Farm Equipment Financing: Keeping farming profitable

Naturally, it can be tempting to try to get another season’s use out of tired equipment, but this can be a false economy. Older equipment will make you less productive, increase the risk of breakdowns – and mean safety issues that can lead to injury and liabilities.

Why traditional lending may not be the answer

New equipment, from tractors with full GPS positioning control to automated sprayers, can make a huge difference to your productivity.  But purchasing heavy equipment from your capital simply isn’t an option for most farmers and would leave you at a disadvantage if you need funds for an emergency. Traditional loan obligations could hang over you and put your business at risk if a crop failure means a budget shortfall.

Asset Finance

Most farmers find the solution in equipment financing and leasing. These Asset Finance solutions can be arranged around your budget, giving you the equipment you need and letting you spread the repayments.

Most agricultural equipment dealers will offer finance solutions, but getting funding from an independent finance provider can often mean getting the same equipment with big savings.

Funding may be available for:

• Tractors
• Trailers
• Harvesters
• Conveyors
• Grain carts
• Seeders
• Fertiliser sprayers
• Livestock feeders
• Milking equipment

Asset Refinance

It may be possible to arrange finance for existing equipment, allowing you to reduce outgoings on items currently under finance, or to raise funds for use elsewhere. Call us to discuss the possibilities of Asset Refinance for your agricultural business.

Hire Purchase or Leasing?

Both Hire Purchase and leasing can provide ways to finance the assets you need.

Hire Purchase

Hire Purchase is the simplest form of Asset Finance. With HP, you can pay for the equipment you want for the long term with fixed monthly repayments over up to 5 years, letting you manage your cash flow better.

Leasing

Leasing arrangements can be more appropriate for equipment that you may want to upgrade in a few years time, or which is very high cost.  With some leasing arrangements, you have the option to own your equipment outright at the end of the term, or simply return it and replace it with an updated model.

You can also decide whether you want maintenance and insurance to be included.

Asset finance for secondhand equipment

There are always opportunities to buy used agricultural equipment. Auctions, private sales and dealers can all offer bargains - but any equipment that can offer years of service can still command a high price, even if it is less than buying new. Asset finance can still provide a solution. Setting up HP or leasing for quality used equipment can mean reduced costs and can be simpler than you think.

Making existing payments easier

If you have an existing asset finance arrangement that means high repayments, or if you want to redirect cash elsewhere in your business, we may be able to help you refinance it. A new lender will pay off what you owe under your original agreement and set up a new finance arrangement.

This can cut repayments, spread them out over a longer term, or provide you with a cash lump sum as well as a new finance agreement.

Why you need Rangewell for Asset Finance

At Rangewell, we work across the entire lending industry, while our finance experts have personal experience in the needs of the agricultural sector.

We understand the financial circumstances you work under, and the additional challenges, like seasonal incomes streams, that you face.

We put this understanding to work for you. We know the lenders who share our understanding of farming and who can offer you the most competitive rates for the equipment and other assets you need, from a single tractor to an automated parlour and more.

Call us to get the equipment your farm needs

Coming to Rangewell means getting finance experts working to help you find you the most competitive funding for all your agricultural equipment needs. We have many funding solutions for the agriculture sector - from restructuring your farm to land purchase and finding the finance to diversify your farming business.

That means cutting the cost of building and running your farming operation, letting you increase efficiency and more into new revenue streams.

To be sure you are getting the right Asset Funding solution for your farming operation, talk to our business funding experts.