Our Guide to Leasing a Car for Business in Australia

Whether you’re a business owner or work within a small business, you may be interested in how to go about leasing a car for business use. This is something that has become increasingly popular in recent years – allowing workers and business owners to drive the cars they want at a lower cost.

At Positive Lending Solutions, we know how beneficial leasing a car can be for business owners and employees alike. We want to help you to get the car you need for your daily work, with the best interest rates and fees available on the market.

Find out how we can help you with a small business car lease.

The benefits of leasing a car for business

As well as potential tax benefits, there are many other advantages to leasing a car for business. This method means that you don’t need to put down a deposit – freeing up extra cash for other areas of your business. You’ll also have the option, when the car lease ends, to make changes to the lease by extending the term or trading in the vehicle for a newer model.

By leasing a car for business, you can potentially get access to the car that you need on a daily basis, at a low cost. Employers and employees can both benefit from a small business car lease.

What type of loan do you need when leasing a car for business

If you’re planning on using your car for business purposes at least half of the time, you might want to consider getting a chattel mortgage. With a chattel mortgage, businesses can purchase and take full ownership of a vehicle meaning you won’t simply be leasing it – you’ll eventually have the title of the vehicle handed over to you.

With a chattel mortgage, you’ll be able to claim the total GST on the vehicle in your first BAS statement after purchase – and you can also claim depreciation of the car in your tax.

If you’re a small business or a start-up without evidence of previous tax returns or unable to show proof of annual income, you’ll be looking for a low doc loan – speak to us today to find out how we can help you.

What do you need to be aware of when leasing a car for business?

You’ll want to make this decision carefully and choose the right vehicle for you – don't stretch yourself financially, even if it’s tempting to go for the very best car on the market.

Leasing a car for business is a great solution for many business owners and employees. You’ll need to remember though that you should set aside money for maintenance, repairs and any ongoing costs that your car incurs.

You should also be aware of whether there’s a mileage limitation on your leased vehicle. This is very common when leasing a car for business, and you may have to limit the amount that you use it for long-distance journeys.

Maintaining your vehicle when leasing a car for business

Always make sure that your vehicle is well maintained when you’re leasing a car for business. This is not only important for your general safety, but it’s important to keep your car roadworthy and respectable.

Keeping your vehicle well maintained will help to extend its life span and you’ll want to make sure that it’s regularly serviced and maintained. A well maintained leased car also helps to keep running costs low and increases efficiency.

What is the process for leasing a car for business?

If you want to lease a car for business in Australia, it’s really important that you speak to the experts. At Positive Lending Solutions, we have decades of experience working with people and businesses looking for the right car loan.

With a chattel mortgage, we’ll guide you through the steps of the leasing process. From finding a suitable lender who works with leasing cars for business, to helping you plan for paying back your loan in full and eventually having the title of the vehicle handed over to you.

Working with us can help you to save time, money, and a huge amount of stress by taking advantage of our years of experience and our expertise.

Find out how we can help you get a chattel mortgage that suits you.