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August new business volume Up 14% year-over-year, 2% month-to-month and 2.8% year-to-date.
by Equipment Leasing and Finanace Association
Equipment Leasing and Finance Association
10/01/2023

The Equipment Leasing and Finance Association’s (ELFA) Monthly Leasing and Finance Index (MLFI-25), which reports economic activity from 25 companies representing a cross section of the $1 trillion equipment finance sector, showed their overall new business volume for August was $10.1 billion, up 14% year-over-year from new business volume in August 2022. Volume was up 2% from $9.9 billion in July. Year-to-date, cumulative new business volume was up 2.8% compared to 2022. 

Receivables over 30 days were 2.3%, unchanged from the previous month and up from 1.5% in the same period in 2022. Charge-offs were 0.34%, up from 0.32% the previous month and up from 0.17% in the year-earlier period.

Credit approvals totaled 75.1%, down from 75.3% in July. Total headcount for equipment finance companies was down 2.3% year-over-year.

Separately, the Equipment Leasing & Finance Foundation’s Monthly Confidence Index (MCI-EFI) in September is 50.3, steady with the August index of 50.4.

ELFA President and CEO Ralph Petta said, “At its recent meeting, the Fed signaled to keep interest rates artificially elevated for the time being, hoping to continue its campaign to control inflation. Despite this higher interest rate environment, many businesses continue to invest in productive assets. As they do, equipment finance companies are providing the necessary capital to help these businesses thrive and prosper.”     

Craig Weinewuth, President and Chief Executive Officer, Mitsubishi HC Capital America, Inc., said, “The August MLFI survey results are encouraging given recent economic turbulence caused by high interest rates and inflationary pressures. Growth in new business volume is improving across all industries, especially for technology assets, clean energy assets, and projects in transportation and construction. As an independent lender, we are also experiencing an increase in activity as companies are looking for flexible financing alternatives amid credit tightening. Companies will always need access to capital to support and sustain growth, and we expect demand for financing new equipment to continue to strengthen as the economic environment improves.”



The Equipment Leasing and Finance Association (ELFA) is the trade association that represents companies in the $1 trillion equipment finance sector, which includes financial services companies and manufacturers engaged in financing capital goods. ELFA members are the driving force behind the growth in the commercial equipment finance market and contribute to capital formation in the U.S. and abroad. Its 580 members include independent and captive leasing and finance companies, banks, financial services corporations, broker/packagers and investment banks, as well as manufacturers and service providers. ELFA has been equipping business for success for more than 60 years. For more information, please visit www.elfaonline.org.