Financing Tax Debt

With statistics saying that up to one third of small businesses under some form of ongoing Tax Debt with the ATO, the uncertainty of these arrangements and the issues they can potentially cause when companies apply for other finance with mainstream lenders, it is encouraging to see that a number of property financiers are now assisting companies in Tax Debt Finance. These property financiers are assisting with Tax Debt Loans through providing additional funds against residential and commercial properties at levels up to 75% of market value and at interest … [Read more…]

Equipment finance rates – what lies ahead for 2016

With all the noise around banks pushing up their margins on home loan rates in particular investment property rates despite the fact that the RBA cash rate has remained unchanged at 2%, Has there been any effect on equipment finance interest rates? The short answer is yes but with much less affect. Although the general market has increased their equipment finance rates by around .25% across the board, there are several reasons why this has not had any significant affect:- Equipment finance rates are “free market driven” with the ultimate … [Read more…]

Are you ready for AUSTimber 2016?

We are all set for AUSTimber 2016 and will have the Finlease 1968 ZB Fairlane taking pride of place in our marquee out in the forest. It’s just our way of saying that good old-fashioned service still exists. How is the finance landscape in the lead up to AUSTimber 2016? We have been busy and rapidly expanding the number of clients we now assist for finance in the full supply chain from forestry and haulage, through to the mills. The timing of our entry into the industry as an alternate … [Read more…]

How to buy your first boat

Guest post by Rod Smith, the Managing Director of CH Smith Marine and former President of the Boating Industry Association. Owning a boat was one of the best decisions of my life. It brought my family closer together and turned me into a happier person. I truly believe the person who said “the world is my oyster”, was a new boat owner. Let me aid you in buying your first boat as I outline 3 main tips for better boat buying including picking the right type of boat for you, choosing the … [Read more…]

Insurance Premium Finance – big savings to be had and easy to access

Insurance premium finance has been around for years and typically offered via the Insurance broker however usually at quite a premium. In today’s market there are an increasing number of banks and finance companies who will compete stridently for this business and offer very low rates of interest as well as an easy, seamless finance approval process. Although this style of finance is typically over short terms (10 – 12 months), the savings can be thousands of dollars each year. A number of banks now offer business owners very competitive … [Read more…]

Keeping the cash under control

As any prudent business owner would know, the prospect of significant additional work comes with its own challenges. At face value, increased turnover and greater profit through a combination of gross margin and improved economies of scale paint an attractive picture at a basic P&L level, however there is much to control through this process. This article seeks to address just a few of these issues. As an equipment financier in Capital Intensive Industries with 25 years under our belt, we are acutely aware of the challenges that come with … [Read more…]

2 really easy steps to get the best out of your bank and home loan lender

Mark O’Donoghue the CEO of Finlease talks about getting the best out of your bank and home loan lender. I would like to start this article by providing a basic concept that money is a raw material no different to fuel, tyres or groceries. It is a commodity offered by many who are prepared to compete against each other to secure you as a client who uses their product. In the process of seeking your patronage they will need to do (within reason) what it takes to secure that patronage whilst … [Read more…]

The Jewel in the Crown

The Jewel in the Crown Would it surprise you if I said that the REAL ASSET, the REAL FINANCIAL LEGACY of a 30 year old business was the factory that they bought 25 years ago? Here is a tale of 2 companies who were IDENTICAL in every way except one bought their factory and the other rented. This simple story should be heeded by many companies, TODAY, whose decisions NOW can make a MAJOR difference in the future.   COMPANY: XYZ Civil Est 1985, Owned by Mr John Smith, profitable, … [Read more…]

Directors’ guarantees, exploding the myth

Having seen a recent spate of requests to provide finance to private companies without the owners of those businesses providing personal guarantees, as they don’t need to with their bank, I thought it was time to put pen to paper and provide some real clarity around this situation. The vast majority of debt structures with a client’s bank not only include master personal guarantees (signed once and relevant for all future transactions) they also include far more draconian security conditions which take the following forms:- Mortgages over real estate Fixed … [Read more…]

Taking the stress out of finance

All too often we see companies scrambling at the last minute to put finance facilities in place to pay for machines needed for urgent delivery. This simply does not need to be the case if companies set up a number of pre-approved Lines of Credit for equipment finance. These lines of credit are essentially pre-approvals to fund future equipment purchases. They cost nothing to put in place, can be arranged across a number of lenders (who then can compete for each individual transaction when the time arises). These pre-approved lines … [Read more…]