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Guide to Equipment Financing
Everything you need to know about financing equipment for your business
Read articleShould I lease or buy business equipment in Australia?
The choice between leasing and buying depends on your situation. Leasing suits equipment that becomes obsolete quickly (technology) with lower monthly payments and upgrade flexibility. Buying makes sense for long-lasting equipment central to operations, offering direct ownership and potential tax benefits. Equipment loans typically have 2-7 year terms with rates from 4.5-15% for new equipment. Requirements: 6+ months trading, $6K+ monthly revenue, and the equipment itself serves as collateral.
Equipment Finance
Acquire the equipment your business needs without depleting working capital. Expert guidance on equipment loans, leases, and asset financing strategies.
Equipment financing enables businesses to acquire essential machinery, vehicles, technology, and tools while preserving working capital for day-to-day operations. For many Australian SMEs, strategic equipment financing is the key to staying competitive.
The decision between leasing and purchasing equipment involves complex considerations: tax implications, cash flow impact, equipment lifespan, and your business's growth trajectory. Understanding these factors helps you make informed decisions that benefit your bottom line.
Modern equipment financing has become more accessible than ever. Whether you need construction machinery, medical equipment, restaurant fittings, or IT infrastructure, there are financing options designed for virtually every business need.
Tax advantages play a significant role in equipment financing decisions. Instant asset write-offs, depreciation benefits, and lease deductibility can significantly impact the true cost of equipment acquisition. Working with financial advisors who understand these nuances is essential.
At Velociti Capital, we help businesses across Australia access equipment financing that aligns with their operational needs and financial goals. Our flexible approach means we can often structure solutions that traditional lenders can't offer.
The articles in this section cover everything from basic equipment financing concepts to advanced strategies for maximizing the value of your equipment investments. Whether you're a first-time buyer or managing a large equipment fleet, you'll find valuable insights here.
Latest Equipment Finance Articles
Related Financing Options
Frequently Asked Questions
Should I lease or buy business equipment?
Leasing suits equipment that becomes obsolete quickly or requires regular upgrades. Buying makes sense for long-lasting equipment central to your operations. Consider cash flow, tax implications, and equipment lifespan.
What equipment can be financed?
Almost any business equipment can be financed: vehicles, machinery, medical equipment, IT systems, restaurant equipment, construction plant, office furniture, and more. Age and condition affect financing terms.
How does equipment serve as collateral?
In equipment financing, the equipment itself typically secures the loan. This often means better rates and easier approval since the lender has tangible security. You gain ownership once the loan is repaid.