How do you get a business loan for an HVAC company?

HVAC seasonal cash-flow shape

HVAC companies have one of the most pronounced seasonal cash-flow patterns in the trades: 60-70% of annual revenue concentrates in Q2-Q3 cooling-season service + installation, with Q4-Q1 revenue dropping to maintenance-contract minimums. This shape drives specific financing needs: payroll smoothing through slow months, working capital to stock parts inventory ahead of peak season, equipment financing to buy or replace service trucks + recovery + diagnostic tools, and capital for expansion (second location, fleet expansion) when growth allows.

Three product fits for HVAC operators

1. Equipment financing for trucks, tools, refrigerant equipment

Equipment financing uses the equipment itself as the primary collateral, allowing lower rates (6-25% APR) and longer terms (24-84 months) than working-capital products. Common HVAC equipment purchases: service vans + trucks (often single biggest line item — $40K-$100K per vehicle), refrigerant recovery machines, charging/recovery systems, manifold gauges, leak detectors, brazing equipment, and diagnostic equipment for commercial systems. Section 179 deduction often applies — qualifying equipment fully expensed in the first year per IRS Publication 946. For trucks specifically, IRS Section 179 has separate thresholds for SUVs/vans vs heavy trucks.

2. Business line of credit for Q4-Q1 smoothing + summer inventory

The HVAC seasonal cash-flow pattern is a textbook line-of-credit use case: revolving access to capital you only pay interest on when you draw. Typical pattern: draw $15-50K in March-April to stock summer parts inventory + pre-pay supplier deposits → repay through May-September peak revenue → maintain a small draw through October-February for payroll smoothing → repeat. Non-bank lines price 18-35% APR; bank lines 8-16% for HVAC companies with 2+ years + 680+ FICO. See how does a business line of credit work.

3. SBA 7(a) for shop expansion or commercial property

HVAC is on the SBA Preferred Industry list under NAICS 2382 (Building Equipment Contractors). SBA 7(a) loans price 9-13% APR for HVAC operators at PLP banks. Common uses: buying out a partner, acquiring a second location, fleet expansion (multiple service vehicles), or owner-occupied commercial real estate (SBA 504 specifically for the property piece). The combined SBA 7(a)+504 cap doubles to $10M effective July 4, 2026 — pulling in larger fleet + property deals previously sized out.

Qualification realism

Most established HVAC companies (2+ years, $30K+/month average revenue) qualify at the non-bank tier (600+ FICO, $15K+/month average deposits) or bank tier (680+ FICO, 2+ years, profitable financials). Equipment financing on specific truck purchases is accessible even at lower FICO scores because the equipment is collateral.

Apply at ClearValue Lending

Apply at Find my match — your file routes to the funding partners whose underwriting fits the trades. Routing to a curated set of funding partners — not the whole network — protects your credit profile from multi-pull damage.