Should an HVAC contractor MCA or equipment-finance a new service van?

Equipment financing wins on cost almost every time. A $50K Sprinter or box truck financed over 60 months at 10% APR runs about $1,062/mo and totals roughly $63,720. The same $50K as MCA at 1.30 factor over 9 months is $15,000 in fees (~51% APR-equivalent). Use equipment financing unless you can't qualify or need money in 24 hours.

Does Texas contractor licensing affect MCA approval?

Indirectly. Funders don't underwrite against contractor licenses directly, but a clean license history (no suspensions, no consumer complaints) is a positive signal in marginal cases. Active disputes can hurt.

Can an HVAC startup under 6 months get funded in Texas?

Limited. Accord, Greenbox's 2-stip program, and smaller specialty MCA shops will fund newer contractors with 3-6 months of bank statements. Expect higher factor rates (1.40-1.50).

HVAC Contractors funding in Texas — what to expect in 2026

Texas HVAC contractors face seasonal revenue spikes (Q2-Q3 cooling, Q4-Q1 heating) plus equipment and fleet capital needs. Funders that understand the trade accept the lumpy deposit pattern.

Typical funding range

$15,000 – $300,000 — that's the band most hvac contractors in Texas fall into. Deals smaller than $10K are uncommon (the math rarely works for the funder). Deals over $250K typically require stronger profiles or collateral.

What funders look for

Most funders require 12+ months operating, 6+ months for B/C-paper
Monthly revenue floor: $20,000 (mixed residential + commercial profile preferred)
Credit scores 600+ get A-paper terms; 550+ is workable
Seasonal Q1/Q4 revenue dips need explanation — provide 12 months of statements with a 1-page note on the residential/commercial mix

What to bring to the application

The faster you can ship these to a funder, the faster you close. Most underwriting decisions for hvac contractors in Texas happen in 2–4 hours once docs are complete.

Last 3-6 months of business bank statements
Voided business check
Driver's license for the majority owner
Industry-specific documentation (licensing, certifications) if applicable

The math

A typical hvac contractors deal in Texas lands at a factor rate between 1.25 and 1.42. On a $50,000 advance at 1.32, you'd repay $66,000 over 9–12 months — about $260–$305/day in ACH. Our factor rate calculator lets you plug in your own numbers.

Frequently asked questions

Should an HVAC contractor MCA or equipment-finance a new service van?: Equipment financing wins on cost almost every time. A $50K Sprinter or box truck financed over 60 months at 10% APR runs about $1,062/mo and totals roughly $63,720. The same $50K as MCA at 1.30 factor over 9 months is $15,000 in fees (~51% APR-equivalent). Use equipment financing unless you can't qualify or need money in 24 hours.
Does Texas contractor licensing affect MCA approval?: Indirectly. Funders don't underwrite against contractor licenses directly, but a clean license history (no suspensions, no consumer complaints) is a positive signal in marginal cases. Active disputes can hurt.
Can an HVAC startup under 6 months get funded in Texas?: Limited. Accord, Greenbox's 2-stip program, and smaller specialty MCA shops will fund newer contractors with 3-6 months of bank statements. Expect higher factor rates (1.40-1.50).