Finance Options

Applying for a Motorcycle Loan with Capital Finance is easy. We do all the hard work for you and assist you with selection of the right finance product for your requirements.

We can also give you access to a variety of Motorcycle Finance options including Commercial Hire Purchase, Chattel Mortgage, Finance Lease, Novated Lease and Operating Lease. If you use your motorcycle predominantly for business purposes or if you want to include a motorcycle as part of salary package then you should consider the following options.
  • Motorcycle Leasing
  • Novated Motorcycle Leasing

    Motorcycle Leasing

    What is a motorcycle lease?

    A motorcycle lease is a rental agreement. The motorcycle is owned by the finance provider or lender (the lessor) and then leased to the user (the lessee) for a set term. A motorcycle lease allows the user to have full use of the motorcycle and has a predetermined residual value.

    A motorcycle lease is also known as a bike lease or asset lease.

    How does a motorcycle lease work?

    The Lessor obtains legal ownership of the motorcycle to be leased, by paying the amount as advised on the (vendor's) supplier's invoice. The Lessee then has the use of the motorcycle and pays rent for that use for the term of the motorcycle lease contract. During the term of the motorcycle lease agreement, the Lessee merely pays rent and does not obtain ownership or equity in the car they are leasing. Under a motorcycle lease agreement the Lessee is responsible for maintenance and running costs, car insurance and registration fees for the leased item. Residual and terms

    The finance lease residual is the amount that will need to be paid to the finance provider at the end of a finance lease. Finance lease residuals are set by the Australian Taxation Office (ATO).

    What are the benefits of a motorcycle lease?

      • Motorcycle terms range from 12 to 60 months.
      • Rentals fully tax deductible if used for business use.
      • The Interest Rate is fixed for the term of the motorcycle lease agreement.
      • Motorcycle lease repayments are fixed for the term.
      • Lower interest rates due to the motorcycle lease being secured against the motorcycle.
      • GST on the purchase price of the motorcycle is claimed back by the finance provider on your behalf. This lowers the amount financed to the purchase price minus GST.
      • GST on the monthly repayments may be claimable by your employer.
      • We can have you in your new motorcycle within 24-48 hours.
      • You will receive great hands on personalised service from an experienced car leasing consultant.
      • Subject to credit approval, we will finance 100% of the purchase price.

    Who should consider a motorcycle lease?

    A motorcycle lease is suitable when you use your motorcycle wholly or predominantly for business purposes. This means that the motorcycle is used for business for more than 50% of the time.

    What are the tax implications of a motorcycle lease?

    If the amount to be financed is below the ATO depreciation limit, $57,123, you are able to claim the full motorcycle lease rental as a tax deduction. Above the depreciation limit, it's similar to a hire purchase agreement where the interest and depreciation up to the value of the depreciation limit can be claimed. Refer to the Australian Taxation Office for further information.

    GST is also claimable on the monthly motorcycle lease payments, these can be claimed on your Business Activity Statement.

    Other leasing options?

    If you are thinking about doing a motorcycle lease, you may also want to consider a Finance Lease, Commercial Hire Purchase or Chattel Mortgage as other finance options.

    Need further information?

    Either complete our online enquiry form and we will call you shortly or apply online now.

    Novated Motorcycle Leasing

    What is a novated motorcycle lease?

    A novated motorcycle lease is a three way agreement between
      • The finance provider
      • An employer
      • and an employee

    How does a novated motorcycle lease work?

    Under this a novated motorcycle lease, the employer pays the monthly motorcycle lease rentals on behalf of the employee, and provides the motorcycle for the employee to use as part of their salary packaging arrangement.

    If employment ceases for any reason, or the novated motorcycle lease contract is finalised, the Novation ceases and any obligations by the employer revert back to the employee.

    Residual and terms

    The novated motorcycle residual is the amount that will need to be paid to the finance provider at the end of a novated motorcycle lease. Novated motorcycle lease residuals are set by the Australian Taxation Office (ATO).

    What are the benefits of a novated motorcycle lease?

      • Novated motorcycle lease terms range from 12 to 60 months
      • All costs are paid in pre-tax dollars, a Novated Car Lease can be tax effective
      • The Interest Rate is fixed for the term of the novated motorcycle lease agreement
      • Novated motorcycle lease repayments are fixed for the term
      • Lower interest rates due to the vehicle lease being secured against the motorcycle
      • GST on the purchase price of the motorcycle is claimed back by the finance provider on your behalf
        • This lowers the amount financed to the purchase price minus GST
      • Subject to credit approval, we will finance 100% of the purchase price
      • A novated motorcycle lease is portable and may be re-novated from one employer to another (depending on employer acceptance)
      • You can choose the motorcycle that best suits your needs
      • We can have you in your new car within 24-48 hours
      • You will receive great hands on personalised service from an experienced car leasing consultant

    Who should consider a novated motorcycle lease?

    A novated motorcycle lease is suitable for any employee who wants to include a motor cycle as part of their salary package, so long as their employer offers salary packaging as an option for employees. What are the tax implications of a novated motorcycle lease?

    GST is charged on the monthly novated motorcycle lease payment and as long as the employer is registered for GST, they can claim this back on their BAS.

    GST is also charged on the residual value on the novated motorcycle lease, and as the Novation reverts back to the employee at the end of the lease, the employee is responsible for paying the GST on the residual.

    Fringe Benefits Tax (FBT) is payable on the motorcycle, and this expense is normally passed on to the employee. The amount of FBT depends on the kilometres travelled each year or amount of business use. The higher the kilometres and business use, the lower the FBT.

    Other leasing options

    If you are thinking about doing a novated motorcycle lease, you may also want to consider a Finance Lease, Commercial Hire Purchase or Chattel Mortgage as other finance options.

    Need further information?

    Either complete our online enquiry form and we will call you shortly or apply online now.



    • Capital Finance Solutions
    PO Box 142
    Penrith
    NSW 2751
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