Equipment loan · Retail
Equipment loan for retail
Retail finance is lending sized to daily takings and seasonal stock cycles, covering inventory buys ahead of peak trade, store fit-outs and the working capital that carries a shop through quiet months.
How a equipment loan works for retail
Retail equipment is unglamorous but essential: POS terminals, security and camera systems, display refrigeration, racking and back-of-house handling gear. An equipment loan funds these against the assets themselves at rates well below unsecured lending, and bundles several small purchases into one facility. For a shop refitting a section rather than the whole store, this is usually cheaper than putting the spend on a card or drawing down a working-capital limit built for stock.
The cash-flow pattern we plan around
Daily card takings with heavy seasonal peaks, against stock commitments and supplier deposits made two to four months ahead of the selling season.
What retail typically fund
- Seasonal stock and supplier deposits
- Store fit-out and refurbishment
- POS, security and back-of-house systems
- Rent and wages through quiet months
- Opening a second location
Equipment loan for retail: the numbers
| Typical amounts | $5,000 – $5,000,000 |
|---|---|
| Term | 12–84 months |
| Indicative rates | 6.9% – 16% p.a. |
| Repayments | Monthly |
| Speed | Same day to 48 hours for low-doc |
| Documents retail usually need | ABN and lease or licence for the premises · 6 months of bank statements and merchant statements · Supplier quotes or purchase orders for stock |
Rates shown are indicative ranges observed across our lender panel for the period stated. They are not an offer or quote. Your rate depends on your business, the lender, the amount, the term and the security offered. The lender makes the final credit decision.
Key terms
Retail inventory finance
Retail inventory finance is short-term funding used to buy stock ahead of a selling season, repaid from the sales that stock generates rather than from existing cash reserves.
Merchant statement assessment
Merchant statement assessment is a lending approach that sizes a facility against daily card settlement data, allowing a retailer to be assessed on current trade rather than on a year-old set of financials.
What is equipment finance?
Equipment finance is any loan or lease used to acquire business equipment, with the equipment typically serving as security. The main structures in Australia are chattel mortgages, finance leases and rentals.
Low-doc equipment finance
Low-doc equipment finance approves smaller amounts (often up to $150,000–$250,000) without full financials, relying on ABN age, GST registration, credit history and sometimes a property-owner declaration.