Key highlights
- EVs are financed like other vehicles, usually via chattel mortgage
- Charging equipment can sometimes be included in the loan
- Some EVs attract tax concessions — confirm with your accountant
- Compare 80+ lenders in one application for new or used EVs
An electric vehicle used for business is financed much like any car or ute, usually through a chattel mortgage on your ABN, secured against the vehicle and repaid over a chosen term. You may claim the business-use portion at tax time, and some EVs attract specific concessions worth discussing with your accountant. Overdrive compares more than 80 banks and non-bank lenders on one application, helping businesses finance a new or used EV, and sometimes the charging setup, on competitive terms.
How EV finance works for business
Financing an electric vehicle for your business follows the same path as a petrol or diesel model. A chattel mortgage is the common structure: the lender advances the purchase price and holds the EV as security until the loan is repaid, and you own it throughout. That usually allows a claim for interest and depreciation on the business-use portion, though passenger vehicles can carry a depreciation cost limit — confirm with your accountant. Terms typically run one to seven years, with balloon options available. Lenders assess EVs on value, age and resale much as they do other vehicles, and are increasingly comfortable financing them.
Charging and running-cost considerations
Beyond the vehicle, you may need a home or depot charger and installation. Some lenders can include reasonable charging equipment in the loan when it forms part of the purchase, saving you separate finance. Lower running and servicing costs can also improve the overall economics of an EV for a business that travels regularly. When comparing options, weigh the purchase price and finance cost against expected fuel and maintenance savings over the term you plan to keep the vehicle.
Tax treatment and concessions
Electric vehicles can attract specific tax treatment, and some may qualify for fringe benefits concessions or other measures depending on the vehicle and how it is used. These rules change and are specific to your circumstances, so it is important to check with your accountant before assuming any saving. The finance structure you choose can also affect how the EV appears on your books, which is another reason to plan the purchase with professional advice.
Getting a competitive rate
EV finance starts from around 6.55% p.a. for strong, asset-backed deals, with lower-doc, older or cheaper vehicles and weaker credit priced higher — indicative and subject to lender assessment. Because the EV market moves quickly, resale expectations can influence pricing and balloon options. Comparing many lenders at once helps you find one comfortable with your chosen model and secure a rate, term and structure that suit your business.
Considering an electric vehicle for your business? Get a free quote and let Overdrive compare 80+ lenders to find EV finance that fits your model, charging needs and cash flow.
Frequently Asked Questions
Can I finance an electric vehicle through my business?
Yes. Where an EV is used for business, you can generally finance it on your ABN with a chattel mortgage or similar structure, the same as a petrol or diesel vehicle. Lenders assess the vehicle's value, age and resale along with your credit and trading history when deciding approval and pricing.
Can I include a charger in the loan?
Sometimes, yes. Certain lenders can fund reasonable charging equipment and installation when it forms part of the purchase and the total is supported by the deal. Availability varies, so a broker can identify lenders comfortable including a charger. Otherwise the charger can be arranged separately alongside the vehicle finance.
Are there tax benefits to financing an EV?
There can be. Some electric vehicles attract concessions such as fringe benefits measures, and you may claim the business-use portion of interest and depreciation, subject to any cost limits. These rules change and depend on your circumstances, so confirm what applies with your accountant before relying on any benefit.
Can I finance a used electric vehicle?
Yes. Used EVs are increasingly financed as the market matures. Lenders assess age, kilometres, battery condition and resale value, and older models may attract higher rates or shorter terms. Both dealer and private-sale purchases can generally be arranged through a broker comparing several lenders at once.
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