The old adage, “they want to know what I had for breakfast” is ringing true again.

The equipment finance sector has gone through a lot of changes over the years in terms of the way in which Banks/Financiers assess loan applications.

10 years ago, they all wanted a full credit submission, financial data supporting the recommendations, balance sheet analysis, clear Veda checks, etc, etc.

Then the introduction of mortgage brokers, the banks identified these guys are an easy channel to target to get more equipment deals – the problem is the mortgage brokers didn’t know how to prepare a credit submission. Enter the introduction of ‘tick & flick’, no financial loans.

This saw a dumbing down of product offering by the banks and increased competition for simple equipment deals.

Post Royal Commission and we are seeing a tightening of credit decisions and the withdrawal of these ‘vanilla’ or easy loan approval products.

What is required now is a full credit submission, arguing the case for the borrower and demonstrating that they have the ability to repay the loan, and what effect the new equipment will have on the business income.

This level of detail and engagement is nothing new, we have seen it all before. The good news for Transport Finance and our clients – we have the systems, templates and experience to be at the forefront in providing our lenders what they now require.

In fact, this is our ‘Bread & Butter’, it is what we are good at and I think it provides you the very best opportunity to continue to grow your business at this time.

You have one chance to get it right, so don’t put your business’ growth in the hands a of someone who doesn’t know how to represent your interests.

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