Funding equipment in Australia
We continue to see a growing trend of New Zealand businesses looking to purchase used or new equipment from the Australian market. This increasing demand is being driven by a strengthening NZ dollar and a high supply of second hand assets becoming surplus to requirements as the Australian market contracts.
The digital economy is making it much easier to research and purchase equipment from outside our local regions. It is important to undertake full due diligence to ensure you allow for all the costs associated with an offshore purchase. These costs can include transportation, insurance, FX trading costs and meeting different regulatory requirements. Prudent buyers are also assessing access to domestic post sales service and redress from the seller, should issues develop post sale.
If you are contemplating purchasing equipment from Australia, Finance New Zealand has a range of options to facilitate funding of the imported equipment. We are able to work with one of our funding partners to draw down a NZD loan agreement, which will pay out an Australian based supplier in AUD before the goods leave the supplier’s premises. This means our clients benefit from being able to shop as if they are a domestic purchaser. Other mechanisms of international trade, such as payment on letter of credit or payment on Bill of Lading can also be facilitated.
If you would like to learn more about funding equipment in Australia please contact your local Finance New Zealand business partner.