Farm equipment loans can be an ideal way to secure an amount of cash from a lender, which can then be put towards particular assets on agricultural land. Getting approval on a loan can be a challenge and that’s why you might want to talk to a friendly team like the advisors at brand – all of which could help you to secure a loan and enjoy the freedom to spend the cash on what you need.
But a common question that many farmers have relates to what the money can actually be spent on in the first place. Knowing what farm equipment and machinery financing & loans can help with can be very useful, especially if you want to get the most from your loan. Here’s a closer look at some of the most common things that you might want to buy with the aid of a lender.
Vehicles such as tractors, vans and harvesting machines
Some of the most common (and expensive) assets needed on a farm can have their costs covered with a loan – and these assets include vehicles like tractors, transport vans, trailers and machines that are typically used in harvesting. Regular cars can be pretty expensive, but larger vehicles used on farms and for agriculture can often cost several times more; making an equipment loan to cover these costs all the more appealing.
Fences, posts and boundary markers
Most farmers will want to mark their land as efficiently as possible; in fact, in many parts of Melbourne it’s required to ensure that any agricultural land is protected, whilst keeping the general public safe from machinery and animals. Small fences might not be hugely expensive, but as many farms will go on for acres; the costs can quickly mount up. With a loan, these expenses can be minimised initially, whilst allowing the farmer to repay what they owe over time.
Pens for animals
Animals can be a vital part of any farm – but they will also need to be controlled in most cases for their own safety, as well as the security of other animals and people around them. Larger animals can require larger pens and there are many instances whereby entire structures will need to be erected to properly house certain animals (such as horses, cows and bulls). With an affordable loan found with the help of a broker, the costs of your repayments could be minimised, without sacrificing on the amount that you can comfortably borrow.
Food and resources
Any farmer with livestock will understand the importance of food and resources to keep their facility afloat. Without food, animals can suffer and this is the last thing that a responsible farmer will want. With a flow of cash from a loan to cover these expenses, a farmer could ensure that their animals remain well-fed and fit for purpose, without having to worry about splashing out hundreds a month of their own money on food for livestock.