Capital leases and equipment loans structured for Western Canadian operators — fast approvals, flexible terms, any industry.
Both get you the equipment. The choice comes down to ownership timing, your situation, and how you want it to sit on your books. Northgate will walk you through both before you decide.
No lengthy intake. No runaround. Tell us what you need and we'll have terms in front of you by tomorrow.
Most equipment purchases don't make sense to pay cash for — and most operators shouldn't have to. Based in Calgary, Alberta, Northgate Capital structures financing and lease arrangements for operators across Western Canada — letting you put the right equipment to work immediately, with payments built around your cash flow. Our core product is the capital lease — a financing structure that gives you the full economic benefits of ownership without tying up capital.
We structure a capital lease or equipment loan tailored to your situation — equipment type, term length, down payment, and residual value.
Equipment financing works for virtually any operator who needs equipment to run their business:
You finance the equipment, use it, and own it outright at the end of the term. It shows on your balance sheet as an asset, builds equity, and gives you the full economic benefits of ownership without a large upfront capital outlay.
Northgate isn't an accounting firm — consult your accountant or tax advisor to confirm how CCA and interest deductions apply to your business.
Better suited when you need equipment for a defined period and prefer to return it at the end of term. Payments are typically lower and the lease stays off your balance sheet. Ideal for technology-heavy equipment or short-duration projects.
Equipment financing (a loan) means you own the equipment from day one and build equity as you pay it down, with GST/HST charged on the full purchase price upfront. Equipment leasing means you use the equipment for a set term and either return it, buy it out, or upgrade at the end, with GST/HST charged on each payment rather than all at once. Lease and loan payments are usually close to the same size for the same term — what actually changes the payment is how the lease's purchase-option amount is structured. Northgate structures both — the right choice depends on your cash flow, tax situation, and whether you want to own the asset long-term.
Both. A capital lease is available for new and used equipment alike — the same age and condition underwriting that applies to an equipment loan applies to a capital lease too, not a separate or stricter standard. And because Northgate's capital lease is a lease-to-own structure, it builds equity toward ownership just like a loan does — the real difference is timing, not whether equity builds at all. With a loan, you hold title and build equity immediately; with a capital lease, the lessor holds title during the term while equity accrues toward the low purchase option that transfers ownership at the end. Which structure fits better usually comes down to cash flow and tax treatment, not the age of the equipment.
Not inherently. A lease and a loan financing the same equipment over the same term are usually priced similarly. What changes the payment is the lease's purchase-option (residual) percentage, which can typically be structured anywhere from a nominal amount up to roughly 50% of the equipment's value. A higher purchase-option percentage defers more of the equipment's cost to a lump sum due at the end of the lease, which lowers the payment during the term. On long-life equipment, a well-structured purchase option on a standard-length term — say, 60 months — can effectively emulate a longer amortization schedule without extending the actual contract. Northgate can structure the purchase-option percentage around your equipment and cash flow goals.
On a capital lease, GST/HST is applied to each payment as it comes due — including tax on any down payment or deposit — rather than all at once. On an equipment loan or conditional sale, GST/HST is generally charged on the full purchase price upfront, at the time of sale, regardless of how the purchase is financed. A GST/HST-registered business typically recovers that upfront tax as an Input Tax Credit on its next regular GST/HST return — the exact timing depends on whether the business files monthly, quarterly, or annually. GST is not typically rolled into the loan itself; it's paid upfront and recovered through the Input Tax Credit process. Consult your accountant or tax advisor to confirm how this applies to your business and filing frequency.
It depends on how the lease is structured. A Fair Market Value (FMV) lease is built to let you return the equipment, renew, or buy it at its appraised value at the end of the term — a genuine walk-away option. A $1 (or fixed-dollar) buyout lease is structured so you've already financed nearly the full equipment cost through your payments, so there's little practical reason to return it — ownership is the intended outcome. A percentage/residual lease sits in between: a return option is often written into the contract, but at lower purchase-option percentages the leftover value is usually well below the equipment's actual worth, so buying it out is typically the better economic move. Northgate can help you pick the structure that matches whether you want a real exit option or a lower payment with an ownership path.
