Compare Rates Lenders Options
Commerical Hire Purchase Finance
When experience matters, choose the experts. With over 20 years in the industry, our Finance Consultants structure smart Commercial Hire Purchase Loans, combining tailored advice with competitive funding options for Transport and Heavy Equipment Operators.
Our Trusted Finance Partners
Commercial Hire Purchase Finance
Key Considerations To Commercial Hire Purchase Loans For Trucks And Heavy Equipment
Commercial Hire Purchase (CHP) is a well established Finance option for acquiring Trucks and Heavy Equipment without the need for upfront ownership. Under this structure, the Financier purchases the Asset on your behalf and hires it back to your business over an agreed term, allowing you to put the Equipment to work immediately while spreading the cost over its useful life.
Commercial Hire Purchase Loans offers valuable tax benefits for Australian businesses. Depending on your accounting method (cash or accrual), you may be able to claim a portion of the interest component of the repayments and depreciate the asset over time, helping to reduce your taxable income and improve cash flow.
Once the final payment is made (including any residual amount) ownership of the Truck or Equipment automatically transfers to you. We structure Commercial Hire Purchase facilities with competitive fixed interest rates, providing certainty, predictable repayments and a smooth pathway to full Asset ownership.
Compare Lenders Now
Apply Now for Online Pre-Approval up to $500K without affecting your credit score.
Asset Security
Features of a Commercial Hire Purchase Facility
- GST is spread accross the monthly repayments, which can help businesses that prefer not to fund GST upfront (Speak to a qualified tax professional for advice)
- Claim a portion of the interest on monthly payments and depreciation on the asset over time as a tax deduction (Speak to a qualified tax professional for advice)
- Term of a Commercial Hire Purchase Loan can range from 1 - 7 years (a fixed interest rate applies)
- Ownership of the asset is transferred to the client once the final payment and or any residual has been paid with payment options of weekly, monthly, quarterly, bi annually, yearly or structured
- Residual payment at the end of the term can be applied to a Commercial Hire Purchase Loan to reduce monthly payments (Residual amounts can range from 10% through to 50% - depending on age and usage of the Asset)
- Customer has the option to fund 100% of the asset cost or to contribute a deposit towards the purchase (either through trade in of existing asset or cash deposit)
- The key difference between a Chattel Mortgage and a Commercial Hire Purchase comes down to ownership, GST treatment and tax benefits for the business structure (Speak to a qualified tax professional for advice)
Tax Advantages
Benefits of a Commercial Hire Purchase Facility
- Funding the full cost price of a Truck or Equipment Asset with a Commercial Hire Purchase Loan will preserve cash flow and maximise working capital position
- Flexible payment options allow clients to make payments suitable to their cash flow requirements
- Fixed interest rate over the term of the facility allows businesses to accurately project income and expenses going forward
- Option of a residual payment at the end of the term reduces payments over the term of the Loan
- Commercial Hire Purchase Loans for Trucks and Equipment can be assessed on either a Full Doc, Low Doc or No Doc basis
- As Commercial Hire Purchase Loans uses the Equipment as security, it allows clients to free up property equity to pursue other investment opportunities
- Residual payment options at end of term gives the customer flexible options for thier business at the time the residual payment is due. Customer can (one) pay it out using their own cash reserves (two) utilise the trade in value given by the dealership on the existing asset (three) refinance the residual with a new Commercial Hire Purchase Loan
- Tax deductibility at end of the financial year as client can claim a portion of the interest on the monthly repayments and depreciation on the asset over time (Speak to a qualified tax professional for advice)
We Make Commercial Hire Purchase Loans Quick and Easy for Truck and Heavy Equipment Owners Australia Wide.
Start Now and complete our Quick Assessment Form to obtain a Pre-Approval up to $500K – decision within a few seconds.
Alternatively, you can call one of our Finance Consultants to discuss your funding scenario.
Example Breakdown
Example Funding Scenario
- Large scale Civil Construction Company required funding for a New Crushing Plant to be used for a specific 10 year work contract
- Finance Type – Commercial Hire Purchase
- Loan Amount – $1,350,000 (gst inc)
- Term – 60 months
- Residual – 30%
- Payments – monthly in arrears
Outcome
- This particular funding request of a Commercial Hire Purchase came at the advice from the clients Accountant - given the interrelated company structures and internal accounting practices
- Even though client held a 10 year contract relating specifically to this Crushing Plant purchase, the desired structure of a Commercial Hire Purchase Loan Agreement was to be of greater benefit to all of the interrelated companies within the group structure
- The 30% residual payment was applied to reduce the monthly payments for this customer so funds could be allocated to other projects. Based on the fact the Machine was brand new, client was confident that the value of the Machine would far exceed 30% at end of the 5 year term - client was also aware that a refinance of the residual payment was also an option
- This Commercial Hire Purchase facility allowed client to maximise the tax deductability for their business and ultimately reduced the tax payable and retain additional funds within the group structure
Customer Reviews
Our customers say it best. Find out what it's like dealing with the Experts in Commercial Hire Purchase Truck Finance. You could be the next success story.
