Rail & Rolling Assets

Project Finance

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Pure Capital Finance applies substantial focus and creativity to our clients’ projects. This approach leverages their assets and structures funding toward better terms, lower rates, and flexible covenants, while providing a significant increase in overall access to capital.

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• Transload facilities

• Intermodal facilities

• Rail line, rail siding, and rail yard construction

• Rail bulk-loading and logistics facilities

• Rail car storage facilities

• Production and manufacturing facilities

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Equipment Finance

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From individual equipment financing to annual lines of credit, Pure Capital Finance efficiently coordinates funding with attention to all the administrative details. And with the largest network of relationships in the industry, we also assist in sourcing and leasing railcars, MOW equipment, locomotives, railcar movers, intermodal cranes, and hi-rail trucks.

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• Locomotive financing

• Railcar financing

• Rolling stock loans

• Maintenance of Way (MOW) equipment financing

• Lift and loading equipment financing

• Railcar and locomotive leasing

• Rail equipment lines of credit

• Sale-Leasebacks of existing equipment

• Upgrades and rebuilds of rail and production equipment

Business Finance

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Growing your business in a capital-intensive industry requires funding beyond the usual array of bank options. Our consulting team includes executives from inside and outside the rail industry, providing you with the ideal guidance for your next round of growth or turnaround capital.

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• Growth finance

• Long-term access to capital

• Acquisition finance

• Equity capital

• Critical situation finance

Pure Capital Finance Benefits

• Get funding fast

• The equipment acts as security for the loan

• Free up working capital

• Get equipment without paying for it upfront

• Manage your cash flow with fixed instalments

• You can claim tax deductions

• Options are available for bad credit

• Start a new contract with the latest technology at the end of your current contract

Equipment Finance

• Maximum loan:

  Up to 100% of Equipment Value

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• Loan term:

  1 to 10 years

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• Interest rates:

  Starting at 4.09%

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• Time to fund:

  As little as one day

How does Equipment Finance work?

Getting a rail equipment loan or lease can be a short, streamlined way to finance up to 100% of the value of any equipment you need.

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It comes in many options including leases, hire purchase, loans and chattel mortgages, for example:

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Equipment Loan

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A standard equipment loan allows you to borrow up to 100% of the cost of equipment with fixed repayments. The equipment is generally the only security required for the loan.

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Finance Leases

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A finance lease is a form of a rental agreement because the lessor owns the asset. At the end of the lease you have the option of purchasing the asset (for a residual amount agreed upfront), trading in the asset for new equipment or simply terminating the lease.

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There is a risk that at the end of the lease the asset will be worth less than the residual value. One of the advantages of a finance lease is that the lender pays the GST component; this makes your payments lower.

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Operating Leases

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This type of lease is ideal for equipment such as technology equipment that needs regular replacement. It is similar to a finance lease but the risk of the market value being lower than the residual value is with the lender, not with you.

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At the end of the lease period, you simply return the goods to the financier. In this type of lease, the equipment is not listed as an asset on your balance sheet and therefore you cannot claim depreciation. You can, however, claim the lease payments as a tax deduction.

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Chattel Mortgage

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A “chattel” is a moveable asset (i.e. it’s anything other than real estate). With a chattel mortgage you own the equipment from the beginning of the term of the lease. With a chattel mortgage, only the interest component of the lease payments are tax deductible – but you can also claim a deduction for the depreciation of the asset. In addition, you can claim a credit for the GST component on your BAS statement.

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