Jayson Lowe argues that borrowing against a whole life insurance policy's cash value beats bank loans for equipment financing. The cash value keeps growing even while you borrow against it, and you set your own repayment schedule instead of answering to a lender.
What would I say is the best type of loan to use for business equipment? A policy loan from a life insurance company, ideally a reputable mutual life insurance company. Now, the only way to gain access to loans from a life insurance company is you have to be a participating dividend-paying whole life insurance policy owner. Your corporation can be a policy owner. The moment that your corporation does that, that policy begins to accumulate cash value immediately. The company can then borrow against that ever-increasing cash value without ever interrupting its growth on its own terms, meaning the corporation controls the repayment schedule. So the best type of loan, one from a life insurance company, because it puts you in a position of control over the repayment schedule and you don't interrupt any of the daily growth of your own Cash value. That is by far the best loan to utilize to purchase business equipment, hands down. I go deeper in a free training at learnwithjay.com, or just follow along and I'll keep it simple.
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