Conveyor Finance: Rates & How It Works

Key highlights

• Fund radial stackers, belt lines and mobile conveyors without tying up cash
• Chattel mortgage suits ownership; rental suits fast-moving or seasonal operations
• Indicative rates from around 6.55% p.a., subject to assessment and profile
• Fixed repayments make throughput projects easy to budget
• One application compares 80+ lenders and protects your credit file

How does conveyor finance work?

A lender advances the cost of the conveyor system and you repay over an agreed term, usually one to five years, with the equipment as security. The go-to structure is a chattel mortgage: you own the conveyor from settlement while the lender holds a registered interest until the loan clears. Repayments are typically fixed, so a throughput upgrade becomes a predictable line item rather than a lump-sum shock to cash flow. For larger or bespoke installations, the finance can sometimes cover freight, installation and commissioning alongside the base equipment, subject to the lender. Because a conveyor directly lifts productivity, the repayment is often more than covered by the extra volume or labour saving it delivers, subject to lender criteria and your circumstances.

What do lenders assess on a conveyor deal?

Lenders look at the asset, your business and the structure together. A conveyor from a recognised manufacturer with good resale demand is stronger security than a one-off custom rig, which can influence the term and advance. On your side, time trading under the ABN, GST registration, existing commitments and credit conduct all feed the servicing assessment. The deal itself, the amount, term, deposit and any trade-in, completes the picture. Fixed installations are sometimes viewed a little differently from mobile units because they are harder to recover, so a mobile radial stacker may be treated more like standard plant. A broker can present your file to the lenders most comfortable with the specific type of conveyor you are buying.

What rates and terms apply to conveyors?

Indicative rates start from around 6.55% p.a. for strong applications, though the actual figure depends on the equipment's age and type, the loan size, your trading history and any security offered. New, mainstream equipment on a well-supported deal generally attracts sharper pricing than an older or highly customised system. Terms usually run three to five years, aligned to the conveyor's working life and the payback period of the throughput it enables. Any number quoted before a full assessment is indicative only and subject to credit approval. Rather than accepting the first rate offered, comparing a panel lets you see where your particular deal and profile are priced most keenly.

Chattel mortgage or rental for a conveyor?

A chattel mortgage suits operators who want to own the conveyor outright and keep it on the balance sheet, and it works well with a residual to ease monthly cash flow. A rental or operating lease can suit businesses that expect to upgrade as volumes grow, want to preserve capital, or prefer to treat the payment as an operating expense. If your throughput is seasonal, some lenders will shape repayments to your busy periods, subject to approval. The best fit depends on how long you will run the system, your tax position and whether ownership or flexibility matters more. Because the structure affects the tax treatment of repayments and any depreciation, confirm the specifics with your accountant.

What paperwork do you need to apply?

For smaller conveyor purchases, established ABNs can often use a low-doc approval needing little beyond your ABN, GST status, licence and the supplier quote. As the amount rises, or for a bespoke installation, lenders generally ask for recent bank statements, financials or BAS to confirm servicing capacity, plus a detailed quote itemising equipment, freight and installation. For a used or private-sale conveyor, expect requests for photos, serial numbers and possibly a valuation. Having a clear, itemised quote and your business figures ready removes delays. A broker will confirm exactly which documentation lane your deal fits before you apply, so you gather the right paperwork once and keep the approval moving.

Why compare 80+ lenders for conveyor finance?

Conveyors range from off-the-shelf mobile stackers to fully engineered plant lines, and lender appetite varies just as widely. Some lenders love standard, easily resold equipment; others are comfortable with fixed installations or custom builds. A single bank applies one policy to your deal, which may or may not suit the specific system you are buying. Overdrive Machinery Finance submits one application across 80+ banks and non-bank lenders and matches your conveyor to those most likely to approve on favourable terms. That means fewer forms, fewer credit enquiries on your file, and often a better structure than you would find approaching one lender alone. Simon runs the process so you can keep the operation moving.

If a new or upgraded conveyor is on the cards, it is worth knowing your finance options before you order. Overdrive Machinery Finance offers an obligation-free quote with a soft credit check only, so exploring will not mark your credit file. Simon Kendrick compares 80+ banks and non-bank lenders on one application to find the structure and indicative pricing that suit your operation, with decisions in 24 to 48 hours for eligible applicants with a complete file. Get in touch today and get your conveyor earning sooner, with the confidence that the finance behind it has been matched to how your business actually runs.