The umbrella over every equipment structure
Asset finance across every structure, from 18+ Australian lenders.
Vehicles, trucks, machinery, medical, hospitality and technology. Your broker matches the structure to the asset and explains the numbers before you decide.
What is a asset finance?
Asset finance is any lending used to acquire a physical business asset where that asset provides the security, covering chattel mortgages, finance leases, operating leases, hire purchase and sale and leaseback. Because the asset backs the debt, pricing sits well below unsecured business lending.
Asset finance is best understood as a family of structures rather than a single product. What they share is that the equipment being funded also secures the debt, so the lender’s risk is anchored to something with resale value. What separates them is who owns the asset during the term, who carries residual risk, and how GST and deductions are treated. Those differences change the after-tax cost materially, even when the headline rate is identical.
For most Australian businesses buying something they intend to keep, a chattel mortgage is the default: ownership from day one, GST generally claimable upfront, interest and depreciation deductible. Where equipment is replaced on a cycle, a finance lease or operating lease often fits better. Where cash is needed from gear already owned, sale and leaseback releases it. Choosing well is worth more than shaving a fraction off the rate.
Lenders specialise sharply by asset class. Some are strong on yellow goods and trucks and will fund fifteen-year-old machines; others focus on medical, hospitality or IT and prefer new equipment from accredited suppliers. Low-doc limits range from about $150,000 to $500,000 depending on ABN age, GST registration and property ownership. Our panel spans both bank and specialist financiers so the lender is matched to the asset rather than the other way round.
Asset finance at a glance
| Amount | $5,000 – $5,000,000 |
|---|---|
| Term | 12–84 months |
| Rate type | Fixed |
| Security | Secured by the asset |
| Repayments | Monthly, with weekly and fortnightly available on many products |
| Typical speed | Same day to 5 business days depending on structure and documentation |
| Best for | Any business acquiring income-producing equipment it wants funded against the asset itself |
| Consider something else if | General working capital where nothing tangible is being purchased |
| Tax | Deductions differ by structure — interest and depreciation under a chattel mortgage, full payments under a lease. Confirm with your accountant. |
Advantages
- Secured pricing far below unsecured business lending
- Terms to seven years matched to the asset’s working life
- Structures available to suit ownership or replacement cycles
Trade-offs
- The asset is at risk if repayments stop
- Older and specialised assets attract higher rates and shorter terms
- Choosing the wrong structure has real tax consequences
How to apply for a asset finance
- 01
Define the asset
What you are buying, new or used, from a dealer or private seller, and how long you expect to use it.
- 02
Choose the structure
Your broker weighs chattel mortgage, lease and rental against how you will use, replace and account for the asset.
- 03
Match the lender and settle
We place the deal with a financier that has appetite for that asset class, then funds go to the supplier.
Documents lenders commonly ask for
- ID and ABN
- Supplier quote or invoice for the asset
- Bank statements, or financials for full-doc applications
What people finance with a asset finance
Lenders we compare for this
Angle Finance, Metro Finance, Flexicommercial, Pepper Money, Macquarie, Westpac and others on our panel. See the full panel.
Estimate your repayments
- Number of repayments
- 48
- Total interest (est.)
- $15,443
- Total repaid (est.)
- $90,443
This calculator provides an estimate only and does not account for fees, charges or the specific terms a lender may offer. It is not financial advice or an offer of finance.
Key terms
What is asset finance?
Asset finance is business lending used to purchase or refinance a physical asset, with that asset serving as the lender’s security. The main Australian structures are chattel mortgage, finance lease, operating lease, hire purchase and sale and leaseback.
What assets can be financed?
Anything identifiable, serial-numbered and resaleable: vehicles, trucks, trailers, earthmoving and construction plant, agricultural machinery, manufacturing equipment, medical and dental equipment, hospitality fit-outs, IT hardware and solar systems.
Can you finance used equipment?
Yes. Most panel lenders fund used assets from dealers or private sellers. Age affects both the maximum term and the rate, and many lenders cap the asset’s age at the end of the term rather than at purchase.
What is low-doc asset finance?
Low-doc asset finance approves equipment lending without full financial statements, relying on ABN age, GST registration, credit history and often property ownership. Limits commonly run from $150,000 to $500,000 depending on the lender and the asset.
Asset finance FAQs
Can one facility cover several pieces of equipment?
Yes. A master facility agreement lets a lender approve an overall limit, then draw down individual assets against it using a commitment schedule for each one. Each drawdown has its own term and repayment, but you avoid re-applying every time you buy. It suits businesses buying regularly through the year. Limits are usually reviewed annually and the lender can decline a particular asset even where the limit is available.