After researching several solutions, the owners decided to install commercial-grade, custom machinery with conveyor belts to move the baked goods in and out of the ovens. The equipment would take much of the burden of lifting heavy items off of the bakers, thus resulting in fewer injuries. However, due to the custom nature of the equipment, the price of $800,000 was more than they had available.

The owners researched several options for financing the equipment. Though they intended to own the equipment for decades, they did not have the funds available for a down payment. Because of the cash limitations, they decided to obtain an equipment lease. It did not require a down payment, and the lease allowed them to purchase the equipment at the end of the lease period. With a 4 year commercial lease and careful planning, they were confident that they would be able to purchase the equipment at the end of the lease period.


The owners had credit scores that far exceeded the minimum scores needed to obtain financing, and they were able to provide the required two years of tax returns and other documentation needed to apply.

Though the commercial lease was financed quickly, it took 5 months to get the equipment delivered and installed due to supply chain constraints. Once the equipment was installed, the staffing constraints were eased and absenteeism dropped considerably. In the first 6 months the equipment was in place, there was not a single workers comp claim.


Because the owners needed less staff and the commercial lease payments were reasonable, the business saw its cashflow grow even after taking into account the new equipment lease payments. They are now considering ordering additional pieces of equipment to minimize their labor costs and expand their business.

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