Forklift financing lets a business buy or lease a forklift and pay for it over time instead of paying the full price upfront. In most structures, the forklift itself secures the financing, so lenders weigh the machine alongside your revenue, credit, and time in business. The main choices are an equipment loan, a dollar buyout lease, a fair market value lease, and short-term rental. The right one depends on how many hours the truck will run, how long you plan to keep it, and whether you want to own it at the end.
What a Forklift Costs
| Forklift type | Common use | New, planning range | Used, planning range |
| Electric counterbalance, 3,000 to 5,000 lb | Indoor warehouses with smooth floors | $25,000 to $45,000 | $10,000 to $22,000 |
| Internal combustion (LP, gas or diesel), 5,000 lb | Docks and mixed indoor and outdoor work | $25,000 to $40,000 | $10,000 to $20,000 |
| Narrow-aisle reach truck | High racking in tight aisles | $35,000 to $60,000 | $15,000 to $30,000 |
| Rough-terrain forklift | Lumber yards, farms and gravel lots | $40,000 to $90,000 | $18,000 to $45,000 |
| Electric walkie pallet jack | Short moves and truck loading | $3,000 to $10,000 | $1,500 to $5,000 |
These ranges are planning assumptions for comparison, not quotes. Capacity, mast height, attachments, and tires all change the price. For electric trucks, check whether the quote includes the battery and charger, which can add significantly to the total.
| Feature | Unsecured | Secured |
|---|---|---|
| Collateral | None | Required |
| Approval Speed | 24-48 hrs | 2-4 weeks |
| Credit Score | 500+ | 650+ |
Forklift Leasing or a Loan
An equipment loan means you generally own the forklift from purchase while the lender holds a security interest until payoff. The payment covers the full price plus financing costs, and the truck is yours to run as many hours as you like.
A dollar buyout lease behaves much like a loan and ends with you owning the forklift for a nominal sum. A fair market value lease typically offers a lower payment than a loan or a dollar buyout lease on the same truck, and at the end you return the truck, renew or buy it at its then-current value. Leases with usage limits set an annual hour allowance and charge for hours above it. A five-day, eight-hour shift is about 2,080 scheduled hours a year, but the hour meter usually reads lower, so estimate use from actual meter readings before you sign.
Some dealers offer full-service leases that bundle planned maintenance into the payment. They’re convenient, and they make quotes harder to compare, so ask for the maintenance portion in writing. Short-term rental fits seasonal peaks, when a second truck is needed for weeks rather than years.
Cost Per Year of Use
Compare forklifts by what each one costs for every year of useful work, because a lower sticker price can still mean a higher annual cost.
Imagine a distributor choosing between a new 5,000-pound LP forklift at $34,000 and a used one of the same class at $16,000. She expects ten years of single-shift work from the new truck and, given the hours already on the meter, about four from the used one. Spread over those years, the new truck costs $3,400 a year and the used one $4,000. Add planning maintenance of $1,200 a year for the new truck and $2,500 for the used one, and this illustrative comparison becomes $4,600 against $6,500 a year, before financing, taxes, and downtime. Resale value would shift the result: what the used truck brings at year four narrows the gap, and what the new truck brings at year ten widens it.
Used forklifts can still be the right call, especially for light duty or a second truck that runs a few hours a day. Our guide to equipment financing for used equipment explains how age and condition can affect what a lender will approve.
What Lenders Look At
| Factor | Why it matters |
| Time in business and revenue | Shows the payment can come from operations |
| New or used, and hours on the meter | Affects the term, advance percentage, and down payment |
| Dealer or private sale | A dealer invoice gives an underwriter more to work with |
| Battery, charger and attachments | May be financed with the truck if quoted together |
| Existing liens on the business, such as a blanket lien | May require a payoff, subordination, or an intercreditor agreement |
Budget for More Than the Payment
Ownership comes with costs that don’t appear on the quote. Operator training is one. Under OSHA’s powered industrial truck standard, the employer must ensure each operator is competent, as demonstrated by completing the required training and evaluation, and must evaluate each operator’s performance at least once every three years. With new hires and turnover, training becomes a recurring line in the budget.
Electric trucks need battery care and eventually a replacement battery. Internal combustion trucks need fuel or propane and engine service. Every truck needs tires, and cushion tires on busy floors wear faster than many buyers expect. Interest on a forklift loan may also be deductible as a business expense, and our guide to whether a business loan is tax deductible covers how that works. Your accountant will confirm how it applies to your return.
Finance a Forklift with Delta Capital Group
Delta Capital Group provides equipment financing and working capital to business owners across the country. Equipment financing is structured around the equipment’s useful life. No collateral required beyond the equipment for most equipment financing. Approvals happen in as little as 24 hours, and 95 percent of approved applicants are funded within 48 hours. Minimum qualifications are 6 months in business, $15,000 in monthly revenue, and a 500 credit score. Apply at deltacapitalgroup.com.
Frequently Asked Questions
Can you finance a used forklift?
Yes. Used forklifts are commonly financed, though terms may differ from new. A lender may offer a lower advance percentage, ask for a larger down payment, or set a shorter term depending on age, hours, condition, and seller.
What credit score do you need for forklift financing?
It depends on the lender. Bank and captive programs tend to look for strong credit. Delta publishes minimums of 6 months in business, $15,000 in monthly revenue, and a 500 credit score, subject to underwriting. Your credit profile can still affect approval, pricing, and down payment.
Is it better to lease or buy a forklift?
Buying, through a loan or a dollar buyout lease, tends to suit trucks you’ll keep and run hard for many years. A fair market value lease can suit trucks you plan to replace on a set cycle, as long as the hour allowance fits your shifts.
How long are forklift financing terms?
Terms are generally set against the truck’s expected working life, so a new forklift may qualify for a longer term than a high-hour used one. The exact term depends on the lender, the truck, and your business.
Can a new business get forklift financing?
Some lenders work with very young businesses, often with a larger down payment. Delta requires a minimum of 6 months in business, subject to underwriting, so it fits companies that are already operating and adding material-handling capacity.
