How to finance a motorcycle or scooter on your ABN: how lenders treat bikes, when a bike beats a van, the Fair Work delivery order, tax and insurance.
Business Owners Hub
Business Motorcycle Finance · Scooters · Bike vs Van
Lenders put a business motorcycle or scooter through much the same paperwork as a car, then look harder at three things a car rarely raises: the loan minimum, resale and theft. Here is how that plays out, and how to tell a bike job from a van job.
Quick Answer
Couriers, delivery riders and mobile operators can usually finance a motorcycle or scooter through a chattel mortgage on their ABN, though loans are smaller and some lenders set minimums, and a bike suits short urban jobs while a van suits bulk. Lenders read your income, the bike's resale and theft risk, and whether the policy covers business use. Our vehicle finance page covers the wider options.
Also called: motorbike finance for business, scooter finance for business, business motorbike loan. All three describe the same need: finance for a two-wheeler that is owned and used mainly for work.
Can you finance a motorcycle or scooter through your business?
You can finance a motorcycle or scooter through your business when it is used mainly for work and you hold an ABN, and the usual structure is a chattel mortgage over the bike itself. The business owns the bike from settlement, the lender takes security over it, and repayments run over a fixed term, sometimes with a balloon at the end. It is the same product many business owners use for a ute or a van, scaled down to a smaller asset.
Our chattel mortgage page explains how the structure works across vehicle types, and the business vehicle finance guide sets out the other ways to fund a work vehicle, from leases to hire purchase.
The people who ask us about bikes tend to fall into three groups: couriers running document and small parcel work, delivery riders working through platforms on their own ABN, and mobile service businesses that carry a small kit and need to cross a city quickly. Each group uses the bike differently, and that shapes what a lender will want to see.
Electric scooters and e-bikes sit at the edge of this market. Fewer lenders take them, and the road rules for them differ from state to state. If you are weighing up a battery vehicle, our insight on electric vehicle finance on an ABN covers how lenders approach newer electric assets.
How do lenders treat motorcycles compared with cars?
Lenders treat a motorcycle much like a car on the paperwork side, but the loan is smaller, the term is often shorter and the lender looks harder at resale and theft. The differences show up in four places.
- A smaller loan with a minimum, varies by lender. Some lenders set a minimum amount financed, so a low priced scooter can fall under it. Part of a broker's job is pointing you to lenders whose minimums fit a bike.
- Shorter terms. Bikes typically sit on shorter terms than cars, because lenders want the loan paid down before the bike's value falls away.
- Resale and theft risk. Bikes are easier to steal and resale values can move quickly, so the lender's valuation and the age of the bike at the end of the term carry real weight.
- Used bikes from private sellers. The lender will want a search to confirm no other finance is registered against the bike. Our PPSR checks insight explains what that search shows and why it matters.
On income, the read is the same as for any small business. Lenders look at how long your ABN has been active and what your bank statements show coming in. A sole trader rider with steady platform payouts landing in their account is often an easier file than a brand new ABN with no history at all.
Where tax returns are not current, low doc options can use BAS or bank statements instead. Our insight on low doc vehicle finance for sole traders and companies explains how the structure of your business changes what lenders ask for, and the chattel mortgage guide covers deposits, balloons and terms in more depth.
In deals I've seen, the bike itself is rarely the hard part. A file stalls when the income evidence is thin, or when the amount sits under a lender's minimum and nobody checked before the rider picked the bike.
When does a bike beat a van for couriers and mobile services?
A bike beats a van when the jobs are short, urban and light: documents, small parcels, food and fast service calls, where parking and traffic cost more time than the load. Once the work turns to bulk, distance or bad weather, the van usually wins. Think of it as bike job, van job.
| What you compare | Motorcycle or scooter | Small van |
|---|---|---|
| Purchase cost shape | Lower purchase price; a smaller loan that can fall under some lender minimums | Higher purchase price; a larger loan that most lenders are set up for |
| Running costs | Typically lower fuel or charging, tyre and servicing costs | Typically higher fuel, tyre and servicing costs, and a larger insurance bill |
| Carrying capacity | A delivery box or top box; small parcels, documents and food | Bulk, heavy and multi-drop loads, plus tools and stock |
| Parking and city access | Moves through traffic and stops kerbside more easily, subject to local rules | Loading zones and parking time cost more in dense areas |
| Safety and weather | Rider exposed to weather and higher crash risk | Enclosed cab; work continues in bad weather |
| Finance (indicative, varies by lender) | Fewer lenders, shorter terms, a closer look at resale and theft | More lenders, longer terms available, balloon options common |
| Resale | Values can move quickly; condition and kilometres matter | Steady demand for work vans, though kilometres and condition affect price |
The finance side follows the same split. A bike is a smaller loan with less to repay each month, but fewer lenders compete for it. A van is a larger commitment, though lenders know vans well and the vehicle can take on bulk, multi-drop and wet weather work that a bike cannot. Plenty of couriers run both at different stages, moving from a bike to a van as the work grows.
