Agriculture and farming equipment finance FAQs

Farmers finance tractors, headers, harvesters, balers, seeders, and spray rigs through chattel mortgage with seasonal repayment structures aligned to harvest or sale income. Established 2+ year operations with consistent trading have the widest choice of lender options, including longer terms and seasonal payment plans. Lenders consider the farming type (broadacre, mixed cropping, livestock, horticulture), the asset's useful life, trading history, and repayment capacity through the season.

Seasonal repayment structures are standard on the panel for established farming operations. Repayments can be aligned to harvest income (broadacre, grains), sale yard cycles (livestock), spray and harvest windows (horticulture), or quarterly fixed schedules. Your finance specialist works with the lender to match repayments to your business cycle, including holiday months and skip-pay options where the lender supports them.

Used tractors, headers, harvesters, balers, and spray rigs can be financed by specialist lenders on the panel, often up to 15+ years of age depending on hours, condition, and intended use. John Deere, Case IH, New Holland, Massey Ferguson, Kubota, and Claas are well-known across the panel. Engine hours, service history, and any field condition reports shape the lender's appraisal.

No-deposit options are available for established 2+ year farming operations with strong trading history. A voluntary deposit (10-20%) lowers repayments and may broaden lender choice for older machinery or specialised assets like self-propelled spray rigs. Your finance specialist confirms upfront based on the asset, your profile, and the lender's policy.

Pre-approval typically returns within 24 hours of a complete enquiry. Formal approval and settlement usually take 3 to 7 business days, with settlement coordinated around your planting window, harvest deadline, or sale yard date. If you have a tight pre-harvest or pre-planting deadline, tell us at first contact.

Multi-asset farm finance is common - tractors plus implements, header plus front, or replacement of multiple end-of-life machines. Lenders can structure as one master facility covering all assets or as separate concurrent chattel mortgages, depending on total value and your accountant's preference. Combined operation history, asset mix, and seasonal income visibility shape the approval.

Established 2+ year specialist operations (horticulture, viticulture, livestock, irrigation) have the widest range of options. Lenders consider land area, water entitlements, asset type, trading history, and any export or wholesale contracts. Specialist asset finance (irrigation pivots, packing equipment, livestock yards) is assessed on a case-by-case basis with case-specific lenders.

Equipment finance for farming assets is treated as a business expense, with deductibility varying by structure (subject to ATO eligibility). Chattel mortgage allows depreciation and interest deductions. Finance lease allows full payment deductibility. Instant asset write-off may apply for eligible small businesses subject to ATO thresholds at the time. Your accountant should confirm the treatment for your operation.

Equipment finance is a business loan that lets you buy or lease assets like trucks, machinery, excavators or forklifts without paying the full cost upfront. Repayments are spread over 1 to 7 years, so the cost of the equipment is matched to the income it generates, rather than paid upfront in one lump sum.

A lender funds the purchase, you make regular repayments over an agreed term, and ownership depends on the product type. A broker compares multiple lenders to find a structure and rate that fits your business.

Australia's most popular equipment finance structure. You own the asset from day one, and the lender holds a registered charge over it as security. You can claim the GST input tax credit upfront, plus depreciation and interest deductions. The charge is removed once the loan is repaid.

Hire purchase sits between a chattel mortgage and a lease. The lender owns the asset during the term, and ownership transfers to you automatically once the final payment is made. You can claim depreciation and interest deductions. Less common today than chattel mortgage.

The lender owns the asset and leases it to your business for a fixed term. You pay regular rentals and use the asset as if you owned it. At term end you can purchase, extend, or return it. Rentals are 100% tax deductible.

A rental arrangement where you use the asset for a period without obligation to own it. The lessor carries residual risk. Common for vehicles and fast-depreciating equipment. Repayments are a business expense; you cannot depreciate the asset or claim ownership-related tax benefits.

Chattel mortgage is the most popular structure for established Australian operators because it gives ownership from day one and may allow depreciation and GST claims subject to ATO eligibility. Hire purchase suits operators who want fixed repayments with ownership at end of term. Finance lease and operating lease suit those who want lower upfront commitment with a return option. Your finance specialist models the options against your tax position before you sign. Chattel mortgage suits owners who want depreciation. Finance lease suits operators who upgrade often. Operating lease suits short-term use. Our brokers assess your situation and recommend the most beneficial structure.

No-deposit options are available for established 2+ year operators with the right asset and trading profile. A voluntary deposit can lower your repayments and may broaden lender options, especially for older or specialist assets. Your finance specialist will tell you whether a deposit is needed for your scenario.

Equipment finance is treated as a business expense with deductibility varying by structure (subject to ATO eligibility). Chattel mortgage allows depreciation of the asset value plus deduction of interest payments. Finance lease allows deduction of the full lease payment. Operating lease payments are fully deductible as a rental expense. Your accountant should confirm the treatment for your specific business and lodgement. See ATO depreciation guidance. Chattel mortgage: deduct interest and depreciation. Finance or operating lease: payments are 100% tax deductible. The instant asset write-off may allow the full asset cost to be deducted in the purchase year.

This information is general only and not financial or tax advice. Speak to your accountant about your specific situation.

Equifund earns a brokerage fee on settlement that is disclosed in writing in your quote before you sign anything. Pre-approval and quotes are obligation-free with no charges if you don't proceed. There are no surprise fees. Equifund Financial Group is a fully licensed broker (ACN 647 510 790, Australian Credit Licence 389328). Commissions are disclosed before you proceed. On complex deals a broker fee may apply, and we discuss it upfront.

Banks lend on their own single policy. Brokers compare 80+ Australian lenders to find a policy that matches your business profile, asset type, industry and timing. For specialist assets, used equipment, seasonal industries or non-standard structures, a broker often opens options that a single bank simply can't approve.

Rate is influenced by lender policy, your trading history, asset type and age, deposit amount, loan term and the structure you choose. Equifund compares the policy and pricing of 80+ Australian lenders to find the structure and lender best suited to your scenario. Your exact rate is confirmed in writing in your quote before you sign anything.