The current commentary and predictions for the Australian economy may have business owners concerned about the future and seeking solutions. With the current level of economic uncertainty, business operators may look to business and equipment finance to ensure their operation is on a sure footing moving forward.
Uncertainty has arisen from changes and deterioration in the global economy and from domestic events. It seemed like only a short time ago there was a positive outlook being spruiked that the economy was recovering well following the lockdowns and other pandemic restrictions. But as inflation, both in Australia and internationally, has soared, that positive outlook appears to have altered.
The RBA Governor Philip Lowe has made note of the uncertainties around the global economy in a number of monthly monetary statements announcing cash rate decisions. Treasurer Jim Chalmers in recent statements has said Australia would not be spared the impacts of a global recession which he now rates as ‘probable’.
The Treasurer’s statements, ahead of the release of the October budget, have attracted a range of commentary. Some saying he is talking down the economy while others consider it is stating reality. During a visit to the USA, the Treasurer then said he was optimistic for the Australian economy. For operators trying to make business decisions based on the sound bites and news headlines, it can be challenging.
While individual businesses may at any time face their own specific difficulties, widespread impacts from ongoing labour shortages and supply chain disruptions and interest rate rises dampening consumer confidence to spend may have effect the outlook for quite a few operators in many sectors.
If the outlook is somewhat uncertain, amongst other possible ways forward, businesses may look to finance as a solution. Jade Equipment Finance assists businesses in a range of situations and with different requirements by providing an ‘umbrella’ approach to finance. Providing a comprehensive range of finance products and providing loans with the objective of sheltering a business from potential downturns and nurturing growth.
Umbrella of Finance Options
Being able to source a wide range of business finance options from the one broker-style lender can be extremely advantageous. Our trained and highly experienced consultants have the knowledge and expertise to develop structure finance solutions to address general and specific requirements.
While some lenders and sources of finance such as equipment dealer finance may offer only the one type of finance, we provide a comprehensive range of commercial loans and finance options.
Acquiring New Machinery to Boost Productivity and Income
While some finance solutions may be sort to reduce costs and outgoings, finance may also be sort to expand the business to increase income. Upgrading obsolete machinery or expanding fleet capacity can offer businesses the opportunity to take on more work, larger scale projects or move into new markets.
Our asset acquisition finance includes loan types to suit all types of equipment and business set-ups:-
- Chattel Mortgage or Equipment Loan
- Rent to Own or Equipment Rental
- Commercial Hire Purchase (CHP)
The cheapest interest rate quotes are sourced and loans individually negotiated and structured to meet the specific needs and preferences of the business. New businesses are catered for with our Low Doc and No Doc Equipment Finance options.
When current loan commitments are placing pressure on the business, refinancing may be a solution to ease that pressure and provide clearer air in the times ahead. Refinancing may not necessarily result in achieving a cheaper interest rate than the existing loan, depending when that loan was set-up, but achieving lower loan repayments through restructuring could be considered.
During the period of record low interest rates, refinancing presented an attractive possibility to secure a cheaper interest rate. But with the cash rate currently at a 9 year high it may be unreasonable to expect that refinancing would definitely deliver a cheaper rate.
But it could - where the current loans were acquired at higher rate than we are currently achieving; where the current loan was arranged as a Bad Credit Loan and the credit situation has resolved; and where changing to a loan product with a lower rate is sought.
Our consultants will discuss the objectives, work through the options and source cheap interest rates refinancing quotes.
Comprehensive Finance Support
Where the finance requirements are more general in natures, businesses may require solutions such as a Business Overdraft, Secured Business Loan or an Unsecured Business Loan. These are very flexible finance products which can be useful for a wide range of purposes.
Where a specific pain point is identified, solutions such as Debtor Finance or Insurance Premium Funding may be considered.
With so many solutions available with the one contact point, we can save business owners time and hassle and deliver commercial loans to ease any pressure and uncertainty presented by the current economic outlook.
For a comprehensive umbrella approach to business and equipment finance, contact Jade Equipment Finance on 1300 000 003
DISCLAIMER: IF MISINTERPRETATIONS, MISREPRESENTATION OR ERRORS EXIST IN THIS ARTICLE, NO LIABILITY IS ACCEPTED. THE INFORMATION IS PROVIDED ONLY FOR GENERAL PURPOSES AND NOT IN ANY MANNER INTENDED AS THE ONLY SOURCE FOR MAKING FINANCIAL DECISIONS. THOSE THAT CONSIDER THEY REQUIRE ADDITIONAL GUIDANCE OR ADVICE SHOULD REFER TO AN INDEPENDENT FINANCIAL ADVISOR.