From newly established businesses to growing companies, having access to the right equipment is essential for supporting daily operations and future expansion. We help business owners explore suitable equipment finance solutions, making it easier to acquire the tools, vehicles and machinery they need without placing unnecessary pressure on their working capital. From coffee machines for cafés to specialised tools for tradespeople, we can assist you in finding financing options that suit your business requirements.
Equipment finance allows businesses to obtain essential assets without paying the full purchase price upfront. Depending on the financing arrangement, businesses can spread the cost over an agreed period through regular repayments or lease payments.
This type of finance can be used for a wide variety of business assets, including commercial vehicles, forklifts, computers, communication systems, manufacturing machinery, construction equipment and other operational assets. It is generally intended for purchasing or leasing equipment rather than covering everyday operating expenses, trading costs or property purchases.
Equipment finance can be particularly beneficial for businesses looking to preserve cash flow while investing in essential resources. Some lenders may also offer flexible repayment structures that take seasonal income fluctuations and business cash flow requirements into consideration.
Several financing arrangements are available to businesses, including hire purchase agreements, finance leases and equipment loans. Each option offers different ownership arrangements, repayment structures and financial considerations.
Hire Purchase: This arrangement allows a business to use equipment while making agreed repayments over a fixed term. The finance provider generally retains ownership until the final payment and any other contractual obligations have been completed, after which ownership transfers to the business. Depending on the lender and application, a deposit may not always be required.
Equipment Finance Lease: A finance lease enables businesses to use equipment for an agreed period in exchange for regular payments. At the end of the lease, available options may include extending the agreement, returning the equipment or entering into another arrangement, subject to the contract terms. This can provide flexibility for businesses that regularly need to update their equipment.
Equipment Loan or Chattel Mortgage: An equipment loan allows a business to purchase an asset using borrowed funds, with the equipment generally serving as security for the loan. Under a chattel mortgage, the business typically owns the asset from the beginning while the lender holds a security interest until the loan is repaid. Depending on the business's circumstances and applicable tax rules, this arrangement may offer certain GST and tax benefits.
We can help you compare these financing options, understand their features and select an arrangement that supports your business operations, cash flow and longer-term financial goals.
We have evolved into a fully-fledged financial services provider. Our goal is to help Australians make better decisions with their finances, because at Viva Capital Global, we understand that better choices lead to a better life.
