term loans for auto repair & service
Term Loans for Auto Repair & Service businesses. Built for auto repair & service cash flow.
Traditional term loans with non-traditional speed. Fixed monthly payments, clear terms, and funding in 24 hours, without the 60-day bank approval process.
- Max funding
- $500K
- Term
- 6–36 months
- Time to fund
- 24–48 hours
- Min FICO
- 550+
The short answer
Is Term Loans the right fit for Auto Repair & Service businesses?
Structured financing for bay expansion, renovation, or major shop upgrades.
Last updated 2026-06-24
Why this fit
Common cash-flow gaps in auto repair & service. Term Loans maps to the ones below.
These are the underwriting realities and operational pressures we see most often in this industry.
Diagnostic Equipment Costs
Modern vehicles require sophisticated diagnostic tools that cost $10K–$50K per unit. Falling behind on technology means losing customers to shops that invested.
Bay Expansion
More bays mean more throughput. But construction, lifts, and equipment for a new bay is a $50K–$150K investment that most banks won't fund for a small shop.
Parts Inventory Float
Carrying a parts inventory ties up cash. Seasonal demand spikes (winter tires, AC season) require stocking up before the revenue arrives.
Representative scenario
What a typical auto repair & service term loans looks like. Numbers below are illustrative.
Your actual offer depends on your bank statement history, time in business, credit profile, and existing debt.
Rates vary by applicant. Representative example only.
Qualification
What we look for in auto repair & service files. Underwriting, in plain language.
- Minimum 6 months operating as a licensed auto repair shop
- $15,000+ monthly revenue
- 500+ personal credit score
- Active business bank account
Other ICG products for auto repair & service
Not the right fit? Here is what else works in your industry.
Equipment Financing
Finance lifts, diagnostic scanners, alignment machines, and shop equipment with the tools as collateral.
See for auto repair & serviceRevenue-Based Funding
Working capital for parts inventory, staffing, and shop improvements based on your monthly service revenue.
See for auto repair & service
Common questions
Term Loans for auto repair & service. Honest answers, no fine print games.
QDo you fund collision shops and mechanical shops equally?
Yes. Both qualify under the same guidelines. Collision shops with DRP (direct repair program) contracts often benefit from invoice factoring on top of working capital.
QCan I finance a used lift?
Yes. ICG finances new and used equipment. Used lifts under 10 years old with documented hours are routinely approved.
QWhat if I fail my state inspection license renewal?
You must maintain a valid state auto-repair license for the duration of your funding. Let your specialist know immediately if your license lapses.
QWhat is the interest rate?
Rates start at 8% APR and vary based on your credit profile, time in business, and revenue. Your specific rate is presented in your offer before you commit.
QAre there prepayment penalties?
Most ICG term loans have no prepayment penalty. You can pay off your balance early and save on interest.
QHow long does approval take?
Most applicants receive an offer within 4–6 hours of submitting a complete application. Funding follows within 24–48 hours of acceptance.
Term Loans for other industries
Where else this works. One product, many verticals.
Ready when you are
Ready to fund your auto repair & service business? 24–48 hours to fund.
Quick application. Soft credit pull only. Real human review.