As Volvo Trucks marks 50 years in Australia, cheap truck finance is available through Business Finance Australia on new models including the all-electric range. Starting its truck-building operations back in 1972 in Australia, Volvo Trucks has produced more than 70,000 vehicles badged with the proud Volvo and Mack brands since then. Most recently Volvo has posted impressive sales figures with a nearly 38% sales uptick in the September truck sales data. The result placed the brand in second position in the heavy duty sector.
With so many operators already selecting a Volvo as their workhorse of choice, it could be timely to take a closer look at the models currently available and the truck finance options available to make that purchase.
50 Year Celebrations
The five decade milestone was commemorated by the company at an
event which handed several trucks to significant customers. Representatives from the company’s local and international business operations were on hand to make the presentation. Per Erik Lindstrom, the company’s Senior VP International noted the important of Australia to the Group. Commenting that Volvo was in Australia to stay.
Martin Merrick, the CEO for Australian operations, noted the success and longevity that Volvo had demonstrated in what is considered a very tough market for the truck sector. Acknowledging its customers’ success in his speech.
Volvo manufactures at its facility at Wacol in Brisbane and builds both Mack and Volvo trucks. In 2025, the company is planning to start production of its battery electric operated models at the Wacol facility.
Current Range and Models
At its Wacol plant, Volvo Trucks Australia build the FM, FH and
FMX ranges. These models feature the Australian-made logo and are made to suit the demanding transport and trucking conditions which are encountered in both Australia and New Zealand.
A new
medium-duty, all-electric range has recently been added to the Volvo Trucks line-up. According to Volvo, the inclusion of these FE and FL vehicles was in response to demands from both customers and from society to work towards cutting CO2 emissions.
To be in a position to place a new Volvo truck order quickly, buyers are welcome to apply for pre-approved truck finance with Business Finance Australia. Pre-approved truck finance is available for all types of business operators and is offered across our loan portfolio.
The benefits can be significant to the business. By knowing exactly how much the truck finance is approved for allows operators to specify the vehicle to suit that amount. It also allows for forward planning and budgeting prior to actually committing to the purchase. Plus, it may speed up the timing to take delivery and get that new Volvo working in the business to deliver improved productivity and profitability.
Truck Finance for Volvo Models
When it comes to the finance, operators have a choice of a number of
loan products to make their purchase.
Truck finance includes:-
- Truck Leasing
- Truck Rental or Rent to Own
- Chattel Mortgage or Equipment Loan
- CHP – Commercial Hire Purchase
There are numerous variations across these finance products, much of which relate to aspects of accounting. As such, we advise business owners to discuss with their accountant which particular loan type will meet their business specs and deliver the most productive outcome.
Currently,
Chattel Mortgage Truck Finance is attracting the attention of astute operators because it is considered most suitable for utilising temporary full expensing. This is an accelerated asset depreciation tax measure first introduced as Instant Asset Write-off as a pandemic stimulus measure in April 2020.
In its current format, temporary full expensing is available for eligible acquisitions through to the end of June 2023. As it allows the purchase cost of the asset to be full tax deducted in the year it was purchased, it has attracted a lot of interest from many new truck buyers.
Chattel Mortgage also features the lowest interest rate across the selection of truck finance products. Speaking of interest rates, the
RBA said in the latest October monetary policy statement that further rate rises could be expected. That should be motivation for truck operators to move swiftly with their acquisitions with finance.
While RBA cash rate rises have been 0.25% and 0.5%, when applied by truck finance lenders, that can represent a significant amount in higher repayments. So getting in before more rate rises could be a big cost saver over the finance term.
For those that plan to purchase a new Volvo to start a new trucking business, we provide support through cost-effective No Doc and Low Doc Truck Finance. Our cheaper truck finance could be the factor that adds even greater value and productivity to your new Volvo.
For finance on new Volvo trucks contact Business Finance Australia on 1300 000 033
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.
