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Learn how mining equipment suppliers can offer customer financing for loaders, drills, haul trucks and processing equipment in the U.S. and Canada.
A mining company can have a clear operational need for another loader, haul truck, drill rig or crusher and still hesitate at a seven-figure cash purchase.
The equipment may increase production or replace an unreliable unit, but the customer still needs liquidity for labour, fuel, explosives, maintenance, site development, parts and mobilization.
A customer financing program gives mining equipment suppliers another way to structure those sales without becoming the lender themselves.
Quick Answer: Mining equipment suppliers can offer customer financing through third-party lenders, lessors or a financing brokerage rather than carrying customer debt themselves. Strong programs match the financing to the buyer, equipment and project, while addressing used-equipment condition, progress payments, freight, commissioning and supplier payout before the machinery is shipped. Final approval remains subject to underwriting.
Suppliers looking at the broader outsourced model can also review Mehmi's Financing as a Service for B2B Companies guide. It explains how an outside financing provider can handle applications, lender matching, documentation and funding while the supplier remains focused on the equipment sale.
The supplier sells the equipment.
The financing provider handles the commercial credit decision.
In a straightforward transaction, the mine or contractor selects the machine and receives an itemized quote. The buyer completes a financing application, and the funding provider reviews the company, project, equipment and requested structure.
An approval may still contain conditions.
Those can involve updated financial information, customer contribution, equipment inspection, insurance, serial numbers, lien releases or contract support.
Once documentation and funding requirements are satisfied, the supplier is paid according to the approved closing structure and the customer begins making payments to the financing provider.
This gives the supplier a financing path without necessarily underwriting borrowers, collecting payments or putting its own capital at risk.
Canadian suppliers building their first formal program can use Mehmi's guide to offering financing to equipment customers and its more detailed Vendor Financing Program Canada guide for the underlying workflow.
Scale is the obvious difference, but complexity matters just as much.
A standard commercial machine might be sitting at a dealership ready for delivery.
A mining transaction can involve a $1 million machine that has to be configured, transported hundreds of kilometres to a remote site, assembled, tested and commissioned before it begins producing revenue.
The underlying mining industry is also capital intensive. Statistics Canada reported that Canadian mining and quarrying, excluding oil and gas, is expected to reach a record CAD $18.5 billion of capital expenditures in 2026, including a record CAD $5.1 billion of machinery and equipment spending.
In the United States, the U.S. Geological Survey estimated the value of nonfuel mineral production at USD $112 billion in 2025, up 5.6% from 2024.
Those industry figures show the scale of the market, not the creditworthiness of an individual mine.
Every financing request still has to stand on its own.
Mining equipment is not one collateral category.
A supplier might sell a wheel loader that can be resold into mining, quarrying or construction. Another supplier may sell an underground bolter designed for a much narrower operating environment.
Both can be productive assets, but their secondary markets are different.
Potential transactions can involve loaders, excavators, dozers, articulated and rigid haul trucks, drills, underground loaders and LHDs, bolters, scalers, crushers, screens, conveyors, pumps, compressors, generators, processing equipment and other identifiable mining machinery.
For Canadian buyers, Mehmi's Mining Equipment Financing Canada guide goes deeper into how equipment type, project stage and resale value affect structure.
Machines that overlap mining and heavy construction can also be evaluated using the asset concepts in Mehmi's Komatsu Equipment Financing guide.
The basic credit principle is simple: the more specialized the machine, the more important the borrower and transaction become.
Good collateral does not replace repayment capacity.
The underwriter still needs to understand where the payment comes from.
An established producing mine replacing a high-hour loader gives credit years of operating history to analyze.
A newly incorporated mining contractor buying the same loader because it expects to win its first major contract is a much more forward-looking credit case.
Providers may review operating history, profitability, cash flow, liquidity, existing debt, business and owner credit, current fleet, financial statements, customer concentration, offtake relationships, contracts and the stage of the underlying project.
