Business Car Loans For Large or Small Adelaide Businesses.
Business car loans Adelaide applicants apply for to finance the purchase of a car, where the car will be used for ‘business use’, is an example of a business loan.
Most car loans for business use are bought new, with no deposit paid in order to gain the greatest tax benefit, however some small businesses buy used cars and pay a deposit; often by way of a trade-in to reduce their monthly repayments, easing cash flow.
Before deciding which type of business car loan to choose, we suggest you consult with your accountant or tax professional to discuss what will be best for your circumstances.
Car Lease
Car lease finance provides the applicant with the use of the car for an agreed rental period. There is no right to purchase the car at the end of the term. Novated leasing is popular for company cars.
Asset Purchase Car Finance
An asset purchase agreement; often referred to as hire purchase (HP), allows the applicant to acquire a car where the title passes to the applicant on full payment of the car.
Chattel Mortgage Car Finance
A chattel mortgage is designed to optimise cash flow while minimising the impact of the GST. The car is available for immediate use in the business with no capital outlay.
Low Doc Car Loans
Low doc car loans are designed specifically for businesses that don’t have ‘financials’ to satisfy lenders with proof of income; a statutory declaration is signed instead. Bank statements may be requested.