Agricultural & Farming Equipment Finance

Who we help

• Broadacre and grain growers: upgrading tractors, air seeders, headers and sprayers
• Graziers and livestock producers: financing feed-out wagons, side-by-sides, hay gear and yards
• Horticulture and orchard operations: buying compact tractors, sprayers and irrigation
• Contractors: doing harvest, hay, spraying or seeding work for other farms
• Hobby farms run as a business: on an ABN with real farm income
• Buyers at clearing sales and private sales: not just from a dealer

What farmers commonly finance

Tractors of every size, combine and forage harvesters, seeders and air drills, boom sprayers and spreaders, hay balers and rakes, slashers and mulchers, grain carts and augers, silos, irrigation pumps and pivots, and ATVs and side-by-sides. New gear from a dealer is the simplest to finance. Used machinery from a dealer, private seller or clearing sale is common in farming, and lenders will usually want a clear description, photos or an inspection, and a PPSR check to make sure nothing is owing on it.

Mainstream tractors and harvesters tend to resell well, so lenders are comfortable with them. Highly specialised or older equipment may need a deposit or a shorter term.

Matching repayments to a seasonal income

Farm income often arrives in lumps: after harvest, at the sale yards or when a crop contract pays out. Lenders that work with agriculture understand this, and some offer seasonal or structured repayments, where you pay more in the months cash comes in and less (or nothing) in the lean months. Options to discuss with a broker:

• Monthly, quarterly, half-yearly or annual repayments
• A repayment holiday over the off-season, if the lender allows it
• A balloon at the end to keep regular repayments down. You still pay interest on it and must pay it out or refinance at the end.

Lenders will look at more than one year of results where they can, because a single drought or poor season can distort the picture. Your accountant's figures, BAS history and any contracts or forward sales all help.

Structures and tax

A chattel mortgage is common: the farm business owns the machine, may claim the GST credit upfront if GST-registered, and can generally claim interest and depreciation. A finance lease or hire purchase may suit some operations. Small businesses with turnover under $10 million can generally use the $20,000 instant asset write-off for eligible assets costing less than $20,000 each. Your accountant can confirm what applies to your farm.

How it works

1. Tell us about the equipment and your operation in the short form below.
2. A licensed broker calls you, usually within one business day, to talk through your options.
3. If it suits you, they handle the application with a lender that fits your circumstances.

What you'll usually need

• ABN, with how long it's been registered and your GST registration status
• BAS and bank statements, plus tax returns and financials if you're going full doc (two years can help show seasonal patterns)
• A dealer quote or invoice, or the private seller or clearing sale details
• Equipment details: make, model, year, hours and serial number
• Details of existing farm debt and equipment finance

Every lender has its own criteria, so your broker will tell you exactly what's needed for your situation.

Farm and seasonal business guides

• Low doc loans for agricultural businesses
• How low doc loans work for seasonal businesses
• Using an accountant's letter for low doc equipment loans
• How GST affects finance for businesses
• What is a chattel mortgage and how does it work?
• Equipment finance hub

Common questions

Can repayments line up with harvest?

Some lenders offer seasonal or structured repayments that match when your income comes in. Not every lender does this, so it's worth raising with your broker at the start.

Can I finance equipment bought at a clearing sale?

Often, yes. Lenders will usually want details of the item, the sale terms and confirmation nothing is owing on it. Talk to a broker before sale day so you know what's needed.

We had a poor season last year. Will that stop us getting finance?

Not necessarily. Lenders that work with farms are used to variable years and may look at several years of results, your equity and your outlook for the coming season.

Can I finance a side-by-side or ATV for the farm?

Usually, yes, as business equipment if it's used in the farm business. It's often a smaller, simpler application than larger machinery.

Does enquiring affect my credit score?

No. Filling in our enquiry form isn't a credit application. A credit check only happens if you choose to go ahead with an application through the broker.