When you finance a business car, it may be tax deductible
Did you know that if you finance a vehicle for business purposes, the interest you pay on the loan is considered an expense and therefore can be tax deductible?
How can Citywide Lending help you?
No tricky negotiations
Citywide Lending can ensure that the loan you select is one which benefits the business. The importance of attaining an appropriate loan is often undermined by the overpowering importance of other expenses in your business. Liaise with one of our team members to assess your financial situation and ensure that your next vehicle purchase does not increase your expenses unnecessarily.
Making the right selection when buying a new car
Citywide Lending can drive you towards a secure financial decision. Understanding whether you want to purchase a new, near new or used car, the selected car loan must be relevant to the business. With multiple loan options to consider, such as chattel mortgages, fleet financing and unsecured loans, Citywide Lending can assist in the informed decision-making process of purchasing new wheels for your business.
Assessing your credit rating
Citywide Lending want you to enjoy the process of purchasing a new product, without the burden of stress throughout the process. In saying this, it is important to understand that borrowing capacities are circumstantial, and cary according to income, credit rating and ability to repay any loan. Citywide Lending assess your current financial status and steer you towards the most fitting car loan and purchase, including eligibility for tax deductions if applicable.
Things to consider before applying for a business car loan
Invest your time in investing
Know what’s important
Reasons to obtain a business car loan
Documentation is key
Invest your time in investing
For a business, everything is aimed towards minimising expenses and maximising profits. When considering purchasing a car for your business, you should consider investing a professional broker first. Why? Ensuring that you filter through the best business car loan option means that you can minimise any financial losses and also take advantage of tax deductions.
Citywide Lending want to filter the finest option for your purpose. In saying that, things to consider prior to car finance include:
- What type of car is it?
- Are you familiar with your credit score?
- Have you calculated your debt-to-income ratio?
- Have you set financial goals? If so, what are they?
- Do you understand the implications of a loan?
- Do you have any ongoing loans?
- Can you afford to make repayments?
Purchasing a car is no easy decision. Be prepared with Citywide Lending. Let us shelter you from the stress arboured by financial strain.
Know what’s important
Often always, applicants miscalculate the implications of loans and misunderstand the responsibility of one, especially car finance. Citywide Lending aims to ensure that you, the applicant, understand the associations of committing to a car loan.
Important factors for you to consider are:
- Upfront and ongoing costs
- Application fee
- Monthly fee
- Exit fees
- Comparison of loans including
- Rates
- Fees
- Tax-deductible interest
Citywide Lending appreciate that financing is detrimental to your future wealth status and want you to save money. Knowing the implications involved in financing can ensure that the decision being made is one with careful consideration and projected outcomes. Be smart, let us guide you.
Reasons to obtain a business car loan
There are a multitude of reasons as to why one would decide to finance a car. However, before deciding on the type of finance, you need to determine whether you want to purchase a new or used car.
Once you have established this, you can then provide reason as to why it is justifiable to finance your purchase.
Reasons can include:
- Your business can borrow any amount (pending on credit score and income) to purchase a car
- Your business can have a loan term of approximately 5-10 years which allow for ample time to pay the debt off
- Interest rates for business car loans are often reasonably lower
- Your business can pay it off in fortnightly/monthly repayments
- Your business can obtain the finance a lot faster than other types of loans
- The application process is simple, fast and efficient
- Your business has the option of a secured or unsecured loan
- Your business can be eligible for tax deductible interest
Pick it, finance it and own it. Citywide Lending are ready to put you in first gear.
Documentation is key
Documentation is extremely important regarding transparency of the application from the applicant. As regulated by the Australian Prudential Regulation Authority, particular rules and regulations are in place regarding each type of application when gathering data, and are thoroughly examined to ensure that you make the perfect candidate for a loan. When preparing to gather documentation for a car loan, look to gather information regarding:
- Company
- Company details
- GST registration
- Bank Statements
- Tax portals
- Assets + liability statements
For a business, everything is aimed towards minimising expenses and maximising profits. When considering purchasing a car for your business, you should consider investing a professional broker first. Why? Ensuring that you filter through the best business car loan option means that you can minimise any financial losses and also take advantage of tax deductions.
Citywide Lending want to filter the finest option for your purpose. In saying that, things to consider prior to car finance include:
- What type of car is it?
- Are you familiar with your credit score?
- Have you calculated your debt-to-income ratio?
- Have you set financial goals? If so, what are they?
- Do you understand the implications of a loan?
- Do you have any ongoing loans?
- Can you afford to make repayments?
Purchasing a car is no easy decision. Be prepared with Citywide Lending. Let us shelter you from the stress arboured by financial strain.
Often always, applicants miscalculate the implications of loans and misunderstand the responsibility of one, especially car finance. Citywide Lending aims to ensure that you, the applicant, understand the associations of committing to a car loan.
Important factors for you to consider are:
- Upfront and ongoing costs
- Application fee
- Monthly fee
- Exit fees
- Comparison of loans including
- Rates
- Fees
- Tax-deductible interest
Citywide Lending appreciate that financing is detrimental to your future wealth status and want you to save money. Knowing the implications involved in financing can ensure that the decision being made is one with careful consideration and projected outcomes. Be smart, let us guide you.
There are a multitude of reasons as to why one would decide to finance a car. However, before deciding on the type of finance, you need to determine whether you want to purchase a new or used car.
Once you have established this, you can then provide reason as to why it is justifiable to finance your purchase.
Reasons can include:
- Your business can borrow any amount (pending on credit score and income) to purchase a car
- Your business can have a loan term of approximately 5-10 years which allow for ample time to pay the debt off
- Interest rates for business car loans are often reasonably lower
- Your business can pay it off in fortnightly/monthly repayments
- Your business can obtain the finance a lot faster than other types of loans
- The application process is simple, fast and efficient
- Your business has the option of a secured or unsecured loan
- Your business can be eligible for tax deductible interest
Pick it, finance it and own it. Citywide Lending are ready to put you in first gear.
Documentation is extremely important regarding transparency of the application from the applicant. As regulated by the Australian Prudential Regulation Authority, particular rules and regulations are in place regarding each type of application when gathering data, and are thoroughly examined to ensure that you make the perfect candidate for a loan. When preparing to gather documentation for a car loan, look to gather information regarding:
- Company
- Company details
- GST registration
- Bank Statements
- Tax portals
- Assets + liability statements