Equipment Leasing and Finance Industry Confidence Up for Third Consecutive Month in January

Washington, DC, January 16, 2020 – The Equipment Leasing & Finance Foundation (the Foundation) releases the January 2020 Monthly Confidence Index for the Equipment Finance Industry (MCI-EFI) today. Designed to collect leadership data, the index reports a qualitative assessment of both the prevailing business conditions and expectations for the future as reported by key executives from the $900 billion equipment finance sector. Overall, confidence in the equipment finance market rose for the third consecutive month to 59.9, an increase from the December index of 56.2.

When asked about the outlook for the future, MCI-EFI survey respondent David Normandin, CLFP, President and CEO, Wintrust Specialty Finance, said, “Demand for leasing in the segments we are involved in has remained strong with huge demand in Q4 2019. Credit quality has remained solid, and pull through has been good. Unemployment remains low and we see small business customers remaining optimistic.”

January 2020 Survey Results:

The overall MCI-EFI is 59.9, an increase from 56.2 in December.

  • When asked to assess their business conditions over the next four months, 14.8% of executives responding said they believe business conditions will improve over the next four months, up from 10.3% in December. 81.5% of respondents believe business conditions will remain the same over the next four months, a decrease from 82.8% the previous month. 3.7% believe business conditions will worsen, down from 6.9% in December.
  • 11.1% of the survey respondents believe demand for leases and loans to fund capital expenditures (capex) will increase over the next four months, an increase from 10% in December. 85.2% believe demand will “remain the same” during the same four-month time period, an increase from 76.7% the previous month. 3.7% believe demand will decline, down from 13.3% in December.
  • 11.1% of the respondents expect more access to capital to fund equipment acquisitions over the next four months, a decrease from 20% in December. 85.2% of executives indicate they expect the “same” access to capital to fund business, an increase from 80% last month. 3.7% expect “less” access to capital, up from none the previous month.
  • When asked, 33.3% of the executives report they expect to hire more employees over the next four months, an increase from 30% in December. 63% expect no change in headcount over the next four months, relatively unchanged from 63.3% last month. 3.7% expect to hire fewer employees, down from 6.7% the previous month.
  • 37% of the leadership evaluate the current U.S. economy as “excellent,” up from 23.3% the previous month. 63% of the leadership evaluate the current U.S. economy as “fair,” down from 76.7% in December. None evaluate it as “poor,” unchanged from last month.
  • 13.3% of the survey respondents believe that U.S. economic conditions will get “better” over the next six months, 80% indicate they believe the U.S. economy will “stay the same” over the next six months, and 6.7% believe economic conditions in the U.S. will worsen over the next six months, all unchanged from December.
  • In January, 48.2% of respondents indicate they believe their company will increase spending on business development activities during the next six months, an increase from 23.3% last month. 48.2% believe there will be “no change” in business development spending, a decrease from 73.3% in December. 3.7% believe there will be a decrease in spending, relatively unchanged from 3.3% last month.

January 2020 MCI-EFI Survey Comments from Industry Executive Leadership:

Independent, Large Ticket

“A strong economy, low interest rates, full employment, and tax and regulatory reform give us optimism in the near term for the equipment finance industry.” Dave Fate, President and CEO, Stonebriar Commercial Finance

Bank, Middle Ticket

“If the trade deal progresses as proclaimed, we may see some thawing in capital expenditures by farmers and agribusiness. Otherwise, the belt-tightening will remain.” Michael Romanowski, President, Farm Credit Leasing

Why an MCI-EFI?

Confidence in the U.S. economy and the capital markets is a critical driver to the equipment finance industry. Throughout history, when confidence increases, consumers and businesses are more apt to acquire more consumer goods, equipment, and durables, and invest at prevailing prices. When confidence decreases, spending and risk-taking tend to fall. Investors are said to be confident when the news about the future is good and stock prices are rising.

Who participates in the MCI-EFI?

The respondents are comprised of a wide cross-section of industry executives, including large-ticket, middle-market and small-ticket banks, independents and captive equipment finance companies. The MCI-EFI uses the same pool of 50 organization leaders to respond monthly to ensure the survey’s integrity. Since the same organizations provide the data from month to month, the results constitute a consistent barometer of the industry’s confidence.

How is the MCI-EFI designed?

The survey consists of seven questions and an area for comments, asking the respondents’ opinions about the following:

  1. Current business conditions
  2. Expected product demand over the next four months
  3. Access to capital over the next four months
  4. Future employment conditions
  5. Evaluation of the current U.S. economy
  6. S. economic conditions over the next six months
  7. Business development spending expectations
  8. Open-ended question for comment

How may I access the MCI-EFI?

Survey results are posted on the Foundation website,, included in the Foundation Forecast eNewsletter, and included in press releases. Survey respondent demographics and additional information about the MCI are also available at the link above.




The Equipment Leasing & Finance Foundation is a 501c3 non-profit organization that propels the equipment finance sector and its people forward through industry-specific knowledge, intelligence, and academic outreach programs that contribute to industry innovation, individual careers, and the overall betterment of the $900 billion equipment leasing and finance industry. The Foundation is funded through individual and corporate donations. Learn more at


Media Contact: Anneliese DeDiemar,