Leasing and
general finance

Why Finance?

• ◊ Doesn't tie up capital
• ◊ Is cash flow and tax effective
• ◊ The only prime security required is over the asset being purchased
• ◊ Payments structured to suit cash flow
• ◊ Leasing provides a tax effective means of acquiring assets
• ◊ Leasing enables you to allocate valuable working capital to your business.

Commercial Hire Purchase

• ◊ Term 12-60 months
• ◊ No deposit required To Approved Purchasers (T.A.P)
• ◊ Client can claim depreciation based on cost price plus interest charges on the loan
• ◊ Can be written with or without a balloon
• ◊ Ownership and purchase of the asset is implicit in the contract
• ◊ GST is normally included in amount financed (ITC available to ABN entitles reg'd for GST)
• ◊ GST claimed via ITC either over period of loan (Cash accounting) or upfront (Accrual Accounting)

Chattel Mortgage

• ◊ Term 12-60 months
• ◊ Monthly rentals are tax deductible
• ◊ Residual Value at the end of term is set according to tax guidelines for depreciation
• ◊ Lessee is responsible for payment of residual value
• ◊ Generally accepted that residual buyout will transfer ownership of goods from financier to lessee

Novated Lease (Finance Lease incorporating Novated Agreement for employees)

• ◊ As per Finance Lease responsibility to make lease rentals and claim tax deduction is passed to employer via Noation Agreement whilst lessee remains an employee.

Rental

• ◊ Term 12-60 months
• ◊ Off balance sheet finance arrangement
• ◊ Rentals are Tax Decuctible
• ◊ Ability to upgrade goods at or before contract expiry and renegotiate terms
• ◊ options include purchase, re-rent, return of goods
• ◊ Amount financed is net of GST
• ◊ GST charged on monthly rentals (ITC available to ABN entities reg'd for GST)

Consumer Mortgage

• ◊ Term 12-60 months
• ◊ Monthly repayments normally commence one month after settlement
• ◊ Can be written with or without a balloon end payment
• ◊ Ownership and purchase of the asset is implicit in the contract

To speak to an expert Mortgage Manager about the right loan for you call 1800 24 86 86 or click here to submit a query.