• Click on this online application link: repusa.directcapital.com/
• Scan this QR code: Click for QR Code
• Email your LSM (will.munson@firstcitizens.com) to have a PDF of the application sent to you.

• Application-only up to $250K
• No upper limit on requests, with financials required for >$250K
• Initial credit decision in as few as 60 seconds to one business day for app-only requests
• If First Citizens Bank declines your request, you may be eligible for referral to a third-party funding source.
  • You will receive an email notification regarding the decline and a request for consent to share your application and any related information with a third party for review. Note, in situations involving multiple personal guarantors (PG), the individual providing consent to share application information must confirm they have authority to consent on behalf of the other PGs.
  • You’ll have the same point of contact throughout the entire application process.
• Flexible rate and terms

Any business that is purchasing equipment or a product for a business purpose related to their business is eligible to apply.

Examples of a business include corporations, LLCs, nonprofits, partnerships or sole proprietors. You are considered a sole proprietor if you get paid via a 1099 or operate a business and report your income via a Schedule C or F on your 1040 tax return.

• Although there will be a personal credit inquiry on any owner with at least 25% ownership when you apply, when the transaction funds, it does not get recorded on your personal credit as a new trade line of debt. It only reports to your business credit, helping you build your business credit profile.

The factors First Citizens will evaluate include:

• Time in business (TIB) under current ownership
  • If you have <2 years, you can expect a max approval up to $50K for 60 months (application-only).
  • If you have >5 years, you can expect a max approval for up to $250K for 72 months (application-only).
• Comparable business credit
  • This means a history of other business transactions comparable to the amount you are requesting, typically found on a business credit report such as Paynet.
• Depth of credit on your personal credit report
  • This means a history of multiple transactions, such as a car loans or a mortgage with good payment history over time.
  • If you are <2 years TIB, you should have a credit score of >710.
  • If you have 3+ years TIB, you should have a credit score of >600.
• For corp-only approvals (no personal guarantor)
  • 5+ years TIB under the current ownership
  • 50+ employees
  • Diversified ownership (typically 5+ owners)

As a frame of reference, the Prime Rate is 8.25% as of May 4th, 2023. This rate influences the rate of all types of financing, both commercial and consumer.

Unlike a consumer loan, you will not find an annual percentage rate (APR) on your commercial finance documents. Instead, you will find a rate factor (RF). When you multiply your RF by the amount you are financing, you will get your monthly payment for a specific term.

You can use these factors to estimate a monthly “as-low-as” payment*:

60-month term – $21.46 per $1,000 financed – for transactions <$15K

60-month term – $20.71 per $1,000 financed – for transactions <$50K ≥$15K

72-month term – $17.15 per $1,000 financed – for transactions >$50K

First Citizens Bank is a risk-based underwriter, which means if you are approved, your payment is based on your overall risk profile. A business with <2yrs TIB will have a higher payment then an applicant with >10 years TIB for the same requested amount. This allows First Citizens to say yes more often to a wide range of applicants with varied risk profiles.

*Subject to approval by First Citizens Bank based on Time in Business 2+ years under current ownership and good and clear credit history. Actual payments may be higher or lower. Based on new equipment rates as of December 1, 2022, and subject to change without notice.

As a business owner, the key driver for acquiring new equipment should be to help increase your overall top-line revenue. The cash-flow evaluation can help you select the term and monthly payment.

• To evaluate and select the appropriate monthly payment, have a good understanding of the new incremental cash flow the equipment will bring to the business.
• A good rule of thumb is to select a payment at a term that is approximately 25% of expected incremental monthly revenue. This should allow you to generate enough overall cash flow to have the new equipment pay for itself profitably.
• If you feel your business has higher than normal costs of goods sold (COGS), select a payment closer to 20% of the expected incremental monthly revenue to be more conservative.

First Citizens Bank is offering an Equipment Finance Agreement (EFA) for titled assets such as trailers.

• With an EFA, you own your equipment from the inception of the financing and there is no end-of-transaction buyout.
• First Citizens will be listed as lienholder on your title or will file a UCC based on the serial number of your equipment for non-titled assets.
• With an EFA, you can buy out the contract early and the buyout is always less than the sum of remaining payment.

In addition to having a dedicated LSM who will reach out to you once you have applied for financing, you can reach out to the Strategic Account Manager (SAM) who supports Rep Enterprises prior to applying for financing to get answers to any questions you may have.

Arthur Kliman

AVP Strategic Account Manager
Equipment Finance
First Citizens Bank
155 Commerce Way
Portsmouth, NH 03825
O: 603-766-9341
F: 800-520-0848
arthur.kliman@firstcitizens.com
Firstcitizens.com