Business Car Loan

If you’re looking for business car finance and aren’t sure what options are available to you, then our team at Australian Credit and Finance can help with recommendations for your specific situation. Business car loans operate in much the same way as a home loandoes, but figuring out which option is best for your business needs can be tricky.

At Australian Credit and Finance, we provide a variety of options. We access to a number of lenders Australia wide, we can get the best deal to meet the needs of your business vehicle requirements.


Business Car Loan Options


At Australian Credit and Finance, we provide a number of options that are specifically for business owners or companies.

Because we have access to a variety of lenders, payments can be scheduled to suit your needs, such as weekly, fortnightly or monthly. You can pay these via direct debit or via credit card. Credit card is a good option if you’re looking to increase your reward points.

Below are some of the types of business car loans and finance options we have available:

  • Hire purchase
  • Chattel mortgage
  • Operating lease
  • Novated lease


Business Car Finance Options Explained


Each of the car loan and finance options listed above provides a different way of getting access to vehicles for your business needs. These are explained in more detail below.

  1. Hire Purchase: this is a simple way of gaining access to a business car without having to front up with the initial funds. Simply put, the lender purchases the car for you and then hire’s it back to you for a fixed monthly repayment amount.
  2. Chattel Mortgage: while this might seem more like it should be under our home loans section, this type of finance option is designed to provide business owners with a way to own their car(s) outright. The lender will provide with funds to purchase the car and then they take out a ‘mortgage’ over the car as security for the loan. The would generally register this with ASIC, calling it a ‘Fixed and Floating Charge.’
  3. Operating Lease: if you’re looking to never actually own your business vehicle, then this option is for you. Similar to a hire purchase, the monthly repayments are based on a number of factors, such as how many kilometres you’ll travel, make, model and term of the lease. Your repayments are tax deductible as well.
  4. Novated Lease: this is a good option for medium to large sized companies looking for a way to provide benefits to employees without actually have to spend dollars to do so. With this type of lease, the employer, employee and lender enter into a three-way agreement. The lender and employer agree to take the employee’s obligations on. What this means is that the employer agrees to pay the lease rental amount on behalf of the employee pre-tax, paying directly to the lender. The vehicle is given to the employee to use for both business and personal use.

As you can see, there are a number of options available when it comes to business car finance. If you need help with your business car loan needs, contact our team on 1300 735 557 today.