Trailer Finance for Sole Traders in Australia
Most tradies, owner-drivers and small operators trade as sole traders. Here's how lenders look at a sole trader buying a trailer for the business.
You and your business are assessed together
As a sole trader, there's no separation between you and the business in the eyes of the lender. They'll look at your ABN and trading history and at your personal credit file, your other debts and your living costs. The trailer will usually be financed in your name with your ABN.
What lenders look for
- How long your ABN has been active. Many lenders prefer a couple of years, but some accept much newer ABNs, especially if you've worked in the same industry before.
- Whether you're registered for GST. Some lenders and products require it, and it matters for claiming GST on the purchase.
- Income evidence. Tax returns for full doc, or bank statements and BAS for low doc.
- Your credit file. Personal and business credit history both count.
- Property ownership. Owning a home, even with a mortgage, often widens the options.
Talk to a Specialist
Tell us about the trailer and we'll pass your enquiry to a broker who works with it regularly. Free, and enquiring doesn't affect your credit score.
Send an Enquiry →Low doc options
If your tax returns are behind, or don't show your current income, low doc finance may help. Instead of full financials, lenders accept recent bank statements, BAS or an accountant's letter, plus a declaration that you can afford the repayments. See low doc trailer finance.
New sole traders
If you've just started out, perhaps going from employee to contractor in the same trade, some lenders will consider your previous industry experience. A deposit, a newer trailer and a clean credit file all help. See finance for new ABNs.
Keep your business banking separate. A dedicated business account makes your income easy for a lender to see and makes your bookkeeping and BAS far simpler.
Structure and tax
Most sole traders finance a trailer on a chattel mortgage, which lets you own it and, if GST-registered, usually claim the GST upfront. Your accountant can advise whether that or a lease suits you better. See chattel mortgage vs finance lease.