Asset and equipment finance for Australian businesses

Asset Finance

Finance the things that move your life and business forward.

Beyond home loans, we help Australians fund vehicles, equipment, and business assets through a wide panel of asset finance lenders. Whether it is a first car, a replacement work ute, a piece of workshop machinery or a trailer fleet, the lender you go to, the way the loan is secured and the term you choose all change what the asset actually costs you. We compare those options and show you the difference in dollars before you commit.

Asset finance is assessed very differently to a mortgage. Lenders look at the asset itself, its age and resale value, how it will be used, and whether the borrower is a consumer or a business. A five year old vehicle bought privately is a different risk to a new vehicle from a licensed dealer, and the rate you are offered reflects that. Putting the application in front of the right lender the first time matters more here than in almost any other category of lending, because declines leave marks on your credit file.

We work with clients in Ipswich, Springfield Lakes and greater Brisbane, and remotely with businesses right across Queensland and the rest of Australia. Pick the type of finance you need to get started, or get in touch and we will point you in the right direction.

If you run your own business, our article on how being self-employed affects your mortgage application explains how lenders read company financials, which is the same lens they apply to an equipment finance application. If you are consolidating an existing car loan back into your home lending, our article on when refinancing your mortgage actually makes sense covers the trade-off. We also arrange commercial and business loans, self-employed home loans and debt consolidation.

Vehicle Finance

Car loans, from a first car to a work fleet

Most vehicle finance in Australia is written as a secured loan over the car itself, with terms running from one to seven years. Because the lender holds security, rates are usually well below what an unsecured personal loan or a credit card would cost you. The trade-off is that the vehicle can be repossessed if the loan falls into default, and lenders set rules about what they will and will not lend against.

New and used cars

New vehicles from a licensed dealer attract the sharpest pricing, because the security is easy to value and easy to sell. Used vehicles are still very financeable, but most lenders apply an age cap at the end of the loan term, commonly twelve to fifteen years old at maturity. Private sales are possible with several lenders on our panel, though they take longer to settle because the lender has to verify the seller, the payout on any existing finance, and the encumbrance check.

Utes, vans and light commercial vehicles

If the vehicle is used predominantly for business, it is normally financed as a commercial asset rather than a consumer loan. That opens up a different set of lenders, different documentation, and a different security structure, usually a chattel mortgage. Tradespeople, couriers and mobile service businesses across Ipswich and Brisbane make up a large share of the vehicle finance we write.

Caravans, motorhomes, boats and motorcycles

Recreational assets are financed on similar terms to cars, though the panel of lenders is smaller and the age limits are tighter. Caravans and motorhomes generally hold value well, which helps. Boats and motorcycles are assessed more conservatively, and a deposit will often improve both the approval odds and the rate.

What lenders actually look at

For a consumer car loan, the assessment is your income, your existing commitments, your credit file and the asset. For a business application it is the same plus the trading history of the entity, its ABN and GST registration period, and whether you own property. Business owners who own real estate are treated as asset backed, which usually means lower rates and a lighter documentation burden.

Loan Structures

Chattel mortgage, novated lease, or a straight car loan

The structure you choose changes who owns the asset, how the repayments are treated in your accounts, and what happens at the end of the term. There is no single best option. It depends on whether you are buying as an individual or a business, how the asset will be used, and your accountant's advice on your particular situation.

Chattel mortgage

The most common structure for business vehicle and equipment purchases. Your business takes ownership of the asset from the outset, and the lender registers a security interest over it on the Personal Property Securities Register. Because the business owns the asset, it appears on your balance sheet and you claim depreciation and the interest component of the repayments. A balloon payment can be set at the end of the term to lower monthly repayments, though it increases the total interest you pay.

Novated lease

A three-way arrangement between an employee, their employer and a financier, where the employer takes on the lease obligation and deducts the payments from the employee's pre-tax salary. Novated leases suit salaried employees whose workplace offers salary packaging, and they can bundle running costs such as registration, insurance, servicing and fuel into a single deduction. Fringe benefits tax applies, and the arrangement ends or has to be transferred if you change jobs, so it is worth modelling properly before committing.

Finance lease and rental

Under a finance lease the financier owns the asset and leases it to your business for a fixed term, with a residual payable at the end. An operating lease or rental agreement goes further, keeping the asset off your balance sheet entirely and handing it back at the end of the term. Rental suits equipment that dates quickly, such as IT hardware, where you would rather refresh than own.

Consumer car loan

For a private purchase with no business use, a secured consumer loan is usually the simplest route. It carries the full consumer credit protections, the rate is fixed for the term, and there is no balloon unless you ask for one. This is the right structure for most first car buyers and for families upgrading the second vehicle.