Boating is one of the favourite past time of coastal and inland Australians alike. A day of the water is a time to spend with friends and enjoy the beautiful Australian outdoors. But what if your boat is not just a weekend warrior, but a part of your business? Do you provide sailing lessons or take groups out on fishing expeditions? There are many financing options when it comes to buying a boat for commercial and personal reasons, but a chattel mortgage is a great place to start. The reason a chattel mortgage is such a popular finance product is because from purchase, the boat is 100% yours.


What is a chattel mortgage?

When buying a boat using a chattel mortgage, the process is fairly straightforward. A lender will advance you the funds you need to purchase the boat and the lender then takes out a mortgage for the amount as security for the loan. Once the amount has been paid off completely, the lender will remove the mortgage and the title of the boat is yours.

This financial situation is beneficial for business owners and has many advantages, including:

  • The term for a chattel mortgage can be anything from 1 to 5 years, providing flexibility.
  • When using your boat for business purposes, you can claim eligible tax exemptions and deductions.
  • You may be able to claim the GST in the boat price as a credit on your Business Activity Statement (BAS)
  • Chattel monthly repayments are a fixed coast and are GST free, including any balloon payments.
  • As the loan is secured against the boat, Interest rates are lower than many other finance products in the market.


If you would like more information on how a chattel mortgage can benefit your boating business, please contact the helpful team at National Finance Solutions. Our wide range of lenders and experienced customer service team will help you find not only the perfect boat but also the best loan for your situation. Contact us today or apply through our website for a no-obligation quote.