Flexible spending

Term of the Week: Flexible Financing

Each week Printwear turns to industry experts to learn more about the terms used in the apparel and apparel decoration industry, as well as the business realm. Contact Printwear's digital content editor, Alexandria Arroyo, if you're interested in the opportunity to be featured. 

You’ve most likely seen the phrase "flexible financing" floating around while you research equipment financing but still aren’t exactly sure what it means. Basically, flexible financing refers to plans that break from the typical structure of consecutively paying the same monthly payment. This means you don’t make any payments for the first three to six months (deferred payments), you skip certain months’ payments (skip plan), or you start with a lower monthly payment and increase as the plan goes on (step-up payment plan). Each option has its advantages and a financing consultant can help you figure out what works best.

If flexible financing is something you need, make sure your lender has experience with that type of plan and with your industry. It’ll make the process much simpler.

Source: Serena Doescher

This Term of the Week is found in a longer article on the Beacon Funding blog