The throughput numbers at Kokomo's Stellantis transmission plants -- Indiana Transmission Plant I and II on Chrysler Drive produce millions of automatic transmissions annually -- set the automation bar for every supplier in Howard County. Torque converters, valve bodies, clutch packs, and gear sets are precision-machined components that require consistent, repeatable handling across production volumes no manual operation can sustain. The result is one of the most automation-dense small-metro manufacturing economies in the Midwest. A shop in Kokomo without robotic machine tending or robotic part transfer is increasingly uncompetitive on the bids that matter.
We finance robots and automation cells for Kokomo-area manufacturers. $50,000 minimum, one to two weeks to funded on completed deals, and we structure around the full project -- arm, integration, tooling, guarding, and installation. If you supply Stellantis, source from the surrounding county suppliers, or run independent manufacturing in Howard or Tipton County, we work with you.
Kokomo's Automation Economy
Kokomo's manufacturing identity is unusually concentrated for a city its size. Stellantis (formerly Chrysler) transmission manufacturing, plus a cluster of machining and stamping suppliers feeding those plants, makes Howard County one of the highest-intensity automotive automation markets in Indiana. The precision requirements for transmission components -- tolerances measured in microns, leak tests on every assembly, traceability requirements across the production lot -- drive automation investment that goes beyond simple labor displacement into quality-control applications where manual work is not an option at production volumes.
The dominant automation applications in Kokomo center on CNC machine-tending robots serving lathes, mills, and grinding machines producing transmission components. A robot loading and unloading a CNC lathe running transmission shaft blanks operates faster than any manual approach, eliminates the ergonomic hazard of handling hot machined parts, and enables the lathe to run unattended during shift breaks or low-supervision periods. The payback on these applications, at Kokomo's automotive wage rates, typically runs 14 to 22 months for a single-machine cell.
Assembly automation for transmission sub-assemblies -- torque converter assembly, clutch pack staging, gear set positioning -- uses robotic assembly cells with force-torque sensing and vision guidance. These systems are more complex to integrate than a simple machine-tending arm and carry higher project costs, but the quality consistency they achieve across production volumes justifies the investment.
What Qualifies for Financing in Kokomo
We finance the full scope of automation projects in Kokomo:
- CNC machine-tending arms for transmission component machining
- Robotic assembly cells for precision sub-assembly operations
- Material-handling robots for part transfer between machining operations
- Inspection automation with machine vision for dimensional and leak testing
- Welding cells for structural components in the transmission supply chain
- Turnkey workcell systems including all integration and installation
- Used and refurbished robots from plant transactions or equipment dealers
The financed amount covers the complete project -- arm, controller, end-of-arm tooling, vision systems, safety guarding, and installation. Lenders underwrite against the full system as collateral, not just the arm, which is why we require the integrator's complete quote rather than a line-item estimate for the hardware alone.
For projects under approximately $400,000, application-only underwriting is typically available. For larger or more complex deals, we work with bank-statement documentation. B and C credit situations qualify -- the collateral quality on name-brand robots in the Kokomo market is strong, which supports underwriting on imperfect credits.
Deal Size and Payment Structure
Kokomo automation projects typically fall somewhere in the $100k–$350k band for a single CNC machine-tending or assembly cell. Multi-robot lines and larger production cells run higher. Terms of 48 to 72 months are common for this project size, producing monthly payments that fit inside the productivity gain the cell generates within the first 12 to 18 months of operation in most applications.
For buyers who want the simplest structure, a term equipment loan builds ownership from day one and supports Section 179 and bonus depreciation. A capital lease with a $1 buyout achieves the same economic result with a slightly different accounting treatment. For buyers who are unsure about equipment life or plan to upgrade before the end of natural robot life, a fair-market-value lease lowers the monthly payment with a defined exit at term end.
We can structure refinancing deals for shops that currently own automation. A refinancing of existing automation can pull cash out of a paid-off robot (through a sale-leaseback) or restructure a higher-rate loan from earlier financing. Both approaches are common in Kokomo because the market has been automating for long enough that early-vintage automation assets are fully paid off and sitting with unrealized equity.
Project planning
Frequently Asked Questions
We are a Stellantis-approved transmission component supplier. How does our OEM relationship factor into financing?
A long-term OEM-approved supplier relationship provides revenue visibility and program stability that strengthens the financing narrative. It is not collateral in the traditional sense, but a shop that has supplied Stellantis transmissions for a decade with consistent volume has a predictable payment capacity. Describe your customer relationship when you apply; it is relevant context.
We are adding a second shift at our machining cell. The robot will run both shifts with different products. Does that affect the financing?
No. A robot running two shifts generates more throughput and compresses the payback period, which from a lender's perspective is a positive. The financing does not restrict how many shifts or what products the robot runs. More utilization is better for both you and the lender.
We received two quotes from different integrators with significant price differences. Which one should we submit?
Submit the quote you are most likely to proceed with, or tell us you are evaluating multiple bids and we will pre-qualify you for a range. We do not require you to have a final decision before getting a financing quote -- pre-qualification gives you the financing parameters so you can make an informed selection from the integrator proposals.
We financed a robot five years ago at 9 percent. Rates have moved around since then. Should we refinance?
Possibly. Run the numbers: take the remaining payments on the current loan and compare them against a new loan at current rates on the outstanding balance, with the term extended to your preference. If the monthly savings are meaningful and you plan to keep the robot, refinancing can make sense. We can model the comparison if you provide the current payoff amount and remaining term.
Can we get a commitment letter before the integrator finalizes the design?
Yes. A pre-approval letter or commitment range based on your business credit can be issued before the final integrator quote is complete. This gives you the financing certainty to proceed with system design without waiting for the full project to close. The final commitment is confirmed when the integrator quote is received.
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Finance Your Kokomo Automation Project
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