US equipment finance confidence holds steady for sixth month

Confidence across the US equipment finance industry remained elevated in November, marking the sixth consecutive month of heightened sentiment, according to the Equipment Leasing & Finance Foundation’s Monthly Confidence Index (MCI-EFI).

The index registered 59.9 in November, virtually unchanged from October’s 60.1, signalling continued optimism among senior executives in the US$1.3 trillion sector.

Survey responses suggest a stabilising outlook. A quarter of executives expect business conditions to improve over the next four months, down from 37.5% in October, while 62.5% anticipate conditions will remain the same. Expectations for increased demand for leases and loans to fund capital expenditure also softened, with 20.8% forecasting growth compared to 37.5% the previous month.

Access to capital showed modest improvement: 29.2% of respondents expect greater availability of funding for equipment acquisitions, up from 25% in October. No executives reported concerns about reduced access.

Industry employment sentiment improved, with one-third of executives planning to add staff in the next four months, up from 25% a month earlier. Most (58.3%) expect headcounts to remain stable.

Confidence in the broader US economy also ticked upward. While nearly all respondents still classify current economic conditions as “fair,” 4.2% now describe them as “excellent.” Expectations for future economic improvement rose, with 37.5% predicting better conditions over the next six months.

Business development spending is also poised to increase: 45.8% of executives plan to boost investment, compared with 29.2% in October.

Jim DeFrank, EVP and COO of Isuzu Finance of America, said the final quarter of 2025 looks promising. “We’re anticipating a nice pickup in Q4 as lower rates, pent-up demand, and 2025’s depreciation advantages drive renewed momentum,” he said.

“The equipment finance industry is well positioned for a downturn or an economic boom,” he said, emphasizing the sector’s ability to finance both new equipment in strong markets and used equipment in leaner periods.