Asset Finance
Client Success Story - Kristin School
Kristin School streamlined budgeting and equipment upgrades by partnering with Quadrent, enabling predictable costs and access to modern equipment.
Discover how Quadrent helped turn a crane operator's negative equity in an existing asset into an equipment upgrade through structured vendor finance.
The challenge
Fleet progression in Australia and New Zealand’s crane market is no longer purely an operational decision.
Crane operators are under pressure to lift more, reach further, and deliver with greater reliability, all while managing rising costs, tighter margins, and increased competition. In this environment, the ability to upgrade equipment without placing strain on cash flow can determine whether a business maintains momentum or stalls.
This was the situation facing a well-established Australian crane operator. While the business had a strong reputation and steady pipeline of work, its existing mobile crane was becoming a constraint. Maintenance costs were increasing, downtime risk was rising, and the crane’s capability no longer aligned with the size and complexity of projects the company was being invited to quote.
The logical next step was to upgrade to a newer, higher-capacity mobile crane. The complication? The outgoing crane carried negative equity. The outstanding finance exceeded its market value, effectively blocking a straightforward upgrade through traditional lending channels.
The complexity of crane finance
Mobile cranes are long-life assets. Unlike many forms of plant and equipment, they are often retained well beyond the timeframes assumed in standard finance models.
Over time, this can create a disconnect:
- Operationally, the crane may still be working
- Financially, its value may no longer align with the remaining loan balance
Negative equity in this sector is not unusual. It can result from long ownership cycles, market shifts, and the way cranes age compared to other equipment. However, conventional lenders often treat negative equity as a stop sign, regardless of workload, reputation, or future earning potential.
As the only Liebherr-authorised funding partner across Australia and New Zealand, Quadrent works alongside Liebherr to structure funding solutions designed specifically for crane operators. This alignment allows finance decisions to reflect real-world equipment performance and lifecycle support, rather than relying solely on historic resale data or conservative asset rules.
The solution
Rather than viewing the negative equity as an isolated barrier, Quadrent structured a single, consolidated finance facility that addressed the entire position. This solution:
- Funded the new Liebherr mobile crane
- Absorbed the negative equity from the outgoing unit
- Included GST funding to preserve working capital
- Simplified the structure into one facility and one repayment
This removed complexity for the operator. There were no multiple loans to manage, no short-term patches, and no compromise on equipment capability. Instead, there was a clear connection between the cost of the upgrade and the revenue it would generate.
The outcome
The impact was immediate and measurable.
Operationally:
- Increased lifting capacity and reach
- Access to larger and more complex projects
- Reduced reliance on cross-hire
- Improved reliability and lower downtime risk
- Reduced unplanned maintenance costs
Financially:
- Simplified funding structure
- Protected cash flow
- Consolidated legacy finance into a manageable facility
- Created clearer visibility between asset performance and repayments
By aligning finance with operational goals, the business regained control of its growth path. What had been a financial constraint became a platform for expansion.
Finance as a strategic tool
This case reflects a broader shift across the crane industry. Finance is no longer simply a means of acquiring equipment - the right solution can be a strategic lever.
When funding structures are designed around crane lifecycles, utilisation patterns, and long-term value supported directly by manufacturer alignment, operators gain flexibility at the exact moment it matters most.
In this instance, negative equity could have frozen progress. Instead, with the right structure in place, the fleet moved forward, profitability improved, and risk was reduced.
Looking ahead
For crane operators considering a Liebherr upgrade, or managing a complex transition involving older equipment, early engagement with a specialist finance partner can open doors that conventional lending models may close.
Quadrent’s approach demonstrates that with the right structure, even legacy finance challenges can be transformed into strategic opportunities.
Learn more about Vendor Finance opportunities with Quadrent →
