The Pinch Points
Why Used-Car & Service Owners Come to Us Instead of Their Bank
A used-car operation with a service bay is really two businesses sharing a checkbook, and both tie up cash — the lot in reconditioning every unit, the shop in the equipment and parts that do the work. These are the spots where we get called.
The Reconditioning Float
Every car needs recon before it sells — mechanical, cosmetic, detail — $1.5K–$5K a unit, fronted before the sale that recovers it. Across a lot, that's $40K–$150K in recon in process.
The Service-Bay Equipment
A profitable service and recon operation needs lifts, alignment, diagnostics, and tooling — $40K–$120K — the equipment that does recon in-house instead of subletting it.
The Parts & Sublet Costs
Parts for recon and customer-pay service tie up inventory and cash, paid before the repair order or the sale collects.
The Recon-to-Retail Timing
A car in recon is capital not earning; the faster you turn recon, the faster cash frees up — which takes equipment and staffing capacity.
The Customer-Pay Service Growth
Building a customer-pay service business alongside the lot needs capacity and equipment carried before the bays fill.
Expanding the Lot or Buying an Operation
Adding inventory capacity or acquiring another dealer-service operation is a $300K–$2M move — equipment, recon capacity, and working capital.
What an operator said
“Our cash was always stuck in cars getting reconditioned — we couldn't buy inventory fast enough because the money was tied up in recon. The working line freed it up, and financing the shop equipment let us do recon in-house instead of paying it out. We turn the lot a lot faster now.”
R. Hollis · used car & service center · Kansas City, MO
Start Here
See Your Range in 60 Seconds
No credit check, no documents to start, and an estimated funding range on the spot. No one contacts you until you’re ready to move forward.
What Happens When You Start
Estimate Your Capital Range
Slide to your annual gross revenue. We size capital off your top line — not your credit score.
Estimated Capital Range
A conservative range based on 10-15% of annual revenue — many businesses qualify for more with strong receivables or assets behind them. Lenders return real term sheets once they see your file.
60 seconds · No obligation · Estimate only
Built for the Trade
What We Fund for Used-Car & Service Operations
Working Capital for the Recon Float
An unsecured, revenue-based working line funds the reconditioning that gets cars retail-ready, so cash isn't trapped in units in process.
Equipment Financing for the Service Bay, With §179
Finance the lifts, alignment, and diagnostics to do recon and customer-pay work in-house; §179 writes off the equipment the year it's in service.
A Line for Parts & Operations
A working line covers the parts and operating costs of the recon and service side between repair-order and sale collections.
Revenue-Based Expansion & Acquisition Capital
Expand capacity or acquire another dealer-service operation on revenue-based, capital-stacked financing — not an SBA queue.
Match Your Situation
The Cash-Flow Gaps We Fund for Used-Car & Service Operations
Match your situation to the structure. Every one of these funds on the business's revenue, not a perfect credit file.
| What It Looks Like | Funding Solution | Amount | Speed | |
|---|---|---|---|---|
| Reconditioning float | $1.5K–$5K a unit in recon fronted before each sale recovers it | Working Capital | $75K–$200K | 1–3 days |
| Service-bay equipment | Lifts, alignment, diagnostics, and tooling to do recon in-house | Equipment Financing | $75K–$150K | 3–5 days |
| Parts & operating costs | Recon and customer-pay parts paid before the order collects | Working Capital | $75K–$200K | 1–3 days |
| Customer-pay service growth | Capacity and equipment carried before the bays fill | Equipment Financing | $75K–$200K | 3–5 days |
| Lot expansion or acquisition | Equipment, recon capacity, and working capital for expansion | Business LOC | $300K–$2M | 1–5 days |
The Products
How Used-Car & Service Financing Is Structured
Most used-car and service files fund between $75K and $5M+, structured around the recon float and the service bay. Larger lines available when revenue, cash flow, and story qualify.
| Amount | Term | Best For | Funding Speed | Typical Structure | |
|---|---|---|---|---|---|
| Equipment Financing | $75K–$5M+ | 3yr–7yr | Lifts, alignment, diagnostics, recon gear | 3–7 days | Equipment serves as collateral |
| Working Capital | $75K–$5M+ | 6mo–10yr | Recon float, parts, payroll | 1–3 days | Often unsecured, revenue-based |
| Business LOC | $75K–$5M+ | Revolving | Ongoing recon and expansion draws | 1–5 days | Unsecured line, no PG by default |
Tax Strategy
Section 179 on Service-Bay Equipment — Worked
If last year was strong and you’re about to write a check to the IRS — stop. Acquire qualifying equipment with as little as 10% down, finance the rest, and write off the full purchase price in year one. Section 179 covers it up to the annual cap; 100% bonus depreciation — made permanent in 2025, with no cap and no income limit — carries the rest.
