3 key themes to watch at Equipment Finance Connect

NASHVILLE — Equipment Finance Connect 2025 kicks off Wednesday, May 14, at 1:15 p.m. at the JW Marriott Nashville Hotel, featuring two days of networking, educational sessions and technology demonstrations focused on enhancing finance operations.  

As tariff-related uncertainty and tightened credit standards dampen equipment finance growth and technology innovations continue to shape the equipment finance industry, it is seeing a slight downturn. 

New business volume rose 5.1% year over year in March, although first quarter new business volume declined 0.8% YoY, according to the Equipment Leasing and Finance Association (ELFA). Meanwhile, charge-offs rose 5 basis points month over month to 0.6%, the highest level since September 2020. Credit approvals climbed nearly 70 basis points to 76% and 30-plus-day delinquencies jumped 25 basis points to 2.3%.  

Equipment finance industry confidence declined in April, landing at 41.9, down from 58.1 in March, according to the Equipment Leasing and Finance Foundation.  

And farm equipment and transportation equipment sales dipped for March and the first quarter of 2025. 

At just halfway through 2025, what can lenders and dealers do to improve and refine economic performance in equipment finance this year and in the future? These will be central questions addressed at Equipment Finance Connect. 

Three key themes at the conference are:

1. Tariff-driven uncertainty

Tariffs are creating significant uncertainty in the equipment finance industry by driving up equipment costs, disrupting supply chains, and making residual values harder to predict. These challenges complicate long-term financing decisions and increase risk for lenders. As businesses delay capital expenditures or shift sourcing strategies in response to trade policy changes, demand for financing becomes more volatile, making it difficult for finance providers to plan and manage risk effectively. 

2. Tightened credit standards

As the lending environment and credit standards continue to tighten, dealers and lenders face a more difficult financing landscape for themselves and their customers. Interest rates remain elevated following last week’s decision by the Federal Reserve to keep rates steady at 4.25% to 4.5%. In this environment, it is key for dealers and lenders to work together to find the best financing packages for customers. 

3. Evolving technology

As AI and automated solutions shape operations, both dealers and lenders are facing a significant leap forward in sales and financing processes. Adopting new technology will be essential to streamline financing operations and improve compliance and operational efficiencies. In presentations, panels and startup demonstrations, attendees will learn how emerging tech will play a key role in the months ahead. 

Equipment Finance Connect takes place May 14 and May 15 at JW Marriott Nashville. Follow all the latest news from the event here.