Business Vehicle Finance
Today’s Best Rate:
Car loan rates from
5.90% Fixed
With a low
6.33% Comparison*
Drive Your Business Forward with Tailored Business Vehicle Financing
At AAA Finance, we provide Business Vehicle Finance solutions to help business owners and self-employed individuals acquire the vehicles they need—quickly and affordably. Whether you require a single vehicle or a fleet, our expert brokers will find a loan solution that suits your cash flow and tax situation.
- Types of business vehicle finance
- What can you purchase using business vehicle finance?
- Advantages of business vehicle loans
- Business car loan calculator
- Apply for business vehicle finance
Who qualifies for business vehicle finance?
To be eligible for business vehicle loan, you must:
- Hold an ABN (Australian Business Number) – Business loans are only available to registered businesses, including sole traders, partnerships, trusts, companies, and large corporations.
- Use the vehicle primarily for business purposes – The vehicle must contribute to generating income for your business.
- Provide proof of income documentation – The required documentation varies depending on the type of business car finance you choose. See below for further details.
- Be an Australian citizen or permanent resident.
- Be at least 18 years old and hold a valid drivers license.
Types of business Vehicle Finance
Businesses have three main options for financing a car: No Doc Car Loan, Low Doc Car Loan, and Full Doc Car Loan. Each option falls under a chattel mortgage, where the vehicle (chattel) serves as security for the loan, which is repaid through regular monthly installments. The key difference between these loans is the amount and type of financial paperwork required by the lender.
1. No Doc Car Loan
A No Doc Car Loan requires minimal financial documentation. While businesses do not need to provide financial statements or tax returns, they must:
- Provide an estimate of their net turnover and gross profit
- Sign a declaration confirming their ability to repay the loan
This option is best suited for well-established businesses that have been operating for several years. Additionally, the business must be GST-registered, and the individual must own property to qualify.
2. Low Doc Car Loan
A Low Doc Car Loan requires some proof of income but does not need full financial statements. Acceptable documents include:
- Business Activity Statements (BAS)
- Profit and Loss Statements
- Bank Statements
- Accountant’s Letter confirming projected earnings
These documents help demonstrate revenue flow through the business and assure lenders that the borrower has the capacity to repay the loan.
3. Full Doc Car Loan
A Full Doc Car Loan requires the borrower to provide complete and up-to-date financial records. The necessary documents typically include:
- Financial statements for companies
- Personal tax returns and Notices of Assessment for sole traders
This option suits businesses that have been operating for a short time, are not GST-registered, or individuals who are not asset-backed.
What can you purchase using business vehicle finance?
Any vehicle used primarily for business purposes can be financed under your business ABN. According to the Australian Taxation Office (ATO), ‘primarily’ means more than 50% of the vehicle’s use must be for business-related activities.
Business-Related Vehicle Use Examples:
- Travel between job sites, client meetings, or to purchase business supplies.
- Transporting equipment and tools for tradespeople such as plumbers, builders, and electricians.
- Vehicles used for mobile services, including cleaners, bookkeepers, and personal trainers.
- Delivery and logistics vehicles such as vans and trucks.
Note: Travel from home to a regular workplace is generally not considered business use. However, home-based businesses can claim travel to client locations, suppliers, and essential business-related errands.
Types of Vehicles and Equipment Eligible for Finance
Business vehicle loans can cover a wide range of assets, including:
- Passenger vehicles – Cars and utes for business owners and employees
- Commercial vehicles – Vans, trucks, and delivery vehicles
- Heavy machinery – Earthmoving equipment, excavators, and loaders
- Factory and industry-specific equipment – Forklifts, cranes, and production machinery
Vehicle Accessories & Modifications
Essential business-related accessories and modifications can also be included in the finance amount. These may include:
- Ute canopies and tool drawers.
- Roof racks and tow bars.
- Safety modifications and custom fittings.
Advantages of business vehicle finance
- Tax deductions and GST Benefits. The GST portion of the purchase price, interest charged on the business car finance loan as well as the instant asset write off are all claimable tax deductions.
- Competitive interest rates. Business loans attract a more competitive interest rate than consumer loans.
- Fixed monthly repayments. Regular direct debit repayments commence at the beginning of the loan. As a result, you can set up your automatic loan repayments and get on with running your business.
- Balloon payment option. A balloon payment is a lump sum payment due at the end of the loan term. Hence there are lower monthly loan repayments for the term of the loan. When you incorporate a balloon payment in your loan you can free up much needed business cash flow.
- Loan terms from 1 to 7 years. The chosen term ensures repayments fit within your budget and suit your business needs. For example, the longer the term, the lower the loan repayments.
Calculate your Business Car Loan Repayment
Managing cash flow is essential for any business owner. Our business car finance calculator helps you determine whether a new vehicle purchase fits within your budget. Simply enter:
- Loan amount.
- Loan term (in years).
- Interest rate (varies based on your profile, credit history, and the type and age of the vehicle).
The calculator will instantly estimate your monthly repayments, giving you a clear picture of how the loan will impact your cash flow.
Apply for Business Vehicle Finance
The AAA Finance team brings a wealth of knowledge and experience, along with access to over 40 lenders. We have a lender to suit almost every business scenario.
We know what we are doing and we do it very well!
why Choose AAA Finance?
Access to Leading Lenders – We compare options to secure the best deal.
Fast Approvals – Get financing sorted quickly so you can focus on running your business.
Tax Benefits – Structure your loan to maximise deductions.
Flexible Repayment Options – Tailored to your business cash flow.
Make AAA Finance your first choice when it comes to your business car finance. Call 07 5493 1222 or make an online enquiry and one our finance experts will be in contact promptly.
FAQs
Useful Link
This ATO website link explains what motor vehicle tax deductions are claimable. https://www.ato.gov.au/Business/Income-and-deductions-for-business/Deductions/Deductions-for-motor-vehicle-expenses/
Disclaimer
* Your actual interest rate will be based on a number of factors, including the type and age of the asset you are seeking to purchase; the information you provide during your application and the term of the loan. This rate may be different from our lowest advertised rates. The Comparison Rate is calculated on a Secured Loan of $50,000 fixed for a term of 5 years, effective 08/04/2025 and subject to change. The Comparison Rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts may result in a different comparison rate.
