Commercial Equipment Lease

Leasing an asset is like renting. It's a simple contract where you agree to rent the asset for a specified amount of time at a fixed monthly rental fee. With leasing you don't own the asset so can't sell it or modify it in any way, even if it is for business purposes.  

Buying commercial equipment assets involves paying for the asset outright. The easiest way to do this is to apply for a commercial chattel mortgage. As you own the asset you are free to  use it as you wish, as well as sell it

Leases generally have lease terms of between 2 and 5 years.  Different lenders offer different terms based on customer profiles. At Ausloans we have over 40 lenders and can find you a lease agreement term to suit your needs and budget.

Just like applying for a commercial loan, when applying for a  lease you will need to provide and confirm your contact details, address, business ABN or employment details, and a breakdown of your regular expenses. 

For businesses, you will be required to submit your BAS statements to demonstrate you have the business income and cash flow to service the lease agreement

A deposit is not required to obtain a commercial lease. However, some lenders may require you to pay a few months of lease payments in advance at the start of the agreement.

When you lease an asset you don't actually own it. The lender owns the asset and will pay the GST on the purchase price.. This is one of the advantages of leasing. 

As GST is not added to the cost of the asset lease your monthly car lease payments are calculated on the price of the asset minus the GST.  This helps reduce  the monthly lease payments in comparison to a traditional commercial loan