For many established businesses, commercial vehicle finance looks straightforward until the funding needs extend beyond the vehicle itself.
Fit-out costs, higher Loan-to-Value Ratio, deposit requirements and ownership structures can quickly make a simple application more complex.
This deal shows how the right lender and finance structure helped an electrical business secure a fully fitted work van without a deposit or full financials.
01 – CLIENT SCENARIO
An established electrical services business approached us looking to finance a new work van. At first glance, it appeared to be a straightforward commercial vehicle finance request.
The client had been trading successfully for 11 years, with a solid track record in the trade and established operations. The van was priced at $55,000. However, the vehicle alone was not enough to make it ready for daily electrical work. A further $12,000 in accessories and fit-out was required, bringing the total funding requirement to $67,000 under one facility.
On paper, the business itself was strong: an experienced operator, a well-understood asset and a clear commercial purpose. The complexity came from the way the deal needed to be structured. Funding the vehicle and fit-out together meant the facility would sit at approximately 130% LVR, with no deposit.
The property relevant to the application was also held in the client’s spouse’s name rather than the client’s own.
DEAL SNAPSHOT
| Loan Type | Commercial vehicle Finance |
| Asset | Work van + fit-out accessories |
| Industry | Electrical Services |
| Business Stage | Established (11 years trading) |
| Key Challenge | 130% LVR, no deposit, property held in spouse’s name |
| Solution | Low doc pathway with a major bank, no financials required |
| Approval Time | Fast-tracked |
| Outcome | Finalised without delay |
02 – THE CHALLENGE
Despite the client’s strong trading history, several factors pushed the application outside a standard lending structure:
- The total funding requirement, including accessories, put the deal at 130% of the van’s value
- The client wanted to proceed with no deposit
- The relevant property was held in the spouse’s name, rather than directly by the applicant
- The client preferred a low doc finance pathway without supplying full financial statements
Each of these factors narrowed the lender options. The 130% LVR was particularly important. Many lenders may be comfortable financing a commercial vehicle, but funding materially above the underlying vehicle value requires a different credit appetite.
The accessories also needed to be considered as part of the overall transaction, not treated as an afterthought. Combined with the property ownership position and the request for no financials, this was not a deal to send broadly and hope for an approval. It required identifying a lender whose policy genuinely matched the client’s circumstances.
03 – THE APPROACH
A conventional full-doc application built around financial statements and a standard LVR cap was never going to be the cleanest fit. Instead, we focused the application on the strengths that mattered most to a lender assessing the complete business profile.
A full-doc application with standard financials and LVR limits wasn’t really the best fit for this deal. So instead of forcing it into a standard lending box, we focused on the parts of the application that gave the lender confidence:
- 11 years of continuous trading in the electrical industry
- A clear, income-producing purpose for the van and the fit-out
- An established operator profile suitable for a low doc pathway
- A lender with the appetite to consider the transaction at 130% LVR
- A structure that could accommodate the property being held in the spouse’s name
Here, the goal wasn’t just to find a lender willing to finance the van. We needed one that was comfortable looking at the whole deal. the $55,000 vehicle plus the $12,000 fit-out needed to get it ready for work.
Instead of making the client pay for the accessories separately or setting up another facility, we bundled everything into one $67,000 finance facility. It kept things simple for the client and gave the lender a clear view of how the full funding would support the business.
What Many Applicants Get Wrong
Business owners often assume that anything above 100% LVR, a no-deposit request or property held in a spouse’s name will automatically rule out a low doc outcome.
In reality, commercial finance outcomes depend heavily on the lender, the asset, the business profile and the way the transaction is structured. With 11 years of trading history behind this client, the better question was not simply whether 130% LVR could be funded.
It was which lender was best positioned to assess the full strength of the application.
04 – THE OUTCOME
The full $67,000 facility was approved and settled with a major bank at 130% LVR through a low doc pathway. The client didn’t need to provide full financials and no deposit was required even though the property was held in the spouse’s name.
We also secured a competitive interest rate, so it wasn’t just about getting the deal approved. The structure also needed to make sense for the business.
The client was able to get a fully fitted-out work van under one facility without using their cash for a deposit or paying the $12,000 fit-out separately. They also avoided the extra paperwork that usually comes with a full-doc application.
In the end, the finance was structured around what the business actually needed, rather than trying to make the deal fit a standard lending setup.
What This Means for Businesses
This deal shows why commercial vehicle finance is about more than just finding the lowest interest rate. The way the deal is structured and the lender you choose can make a big difference.
For more complex vehicle or equipment finance applications, lenders will usually look at things like:
How long the business has been trading
The client’s experience in the industry
How the vehicle or equipment will be used in the business
Whether fit-out or accessory costs can be included in the same facility
The total finance amount compared with the asset value
Whether the client is eligible for a low doc pathway
How any relevant property is owned
Which lender’s policy best fits the deal
For many businesses, buying a work van, commercial vehicle or equipment involves more than just the purchase price. Fit-outs, accessories and other setup costs can quickly add to the total amount needed.
Depending on the lender and the structure, those extra costs may be able to be included in the same finance facility rather than being paid upfront from business cash flow.
The same goes for deals involving no deposit, low doc finance or funding above the asset’s value. These situations can be more complex, but they are not always a straight no. It really comes down to the business profile, the lender and how the application is structured.
If your business needs a commercial vehicle with a fit-out, has a less straightforward property setup or prefers a low doc option, it is worth looking at the available finance options before assuming the deal will not work.
Sometimes a standard lender policy may not fit the deal, but a different structure or lender may.
That is where an experienced business finance broker can help match the application with the right lending option.
Xpress Finance has settled more than $300M in commercial finance and works with 50+ lenders to help businesses find practical finance solutions.
Speak with our team today to discuss what options may be available for your business.
Frequently Asked Questions
Can businesses get commercial vehicle finance with no deposit?
Yes. Some businesses may qualify for commercial vehicle finance with no deposit, depending on their trading history, credit profile, asset type and the lender’s policy. Established businesses with a strong operating history may have more options available.
Can businesses access low doc commercial vehicle finance without full financial statements?
Yes. Eligible businesses may be able to access low doc commercial vehicle finance without providing full financial statements. Lenders may instead assess factors such as trading history, ABN status, asset type and other supporting business information.
What is the most common mistake businesses should avoid when applying for commercial vehicle finance?
One common mistake is committing to a vehicle purchase before finance is confirmed. Getting pre-approval through a broker early can help the business understand its borrowing capacity, lender options and likely finance structure before signing.