For many businesses, growth depends on having the right equipment at the right time. But investment decisions are increasingly about more than simply adding capacity. Businesses are also considering how equipment can improve efficiency, reduce costs and support longer-term goals, including sustainability.

Westpac sees sustainable finance as a practical way to help businesses build more resilient business models. As part of its commitment to increase sustainable lending to NZ$9 billion by 2027, Westpac’s Sustainable Equipment Finance Loan helps businesses access competitive lending rates to fund eligible sustainable equipment – creating both business and sustainability value.

Equipment finance can help businesses access the vehicles, machinery and equipment they need without funding the entire purchase price upfront. By spreading the cost over an agreed period, businesses can preserve working capital, while putting the asset to work from day one.

“When businesses think about growth, they often focus on revenue and staffing, but the assets that support that growth are just as important,” says Joe Sibley, Westpac NZ equipment finance specialist.

“For growing businesses, equipment finance is less about borrowing money and more about managing capital efficiently. Having the ability to invest when an opportunity arises can be a competitive advantage.”

As trusted advisers, accountants can play an important role in helping clients identify when equipment investment should form part of a broader growth strategy, says Sibley.

Looking beyond the price tag

The right asset can help a business increase capacity, improve productivity, reduce operating costs and create new opportunities for growth.

“The cheapest equipment is not necessarily the best investment, and the most expensive option isn’t necessarily the wrong one,” says Sibley. “The focus should be on the value the asset will create over its life.

“Don’t wait until the equipment is needed,” he adds. “The businesses that tend to get the best outcomes are those that plan asset replacement and growth investments well in advance.”

The link between sustainability and profitability

Increasingly, businesses are considering how their equipment choices can support both operational performance and sustainability goals.

Westpac’s Sustainable Equipment Finance Loan offers competitive lending rates on eligible sustainable equipment, including electric vehicles and charging infrastructures, solar energy systems, battery storage solutions and energy-efficiency equipment, says Sibley.

“Ultimately, successful equipment investment comes down to planning ahead and understanding what a business needs,” he says. “So, talk to us early about the right funding approach.”

Find out more

If you or your clients want more information about Westpac’s equipment finance offerings, click here.