The affect of instant asset write off on borrowing power

This financial year, for the first time in 10 years, I've purchases some new business equipment worth 25k. I'm eligible to write this cost off instantly or could choose to depreciate the assets over a number of years.

If I write off the 25k of purchases all this year, have I just massively reduced my lending power for the next two years? The banks ask for the previous two years financials so it'll be two years until I have two years worth of financials showing higher income.

Is it better, in terms of borrowing power, to depreciate assets over a number of years?

 

For one off expenses you might be able to get the lender to add these back to your income for servicing purposes.

 

From the information provided I assume you are talking about the tax write-off. Without further information on the item, I would say this is unlikely to be the same for your accounting records.
Ie your accounting numbers will not have the accelerated write-off only on your tax return.
You will therefore have a tax effect entry with reduced tax payable now (due to faster depreciation/write-off) but still the normal depreciation amount in your financials that you present to the banks.
In future years your accounting depreciation won’t be able to be claimed for tax as it was 100% claimed with the current accelerated entries. Ie More profit and tax payable in future tax years.
Hope that makes sense!