Loan library · Secured or unsecured

Business vehicle funding: utes, vans and trucks

Business vehicle funding is a business loan used to buy the utes, vans, trucks and trailers your business runs on. Through Loanster you can borrow against New Zealand property you own (from $20,000 up to $1m) or unsecured on your turnover, and buy new or used from a dealer, privately or at auction.

In most New Zealand trades and service businesses, the vehicle is the business. The ute carries the gear, the van is the mobile workshop, the truck is how the product gets from Hamilton to Tauranga. When one dies or the business outgrows it, replacing it quickly matters.

What we can help fund

  • Utes — single and double cab, tray-backs, canopies and fit-outs.
  • Vans — tradie vans with racking, refrigerated vans, courier vans.
  • Trucks — light trucks, tippers, curtain-siders, and heavy vehicles for transport operators.
  • Trailers — plant trailers, car transporters, horse floats for equine businesses.
  • Specialist vehicles — food trucks, tow trucks, mobile workshops.

Why use a business loan instead of dealer finance?

Dealer-arranged finance is convenient, but it ties you to that dealer and that vehicle. A business loan arranged first gives you:

  • Freedom to buy anywhere — dealer, private sale or an auction house.
  • New or used — including older, well-maintained vehicles that a finance company might not lend against.
  • Negotiating power — you’re effectively a cash buyer.
  • Fit-outs included — racking, canopy, signage and towbar can sit in the same loan.

Two funding routes

Property-secured. Borrow from $20,000 up to $1m against NZ property you or a supporting party already own, as a first or second mortgage. No financials or tax returns for the initial assessment; bad credit, defaults and arrears considered case by case; funding possible within 24 hours of approval in some cases. Good for fleet purchases or when you need a bigger budget.

Unsecured. For businesses usually trading six months or more, assessed on turnover and bank statements. Weaker credit is considered and decisions are sometimes same day. Good for a single replacement ute or van.

Tax points for work vehicles

A few New Zealand-specific things to raise with your accountant before you buy:

  • GST. If you’re GST-registered and buy from a GST-registered seller, you can usually claim back the GST portion (3/23 of the GST-inclusive price) in proportion to business use.
  • Depreciation. Vehicles are depreciated at IRD’s rates for the vehicle type.
  • Investment Boost. Qualifying new assets — including vehicles that are new, or new to New Zealand such as used imports — first available for use on or after 22 May 2025 can attract a 20% up-front deduction. Second-hand vehicles already used in New Zealand don’t qualify.
  • FBT. If staff take vehicles home, fringe benefit tax may apply unless the vehicle meets the work-related vehicle rules.
  • Road user charges. Diesel vehicles, and since April 2024 electric vehicles, pay RUC by distance — factor it into running costs.

See depreciation and buying before 31 March for timing ideas.

Buying used? Check the PPSR first

A used vehicle can have money owing on it. If the seller’s lender has registered a security interest on the Personal Property Securities Register and isn’t paid out, the vehicle could be repossessed even after you’ve bought it. A PPSR search costs little and takes minutes — our PPSR guide shows you how.

Working out what you can afford

Before settling on a vehicle, work backwards from the job:

  1. What extra revenue will it generate, or what cost will it remove (hire, sub-contracting, breakdowns)?
  2. What will it cost to run each month — fuel or charging, RUC, insurance, servicing, tyres?
  3. What repayment is comfortable in your quietest month, not your best?

If the vehicle pays for itself in the quiet month, it’s usually a sound purchase.

Get moving

Send a 60-second enquiry with the vehicle type, rough price and whether there’s property involved. It won’t affect your credit score. A lending specialist calls back to talk through the best route for your situation.

Business vehicle funding: common questions

Can I fund a ute from a private seller?

Yes. Because the funding is a business loan rather than a dealer-arranged product, you can buy from a dealer, privately or at auction — and new or used.

Can I use this to buy a personal car?

No. Loanster only helps with business-purpose lending. The vehicle must be used for the business.

Do I need a deposit?

Not necessarily. With property-secured funding the security is the property, so the vehicle's value isn't what limits the loan. For unsecured funding, the amount depends on turnover and bank statements.

What about fringe benefit tax on a work ute?

FBT can apply when an employee has private use of a work vehicle. Some work-related vehicles, such as certain utes and vans with permanent signage used under strict conditions, may be exempt. Talk to your accountant about your setup.

Can I fund several vehicles at once?

Yes — fleet additions for growing trades and transport businesses are a common reason to use property-secured funding up to $1m.