While paying for a business vehicle upfront might seem like a clean and simple solution, there are several key advantages to financing instead:
Business is unpredictable. By keeping your cash reserves untouched, you maintain liquidity for emergencies, opportunities, or day-to-day expenses. Financing spreads the cost over time, helping to manage your working capital more effectively.
Many commercial finance products come with potential tax deductions:
Always check with your accountant to maximise your claims.
Vehicles depreciate fast. Financing means you don’t have to bear the full depreciation cost upfront — especially useful if you plan to upgrade in a few years.
Successfully managing a commercial loan helps build your business’s credit profile, which can improve your chances of securing finance for future equipment or growth.
With competitive interest rates available in the commercial lending space, financing can often cost less than you’d expect — especially when compared to the opportunity cost of locking your cash away in a depreciating asset.
Commercial car finance is more than just a way to afford a business vehicle — it’s a smart financial strategy. By preserving cash flow, accessing tax benefits, and leveraging lender support, financing a vehicle often gives your business the flexibility and control it needs to grow.
If you’re ready to finance your next work vehicle or want help finding the right loan structure, contact our friendly finance brokers at 168 Finance on 02-8046 7621, or simple send us an email at info@168finance.com.au, we will be more than happy to assist
