Our experienced team understands the pros and cons of every option for securing new business vehicles. We will provide clients with an in-depth explanation of the advantages of using any finance option for their situation. We will find the best solution for clients’ businesses at the very best rate and ensure the process is seamless and easy.
A novated lease is a three-way vehicle finance agreement between employee, employer and the financier. Effectively, the employee pays for the lease of their car by salary sacrificing a portion of their pre-tax income. Loan payments, running costs, lease management fee and Fringe Benefits Tax (FBT) can largely be deducted from pre-tax income. The FBT liability can be offset by using the employee contribution method (ECM) which involves taking a portion of your lease payments from a post-tax environment.
The benefit of this arrangement for an employee is that they pay less tax, and can often save money on the costs of their vehicle. For employers, they are able to offer their staff an attractive benefit at no additional cost to their business.
We help clients in all aspects of this process, including in determining whether it’s the most appropriate funding solution.
A chattel mortgage (also known as a bill of sale or equipment loan) is a loan agreement where the funds are borrowed to purchase equipment or trucks for commercial purposes, and a charge is taken over the goods that are financed.
In addition to flexibility, there are several benefits of using the chattel mortgage such as tax deductions, the capacity to claim GST and payment flexibility.
We assist clients to understand all aspects of the arrangement as well as to determine whether it’s the most appropriate funding solution.