Choice of funding terms between six and 12 monthly instalments.
Provides your business with maximum flexibility in financing your insurance premiums.
Spreads the cost of the annual premiums over the insurance term.
Enhances cash flow and preserves existing lines of credit, loans and over draft facilities.
The insurance policy is used as security on cancellable insurance up to $250,000.
No additional security required in most cases.
Competitive fixed rate, often charged at a rate lower than many alternative methods of financing.
Tax benefits on interest paid. See your tax adviser or accountant for advice.
Ability to consolidate different insurance premiums on the one finance contract, regardless of when they fall due.
Convenient and hassle-free as all payments can be managed by the one facility.
Can be structured to suite business cash flows.
Debtor finance or cash flow finance is a facility that enables a business owner or company to obtain up to 80% of their outstanding debtor amounts almost immediately, without having to wait for those debtors to pay as they normally would.
A debtor finance facility provides a great range of benefits to a company and can assist in growth, stock purchases, operating expenses or other commercial opportunities.
Cash flow is often a stumbling block for a growing business. Increases in demand for stock can result in larger order quantities, which in turn comes at a higher up front cost. The need to accommodate more staff or warehouse space may arrive before the proceeds of sale are received, placing stress upon your existing cash flow. The possibility of taking on more contracts may depend on a businesses ability to immediately fund additional equipment needs. Each of these scenarios can cause significant growing pains to an expanding business.
One of the real benefits of debtor finance is in providing the equity to fund growth, without the need of real estate to secure the finance.
The concept behind cash flow finance is quite simple. Receive 80% of the invoice amounts owed by your existing debtors almost immediately and only pay interest until the amounts are received from the debtor. Using a debtor finance facility can give you greater flexibility to grow, make confident commercial decisions and take your company to the next level.
Upon setup of the debtor finance facility, your debtors are profiled to ensure they continue to meet their obligations. To minimise the risk of a bad debtor when a business has already received the amount via debtor finance, a flexible insurance facility is available to give you additional peace of mind. Insurance policies can cover up to 90% of the debtor amount.
If you have a strong balance sheet and would like to find out more about debtor finance, please call us on 1300 884 145 or log on to www.mhf.com.au and lodge a quote request for us to get back to you.
Equipment finance applications are usually driven by the immediate need to obtain additional plant and equipment or machinery. While response times can be fast depending on the lenders workload, they are rarely immediate.
Traditionally, the pre-approval process has been associated with residential homebuyers. Pre-approvals can provide a level of comfort and confidence when purchases are searching for a new house, as a buyer will be clear about their financial position and how a lender will respond to a contract for purchase.
When negotiating with equipment suppliers, having a clear indication of your own financial position can aid in the bargaining process. Where a purchaser knows exactly what they have to spend and that the funds are readily available, the purchaser can negotiate terms that are more favourable to them including delivery dates, price and volume. Having a pre-approval in place puts you in the position of control.
Often a business owner or company may be asked to quote or respond to a tender that falls outside of the current operating capabilities of the business.
Perhaps the business requires more machinery or equipment in order to fulfil the requirements of a prospective contract. Having a pre-approval in place provides the certainty and confidence that you as a business owner will be able to obtain the new equipment prior to submitting a quote or tender response.
An existing pre-approval expedites the turnaround of obtaining new equipment or machinery. Where businesses rely on the traditional process of obtaining finance; that is, recognizing the need, contacting a financier, preparing financials, applying and documentation and then waiting for a response, times can be considerable before the equipment is actually ordered and in place. This process needs to be undertaken for each equipment item required at different times.
With a pre-approval, a running approval balance is in place and business owners can then simply order and receive the equipment in an efficient manner. One of the great benefits is that the complete application process is completed just once for the pre-approval amount.
At MHF (Materials Handling Finance) we completely understand the time involved in looking for a great finance rate and deal. We also understand that your time is valuable and is better spent working in your business. That's why at MHF we do the running-around for you.
What type of equipment finance do you need?
right for you . . .
At Materials Handling Finance Pty Ltd (MHF), we provide different kinds of equipment finance solutions.
Hire purchase – The finance company purchases the asset and you buy it from them in installments.
And remember, depending on the type of equipment finance you're after, monthly payments may be fully tax deductible.
So which finance option suits you best?
What is it? The Finance Company purchases the asset at your request and rent it to you for an agreed period. You source and own the asset and the Finance Company provides a loan secured by the asset. The Finance Company purchases the asset at your request and you buy it from them in instalments.
Who owns the asset? The Finance Company does and you rent it from them. You do and the Finance Company holds it as security. The Finance Company does until the agreement has been paid when ownership is transferred to you.
What is the potential tax benefit1? The rental payments are generally tax deductible1. The interest on the finance and depreciation of the asset are generally both tax deductible1. The interest on the finance and depreciation of the asset are generally both tax deductible1.
So now you know which sort of financing dynamic suits your requirements to get the capital for the equipment you need ASAP!
Call us on 1300 884 145 Nationwide or logon to mhf.com.au and lodge a quote request for us to get back to you.
We are here to help your every financing need.
MHF is a Brisbane based finance brokerage specialising in equipment, business, medical and marine finance. At MHF you will find a team of dedicated professionals who personally ensure that your individual requirements are paramount when recommending suitable finance facilities.
The team at MHF have had over 100 years collective business and finance experience and are leaders in the industry holding customer service and satisfaction as fundamental values.
Heavy machinery and equipment financing is allocated to a core division of MHF while the fields of medical and health industry financing are overseen by a separate specialist department.
MHF is a strong, stable, knowledgeable and experienced finance brokerage accustomed to working with financiers of varied size and capacity.
It is MHF's key mission to facilitate quick and easy finance arrangements from application to settlement.
There is sure to be an area we can help YOU!
Click a link below and email me at iogilvie@mhf.com.au and we will be in touch with a solution to help you grow.