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Equipment Finance

Hospitality Equipment Finance
Australia 2026

Commercial ovens, refrigeration, coffee machines, kitchen fit-outs — major equipment doesn't have to drain your cash. Compare chattel mortgages, rental agreements and hospitality-specialist lenders with upfront cost vs flexibility in mind.

Finance types compared Hospitality-specialist lenders Tax treatment explained Updated May 2026
Finance structures
What type of finance suits your situation?

Before comparing lenders, understand the structure. The right structure depends on whether you want to own the equipment outright, preserve cash flow, access tax benefits, or maintain flexibility to upgrade.

StructureOwn equipment?Tax benefitFlexibilityBest for
Chattel Mortgage✓ From day oneDepreciation + interest deductibleLow — fixed termEquipment you'll keep 5+ years
Finance Lease✗ Lender owns itLease payments deductibleMediumTech that becomes outdated quickly
Rental (e.g. SilverChef/Flexikitch)Option to buyRental payments deductibleHigh — upgrade anytimeNew venues, testing equipment first
Operating LeaseLease payments deductibleMediumKeeping equipment off balance sheet
Hire Purchase✓ At end of termDepreciation + interestLowGradual ownership — lower upfront
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Tax tip: Under a chattel mortgage, you may be able to claim the full depreciation in the year of purchase under the ATO's instant asset write-off rules if the equipment cost is below the relevant threshold. Speak to your accountant before choosing a finance structure — the tax treatment significantly affects total cost.
Hospitality-specialist lenders
Lenders that understand your business.

Hospitality-specialist finance providers understand seasonal cash flow, early-stage trading, and equipment that wears hard. They typically approve faster and require less financial history than traditional banks.

🏆 Australia's leading hospitality finance specialist
SilverChef
Rent-to-own · Hospitality specialist · Approve based on business performance not credit history
8.8/10
★★★★½

SilverChef is Australia's most well-known hospitality equipment finance specialist, with over 30 years experience funding commercial kitchens. Unlike banks, SilverChef assesses approval based on business performance rather than trading history, making it accessible to new venues and operators who don't yet have two years of financials. Their Rent-Try-Buy model lets you test equipment before committing to ownership. After renting, you can buy outright, upgrade to newer equipment, or return it.

Loan range
$5k – $250k
Structure
Rent-Try-Buy
Approval basis
Business performance
Upgrade option
✓ Anytime
Speed
Fast approval
Pros
Accessible to new venues — no long trading history required
Rent-Try-Buy — test equipment before committing to ownership
Upgrade option available — stay current with newer equipment
Australia's most experienced hospitality finance specialist
Weekly rental fee model — easier cash flow management
Cons
Rental rates can be higher than a chattel mortgage over full term
4+ weeks notice required to return equipment
Early exit fees may apply — read the contract carefully
Flexikitch
Hospitality specialist · Rent-to-own · Upgrade or downgrade anytime
8.2/10
★★★★

Flexikitch specialises in commercial kitchen equipment rental and finance for Australian hospitality and retail businesses. No upfront cost — just a deposit and weekly rental fee. After three years of rental the equipment is yours. Alternatively, rent-to-own purchase is available after 12 months. Flexikitch also provides ongoing servicing priority for rented equipment, which reduces maintenance headaches for operators.

Upfront cost
Deposit only
Ownership
After 3 years (or buy at 12 months)
Flexibility
Upgrade anytime
Servicing
✓ Priority included
Business Banks & Commercial Lenders
CBA, ANZ, NAB, Westpac + specialist commercial finance brokers
7.4/10
★★★½

Traditional banks offer chattel mortgages and commercial leases for hospitality equipment, often at competitive interest rates for established businesses with 2+ years of trading history and property security. The limitation is approval speed (often weeks not days) and stricter requirements than hospitality-specialist lenders. For established venues with strong financials, a bank chattel mortgage can be the cheapest long-term option. For newer venues, a specialist lender is typically more accessible.

Loan range
$10k – $500k+
Rates
Competitive (established venues)
Approval speed
Weeks
Requirements
2+ yrs history, security
Questions
Equipment finance FAQs
What is the best way to finance commercial kitchen equipment in Australia?
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For new venues or those without two years of financials: SilverChef or Flexikitch rental are the most accessible — approval is based on business performance rather than credit history. For established venues with strong financials: a chattel mortgage through a bank or commercial lender gives you immediate ownership and the best tax position (depreciation plus interest deductible). Always compare the total cost of ownership over the full term, not just the monthly repayment.
Is equipment finance tax deductible for Australian restaurants?
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Yes. But the tax treatment differs by structure. Under a chattel mortgage, both the interest component of repayments and the depreciation of the equipment value are tax deductible. Under a rental or operating lease, the rental payments themselves are deductible as a business expense. The ATO's instant asset write-off may also allow full immediate deduction in the year of purchase for assets below the relevant threshold — check with your accountant before choosing a structure.
How much deposit do I need for hospitality equipment finance?
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For hospitality-specialist lenders like SilverChef and Flexikitch, the deposit requirement is typically low, often just the first rental payment. For bank chattel mortgages, a 10–20% deposit is standard. The deposit reduces the total loan amount and interest cost. If preserving cash flow is the priority, low-deposit rental arrangements from specialist lenders are the most practical choice for new venues.
Can I finance a commercial coffee machine in Australia?
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Yes — commercial coffee machines are one of the most commonly financed items in Australian hospitality. Both SilverChef and Flexikitch finance commercial espresso machines, grinders and related equipment. Many coffee machine suppliers also offer their own in-house financing or rent-to-own arrangements. For a high-quality commercial machine ($8,000–$20,000), spreading the cost over 12–36 months through a rental arrangement preserves cash flow while giving you access to professional-grade equipment from day one.

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