Working capital is often an essential part of any business, especially those that require large equipment and machinery in order to perform, increase revenue and potentially expand their business. With banks being typically hard to deal with, small business owners sometimes feel they have limited options for equipment funding. Even worse, they can put it in the too hard basket. This can potentially stall a good business from becoming an exceptional business.

Fortunately in Australia there are some really great asset finance brokers in the market that provide their support and knowledge to Australian business owners. Especially in key industries that require equipment finance the most.

Here is Yakka’s key industries that we feel can benefit from utilising truck, machinery & equipment finance:

Construction

Equipment investments differ by industry, with construction equipment definitely leading the way. As I write this we have major transport infrastructure currently in progress across Australia (graph below). These projects require lots of equipment especially excavators, truck & dogs, graders, rollers, loaders and much more to get the projects completed.

Construction equipment is in high demand from a lot of business owners we deal with and they needed it yesterday!

Thankfully, access to equipment finance has allowed many businesses to keep up with this demand and continue to move forward. It’s not always smart for businesses to spend hundreds of thousands of dollars of their business savings to buy the truck or machinery outright. It can stall a businesses cash flow and put unnecessary stress on their business operations. In construction, having the ability to finance the equipment is one of the best solutions available to them. It keeps costs down, productivity up & allows contracts to be serviced and/or secured.

Have a look at the Major Transport Infrastructure Projects currently in progress:

(Source: https://www.smh.com.au/business/the-economy/the-infrastructure-boom-cometh-20180205-p4yzey.html)

Aside from the transport infrastructure piece, other aspects of the construction industry can benefit from equipment finance. Whether it’s housing and development construction, site preparation and excavation, concrete and asphalt, bridge and tunnel construction, or commercial real estate development, equipment finance can benefit your project and boost your production.

Transportation

The transportation industry can include a variety of equipment needs, whether it’s trucking, airlines, bus lines, maritime, railways, taxi services, or courier delivery services. These businesses need to buy and maintain the vehicles needed to transport people and goods. Access to funding from a financial lender can help these businesses keep up with consumer demand, expand their businesses, and even improve and maintain their strong reputations among their customers and suppliers.

Woodworking

As technology improves so has the woodworking industry. In recent years the advancements in technology for precision measurement, cutting and fabrication have delivered great results for Australian businesses. Hand tools have been replaced with CNC (Computer Numerical Control) machines with computer software and interfaces.

When CNC machines are set up and used properly, woodworking businesses reap immediate dividends in efficiency and profit. When small wood working businesses use equipment financing for upgrades such as a CNC machine, they are investing not only in the present, but for their future growth and productivity.

Agriculture

As one of the most important pillars of our economy, the agriculture industry can absolutely benefit from receiving funding for much needed equipment. Regardless of the stage of your farming operation’s life cycle, an equipment loan can assist you in acquiring the machinery and equipment needed to run a farm. Farmers embracing certain types of equipment technology to improve their operations are really seeing the benefits. Equipment can range from tractors, to harvesters, to irrigation necessities, and more.

Energy

Energy companies that can benefit from funding can include those that supply power to homes and businesses and those that drill for oil, gas, and other sources of fuel. Their equipment needs could range from offshore drills to solar power installers. Whether these businesses are delivering energy or extracting fuel, they require working capital in order to stay ahead of their competition, protect the environment, and safely manage their operations with the latest technology.

Healthcare

Providing people with state-of-the art technology and medical equipment is essential within the healthcare industry. Doing this requires both innovation and a strong financial partner, such as an asset finance broker. Equipment loans are frequently provided to dentists, optometrists, hospitals, pharmaceutical facilities and emergency clinics. Whether you require an immediate boost within your diagnostic imaging equipment or a quick replacement of a surgical device, equipment finance provide assistance in the fastest way possible without a large capital outlay from business savings.

Recycling

It should come as no surprise that the recycling and waste management industry is expected to grow exponentially within the next 10 years, especially due to our surging population growth. Additionally, with Australian businesses becoming “greener” and more efficient, an investment in recycling and waste management equipment is a must nowadays. With these increased demands, your recycling business will require more equipment to keep up with production. Whether it’s garbage trucks, dumpsters, recycling devices or shredders, equipment finance will provide your business with the assets you need.

With businesses becoming “greener” and more efficient, an investment in recycling and waste management equipment is a must nowadays.

Receiving the right advice and financial support from a specialist asset finance broker in these specific industries has benefited a lot Australian business owners to date. A key part of Yakka’s value is wanting your business to succeed with the right equipment and funding solution at your disposal.

There’s a reason why we work with 30+ Banks/Lenders and hundreds of finance products. It allows us to go the extra distance and make every business know the feeling of a finance approval.

Business owners should no longer feel that there is a lack of financial resources available to them to purchase equipment required for their operations.

Would you like to have a chat about purchasing or replacing existing equipment in your business? Please give me a call on 0401214427 or email scott@yakkafinance.com.au