Industry

Auto Body Shop Loans: Paint Booths, Parts and Payroll

Auto Body Shop Loans: Paint Booths, Parts and Payroll

Body shops carry expensive equipment and often wait on insurance companies to pay for repairs. Funding covers the booth, the tools, and the parts you front while a claim works its way through.

What auto body shop owners use funding for

How much can you borrow?

Auto body shops typically borrow $20,000 to $400,000 — equipment financing for booths and frame machines, working capital and A/R financing to bridge insurance receivables.

The cash-flow challenge for auto body shop owners

Insurance-paid repairs can take weeks to reimburse, yet you buy parts and pay technicians up front. A single paint booth or frame machine is a major purchase, and ADAS calibration tools are an ongoing cost as vehicles get more complex.

Tip: Track your insurer receivables like invoices — they're financeable, and bridging them keeps parts and payroll flowing.

Best financing options

Booths, lifts, and frame machines fit equipment financing. Pending insurance payments can be bridged with A/R financing or a line of credit, and expansion suits a term loan.

Before you sign any offer, run the numbers through our business loan & MCA calculator to see the real APR and total payback.

Fund your body shop

Equipment, parts, or expansion — bridge insurance payments and keep bays full.

Check My Funding Options

Frequently asked questions

How do body shops handle slow insurance payments?

A line of credit or A/R financing bridges the gap, advancing cash against pending claims so you can buy parts and pay technicians without waiting weeks.

Can I finance a paint booth or frame machine?

Yes — these are classic equipment-financing purchases, with the equipment itself serving as collateral to keep rates reasonable.