Already paying for dry hire? Explore a pathway to ownership.
When borrowing costs put pressure on margins, committing a large amount of cash to equipment can leave less available for wages, materials and your next project.
But continuing to dry hire equipment you use regularly deserves a closer look too.
Lease to buy could provide the middle ground: access the equipment now, preserve more upfront capital and retain the option to purchase later.
At Advanced Finance Group, we help businesses assess whether this approach suits their workload, cash flow and longer-term equipment needs.
Preserve Upfront Cash
Spread equipment access costs across a rental period, keeping more working capital available for operations.
Put Equipment to Work Before Committing to Purchase
Use the rental period to assess its contribution to your business before deciding whether to exercise the purchase option.
Create a Pathway Beyond Ongoing Dry Hire
For equipment with a consistent role in your operations, an agreed purchase option may support your longer-term fleet strategy.
Explore Another Route to Equipment Access
An alternative worth considering where conventional equipment finance does not suit your circumstances, subject to assessment.
💰 INDICATIVE EXAMPLE | $100,000 EQUIPMENT
| Item | Indicative amount |
|---|---|
| Asset value | $100,000 |
| Minimum rental term | 12 months |
| Upfront payment, paid in advance | $5,600 |
| Ongoing monthly rental | $5,000 |
| Purchase price at the end of 12 months, if you choose to buy | $64,000 |
| Excess usage charge, where applicable | $24.04 per hour |
All amounts exclude GST. The purchase payment is additional to rental payments.
The quoted purchase price reflects a rental rebate offered if the equipment is purchased at the end of the term.
FROM DRY HIRE TO A PURCHASE OPTION
One documented example involved a business that had dry hired a tipper for three years. It transitioned the same truck into a rent-to-own arrangement, retaining the equipment it already used while establishing a pathway to ownership.
Could the equipment you hire today become part of your fleet tomorrow?
Preserving capital can reduce pressure on your cash reserves. The right decision still depends on the total cost, expected utilisation and your ability to fund the eventual purchase.
That is where a Chartered Accountant’s perspective, combined with equipment funding expertise, can help.
Before renewing your dry hire arrangement or committing cash to your next machine, contact André Barkhuizen at Advanced Finance Group.
Let’s compare your dry hire costs, lease-to-buy options and conventional equipment finance against your business cash flow.
🌐 advancedfinancegroup.com
Indicative example dated 7 October 2026, valid for 14 days from issue and subject to change, credit assessment, asset quality and contract terms. A security deposit or additional rent in advance may be required. The hirer bears repairs, maintenance and applicable on-road costs. Usage limits, excess charges and return conditions apply. Ownership requires exercising the purchase option and meeting the contract terms.
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