Financing Machinery For Your Business

Birds Eye View of an Excavator in a field of dirt

As the Reserve Bank of Australia continues its focus on tightening monetary policy, the flow through effects on spending are seeing impacts on business and a lengthening of the cash cycle (i.e. it is often taking longer to get paid). For many of our clients, there is still a need to invest in new plant and machinery, whether it’s a car, a truck, a trailer or yellow goods.

Whilst we get that paying cash for these things is nice (and yeah, its our job to help provide loans), buying equipment is one of those things that really should be supported by a loan. Now why is that? Let’s say your bank account is bubbling along nicely. You’ve generally got enough cash in there to
cover yourself for the next 6 months, you’re paying your bills, customers are paying their bills. Things are sweet!

It’s time to grab a new excavator for $120,000 and you decide to pay cash. What happens if:

  • You lose a contract or a customer falls over, leaving you with the bill?
  • The ATO suddenly takes a big interest in you?
  • A truck engine goes and you’re up for unexpected repair bills in the thousands?
  • A Nigerian Prince hoodwinks your accounts clerk?
  • A supplier offers a great deal to buy bulk, but the money isn’t there to take advantage of the

All of a sudden that nice hunk of cash you had in the bank is gone and there is pressure on your cashflow. If only that excavator had been financed!

With equipment finance we match your debt term to the expected life of your asset, or we keep it in line with your repayment ambitions and ATO guidelines. In other words we structure the repayments to suit the needs of your business, at the same time keeping cash in the bank to protect
yourself against unforeseen circumstances.

Interest on the debt (or for a lease or rental, the rental payments) are tax deductible, meaning the real cost of borrowing is lower than non-deductible debt.
Not all debt is bad – when it helps grow your business, is tax effective and keeps cash in the bank, it can be pretty helpful.
If you need to get fast finance approval, a quote to see what it would cost, or have big ambitions needing a pre-approved asset finance limit, talk to the team that know equipment finance better than most.


We are based on the beautiful Coffs Harbour coast and we offer a complimentary home loan broking service.

Make an appointment today for an obligation-free chat, to talk about what you need and how we can help.

Click here to get in touch.