Novated Lease – Get Cash for Your Car and then Lease it back

Yes, you can get cash for the car you are now driving and then lease it back under a novated lease arrangement and SAVE on cash flow, GST and income tax.

This approach is called a Sale & Leaseback and is one of the greatest secrets of how to free up cash!

Example: Jenny loves her Mazda 3 Maxx Sport and $20,000 in Cash

Last year Jenny purchased a Mazda 3 Maxx Sport hatchback in soul red. She saved up for several years to buy the new Mazda and paid $26,990 cash.

Jenny is looking to renovate her kitchen and has received a quote for $20,000 to do the makeover that she has always wanted. Jenny spoke with her bank and they will lend her $15,000 for the kitchen at 14.5% and the balance Jenny will put on her credit card at a rate of 21%.

Before moving forward with the bank finance Jenny was speaking with her friend Pauline that works in the HR department about her plans for the kitchen renovations.

Pauline knew that Jenny paid cash for her new Mazda and so she suggested Jenny look at a Sale and Leaseback on her Mazda to getting the funds to pay for the kitchen renovation.

Jenny spoke with the team at One Car Group and they explained the process and the cash flow and tax savings of a novated lease.

Through One Car Group Jenny applied for a novated lease. The finance was approved on a Tuesday and Jenny received $20,000 cash for her Mazda 3 Maxx Sport on the Friday!

Not only did Jenny get a $20,000 cash injection into her bank account she also saves over $2,000 per year in tax by salary packaging her car.

Requirements for Sale & Leaseback

• Minimum $10,000 market value
• Maximum 10 years at end of lease (e.g. 7-year-old car can be leased for 3 years)
• Car has been serviced, maintained, road worthy and has no major damage
• Independent inspection of the car arranged by the financier

The application for finance is the same as if you were purchasing a new or used car.

Browse our Frequently Asked Questions for further information.

Call us on 1300 616 993 to speak with a consultant if you would like further information.