Yes. Northgate finances both new and used equipment. Most lenders require used equipment to be within a reasonable age range — typically under 10 to 15 years depending on the equipment type — and may require an inspection or appraisal for older or higher-value pieces. Private sales, auction purchases, and dealer transactions are all eligible.
Northgate arranges equipment financing from $25,000 to $5,000,000 and above. The amount you qualify for depends on the equipment value, your business financials, credit profile, and time in business. We work across a broad lender network so we can often find solutions for larger or more complex deals that a single bank would decline.
For most applications you'll need: a completed application form, 2–3 years of business financials or tax returns, a recent bank statement, and details on the equipment (make, model, year, asking price, seller). Larger deals or startup applicants may need additional documentation. Northgate will tell you exactly what's needed once you submit your initial application.
Most applications receive a decision within 24 business hours. Straightforward requests under $250,000 often receive same-day approval. Northgate keeps you updated throughout the process and has direct access to decision-makers at multiple lenders — meaning no waiting in a queue.
In many cases, yes. Capital leases can be structured with an Early Buyout Option (EBO) — a set point during the term where you can pay a pre-agreed amount and take ownership before the lease runs its full course, instead of waiting until the end. Whether an EBO is available, and on what terms, depends on the lender and how your deal is structured. Ask your Northgate contact about building one into your financing.
Talk to Northgate — no obligation, no lengthy forms, just a conversation about what you need.
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Consult your accountant or tax advisor to confirm how this applies to your business and filing frequency."}},{"@type":"Question","name":"Can I return the equipment at the end of a capital lease, or do I have to buy it?","acceptedAnswer":{"@type":"Answer","text":"It depends on how the lease is structured. A Fair Market Value (FMV) lease is built to let you return the equipment, renew, or buy it at its appraised value at the end of the term — a genuine walk-away option. A $1 (or fixed-dollar) buyout lease is structured so you've already financed nearly the full equipment cost through your payments, so there's little practical reason to return it — ownership is the intended outcome. A percentage/residual lease sits in between: a return option is often written into the contract, but at lower purchase-option percentages the leftover value is usually well below the equipment's actual worth, so buying it out is typically the better economic move. Northgate can help you pick the structure that matches whether you want a real exit option or a lower payment with an ownership path."}},{"@type":"Question","name":"Can I finance used equipment in Canada?","acceptedAnswer":{"@type":"Answer","text":"Yes. Northgate finances both new and used equipment. Most lenders require used equipment to be within a reasonable age range — typically under 10 to 15 years depending on the equipment type — and may require an inspection or appraisal for older or higher-value pieces. Private sales, auction purchases, and dealer transactions are all eligible."}},{"@type":"Question","name":"How much can I borrow for equipment financing?","acceptedAnswer":{"@type":"Answer","text":"Northgate arranges equipment financing from $25,000 to $5,000,000 and above. The amount you qualify for depends on the equipment value, your business financials, credit profile, and time in business. We work across a broad lender network so we can often find solutions for larger or more complex deals that a single bank would decline."}},{"@type":"Question","name":"What documents do I need to apply for equipment financing?","acceptedAnswer":{"@type":"Answer","text":"For most applications you'll need: a completed application form, 2–3 years of business financials or tax returns, a recent bank statement, and details on the equipment (make, model, year, asking price, seller). Larger deals or startup applicants may need additional documentation. Northgate will tell you exactly what's needed once you submit your initial application — no surprises."}},{"@type":"Question","name":"How quickly can I get approved for equipment financing?","acceptedAnswer":{"@type":"Answer","text":"Most applications receive a decision within 24 business hours. Straightforward requests under $250,000 often receive same-day approval. More complex deals or larger amounts may take a few additional days. Northgate keeps you updated throughout the process and has direct access to decision-makers at multiple lenders — meaning no waiting in a queue."}},{"@type":"Question","name":"Can I pay off my equipment lease early?","acceptedAnswer":{"@type":"Answer","text":"In many cases, yes. Capital leases can be structured with an Early Buyout Option (EBO) — a set point during the term where you can pay a pre-agreed amount and take ownership before the lease runs its full course, instead of waiting until the end. Whether an EBO is available, and on what terms, depends on the lender and how your deal is structured. Ask your Northgate contact about building one into your financing."}}]}