For the van side of the decision, our insight on business van finance for couriers and mobile services covers it in full, and the business vehicle finance guide compares every work vehicle we finance.
What does the Fair Work delivery order mean for riders on a financed bike?
The Fair Work delivery order sets minimum standards for many platform delivery riders, but it does not move vehicle costs off the rider, so a financed bike stays your cost to carry. That is the point most riders miss when they plan a purchase around the new rules.
At the time of writing, the Fair Work Ombudsman's guidance on the rules in the on-demand delivery order says the Interim On-Demand Delivery Employee-like Worker Minimum Standards Order applies from 17 August 2026 to employee-like workers who mainly deliver food, drinks, alcohol and groceries through digital labour platforms, with minimum pay rates set by vehicle class, from electric bikes and scooters to combustion motorcycles and vehicles with a carrying capacity of up to one tonne. It also says workers are responsible for vehicle expenses, including maintenance, fuel, repairs, registration, licences and permits, and for compulsory third party insurance, while platform operators must hold personal accident insurance for workers (read 30 October 2026).
Vehicle costs stay with the rider, and lenders plan for that. In our own files, lenders read a delivery rider's income from what actually lands in the bank after platform fees, then expect the bike's repayments, fuel, servicing and rego to come out of that figure. The order may lift the floor on what some riders earn, but it does not change how a lender reads your history: steady deposits over time count for more than a new rate on paper.
If you are not sure whether the order covers you, or what a platform's terms mean for your costs, the Fair Work Ombudsman or your solicitor is the right place to ask. For the wider money side of running a small business, our Business Owners Hub collects our guides in one place.
How are business motorcycles treated for tax and GST?
Business motorcycles are not cars for the car limit, so they are claimed differently for tax, and GST credits depend on whether your business is registered for GST. At the time of writing, the ATO treats motorcycles, scooters and similar vehicles as vehicles that are not cars, which means the car expense methods do not apply and costs are claimed as actual costs for the business share of use.
Because a bike is not a car for the car limit, the cap does not limit its purchase price for depreciation or GST credits. If you are registered for GST, the GST on the bike and its running costs can typically be claimed on your BAS in line with business use.
How a work vehicle is written down over its effective life is covered in our business vehicle depreciation schedule insight, and the depreciation glossary entry explains the term. Your accountant should confirm what you can claim, and how, before you buy.
What registration, licence and insurance does a business bike need?
A business bike needs registration, a licence class that matches the bike, compulsory third party cover and, for most financed bikes, comprehensive cover that allows business or delivery use. Each of these can hold up settlement if it is missing.
- Moped or motorcycle. In Victoria, at the time of writing, a moped is a bike of up to 50cc with a top speed of up to 50 km/h, and the registration, safety and licence rules for motorcycles apply to mopeds too. Other states set their own definitions and licence rules, so check with your state road authority before you choose a bike.
- Registration and CTP. Compulsory third party cover comes with registration in most states; in NSW it is bought separately as a green slip. Keep your rego papers current, since the lender may ask to see them.
- Comprehensive cover. Lenders typically ask for comprehensive insurance with their interest noted on the policy before funds are released.
- Delivery use has to be on the policy. A standard private policy may exclude carrying goods for payment, which can leave a financed bike uninsured on the job. Theft cover matters more on a bike than on most work vehicles.
If you already have a bike in mind, you can check your eligibility before you commit to the purchase, so the loan size, the lender's minimum and the insurance are sorted in one pass.
A business motorcycle or scooter is usually financed with a chattel mortgage on your ABN, with a smaller loan, a shorter term and a closer look at resale and theft than a car gets. A bike job is short, urban and light; a van job is bulk, distance and weather. The Fair Work delivery order leaves vehicle costs with the rider, a bike is not a car for the car limit, and delivery use has to be on the policy before the lender will settle.
Key takeaway: finance the vehicle the work needs today, and plan the move from a bike to a van as the work grows.Frequently Asked Questions
You can usually get a business loan for a motorbike if you hold an ABN and the bike is used mainly for work. Most are written as a chattel mortgage, with the bike as security. Loans are smaller than for a car and some lenders set a minimum amount, so the lender you choose matters.
You can use a chattel mortgage for a motorcycle that your business owns and uses mainly for work. The business holds the bike from settlement and the lender takes security over it until the loan is repaid. Our chattel mortgage guide explains the structure in full.
A motorcycle is not a car for the ATO car limit, because at the time of writing the ATO treats motorcycles and scooters as vehicles that are not cars. Their costs are claimed as actual costs rather than through the car expense methods. The depreciation entry explains the term, and your accountant can confirm what applies to you.
Motorcycle insurance does not always cover food delivery, because many standard private policies exclude carrying goods for payment. Riders who deliver typically need a policy that names delivery or business use. For a financed bike, the lender will also want comprehensive insurance with its interest noted.
A scooter or a van can each be the better choice for a courier business, depending on the jobs: a scooter suits short urban runs with small loads, while a van suits bulk, multi-drop and long distance work. Many couriers start on two wheels and move up as volume grows. Our van finance insight for couriers covers the van side.
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