Excavators are among the highest-revenue construction equipment you can own. A mini excavator at $50,000 can generate $80-$120/hour in billing. A full-size excavator at $300,000+ can bill $200-$400/hour. The financing math works in your favor.
Excavator Pricing by Size Class
| Size Class | Weight Range | New Price | Used (3-5 yr) | Hourly Billing Rate |
|---|---|---|---|---|
| Micro (1-2 ton) | 2,000-4,000 lbs | $20,000-$40,000 | $12,000-$25,000 | $60-$90/hr |
| Mini (3-6 ton) | 6,000-13,000 lbs | $40,000-$80,000 | $25,000-$50,000 | $80-$130/hr |
| Midi (7-10 ton) | 14,000-22,000 lbs | $70,000-$130,000 | $40,000-$80,000 | $100-$160/hr |
| Standard (11-20 ton) | 22,000-44,000 lbs | $120,000-$250,000 | $65,000-$150,000 | $150-$250/hr |
| Large (21-40 ton) | 44,000-88,000 lbs | $200,000-$450,000 | $100,000-$280,000 | $200-$350/hr |
| Mining (40+ ton) | 88,000+ lbs | $500,000-$2M+ | $250,000-$1M+ | $300-$500/hr |
Top manufacturers: Caterpillar, Komatsu, John Deere, Kubota, Volvo CE, Hitachi, Kobelco, Takeuchi.
The Mini Excavator Boom
Mini excavators are the fastest-growing segment in construction equipment. Financing a mini excavator is often easier than larger equipment because:
- Lower dollar amount means less lender risk
- Strong rental market provides backup revenue
- High demand keeps resale values stable
- Versatile enough for multiple job types
A Kubota KX040 or Cat 304 mini excavator can pay for itself within 12-18 months if utilized at 60%+ capacity.
Financing Rates for Excavators
| Credit Profile | Mini Excavator | Standard Excavator | Large Excavator |
|---|---|---|---|
| Excellent (720+) | 5.99%-7.99% | 5.49%-7.49% | 5.49%-6.99% |
| Good (660-719) | 7.99%-11.99% | 7.49%-10.99% | 7.49%-9.99% |
| Fair (600-659) | 11.99%-17.99% | 10.99%-16.99% | 10.99%-14.99% |
| Challenged (<600) | 17.99%+ | Case by case | Requires strong financials |
Note: Larger, more expensive excavators often get better rates because lenders compete harder for bigger deals.
What Lenders Want to See
For excavator financing, lenders evaluate:
- Job pipeline: Contracts or consistent project history showing you'll use the machine
- Revenue history: Demonstrates your ability to generate income with equipment
- Operator experience: Especially important for larger machines
- Insurance: Comprehensive equipment insurance with appropriate liability limits
- Site information: Where the excavator will be working (some lenders restrict certain industries like mining)
Rent vs Buy Analysis
Before financing an excavator, compare the cost of ownership vs rental:
| Factor | Buy (60mo loan) | Rent |
|---|---|---|
| Monthly cost (Cat 320, $180K) | $3,600-$4,200 | $8,000-$12,000 |
| Annual cost | $43,200-$50,400 | $96,000-$144,000 |
| Tax benefits | Section 179 + depreciation | Rental is deductible |
| Availability | Always available | Subject to availability |
| Maintenance | Your responsibility | Included in rental |
If you use an excavator more than 40-50% of the year, buying almost always wins financially.
Apply for Excavator Financing
Brobas Capital Partners finances excavators of all sizes from all manufacturers. Our 91+ lender network includes construction equipment specialists.
Apply at brobascap.com or call (773) 691-3925