Nathan you are fantastic to deal with. Always prompt with deals never a hiccup. After 8 truck deals will never use another broker. Keep up the great work you make my life stress free.
TH
Tracey Hall
Scone Equine Transport Pty Ltd
I have been dealing Heavy Vehicle Finance since 2014 and have found them be nothing short of amazing.They have funded various trucks and trailers for me over the years and its a fantastic feeling to know that I still have the same account manager after all of these years of business.It is very good to know that a finance approval is only a phone call away.
CW
Colin Wallace
Palanquin Pty Ltd
I have used the team at Heavy Vehicle Finance twice now for our financing needs for prime movers and side tippers. A Great team to work with and very prompt and professional. We will use again in the future.
JC
James Coustley
JJC Civil
I have used Nathan and his team for multiple purchases for our earthmoving company and Nathan has gone above and beyond to help us with expanding our business. I couldn’t recommend Nathan more highly.
SW
Sam Wood
Sureflo Plumbing & Roofing Contractors Pty Ltd
We used Heavy Vehicle Finance for the purchase of our Truck. They went above and beyond for us and made sure that the process was as stress-free as possible. The entire interaction was nothing short of amazing. We will definitely be using them again in the future.
MM
Meagan McNicholl
Next Gen Transport Pty Ltd
Can’t thank Nathan enough for how fast and professional he was with organising my finance for my new truck. He was straight to the point with no stuffing around. Highly recommended
TH
Tim Hartas
Hartrax Contracting Pty Ltd
Commercial Hire Purchase Finance Calculator
Looking to buy a New or Used Heavy Vehicle? Try our Simple Commercial Hire Purchase Loan Calculator to estimate your weekly payments and take the guesswork out of your next Truck or Equipment purchase.
Why Us?
Unlock the Benefits of Heavy Vehicle Finance for Your Commercial Hire Purchase Loan
- Heavy Vehicle Finance backed by 20 Years Industry Experience. Heavy Vehicle Finance that will work for you.
- Quick, Easy and Obligation Free. Heavy Vehicle Finance Pre-Approvals up $500K.
- We deal with Owner Drivers and Fleet Operators Australia Wide. We will help you save thousands on your next Heavy Vehicle Loan.
- We're trusted across the Transport Industry as a leading provider of Heavy Vehicle Finance. Our applicants receive funding options tailored to their business needs, delivered efficiently by experts who understand Heavy Vehicle Industry.
- Typically No Financials are required for loans up to $500K and our unconditional approvals take only 24 hours.
- Our flexible policy matrix will give you greater access to capital—so you can secure the Heavy Vehicle and Heavy Equipment you need to grow your business faster and with more confidence.
- Our customers are assigned a dedicated Relationship Manager to help guide them through the process from start to finish.
Let us Finance
the Road to Your
Future
Complete our Simple Quick Assessment Form and let us go to work on finding the best Finance Deal on your New or Used Heavy Vehicle.
With over 20 years experience and thousands of deals done, we are on your side to get the best possible rate.
Heavy Vehicle Finance News
Explore the latest trends, tips, and insights in Heavy Vehicle Industries. Get the inside knowledge.
Why Your Credit Score Matters for Truck Finance in Australia
Introduction: Truck Finance and Your Credit Score If you’re planning to finance a truck in Australia – whether you’re an owner-driver, small fleet operator, or logistics business – your credit score is one of the most important factors lenders consider. A good credit score opens doors to better truck finance options, lower interest rates, and […]
Beyond the Rate: Why Truck Loan Payments Matter More Than Interest
Introduction The dream of owning and operating a successful trucking business often begins with a critical decision: securing the right financing. When a new owner-operator or fleet manager begins the search for a truck loan, the first number they typically focus on is the interest rate. It’s a natural inclination; we’re conditioned to seek the […]
Why It’s So Important to Use a Finance Broker for Truck Finance in Australia
Introduction When it comes to purchasing trucks for your business in Australia, choosing the right truck finance solution is just as important as selecting the right vehicle. Whether you’re an owner-operator, a growing logistics company, or starting out with an ABN, the process of securing truck loans can be complex, time-consuming, and expensive if you […]