Plant & Machinery Finance

Compare low-rate loans for manufacturing, construction or mining machinery and plant with Savvy.

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, updated on July 24th, 2024       

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Loans for heavy industry

Savvy helps businesses in manufacturing, mining and heavy industry finance mobile plant for construction, aviation and rail plant, energy industrial machinery, light industrial plant, commercial enterprise business machinery, and materials handling. We tailor loans and leases for all types of heavy machinery and plant, working with you to find a product that helps your business. We connect with more lenders to give you more opportunity to save.

Flexible and affordable plant finance

Whether you’re looking to buy new, refinance existing plant, or replace your old machinery or plant, Savvy has a range of commercial loan options, such as affordable and flexible chattel mortgages and commercial hire purchases. We also help your business find the best deals and lowest finance rates on commercial leases. Choose from a tailored lease solution such as finance leases or operating leases.

Plant & machinery finance

See how we can help you with your finance

Got a question about your plant & machinery finance?

Do you help find finance for new businesses?

Yes – we help businesses new and old find finance for their machinery or plant.

Can we get more than 100% finance?

Yes – chattel mortgages and hire purchases give business the option to finance more than 100% of the value of their machinery to finance insurance, training or other setup costs.

I want to lease my plant but have an option to buy, can I?

Yes – finance leases and operating leases can give you the option to buy your plant or machinery at the end of your loan term, provided you settle the residual value payment.

My business operates in a specialised industry, can we get machinery finance?

Yes – we help businesses in aviation, rail, mining, construction and any business that requires heavy machinery gain finance for their operation.

Can I claim back depreciation on tax?

Yes – your commercial finance options allow you to claim GST, depreciation and interest on heavy plant or machinery purchases or leases. In some cases, you can claim the fuel input tax credit.

Learn more about plant and machinery finance

Buying new vs. used heavy plant

Heavy plant and machinery can prove expensive, especially for a new business trying to establish itself. Buying new plant adds to these initial setup costs significantly. However, it does create a tangible asset that has high value. Depreciation will occur, but at a slower rate relative to an older machine or plant. Even so, older plant, if well maintained, can serve just as well as new plant.

How to keep your equipment current

Many industries have to keep their machinery and plant up-to-date, sometimes as often as every year. An operating lease is effectively a “rental” lease that allows a heavy industry business access to current equipment when the old equipment wears out. Accountants treat operating leases as operating costs instead of liabilities. Some lenders allow exchange programs without adding to costs.

Should you lease or buy?

A business must look at its priorities when it comes to machinery and plant financing. Leasing is often cost-effective if plant is required for the short term, such as a one-off project. It’s also cash-flow positive, as it doesn't require spending your own capital. If depreciation of your machinery is measured in decades and not months or years, buying is often a better option. You create a performing asset, and even loan the machinery to others for a fee.

Using machinery finance as a redraw facility

Machinery and plant are major purchases by most measures, sometimes costing in excess of seven or eight figures. Many lenders offer packages that act as a business overdraft or redraw facility to finance other machinery plant or industrial equipment. Some lenders charge fees for drawing on your loan. You should talk to a financial consultant to see if the benefits of redrawing outweigh the costs.

Your commercial finance options