The applicants are starting a new business venture
	The equipment they wish to finance is several years old
	The applicants have limited financial information or minor past credit issues
	The applicants may be trying to raise working capital against existing equipment

We will generally provide finance up to the realisable auction value of goods costing less than $50,000 where the applicant (a) owns residential property in their own right, (b) has been operating their existing business from the same address for at least 18 months, and (c) is able to demonstrate their business is trading profitably. We will also consider 100% finance for small advances against readily saleable goods on a case by case basis.

For applicants not meeting the above criteria we would normally lend to approximately 80% of the auction value of security offered, meaning borrowers are required to contribute a cash deposit towards the purchase price of the equipment, or provide us with a charge over other suitable unencumbered equipment.  We will also accept collateral security such as a 2nd mortgage over appropriate real estate.  Advances in excess of $100,000 usually require a charge over property.

We will only consider applicants who do not own residential property where they have material other assets and an established business.

expressfund is a product designed to make those small purchases of capital items a breeze. While banks are keen on larger amounts of finance (say $20,000 or more), smaller requirements can sometimes prove problematic. expressfund only require you to complete a simple one page application - all you need do is fax/email that to us - generally no supporting financials are required for amounts under $50,000.

Click here if you want to find out more about expressfund

Click here to see if you qualify or to download an application

Usually secured by first or second mortgage over real estate with terms of 6 months or more.  Residential, commercial,  industrial, rural and rural lifestyle properties considered. Leasehold properties such as some alpine properties and Queensland islands are also acceptable.

Limited financial information needs to be provided by applicants, although primary producers, persons borrowing for non-business purposes, and some applicants requiring maximum loan to value ratios may need to provide detailed evidence of historical income.

Interest rates vary from time to time and are dependent on our perception of the credit risk involved, but loans secured by first mortgages would normally be in the range of 9.25% to 10.5% while 2nd mortgages would usually attract 16.95% pa.

While the LVR we consider will depend on the quality of the borrower and security our maximum advances are:

	Metro residential property	80%
	Industrial	70%
	Rural	70%
	Commercial (Office & retail)	75%
	Rural lifestyle	75%

The above maximum loan to value ratios (LVR's) assume we hold the first mortgage on the property.  Where we do not hold the first mortgage (ie we hold only a second mortgage) the maximum LVR's are reduced by 10% from those shown.  With the maximum LVR's shown above we would normally finance the top 10% of the loan by way of a second mortgage - ie on a residential property for an 80% LVR we would advance 70% of value on a first mortgage and 10% on a second mortgage.

Properties must not be geographically remote from a major population centre, or contain specialised improvements that would limit their market in the event of resale.  We do not lend against the value of Development Approvals, growing crops (vines, orchards, timber plantations etc), or for commercial property development.

Establishment fee of 1% of the loan amount (minimum $500) plus legal and valuation costs.  Early termination penalty is usually 2 months interest.

Download and complete an Equipment Finance Application Form. This can be returned to us by facsimile (03 9818 0744), email info@afal.com.au or post to Australian Finance & Leasing Ltd, PO Box 3038, Auburn Vic 3123.  For most applications we do not need full financial disclosure, however where available applicants should include evidence of their income - ie most recent tax return, financial statements, group certificates or pay slips.  We will contact you for any additional supporting information required to assess your application.

We respond to most applications within 1 working day of receipt.