Key Takeaways
- Equipment financing is asset-backed—citizenship is largely irrelevant because the equipment is the collateral
- SBA 504 was the primary equipment tool for non-citizens—replaced directly by asset-based equipment financing
- Commercial kitchen equipment, trucks, medical devices, manufacturing machinery—all financeable without SBA
- Equipment financing approval rates are 70-80% for qualified assets with non-citizen borrowers
- Bankable's equipment financing program serves all non-citizen industries: restaurant, trucking, construction, medical
When the SBA 504 program closed its doors to non-citizens on March 1, 2026, equipment financing became the most direct replacement for asset-specific capital needs. The logic is simple: if you are buying a piece of equipment and the lender can hold a lien on that equipment, your immigration status becomes largely irrelevant. The collateral itself secures the loan.
This asset-backed structure is why equipment financing has always been more accessible to non-citizens than traditional business loans, and why the SBA 504 block hurts less for equipment-specific needs than for commercial real estate or general working capital.
SBA vs. Alternatives: 2026
| Option | Citizenship | Max | Decision | Availability |
|---|---|---|---|---|
| SBA 7(a) | 100% required | $5M | 30-90 days | Blocked for non-citizens |
| CDFIs | No | $250K | 2-4 weeks | Open, limited |
| Bankable | No requirement | $5M | 48 hours | Fully open, 92% approval |
How Equipment Financing Works for Non-Citizens
Equipment financing for non-citizens operates on a simple principle: the lender provides funds to purchase the equipment, the borrower takes possession, and the lender holds a lien on the asset. If the borrower defaults, the lender can repossess and sell the equipment to recover. This structure substantially reduces the lender's risk—and substantially reduces the weight given to the borrower's immigration status.
Approval criteria for non-citizens: equipment value (appraised or invoice), business revenue to service the debt, and basic business documentation. No citizenship verification in most cases.
Equipment Categories and Typical Financing Terms
| Equipment Type | Typical Amount | Term | Citizenship Req |
|---|---|---|---|
| Commercial kitchen equipment | $25K-$150K | 3-7 years | None |
| Commercial trucks/vehicles | $50K-$200K | 3-7 years | None |
| Medical equipment | $50K-$500K | 5-10 years | None |
| Manufacturing machinery | $100K-$2M | 5-10 years | None |
| Construction equipment | $75K-$500K | 3-7 years | None |
See Bankable's equipment financing options here.
Equipment financing replaces much of what SBA 504 provided for non-citizens. Start your equipment financing application here or call (786) 443-5511.
Frequently Asked Questions
Yes. Equipment financing is asset-backed and citizenship is generally not required. The equipment serves as collateral.
Equipment financing through private lenders directly replaces SBA 504 for equipment-specific needs. The structure is similar (asset-backed) without the citizenship requirement.
Commercial kitchen equipment, trucks, medical devices, manufacturing machinery, construction equipment, dental equipment, agricultural equipment, and most other business equipment.
Bankable's equipment financing focuses on the asset value and business cash flow rather than citizenship. Faster approval (48 hours vs. 30-60 days for banks) and no citizenship barriers.
Most equipment financing programs require 10-20% down payment. This is similar to SBA 504's 10% requirement.
Business bank statements (3 months), equipment invoice or specification, EIN, and basic business information. No citizenship documentation.
Yes. TPS holders and all other non-citizens can access equipment financing without citizenship requirements.
The lender repossesses the equipment. This is the same consequence as for any borrower—citizenship status does not affect the consequences of default.
SBA 504 offered government-backed fixed rates (typically 4-6%). Equipment financing carries slightly higher rates (6-10% typical) but is accessible without citizenship requirements.
Yes. Used equipment in good condition can be financed. Appraisal may be required to determine current market value for lending purposes.