Floor
Jersey City, NJ 07306
Automotive Business Loans: Fueling Growth for Dealerships and Mechanic Shops
A great auto business runs on the right parts—like smart funding. Our automotive business loans are the engine that powers growth, covers costs, and keeps your dealership or repair shop firing on all cylinders.
Applying WILL NOT impact your credit.
Automotive Business Loans: Fueling Growth for Dealerships and Mechanic Shops
A great auto business runs on the right parts—like smart funding. Our automotive business loans are the engine that powers growth, covers costs, and keeps your dealership or repair shop firing on all cylinders.
Applying WILL NOT impact your credit to review your options*
Same Day Funding Available
Terms Up To 25 Yrs
One Application, Multiple Funding Options
No Hard Credit Check
Fueling Growth in the Automotive Industry
Running a dealership or auto repair shop is no small feat—it takes more than just selling cars or fixing engines to succeed. From day-to-day operational costs to unexpected equipment repairs, automotive business loans provide the financial support needed to keep your business running smoothly. Many auto dealerships and repair shops use car dealership financing or auto repair shop loans to manage cash flow, upgrade service equipment, hire skilled staff, expand their inventory, or renovate their facilities. Whether you need auto business financing or specialized vehicle dealership loans, having access to the right capital can drive your growth and keep your business ahead of the curve.
Compare Loans for auto business financing
SBA Loans for Auto Repair Shop
Pros:
Lower interest rates compared to traditional small business loans
Longer repayment terms help manage monthly cash flow
- Larger loan amounts available for major expansions or real estate purchases
Cons:
Lengthy and detailed application process
Requires strong credit and detailed financial documentation
Slower funding time compared to private lenders
Automotive equipment financing
Pros:
- Allows you to own essential tools and machinery without large upfront costs
- Preserves cash flow for payroll, inventory, and daily operations
- Often easier to qualify for compared to traditional business loans
Cons:
Equipment serves as collateral and can be repossessed if payments are missed
You may end up paying more over time due to interest and fees
Financing terms might outlast the useful life of the equipment
auto dealer line of credit
Pros:
- Provides flexible access to capital whenever needed
- Only pay interest on the amount you draw, not the full limit
- Helps manage seasonal inventory needs and cash flow gaps
Cons:
Variable interest rates can increase over time
Requires strong financials and possibly collateral for higher limits
Risk of overuse if not managed carefully, leading to cash flow strains
Automotive Business Inventory Financing
Inventory financing through floor plan financing.
Pros:
- Dealers can stock more vehicles without tying up large amounts of cash.
- Access to financing allows rapid inventory growth to meet customer demand.
- Flexible repayment options tied to when vehicles sell.
Cons:
- Interest and service fees can eat into profits if inventory doesn’t move quickly.
- Lenders impose strict controls like audits and curtailments.
- Pressure to sell vehicles fast can lead to lower margins.
Working Capital for Auto Repair Shops
Revenue based financing through a merchant cash advance.
Pros:
Quick access to capital with minimal paperwork
Repayment is based on a percentage of daily credit card sales, easing pressure during slower months
Ideal for urgent expenses like equipment repairs or unexpected costs
Cons:
Higher cost of capital compared to traditional loans
Daily or weekly repayment can strain cash flow if not managed carefully
Not ideal for shops with low or inconsistent credit card sales volume
auto business financing: Pros & Cons
| Pros | Cons |
|---|---|
| Wide range of financing options for dealerships and repair shops | Some loans may require personal guarantees |
| Helps manage seasonal cash flow and inventory cycles | Higher interest rates on unsecured or alternative loans |
| Access to equipment-specific financing for service upgrades | Debt service coverage ratio (DSCR) requirements for approval |
| SBA 7(a) loans available | Longer approval times for certain loans |
| Possibility of building business credit | Solid business plan and documentation often needed for best terms |
Automotive business financing Application Process
Apply Online in Minutes
Fill out a short, secure application with basic info about your restaurant, funding needs, and contact details—no paperwork or in-person meetings required.
Get Matched with an Offer
We’ll review your application and match you with the best restaurant loan programs, including SBA loans, equipment financing, merchant cash advances, and more.
Get Funded—Fast
Once approved, receive funds directly into your business account—sometimes in as little as 24 hours. Use it to cover equipment, payroll, renovations, or anything your restaurant needs to grow.
When to Use Automotive Business Loans
- 🚗 Expand Inventory
- 🛠️ Upgrade Equipment
- 🏢 Open or Renovate Locations
- 📣 Boost Marketing and Lead Generation
- 👥 Hire and Train Staff
What our clients say about us
See what our clients say
YOU GOT QUESTIONS? WE HAVE ANSWERS!
How do I qualify for an automotive business loan?
To qualify for an automotive business loan we require at minimum:
- 6 months in business
- $10,000 monthly gross revenue
- Business bank account
- US based business
- US citizen or legal permenant resident
- Startups may need stronger credit scores or additional collateral to get approved.
Can auto repair shops or dealerships get loans as startups?
Yes, but it’s tougher. Startup auto repair shops and dealerships can qualify for specialized programs like SBA startup loans or equipment financing. A strong business plan, industry experience, and upfront investment can help improve approval odds.
Can I get a auto repair shop loan or vehicle dealership loan with bad credit?
Yes. Auto business financing for dealerships and repair shops with bad credit are often offered through unsecured loans or merchant cash advances. Expect higher interest rates, but strong business cash flow can help offset credit challenges.
What can car dealership financing be used for?
Auto business financing can be used to purchase inventory, upgrade equipment, renovate locations, hire employees, boost marketing, or manage seasonal cash flow for dealerships and repair shops.
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