Frequently Asked Questions
Equipment Financing Australia
What is equipment finance?
Equipment finance is a form of lending used to purchase vehicles, machinery, or business assets, where the asset itself is typically used as security.
Assessment is usually based on the asset, how it will be used, and whether business cash flow supports the repayments — rather than property security.
What types of assets can be financed?
Assets commonly financed include:
- cars, utes, vans, and commercial vehicles
- trucks and transport equipment
- machinery and plant
- construction and earthmoving equipment
- medical, dental, and professional equipment
- business assets and fit-outs
Different assets are assessed differently depending on risk, resale value, and use.
Can used equipment be financed?
Yes, used equipment can often be financed.
Assessment will usually take into account:
- the age and condition of the asset
- resale value
- supplier or private sale details
Some lenders place limits on asset age, particularly for older equipment.
Do I need to provide a deposit?
Not always.
Whether a deposit is required depends on:
- asset type and value
- time in business
- cash flow
- overall risk profile
Some scenarios allow for low or no deposit, while others require a contribution.
How long does approval take?
Approval timeframes vary depending on:
- asset type
- lender
- complexity of the scenario
- completeness of information provided
Some equipment finance approvals can occur quickly, while others take longer if additional assessment is required.
Can new businesses apply for equipment finance?
New businesses may still be considered, depending on:
- the asset being financed
- prior experience of the business owner
- cash flow expectations
- overall structure
Assessment criteria differ between lenders, so outcomes can vary.
Is equipment finance different from a business loan?
Yes.
Equipment finance is usually tied to a specific asset, with the asset itself forming part of the security structure.
Business loans may be unsecured or secured differently and are often assessed using broader criteria.
How are lenders selected?
Equipment Financing Australia assesses scenarios and structures finance based on lender suitability.
Different lenders have different assessment approaches, and the aim is to align the structure with appropriate options.
CAN EQUIPMENT FINANCE BE USED FOR PERSONAL VEHICLES?
EQUIPMENT FINANCE IS GENERALLY USED FOR BUSINESS OR INCOME-PRODUCING PURPOSES.
WHERE VEHICLES HAVE MIXED USE, LENDERS WILL ASSESS THE BUSINESS COMPONENT AND OVERALL STRUCTURE
HOW IS GST TREATED?
GST TREATMENT DEPENDS ON:
THE TYPE OF FINANCE
BUSINESS GST REGISTRATION
HOW THE ASSET IS USED
THIS IS CONSIDERED AS PART OF THE ASSESSMENT AND STRUCTURING PROCESS.
CAN EQUIPMENT FINANCE BE USED FOR PERSONAL VEHICLES?
EQUIPMENT FINANCE IS GENERALLY USED FOR BUSINESS OR INCOME-PRODUCING PURPOSES.
WHERE VEHICLES HAVE MIXED USE, LENDERS WILL ASSESS THE BUSINESS COMPONENT AND OVERALL STRUCTURE
DOES CREDIT HISTORY MATTER?
CREDIT HISTORY IS ONE OF SEVERAL FACTORS CONSIDERED.
LENDERS ALSO LOOK AT:
CASH FLOW
ASSET TYPE
BUSINESS STRUCTURE
OVERALL EXPOSURE
DIFFERENT LENDERS WEIGH THESE FACTORS DIFFERENTLY.
WHAT INFORMATION IS USUALLY REQUIRED?
INFORMATION COMMONLY REQUESTED INCLUDES:
DETAILS OF THE ASSET BEING PURCHASED
BUSINESS STRUCTURE AND TRADING HISTORY
INCOME AND CASH FLOW INFORMATION
IDENTIFICATION AND BASIC CREDIT INFORMATION
THE EXACT REQUIREMENTS DEPEND ON THE LENDER AND SCENARIO.
Do You Compare Lenders?
EQUIPMENT FINANCING AUSTRALIA ASSESSES SCENARIOS AND STRUCTURES FINANCE BASED ON LENDER SUITABILITY.
DIFFERENT LENDERS HAVE DIFFERENT ASSESSMENT APPROACHES, AND THE AIM IS TO ALIGN THE STRUCTURE WITH APPROPRIATE OPTIONS.
When should I get in touch?
it’s helpful to get in touch once you know:
what asset you want to purchase
how it will be used
roughly when it’s needed
early clarification can help avoid delays later.
How Do I Proceed?
IF YOU’RE READY TO MOVE FORWARD, FINANCE CAN BE ASSESSED AND ARRANGED FOLLOWING DIRECT ENGAGEMENT AND INDIVIDUAL REVIEW.
→ Apply for Equipment Finance
→ Speak with the Equipment Finance Team
Information
EQUIPMENT FINANCING AUSTRALIA PROVIDES ASSESSMENT AND ARRANGEMENT OF EQUIPMENT AND ASSET FINANCE. IF YOU NEED HOME LOAN AND MORTGAGE LENDING INCLUDED WITH EQUIPMENT FINANCE, WE PROVIDED THROUGH FINANCEONTHECOAST.COM.AU