If repayment depends heavily on one new contract, expect questions such as:
How long does the contract run?
When does billable work begin?
What are the mobilization requirements?
Can the contract be terminated early?
How concentrated is revenue in that customer?
Could the machine be redeployed elsewhere if the contract ends?
That final question can materially affect risk.
A general-purpose excavator may remain useful even if one project fails. A highly specialized underground unit may have fewer alternative uses.
There is no universal credit score, revenue level or down-payment percentage that guarantees approval.
The quote should let an underwriter understand exactly what its money is purchasing.
For mobile mining equipment, that usually means identifying the manufacturer, model, year, serial number, hours, configuration, condition, selling price and major attachments.
If the machine is used, include major component information when available.
A haul truck with 12,000 frame hours may have an engine with only 2,000 hours since rebuild. That distinction matters.
For crushers and processing packages, separate individual components.
A quote for "$2 million mining plant" tells credit very little.
A quote that identifies the crusher, screens, conveyors, controls, generators, installation and commissioning makes the hard-equipment value much clearer.
When the market value is difficult to establish, Canadian suppliers can direct buyers to Mehmi's Equipment Appraisal for Financing guide.
Used mining machinery needs a stronger history file than a basic year-and-hours description.
Mining is hard on equipment.
Credit may want to understand engine and component hours, transmission work, hydraulic repairs, undercarriage condition, tires, structural repairs, maintenance records and previous operating conditions.
Documented rebuilds can improve the story.
Undocumented claims do not carry the same weight.
If a seller says the engine was rebuilt 300 hours ago, an invoice identifying the work performed is much more useful than a verbal statement that the machine was "recently rebuilt."
The financing term should also make sense relative to the machine's remaining useful life.
Stretching repayment over an aging, high-hour asset simply to reduce the periodic payment can create a situation where the customer is still servicing significant debt when major repairs arrive.
Mehmi's Used Equipment Financing guide explains why condition, service history and resale strength become increasingly important on older assets.
This is one of the biggest supplier-level issues.
Large mining equipment may not be an off-the-shelf purchase.
A manufacturer may require 20% when the order is signed, another payment during fabrication and the balance before shipment or commissioning.
A financing approval for the completed machine does not automatically mean the lender will advance money at every manufacturing milestone.
Early funding creates additional risk because the lender may be advancing money before it has a completed asset.
Before production begins, provide the financing partner with the proposed payment schedule.
Possible milestones can include the initial deposit, manufacturing progress, equipment completion, shipment, delivery, assembly, commissioning and final customer acceptance.
Some funders may consider controlled progress advances.
Others may expect the customer to finance early deposits itself and fund only when the machinery reaches an acceptable completion stage.
Suppliers handling complex equipment packages can also review Mehmi's Industrial Equipment Financing guide for the distinction between hard equipment and installation or project costs.
Potentially, but they should be itemized.
Remote mine sites can create unusually large soft costs.
A machine may require heavy-haul transportation, rail or ocean freight, site mobilization, assembly, engineering, software, operator training and commissioning.
Those expenditures do not necessarily have the same collateral value as the physical machinery.
For example, a USD $1 million drill may have an identifiable resale market.
USD $100,000 of engineering, travel and training has little recoverable value once the work has been completed.
That does not make those expenses automatically ineligible.
It means the lender needs to understand how much of the request represents hard equipment and how much represents services.
Do not increase the stated equipment price simply to hide soft costs inside the asset value.
Assume a U.S. mining contractor purchases a production loader for USD $750,000.
For illustration only:
This example assumes a fully amortizing loan.
It excludes sales or use taxes, filing charges, insurance, freight, installation, commissioning, training, warranties, maintenance and other transaction-specific costs.
It is not a Mehmi Financial Group rate, approval or customer result.
The practical credit question is whether the company can support approximately USD $14,094 every month after wages, fuel, maintenance, site costs and existing debt.
