When Should You Lease vs. Buy Farm Equipment?

Kathy Bogardus

Feb 23, 2024

Having the right equipment makes a huge impact on your operation, but getting that machinery often represents a significant cost in your budget. When it’s time to consider financing options, you may want to weigh the options of buying vs. leasing equipment.

Buying Farm Equipment

You may want to purchase your own equipment if you:

  • Plan to keep the machine long-term

  • Prefer owning your own equipment for the extra control it offers your operation

  • Are looking to save money or are interested specifically in an older piece of machinery for the custom capabilities it may offer

Leasing Farm Equipment

Alternatively, you may want to lease equipment in order to:

  • Secure the newest equipment with the latest available technology

  • Lower your fixed costs

  • Avoid being locked into a long-term contract (a typical lease lasts between 24-36 months)

  • Reduce the repair costs and potential downtime of using older equipment

  • Know your specific cost per acre

Farm Equipment Loans from FBN® Finance

No matter which approach you take, we’re here to help your operation grow with flexible financing solutions on most ag-related products, including equipment loans. Farm equipment loans can help farmers buy the equipment they need to improve efficiency in their operations — without putting a strain on current budget or cash flow.

FBN Finance is a trusted provider of agricultural financing solutions, including farm equipment loans. We have a team of experts with years of experience in the industry, and we understand the unique needs of farmers. Connect with an FBN Finance loan advisor today to get a customized quote for your operation.

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The material provided is for information purposes only. It is not intended to be a substitute for specific legal or professional advice. Neither Farmer’s Business Network nor any of its affiliates makes any representations or warranties, express or implied, as to the accuracy or completeness of the statements or any information contained in the material and any liability therefore is expressly disclaimed. 

Financing offered by FBN Finance, LLC and its lending partners. Available where FBN Finance, LLC is licensed. Terms and conditions apply. To qualify, a borrower must be a member of Farmer’s Business Network, Inc. and meet all underwriting requirements. Interest rates and fees will vary depending on your individual situation. Not all applicants will qualify. NMLS ID: 1631119

Kathy Bogardus

Feb 23, 2024

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