See which lenders will give you the best equipment finance. Instant online results.
This is a totally free process and will not affect your credit rating.
Borrow from $5,000 to $500,000
Fixed or variable interest rates
Repayments to suit your budget
Terms from 1 month to 5 years
Secured & unsecured options
Own a business and have an ABN
Business is GST-registered
Permanent Citizenship or Residency
Minimum business-operating time of six months
Can provide business bank statements
Equipment finance is the term for business loans or commercial leases used to buy new business equipment or replace and upgrade existing equipment.
Equipment finance covers any business-related equipment, including company vehicles, machinery, electronics, business fit-outs and more.
If you qualify for equipment finance with a lender, you can finance almost any asset related to your business. This can include:
Vehicles — e.g. company cars, trucks, trailers, delivery vans, motorcycles
Electronics — e.g. computers, servers, GPS equipment
Machinery — e.g. excavators, lifts and access equipment, forklifts
Equipment — e.g. printing, medical, dental, engineering
Construction — e.g. tools, tool of trade vehicles, scaffolding
Earthmoving — e.g. yellow goods, machinery, diggers, front loaders
A full list of business equipment that businesses can finance is included in the Frequently Asked Questions at the bottom of this page.
A business owner will commonly consider applying for equipment financing when they don’t have the cash flow or security to purchase expensive equipment outright, but they may also choose this type of finance if they:
Need to replace equipment frequently because it has a short lifespan
Work in an industry that requires constantly up-to-date technology
Want to purchase equipment for everyday business use and reclaim the GST on their next BAS
Require cash reserves for future business security, and would prefer to pay for equipment by instalments over a set period.
Just as every business is unique and your need for a loan or lease will vary, there are a number of different options available for equipment finance with lenders.
Use the equipment finance calculator to quickly create a personalised repayment assessment based on your desired loan amount.
It’s important to know the differences to understand which is most suitable for you. You can quickly compare equipment finance pros and cons in the comparison table below.
Equipment finance interest rates will vary depending on which type of business finance you choose to apply for. The main factor considered by lenders when applying a rate to any type of loan is the level of risk presented by the borrower.
The lower the risk, the lower the interest rates — if you have been in business for a long time and have high, regular revenue, you’ll present far less risk to a lender than someone just starting a business without stable, annual revenue.
The interest rate will also depend on which lender you choose to apply with, and may also alter depending on:
The amount you wish to borrow
The type of equipment you wish to purchase
Your time in business
The monthly revenue of your business
The term you are applying for
Your business credit history
Your personal credit history
If you own a property
The type of equipment you wish to finance, and its age, will also determine how a lender applies an interest rate to your loan.
This is important to understand for any type of equipment finance loan, but especially if you are considering loans for multiple pieces of equipment of different types — such as a business vehicle, an office fit-out, and leased office equipment.
Below, you can see how the age of the equipment you wish to acquire through equipment finance may affect the interest rate applied to your loan.
In the table below, you can see how the type of equipment may change the interest rate applied to your equipment finance.
A vehicle, for example, is a relatively secure piece of equipment that is designed to remain in good working order for a considerable amount of time. If you were unable to meet your repayments, a lender would be able to reclaim the vehicle and recoup a significant portion of their losses.
As you can see above, different types of equipment will have different interest rates applied.
Electronics, for example, aren’t as reliable as a car; they have a shorter operating lifespan and their value can drop significantly in only a few years.
Non-reclaimable assets acquired through business fit-out finance is one common example; there is no way for a lender to reacquire a fit-out from a borrower, which presents the highest amount of risk.
The primary reason people look to compare interest rates on equipment finance is to ensure they get the best deal and the lowest monthly and total repayment amount possible.
While an interest rate is a strong indicator of your total and regular repayments, there are other factors to consider as well, such as any initial or ongoing fees that may affect your total loan amount.
This is why it’s crucial to compare lenders using more than just the advertised interest rate — if you don’t, you could be locked into an agreement that costs your business thousands of dollars in fees over the loan term.
NOTE: These are example tables only and are not intended to represent actual loan offers, rates, or repayments.
You can see in the table above that monthly fees can impact the amount you will repay monthly.
While it may not seem like a great difference in monthly repayments, the table below will show the total loan amount you would repay for each of the above finance options over the full term.
Want to see how much you’ll pay using equipment finance? Use our free equipment finance calculator to view a personalised repayment assessment.
Qualifying for equipment finance is relatively simple. Most equipment finance lenders will be able to provide plenty of options if you:
Have been trading for at least 12 months; and
Have an ABN; and
Are registered for GST; and
Have a clean credit history; and
Own property or can provide a 20% deposit
Although the process will be a little more involved, if you don’t meet the above criteria you can still get approved if you:
Are self-employed or a sole trader
Have been trading for between 6 - 12 months
Have an imperfect credit history
Do not own property
There are two main types of applications, which will depend on the amount you wish to borrow. If you are borrowing less than $100,000 the approval process will be fairly simple. Most times, just your business bank statements will be sufficient to illustrate your monthly business revenue.
If you wish to borrow more than $100,000, your lender will require additional documentation to assess your application.
If this is the case, you’ll need to provide additional documentation to the lender so they can better assess your application. Here are some tips to improve your chances of getting approved.
If you are borrowing less than $100,000:
Proof of identity
An ABN and GST registration
An acceptable credit rating — the lender will ask to conduct a credit check
Business bank statements
Trust Deed if the business is held in a trust
Australian Tax Office (ATO) Portal access.
If you are borrowing more than $100,000:
All the documentation provided if borrowing less than $100,000; and
Financial records (provided by your accountant)
Profit and Loss Statements
If you are making an application for more than $100,000, you can speak to your bank or a lender directly to discuss your financial circumstances and need for finance.
If you are applying for less than $100,000, you can generally apply online with a number of different specialist business loan lenders, including those who provide loans designed specifically for equipment finance.
Lenders will assess an application based on the monthly revenue of the business, its intended use for the loan, how the loan will benefit future business revenue, and more.
Each lender will have different approval criteria, but here are some tips to improve your chances of getting approved.
Demonstrate an ability to service your business loan or lease.
Meet the lender's criteria for acceptable credit rating
Meet the lender's criteria for minimum turnover and maximum debt
Provide profit and loss statements and your business balance sheet
Provide details of the asset you wish to purchase
Provide read-only access to your business bank statements
Provide a personal guarantee by the director of the company
You can apply for Equipment Finance with GetCapital. Read our review of the lender or compare finance options from Australia’s leading business lenders by visiting our Lender Reviews section.
Alternatively, equipment finance brokers operate in all states, cities, and towns of Australia. You can find a local equipment finance broker to help you compare options in Sydney, Brisbane, Perth, Melbourne, Adelaide, Canberra, Newcastle, and more.
No matter where you’re located, a broker can assist in finding a range of suitable finance options from local and national lenders in exchange for a small fee.
Equipment finance in Australia is used by businesses to buy new equipment or replace and upgrade existing equipment for the business.
Equipment finance can be used to acquire vehicles, electronics, machinery, office fit-outs, and many other types of business equipment.
There are a few methods of obtaining equipment finance, and each will offer varying interest rates, term lengths, and fees.
Certain lenders may only offer certain types of equipment finance, or have specific conditions about what can be funded.
Can be used to finance anything relating to a business
Does not require a deposit in most cases
Can be used to purchase equipment outright
Can be used to lease or rent equipment from a lender
Can be obtained from banks, non-bank lenders, specialists, and through finance brokers
Can provide financing solutions to businesses with bad credit
Covers different types of loan or lease, each with their own pros and cons