Equipment Finance gives businesses opportunity to take advantage of the recent Instant Asset Write Off and the End Of Financial Year (EOFY) sales. It is an opportune time to get a great deal using car finance or equipment loans. The Government’s $150K instant asset write off incentive is resulting in businesses taking advantage of finance to purchase equipment and vehicles they previously thought unobtainable.
$150K Instant Asset Write off Scheme for Equipment
The Morrison Government recently extended the $150K instant asset write off until the end of this year 2020. The scheme is designed to help stimulate the Australian economy and improve the cashflow positioning of Australian business.
Pre Approval for End of Financial Year Sales
Equipment Finance experts from Will Finance are finding more businesses are not only taking advantage of the end of financial of year sales, and the instant asset write off but also pre approval finance. Pre approval is also often referred to in the bank industry as conditional approval or approval in principle. This enables customers to know repayment costs, fees and charges and gives them more negotiating power. Once you have decided what type of vehicle or equipment you require for your business, contact your finance broker and arrange pre approval. It is not imperative that you obtain pre approval but it will better position your business for cost effective transaction. With the declining personal customer service and limited products offered by individual banks, it can be frustrating trying to organise pre approval through your bank. A finance broker can save you time and make sure you get the most competitive deal on the market.
End of Financial Year Sales Assist with COVID-19 Recovery
With COVID-19 we have seen the biggest economic down turn in modern 21st century history. Leading economists are predicting car dealers will be one of the many industries to suffer. The car industry was already declining pre COVID-19.Researchers have reported new car sales have fallen by 7.8% in 2019.This decline along with added pressure for dealers to clear 2019 stock will give consumers negotiating power. There are also tax benefits to financing depreciating assets.The end of financial year sales is a prime opportunity to purchase equipment that could help your business recover from COVID-19.