We offer an extensive range of finance options for Commercial business clients including:
Chattel Mortgage/Equipment Loan
Chattel Mortgages (otherwise known as Equipment Loans) are the major financing option for vehicles and equipment as it gives business customers the ability to provide GST Input Tax Credit on the purchase price. There are many options available (including financing the whole purchase price, deposits, trade-ins, balloon repayments, structured/tiered repayments, terms from 12 months to 7 years and GST treatment options) and flexibility to suit the client's needs.
Under a Finance Lease the Lender purchases the equipment and leases it to the business client for an agreed term and rental. Tax deductions are available for the lease rental payments, while the Lender providing the lease retains ownership of the item, and is able to claim depreciation.
A residual amount is assigned to the lease in line with Australian Taxation Office guidelines, which is based on the useful life of the asset. At the end of the lease the customer can either pay a residual value on the lease and take ownership of the equipment, trade it in or re-finance the residual and continue the finance lease.
A Novated lease offers an attractive incentive to employees – allowing them to purchase a vehicle for personal or business use by salary-sacrificing repayments from their pre-tax income. This is a three way novation between the client, their employer and the lender. Lease residuals are in line with ATO guidelines.
An Operating Lease lets your business rent, rather than buy, so that equipment purchases are not shown as an asset on the balance sheet. An operating lease also eliminates the risk and hassle of trying to re-sell equipment at the end of the finance term – the business simply hands the goods back to the financier.
Commercial Hire Purchase
Under a Commercial Hire Purchase arrangement the Lender agrees to purchase the equipment on behalf of the customer, and then hire it back to them for a fixed repayment over an agreed timeframe. The customer has the use of the asset for the term of the contract but is not the owner of the vehicle.
At the end of the contract term when the total price of the equipment and the interest charges have been paid in full, the customer takes ownership of the asset.
Commercial Property & Agri Loans
Commercial property and Agri loans are a way to make your money work harder. When you want to stop paying rent, purchase an asset for the future or invest in commercial, industrial or rural property, a Commercial Property or Agri Loan can be a good way to secure your position.
Insurance Premium Funding
Insurance Premium Funding helps control your cashflow by spreading the cost of business insurance over 6 to 12 months. Whether for workers compensation, public liability, general or building insurance, this option eliminates the impact of large annual insurance bills (otherwise a pre-paid expense).
Debtor or Invoice Finance provides a working capital funding solution for businesses by releasing cash tied up in outstanding customer invoices, bridging the cash flow gap between raising an invoice and getting paid.
Debtor Finance can assist by giving immediate access up to 80% of outstanding invoices. The remaining 20% is returned to the client when their customers pay their invoices. This enables businesses to have access to cash from your sales quickly.