If the loader replaces an unreliable machine that is already supporting profitable production, the business case may be clear.
If the borrower needs the loader only because it hopes to secure a future contract, the repayment story is considerably weaker.
Canadian businesses can model CAD scenarios through Mehmi's Equipment Financing Calculator. Calculator results are estimates, not financing offers.
Approval and funding are separate events.
A buyer can be approved while several closing conditions remain outstanding.
Depending on the transaction, the financing provider may still require signed agreements, proof of customer contribution, the final invoice, serial numbers, equipment inspection, insurance, existing lien discharge, supplier banking verification, delivery confirmation or customer acceptance.
Custom machinery may also require evidence of installation or commissioning.
The supplier should know exactly what controls payout before shipping valuable equipment to a remote mine site.
Banking instructions deserve particular attention on large transactions.
A last-minute email claiming that supplier wire instructions have changed should be independently verified through a known contact before funds are redirected.
Keep the equipment sale and credit decision clearly separated.
The current CFPB interpretation of Regulation B states that the Equal Credit Opportunity Act and Regulation B apply to commercial as well as personal credit.
The salesperson's job should be to identify that the customer wants financing, collect accurate equipment information and make the proper introduction.
The lender or other credit provider should control underwriting and the final financing decision.
Secured transactions also involve state commercial law.
The Uniform Law Commission explains that UCC Article 9 provides the framework for secured transactions involving personal property, with states maintaining financing-statement systems used to disclose security interests.
Mobile mining equipment will often fall within personal-property collateral analysis.
Large processing systems integrated into a mine site can be more complicated. Suppliers should not decide for themselves whether equipment has become a fixture or how a lender's security should be perfected.
State commercial-financing disclosure, brokering and licensing requirements can also differ, so a supplier with customers in several states should not assume one sales-finance workflow is legally identical everywhere.
Canada does not use the U.S. UCC framework.
Security over equipment is generally handled under provincial law.
Ontario, for example, operates a Personal Property Security Registration system through which a creditor can register a notice of security interest and search for existing liens. The province notes that PPSA registrations help establish priority among competing interests in the same personal property.
That matters when financing used equipment, refinancing existing machinery or accepting equipment on trade.
Quebec instead uses the RDPRM, or Register of Personal and Movable Real Rights, under its civil-law system. The province describes the register as a way to determine whether property has been pledged to secure debt.
The supplier's role is to provide accurate legal names, equipment descriptions, serial numbers and ownership documentation.
The financing provider determines the proper searches and registrations.
Financing applications also contain sensitive information about owners and guarantors. Where PIPEDA applies, Canada's privacy regulator says organizations generally need meaningful consent for the collection, use and disclosure of personal information.
Keep bank statements, identification and credit information inside an approved financing workflow rather than casually forwarding them throughout the sales organization.
Treat the transaction as cross-border before the purchase contract is finalized.
A U.S. supplier selling a crusher or drill to a Canadian mine needs to coordinate the equipment sale with financing, shipping, currency, tax treatment and final acceptance.
The financing provider may need to know the invoice currency, equipment origin, pickup location, delivery site, importer of record, freight responsibility, taxes and duties, serial numbers, insurance and commissioning requirements.
A financing approval should not be treated as permission to ship.
U.S. suppliers selling equipment into Canada can use Mehmi's Canadian Buyer Financing for U.S. Equipment Sellers guide to understand why financing and border logistics need to be coordinated in parallel.
It depends on the actual financing need.
An equipment loan generally fits a business that wants ownership and predictable amortization.
A lease can provide a different ownership and end-of-term structure. The customer should understand purchase options, residual amounts, early-payoff provisions and other obligations rather than comparing only monthly payments.
A large mine or contractor with substantial equipment and receivables may sometimes be better served by an asset-based facility that supports several financing needs instead of financing each machine individually.
Receivables financing solves a different problem again.