At the top bracket, that first-year deduction can return meaningful tax savings — and for an established business with strong cash flow, it’s the difference between writing a check to the IRS and putting the same money into your own equipment. Your CPA models the exact numbers for your bracket and structure.
Worked scenario · top bracket · illustrative
You financed the machine and put down a fraction of its price — but you deduct the full price in year one. The write-off is bigger than your down payment, and the equipment keeps working the whole time.
Scales with your numbers
Illustrative only. Actual savings depend on your tax bracket, entity type, state conformity, and CPA guidance. Section 179 and bonus depreciation are elections your CPA makes for your situation; above the Section 179 cap, 100% bonus depreciation carries the balance.
Terms reflect credit, revenue, time in business, and each lender. Every file is unique — see what the desk structures for yours in the 60-second qualifier.
Bobby’s Take
“A used-car operation with a service bay is really two businesses sharing a checkbook, and both tie up cash — the lot in reconditioning every unit before it sells, the shop in the equipment and parts that do that recon and the customer-pay work. The dealers who turn inventory fast and run a profitable service bay are the ones who finance the recon float and the equipment instead of choking on them. We fund both — a working line for the recon and an equipment line for the bay, where §179 hands back roughly $41,440 on $112K of gear. Turn the cars faster, keep the recon in-house, and run the lot and the bay like the two businesses they are — both funded, neither starving the other.”
Bobby Friel · Founder · 20+ years in banking and finance
How It Works
From Application to Funded
One application, 70+ lenders competing, a dedicated specialist, and most files funded in days.
60-second estimate
Enter your numbers — no credit check, no documents. You see an estimated funding range on the spot.
A specialist is assigned
A real funding specialist — not an algorithm — reviews your file, usually within 24 hours.
70+ lenders compete
Your application goes to the marketplace. Competing offers typically land 24–48 hours later.
You pick the offer
Compare structures and terms with your advisor. No obligation until you choose to sign.
Funded in days
From same-day working capital to a multi-piece stack, most files fund in days — not the bank’s 60–90.
Underwriting
What Underwriting Looks At
Funding here leads with what your business actually does — your revenue and cash flow. The specialist desk reads the real picture from your statements, then matches it to the lenders most likely to fund it.
How you’re evaluated
Revenue-first
sized off your top line, not just your balance sheet.
Cash-flow driven
your bank statements show how the business really runs.
Bank-statement underwriting
even a down year is read off 4 months of statements.
Story-driven
a big new contract, a seasonal swing, a turnaround in progress: context the raw numbers miss counts too.
What to have ready
↳Had a loss year? It’s read off the bank statements — 4 months, not 6.
Start fast, finish complete
The operators who fund quickest come to the specialist review with these ready — but you don’t need all of it to start. Your signed application and bank statements are what unblock the review; the rest can follow as trailing docs. Real term sheets come once the lenders can see a true business overview, so the move is simple: get the application and statements in right away, and don’t let a missing tax return hold up your term sheets.
Credit, straight
Qualification
Who Gets Funded — and Who’s Not Ready Yet
A straight read saves everyone time — here’s the line between an used car & service file that funds and one that isn’t ready yet.
↳Time in business is a factor, not a gate — newer crews with strong revenue still qualify.
Not ready yet isn’t a no — it’s a checklist. Most of it is fixable in a quarter or two, and your advisor will tell you straight which gaps to fix before a file goes in.
The Operator's Guide
Used Car Dealer & Service Center Financing
Two Businesses Sharing a Checkbook
A used-car operation with a service bay ties up cash in two places at once. On the lot, every unit needs reconditioning before it sells — mechanical, cosmetic, and detail, $1.5K–$5K a car fronted before the sale recovers it, which across a lot is $40K–$150K in recon in process. In the shop, lifts, alignment, diagnostics, and tooling — $40K–$120K — are what let you do that recon in-house instead of subletting the margin. Most banks split the dealer and the shop and fund neither well.
One Application, 70+ Lenders
We fund the whole operation on the business's revenue — a working line for the recon float, equipment financing on the service bay with §179 on the gear, and capital to expand the lot or acquire another dealer-service operation. One application, 70+ lenders, soft-pull review. Turn the cars faster, keep recon in-house, and let the lenders compete for your business.
Common Questions
Used Car & Service Financing — Questions, Answered
Yes — an unsecured, revenue-based line funds the recon so cash isn't trapped in units in process.
Yes — equipment financing covers the lifts, alignment, and diagnostics; §179 writes it off the year it's in service.
Yes — a working line covers parts and operations between repair-order and sale collections.
Signed application, four months bank statements, P&L, balance sheet, two years returns; losses → four months statements. Soft credit pull only — zero FICO impact to see your range.
Yes — equipment, recon capacity, and working capital stacked revenue-based, not an SBA 7(a) loan.
Recommended Funding