🚛 Can Sole Traders with Fluctuating Income Get Horse Float Finance?
Yes! If you’re a sole trader with irregular earnings, you can still qualify for horse float finance, but lenders may require proof of income stability over time. Since your earnings may vary month to month, lenders assess annual income trends rather than focusing on a single period.
To improve approval chances, lenders may ask for:
✔️ Bank statements showing consistent income over 6–12 months
✔️ BAS statements or tax returns for verification
✔️ A secured loan using the float as collateral
✔️ A deposit to lower borrowing risk
🏦 How Lenders Assess Sole Traders with Fluctuating Income
Lenders prioritize long-term financial stability over short-term income fluctuations. They look for consistent annual income rather than month-to-month variations.
| 🔑 Factor | Why It Matters | How It Affects Approval |
|---|---|---|
| 📑 Annual Income Trends | Proves ability to afford repayments | Higher yearly income improves approval chances |
| 💰 Bank Statements & BAS Reports | Verifies earnings over time | Lenders may request 6–12 months of statements |
| 🚛 Loan Security | Using the float as collateral lowers risk | Secured loans offer better rates |
| 📆 Deposit Amount | Reduces the loan size and lender risk | A 10-30% deposit increases approval chances |
| 📉 Guarantor Support | A co-signer takes responsibility for the loan | A strong guarantor boosts approval odds |
💡 Tip: If your income is seasonal or contract-based, applying when you’ve had a strong earning period may improve your loan approval chances.
📋 Best Finance Options for Sole Traders with Fluctuating Income
If your income is irregular, these finance options may work best:
| 🔑 Loan Type | How It Works | Best For |
|---|---|---|
| 🚛 Secured Horse Float Loan | Uses the float as collateral for lower rates | Sole traders with strong but fluctuating income |
| 💰 Low-Doc Loan | Requires minimal paperwork (bank statements, BAS) | Self-employed borrowers without full tax returns |
| 📆 Guarantor Loan | A co-signer improves approval odds | Borrowers with high-income fluctuations |
| 📉 Business Equipment Loan | Available for work-related float purchases | Business owners using the float for income-generating purposes |
💡 Tip: If you use the float for business, a chattel mortgage may allow tax deductions on interest and depreciation.
🏆 Pros & Cons of Horse Float Finance for Sole Traders with Fluctuating Income
✅ Pros:
✔️ Some lenders assess annual income rather than monthly fluctuations
✔️ Secured loans offer lower interest rates and better approval chances
✔️ A finance broker can help match you with flexible lenders
⚠️ Cons:
❌ Some lenders require higher deposits for borrowers with fluctuating income
❌ Approval may take longer due to extra financial documentation
❌ Interest rates may be higher for applicants with inconsistent income
💳 Why a Finance Broker Can Help Sole Traders Get Approved
A finance broker can:
✅ Find lenders that accept fluctuating income for finance approval
✅ Secure a loan with flexible repayment options
✅ Assist in applying with low-doc or secured finance options
🔑 Final Thoughts
If you’re a sole trader with fluctuating income, you can still qualify for horse float finance, but lenders may require proof of earnings over time, a deposit, or a guarantor to strengthen your application. A finance broker can help you find lenders who specialize in loans for self-employed borrowers with irregular income.
🚀 Sole trader with fluctuating income? Need horse float finance? Get expert advice today!
DISCLAIMER
The information provided on this website is general in nature only and has been prepared without considering your financial needs, circumstances and objectives and should NOT be construed as financial, taxation or legal advice. For more information, get in touch with our experienced partner brokers today.