If the customer's real issue is waiting 60 days for invoices to be paid, factoring may address working capital but does not replace long-term financing for a seven-year productive asset.
Do not treat these structures as interchangeable.
Not every mining equipment sale should be saved with another debt obligation.
Financing may be a poor fit when the customer's project is undercapitalized, critical permits are unresolved, the revenue contract is uncertain or existing debt already consumes most operating cash flow.
Alternatives may include renting the machine, rebuilding an existing unit, purchasing used equipment, buying one machine instead of three or postponing a specialized equipment purchase until production is established.
Borrowing less can be the right answer.
Waiting can be the right answer.
For some projects, not borrowing at all is the correct credit decision.
Customer financing works best when it helps an otherwise viable mining operation acquire an asset that has a clear productive purpose.
Start with the way your company already sells and delivers equipment.
Map the real transaction.
When is the deposit due?
When is the serial number available?
Is the machine already built?
Does the manufacturer require milestone payments?
Who pays freight?
Does the machine need field assembly?
Who commissions it?
When does the customer formally accept it?
When does your company expect final payment?
Then fit the financing process around those milestones.
The cleanest operating flow is generally:
Equipment selected → detailed quote → financing application → underwriting → financing structure → deposit/progress-payment requirements confirmed → documents → equipment completion → delivery → commissioning and acceptance → supplier payout.
Once that workflow works consistently, the supplier can consider a branded or embedded customer experience rather than trying to solve the problem with software first.
Yes.
A supplier can work with an independent lender, lessor or commercial financing brokerage while remaining the equipment seller.
The exact regulatory obligations depend on what the supplier does and the jurisdictions involved.
Potentially.
Expect closer review of hours, condition, major component history, maintenance, ownership, liens and current market value.
Highly specialized or older machines may require valuation support or a different financing structure.
Potentially.
Larger transactions usually require substantially more financial analysis and documentation than smaller equipment purchases.
The financing provider may review audited or accountant-prepared financial statements, detailed debt, contracts, liquidity, collateral and the underlying project's economics.
Potentially, but this must be structured in advance.
Do not assume that approval of the completed equipment automatically means the financing provider will fund deposits or manufacturing milestones.
Potentially.
The provider will generally want those costs itemized separately from the hard equipment because their collateral value can be very different.
No.
A contract can strengthen the repayment story, but underwriting can still consider contract length, counterparty quality, termination rights, margins, existing debt, equipment value and whether the machine can be redeployed if the contract ends.
First determine why.
A bank that declines because it does not finance specialized mining machinery presents a different situation from a customer that cannot demonstrate sufficient repayment capacity.
A brokerage with multiple financing relationships may be able to identify another legitimate structure, but another lender cannot make an economically weak project strong.
No.
Mehmi Financial Group operates as a commercial financing brokerage and intermediary rather than a direct lender. Independent financing providers determine final underwriting, pricing, documentation, security and funding conditions.
Mining equipment suppliers need more than a generic "financing available" button.
A workable program needs to understand whether the asset is new or used, mainstream or specialized, complete or still being manufactured.
It needs to distinguish hard equipment from freight, engineering and commissioning.
It needs to understand the mine or contractor's repayment source.
And it needs to establish exactly when the supplier gets paid before expensive equipment starts moving toward a remote site.
Mehmi Financial Group works as a commercial financing brokerage and intermediary that can help mining equipment suppliers, OEMs and distributors coordinate qualified customer financing requests with potential funding sources. Final approval, terms and funding conditions remain subject to the applicable independent financing provider.
To discuss a mining equipment supplier financing program, call Mehmi Financial Group at 833-863-4644 or use the verified Mehmi Financial Group contact page.
Be ready to discuss your typical financing amount, whether customers are in the United States or Canada, the states or provinces served, the types of mining equipment sold, whether transactions require deposits or progress payments, the use of the equipment, and expected delivery or commissioning timing.
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