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      Equipment Finance For All Businesses

Consider Our Equipment Finance Options

In the modern commercial environment, buying in expensive equipment like a ute, van or truck is not a straightforward decision. Yes, you need this new purchase to help you grow your business. But can company cash flow support it? Is taking a chunk of working capital out of the business to make an outright purchase the right decision?

What happens if you have to overcome an unforeseen financial problem but have recently spent all available cash on hand on a ute, van or truck? On the other hand, you need this new vehicle for a reason. How do you service your ever-growing list of customers without purchasing it? This is a real catch 22 situation. But we have the answer to this problem. We can provide you with a commercial loan for your truck, ute or van purchase.

What are the Benefits of Buying a Ute, Van or Truck on Finance?

Many companies see equipment finance as a last resort when making large capital purchases such as a ute, van or truck. Why? Because it makes the overall purchase cost higher, due to the need to pay interest on the finance provided. This may be true in its simplest form, but there are many benefits to be had by taking on that finance regardless of the slightly higher overall purchase price, we list some below:

  • Gain access to the van, ute or truck you need now – if you need a new vehicle to help grow your business, and don’t have the cash on hand to buy one, you have two choices. Go without or take on a commercial loan. If you go without, your business is stalled, you need that vehicle. If you take the loan route, you get the vehicle you need. It could actually cost you more not having the vehicle than it will in interest charges.
  • Simplified cash flow and accounting – you know each month just how much you have to spend for your vehicle repayments. This makes budgeting very simple, as the repayments become one of your monthly operational overheads.
  • Keep cash on hand to avoid undercapitalization – we never know when our business might hit a financial problem. Keeping a cash buffer on hand is the only way to safeguard business continuity through such a tough patch. By financing your next van, truck or ute purchase you can keep the cash in the bank that you would have spent for outright purchase.

These are just a handful of the benefits that equipment finance can offer.

Are there Any Tax Benefits from Buying a Vehicle on Finance?

This is a tricky question to answer, but an important one. Using commercial finance to purchase your next ute, van or truck has a different effect upon your tax position than buying one outright. Let’s compare the two:

  • Outright purchase – this is seen as capital expenditure. It sees an asset be added to the company, and money go out. This asset then becomes depreciable, reducing its value each year. Tax relief is available on the overall purchase price, but this tax relief is often offset by the increase in company value due to having more tangible assets.
  • Commercial finance – depending on how we shape the finance agreement, it could be that your monthly ute, truck or van repayments are 100% tax deductible as they will be seen as an ongoing business expense, not a capital purchase.

So, the answer here is that each option has its benefits. For small companies that want to keep things simple, commercial finance can actually make accounting easier while streamlining your tax position.

How does Commercial Vehicle Finance Work?

The process of applying for and receiving commercial finance for your new truck, ute or van is very straightforward. It follows a process like this:

  1. Decide which van, ute or truck your company needs to buy.
  2. Contact us with details about the vehicle you need for your business, and then tell us a little about your company and its financial situation.
  3. We will then evaluate your application, usually within 24 hours and get back to you with a decision. If we need any supporting documentation, we will ask for it at this time.
  4. Once your commercial loan has been approved, we make the fund available so that you can go ahead and purchase the vehicle you need to grow your business.

It really is that simple. We understand you are busy running your own company, you don’t have time to jump through hoops and go through a complex application process. So, we have made it as easy as possible to apply for and receive commercial finance for a ute, truck or van.

Why Should You Choose Us for Your equipment Finance?

We are a reputable company with many years of experience in securing critical commercial financing for many types of equipment including vans, trucks, and utes.

We don’t deal with any one specific lender. Instead, we leverage our network of financial contact to find exactly the right commercial loan for your specific case. This means we are on your side, not that of a financial company.

We understand that taking such a large step maybe leaves you with questions to answer before you take the plunge. So we invite you to contact us, so we can talk through your specific needs and answer any outstanding questions you may have before applying for commercial finance with us.

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