Why Is Direct To Film Quickly Becoming a Print Industry Standard
January 15, 2023
Direct to film printing is the fastest-growing technology in the apparel decoration industry. If your shop is expanding, you already know the value of upgrading your equipment. High-capacity machines allow you to print faster, reduce manual labor, and take on larger wholesale orders. But commercial-grade systems require capital. If you are looking at upgrading to an advanced system like The Hydra or The Kraken, you might be asking: How to get financing options for purchasing DTF printers?
At American Print & Supply, we believe in building partnerships, not just making sales. We know that choosing the right equipment is only half the process; securing the right funding to protect your cash flow is the other half. In this guide, we will break down exactly how equipment financing works, the options available to your print shop, and the steps you need to take to get approved.
Let us explain printer financing simply. Think of financing as hiring a new employee who brings their own tools to work. Instead of paying that employee their entire yearly salary on the first day, you pay them a smaller amount every two weeks. As they work, they generate enough revenue to cover their own paycheck, plus extra profit for your business.
Financing a DTF printer works the same way. Rather than paying the full cost of a commercial printing system upfront, you break that cost into manageable monthly payments. As the printer produces gang sheets, custom apparel, and transfers, the profit from those jobs pays for the monthly financing cost. The remaining revenue stays in your pocket.
Most successful print shops choose to finance their equipment even if they have the cash on hand. By financing, you keep your cash reserves available for daily operations, emergencies, or stocking up on essential consumables like Super Peel Film, premium adhesive powder, and DTF expanded gamut bulk ink.
Not all financing is the same. Depending on how long you have been in business and your specific financial situation, different funding structures will make the most sense for your shop. Here are the most common ways decorators fund their new DTF setups.
An Equipment Financing Agreement is the most straightforward way to purchase a DTF printer. With an EFA, the lender provides the exact amount of money needed to purchase the equipment. You own the printer from day one. You make fixed monthly payments over a set term, usually between 12 to 60 months. Once the term is over, you have no further obligations. This is the preferred method for most of our customers buying turnkey packages like the 24-inch Tomahawk DTF Printer Package.
Leasing is similar to renting the equipment for a specific period. The lender buys the machine, and you pay them a monthly fee to use it. At the end of the lease term, you usually have a few options. You can return the equipment, trade it in for a newer model, or purchase it outright for a predetermined amount, such as a one-dollar buyout or fair market value. Leasing is a great option if you want to keep your payments as low as possible and plan to upgrade your technology frequently.
Standard business loans come from a traditional bank or credit union. The bank gives you a lump sum of cash, which you then use to buy your printer, accessories, and supplies. While traditional bank loans often have favorable interest rates, they can take weeks or months to secure. Banks also require extensive paperwork, including years of tax returns and detailed business plans. If you need to install your equipment quickly to meet production demands, waiting on a traditional bank might slow you down.
One of the biggest advantages of financing commercial printing equipment is the Section 179 tax deduction. The U.S. government created Section 179 to encourage small businesses to invest in themselves.
Normally, when you buy a piece of machinery, you write off the depreciation a little bit at a time over several years. Section 179 allows you to deduct the entire purchase price of qualifying equipment from your gross income in the year you buy it.
The best part is that this applies even if you finance the equipment. You could finance a comprehensive setup, including a printer, a Hotronix Fusion IQ Heat Press, and a Filtrabox Micro DTF Fume Extractor, make only a few monthly payments before the year ends, and still deduct the full total cost of the equipment on your taxes. Always consult with your CPA or tax professional to see exactly how Section 179 applies to your specific business, but it is a massive advantage for growing print shops.
Getting approved for equipment financing is a simple process if you gather your information ahead of time. Follow these steps to ensure a smooth application process.
Lenders will look at both your personal credit score and your business credit history. A strong personal credit score usually guarantees better interest rates and lower down payments. If you are a new business or a startup, lenders will rely heavily on your personal credit. If your business has been operating for several years with a proven track record of revenue, the lender will focus more on your business financials.
When applying for financing, you want to include everything you need for a complete, functional workflow. Do not just ask for the cost of the printer. A successful DTF workflow requires a complete ecosystem.
For example, if you are scaling up to an 8-head powerhouse like The Kraken, you will also need RIP software like Digital Factory Direct to Film Edition V12, an industrial fume extractor, startup inks, and powder. You might also want to eliminate the cutting bottleneck by adding The Sentinel automated vision-based laser cutter to your package. Financing your entire turnkey setup at once is much easier than trying to secure a second loan for accessories a month later.
While equipment financing requires less paperwork than a traditional bank loan, you still need to prove your business is healthy. Have the following items ready before you apply:
Lenders want to know they are funding reliable equipment from a reputable source. At American Print & Supply, we provide detailed, comprehensive quotes that clearly outline every piece of equipment, consumable, and training service included in your package. We work with trusted third-party lending partners who specialize in the apparel decoration industry. They understand what a DTF printer is, how it generates revenue, and why it is a safe investment. This industry knowledge results in faster approval times for our customers.
A low monthly payment on a cheap printer is a bad investment if the machine constantly breaks down. Unreliable equipment leads to wasted consumables, ruined garments, and missed deadlines. When a machine is not printing, it is not paying for itself.
American Print & Supply builds reliable, commercial-duty printing systems. Whether you choose the compact 17-inch Son of a Gladiator or a high-volume system like The Hydra, you are investing in stability.
More importantly, every major APAS system comes with White-Glove support. We provide on-site installation and multi-day training at your facility. We configure your color profiles, teach you how to perform daily maintenance, and ensure your staff knows exactly how to run the equipment. We eliminate the learning curve so your machine is generating profitable transfers on day one.
When you have reliable equipment backed by 160 years of combined industry experience, your return on investment is predictable and secure.
Expanding your print shop does not require draining your bank account. By utilizing equipment financing, you can install the industry’s most advanced DTF technology, increase your output, and let the equipment pay for itself out of the new revenue it generates.
If you are ready to reclaim your time and scale your production, contact American Print & Supply today. Our team will help you configure the perfect printing and cutting ecosystem for your shop and connect you with trusted lending partners to secure the financing you need to move forward.