Before You Finance Your Next Excavator, Watch This!
Watch the video version here: YouTube Episode 188 of the Earthworks Hub PodcastIn this episode of the Earthworks Hub Podcast, I sit down with Colin Evans from The Asset Finance Shop (TAFS) to talk about something that affects just about every earthmoving and civil construction business — financing machinery and managing your money.Whether you're looking to buy your first excavator, upgrade your truck, expand your fleet or start your own earthmoving business, understanding how equipment finance works can make a massive difference.Colin has been involved in asset finance for around 15 years, and his team at The Asset Finance Shop specialises in helping businesses across the transport, construction and earthmoving industries.We kick things off by talking about the growth of TAFS and their impressive new headquarters in Alexandria, Sydney, before getting into some practical advice for operators and business owners.In this episode, we cover:* How to prepare financially before buying your first excavator or truck* The biggest mistakes people make when financing machinery* Buying new versus used equipment and what makes better financial sense* How credit scores and your financial history affect loan applications* Getting finance pre-approved before bidding at machinery auctions* How minimising tax can affect your borrowing capacity* What lenders look for when you're starting your own earthmoving business* Why cash flow is so important when running a business* Balloon payments, interest rates and the real cost of equipment finance* The current challenges facing the earthmoving industryI also share my own experience of buying a $250,000 truck that ended up sitting around more than it was working. It's a good example of why buying machinery isn't always the smartest decision, even when you can afford the repayments.One of the biggest takeaways from this conversation is that just because you can get finance for a machine doesn't necessarily mean you should buy it. You need to understand how that machine will contribute to your business and whether the repayments make financial sense.Colin also shares some insights into how the current economic conditions are affecting equipment purchases, contractors and finance approvals across the industry.The Asset Finance Shop is an Earthworks Hub industry partner, and we're also working together on a series of educational workshops and articles designed to help earthmoving business owners better understand machinery finance.If you're operating machinery, running a contracting business or thinking about going out on your own, there's plenty of useful information in this conversation.**Earthworks Hub – Australia's Earthmoving Industry Platform**Visit Earthworks Hub to explore Work Leads, the Business Directory, operator profiles, Marketplace, Tip Sites, Academy resources and Earthworks Hub Membership.Proudly supported by Earthworks Hub partnersView all partners: https://earthworkshub.com.au/partners Explore Earthworks HubWebsite: https://earthworkshub.com.au Tools & templates: https://earthworkshub.com.au/tools-and-shop/ Join Our social platform and discussions: https://earthworkshub.com.au/community Connect with contractors and suppliers, browse the business directory, access practical templates and calculators, learn through the Earthworks Hub Academy, and join Australia's dedicated online community for the earthmoving industry.Subscribe to the channel for more earthmoving podcasts, machinery content, site visits, industry discussions and interviews.#EarthworksHub #Earthmoving #Excavators #ConstructionAustralia #HeavyEquipment #EarthmovingAustralia #PodcastJoin me live every Sunday at 8 PM Melbourne time on Instagram for The Sunday Live Show
