Cheaper equipment finance at better rates can add even greater value, productivity and profitability to major investments in the latest machinery and equipment. Upgrading older machinery to newer models has the potential to contribute significantly to improving overall output and production. Manufacturers focus heavily on delivering efficiency through cost and fuel savings as well as adding features to improved safety and operator comfort.
These savings and cost-effectiveness can be added to even further when the machinery is acquired with cheaper interest rate finance. We focus on some of the recent new machinery releases particularly in the agricultural sector that may have passed you by and update on the latest moves and changes in machinery finance.
New Case Tractors
In case you missed it, Case added two new Farmall tractors to its range back in June. These are the 65 horsepower model and the JXM55. The range launched in the Australian market in 2018 and the popularity it quickly acquired and the demand for models with lower horsepower led to the release of these new models into the Aust-NZ market. Seamus McCarthy from Case said these models would be ideal for its Australian customers and would suit a wide many applications in the farming sector.
An extensive range of new and updated features have been included:- a 3 cylinder, 2.9 litre turbo-charge engine; configuration for 4WD; mechanical or a hydraulic shuttle; choices in transmission; fuel capacity of 60 litres; suitability for work in dust-prone conditions with a new air filter; an environment for the operator which is ergonomically designed; and many other inclusions.
Finance for tractor purchases is available through Business Finance so contact us for a quick quote prior to discussing the model to suit your operation with your local Case dealer.
Komatsu Excavators
Komatsu recently launch new excavators – the iMC 2.0, which may represent benefits for your operation. The new range has numerous updates include with the angle of the bucket gold, antenna updates, auto tilt attachment and others.
Suitable for a wide range of applications, new excavators may meet the ATO criteria for temporary full expensing. Delivering operators greater efficiency and significant tax benefits as well. In order to take advantage of this tax measure, which is in effect through to 30 June 2023, consider Chattel Mortgage Machinery Finance.
Chattel Mortgage is a flexible and widely-used finance product which suits many types of operations that utilise the cash accounting method. It also attracts the lowest interest rate compared with other products, adding further value to the acquisition.
JD Launches New Harvester
Earlier this month John Deere launched a new harvester in conjunction with its 50 year anniversary. Making the launch and this machine particularly significant for the company. JD states that the SPFG (Self-Propelled Forage Harvester) 9500 model is an innovative model and designed to deliver Australian farmers with greater precision, more power and improved productivity.
In the launch statement, spokesperson Stephanie Gersekowski said this release was part of the redefined collection from the company for this harvester type. In addition to the 9500, a 9600 and 9700 are reintroduced to the market. New horsepower level and a new engine are key features.
The 8000 Series for model year 2023 has remained unchanged except for increased horsepower on the 8200 model as it has an engine upgrade. Ms Gersekowski says the 9500 along with the other two in the series offer greater power and throughout. They include HarvestMotion PLUS, a special feature to synchronise the speed of the engine with power need and crop flow.
Update on Machinery Finance
There has been a lot of activity in the lending sector over the past months as the RBA has embarked on a process of normalising monetary conditions with pandemic support in low rates no longer deemed necessary.
In simple terms, the RBA is increasing the cash rate to address soaring inflation rates in Australia. We’ve seen four consecutive rate hikes and Governor Lowe has strongly indicated that the additional increases will be needed. The Board will be closely watching the employment and inflation data when forming its decisions around how much and when further rate rises will be called.
For machinery finance, these rate hikes have flowed through our lending sector and resulted in rises in rates. This is happening across all markets. But variations in machinery finance rates are still clearly evident across the lenders that are active in this area.
Sourcing the cheapest available rates can be key to achieving a cost-effective machinery acquisition. We assist customers achieve this objective through our vast selection of lenders and our ability to secure better interest rates across the finance selection.
Rates displayed by lenders will be the lowest they can offer and will typically apply to businesses with a good credit rating and for the acquisition of new machinery. There are variations in interest rates across different industries and for second-hand machinery. Those interested in upgrading machinery are advised to contact for a no-obligation finance quote so they are prepared with the full picture and clear idea of finance repayments prior to committing to the purchase.
Contact Business Finance on 1300 000 033 for cheaper machinery finance.
DISCLAIMER: THE SPECIFIC PURPOSE IN PROVIDING THIS ARTICLE IS FOR GENERAL INFORMATION ONLY. IT IS NOT INTENDED AS THE SOLE SOURCE OF FINANCIAL INFORMATION ON WHICH TO MAKE BUSINESS FINANCE DECISIONS. BUSINESS OWNERS WHO REQUIRE ADVICE OR GUIDANCE AROUND THEIR SPECIFIC FINANCIAL CIRCUMSTANCES ARE RECOMMENDED TO CONSULT WITH AN ADVISOR OR ACCOUNTANT. NO LIABILITY IS ACCEPTED IN REGARD TO ANY MISREPRESENTATIONS OR ANY ERRORS RE ANY DATA, SPECIFICS, POLICIES AND OTHER INFORMATION AS SOURCED FROM OTHERS.
