Financing a Generator for Your Business: Keeping Operations Moving When the Power Doesn’t Cooperate

In New England, you don’t need a dramatic storm to lose power. A heavy wind gust, an ice-loaded line, or a transformer that’s older than your pickup can shut your business down in seconds. And when your operations depend on equipment, production schedules, or service calls, downtime is expensive.

That’s why more businesses are adding commercial generators before the next outage hits — and financing them to protect cash flow along the way.

Here’s what you should know before you buy.

Why Generators Are Becoming a “Must” Instead of a “Maybe”

A generator isn’t just a convenience. For a lot of businesses, it’s insurance against lost revenue.

A few real-world examples:

• A machine shop loses a full day of CNC runtime because of an outage

• A trades business can’t dispatch trucks because computers and phones are offline

• A cold-storage or food-service operator risks product spoilage

• A contractor runs behind on deadlines because tools and charging stations go dead

  
  

The cost of the downtime often outweighs the cost of the generator itself — which is why financing has become the go-to path.

What You Can Finance (More Than Just the Generator)

One of the biggest misconceptions is that lenders only finance the unit itself. In reality, most commercial lenders allow you to include soft costs directly in the loan:

• Installation and electrical work

• Transfer switches and control panels

• Concrete pads and site prep

• Delivery and freight

• Extended warranties

• Fuel tanks and storage

• Enclosures (weather, sound attenuation, insulation)

  
  

Rolling these into the financing allows you to get fully operational without draining operating capital.

Loan Options: App-Only vs Full Financial Package

Most generator purchases fall comfortably into app-only financing, especially in the $15,000 to $250,000 range.

App-only (no financial statements required):

• Typically up to $300,000

• Quick approvals

• Based on credit, time in business, bank activity, and the generator specs

• Perfect for standby generators, mobile towable units, and multi-unit packages

  
  

If your project is larger or includes site build-outs, you can move into a full financial package to secure longer terms and stronger pricing.

Terms, Rates, and What to Expect

Most generator financing falls within:

• 48 to 72-month terms

• Fixed monthly payments

• No prepayment penalties with most equipment lenders

• Options for seasonal payments or deferred first payment if installation takes time

  
  

If your site work or installation requires multiple steps, a lender can structure progress payments so the vendor gets paid as you go — without you coming out of pocket.

Should You Finance or Pay Cash?

A generator is a safety asset — it doesn’t directly produce revenue, but it prevents revenue loss.

Because of that, most businesses finance generators to:

• Maintain cash reserves

• Avoid pulling from emergency or operating funds

• Keep credit lines open for materials, payroll, and jobs

• Match costs to the protection the generator provides over time

  
  

If your bank balance swings with seasonal work or large project cycles, financing is often the more strategic move.

Staying Ahead of Power Outages Before They Cost You

Power outages are becoming more frequent and more disruptive — and most businesses only think about generators after they’ve already lost revenue.

The right financing strategy lets you install the equipment now, spread out the cost, and avoid scrambling when the next storm hits.

If you want help running the numbers or exploring financing options, I can walk you through the structure that makes the most sense for your business.

   About the Author

   Jared Holmes is the founder of Brilliance Funding Partners, where he helps business owners navigate the commercial lending landscape with confidence. With 10 years of hands-on experience in SBA lending, equipment financing, and working capital solutions, Jared focuses on asking the right questions and delivering financing strategies that make sense for each business. Connect with Jared for a personalized conversation about your options.