Equipment Finance Australia - Chattel Mortgage, Lease & Hire Purchase | Esteb and Co
12+ Business Lenders | Asset Finance | Credit Assistance

Compare Equipment Finance Options for Your Business

Machinery, vehicles, tools, technology, or fit-outs - the equipment itself serves as security, making approval easier and rates lower. We compare chattel mortgage, hire purchase, and lease options from 12+ Australian lenders.

$5K-$2M
Finance Amounts
5.49%+
Rates from
2-7 yrs
Loan Terms
Check Equipment Finance Options Compare Finance Structures

Secure | No credit check at initial stage | No cost to you* | *We are paid by lenders

Important Information

Esteb and Co provides credit assistance services. We are licensed credit representatives (ASIC Credit Rep #574070) who help you compare loan options from our panel of lenders. We do not lend money directly. All loan approvals are made by lenders, subject to their criteria and responsible lending assessments. Our service is free to you - we receive commissions from lenders. Read our Credit Guide

Equipment Finance Structures Explained

Three main ways to finance business equipment in Australia

Chattel Mortgage

You own the equipment from day one. The lender takes a mortgage over the asset until paid off.

Tax benefits:

  • Claim GST on the purchase price upfront (if registered for GST)
  • Depreciation claimed as a tax deduction
  • Interest is tax-deductible
  • Instant Asset Write-Off may apply (check current ATO thresholds)

Best for: GST-registered businesses wanting to claim the full input tax credit upfront and depreciate the asset.

Hire Purchase

You hire the equipment and own it after the final payment. Ownership transfers at the end of the agreement.

Tax benefits:

  • GST claimed in instalments (not upfront)
  • Depreciation claimed as a tax deduction
  • Interest component is tax-deductible
  • Balloon/residual option to reduce monthly payments

Best for: Businesses that want ownership at the end but prefer spreading GST credits over the term.

Finance Lease (Operating Lease)

You rent the equipment for a fixed term. The lender owns it throughout. Return or purchase at end.

Tax benefits:

  • Entire lease payment is tax-deductible as a business expense
  • No depreciation (lender owns the asset)
  • Off-balance-sheet financing (improves your balance sheet ratios)
  • Upgrade easily at end of lease term

Best for: Technology, medical equipment, or assets that depreciate quickly and need regular upgrading.

Equipment We Help Finance

The equipment itself acts as security - making approval easier

🚛

Trucks & Commercial Vehicles

Trucks, utes, vans, trailers, refrigerated vehicles, tippers, and fleet vehicles.

$20K - $500K+
  • New and used vehicles
  • Fleet discounts available
  • Balloon payments to reduce monthly cost
  • FBT considerations for dual-use
🏗️

Construction & Earthmoving

Excavators, loaders, cranes, concrete pumps, scaffolding, and site equipment.

$50K - $2M+
  • New and used equipment
  • Seasonal payment structures
  • Project-based finance available
  • Trade-in of existing equipment
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Manufacturing & Industrial

CNC machines, lathes, presses, production lines, forklifts, and warehouse equipment.

$10K - $1M+
  • Import finance for overseas equipment
  • Installation costs can be included
  • Specialist valuers for unique assets
  • Longer terms for expensive machinery
💻

Technology & IT

Servers, computers, software licenses, POS systems, telecommunications, and office fit-outs.

$5K - $500K
  • Leasing preferred (rapid depreciation)
  • Bundled hardware + software
  • Upgrade at end of term
  • 2-3 year terms typical
🏥

Medical & Dental

Dental chairs, imaging equipment, surgical tools, practice fit-outs, and diagnostic machines.

$10K - $1M+
  • Specialist medical lenders
  • Practice setup packages
  • Longer terms for high-value items
  • Professional income assessment

Equipment Finance FAQs

Common questions from Australian business owners

Can I finance used or second-hand equipment?

Yes, most lenders finance used equipment. However, the equipment's age affects the maximum loan term - typically, the asset age plus loan term cannot exceed 12-15 years. Rates on used equipment are usually 0.5-1.5% higher than new. A valuation or invoice from a dealer is required. Private sale equipment may need an independent valuation ($200-$500).

What's the Instant Asset Write-Off and does it still apply?

The Instant Asset Write-Off allows eligible businesses to immediately deduct the full cost of qualifying assets in the year of purchase rather than depreciating over time. Thresholds and eligibility change with each Federal Budget - check the ATO website for current limits. This can significantly reduce your effective cost of equipment. Speak to your accountant about whether your purchase qualifies.

Do I need a deposit for equipment finance?

Not always. Many lenders offer 100% finance for new equipment from authorised dealers. For used equipment, a 10-20% deposit is common. Providing a deposit reduces your monthly repayments and may secure a better interest rate. Some lenders accept trade-ins of existing equipment as a deposit equivalent.

How long does approval take?

Pre-approval can be obtained in 24-48 hours for amounts under $150K with a strong application. Full approval for larger amounts typically takes 3-7 business days. You'll need: ABN/ACN, 2 years financial statements (or 6 months bank statements for low-doc options), equipment quote or invoice, and details of existing business debts.

What happens if I can't make repayments?

Since the equipment serves as security, the lender can repossess the asset if you default. Before that happens, most lenders will work with you on a hardship arrangement (reduced payments, payment holiday, or term extension). Contact your lender early if you're experiencing difficulty. In some structures, a personal guarantee may also apply.

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Ricky Esteb - Licensed Mortgage Broker
Richard (Ricky) Esteb
Licensed Mortgage Broker & Founder
Credit Rep #574071 ACN 681 636 056 83+ Lender Panel

With direct experience helping Australians secure home loans, car finance, and business funding, Ricky founded Esteb and Co to bring transparency and technology to mortgage broking. Every piece of content is written from real-world lending experience.

Verified & Last Reviewed: March 2026 | Content meets ASIC regulatory requirements
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