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Business Loans in Australia
Flexible funding solutions to support your business growth and cash flow
- Loans up to $50 million*
- Access secured and unsecured loan options*
- Get fast approval loans and lines of credit*
- Tailored solutions based on your business needs
Get an Unsecured Business Loan with Dark Horse Financial
1
Contact Our Team
Fill out our online form to apply for a business loan. We’ll get in touch with you fast to understand your situation and make a recommendation.
2
Submit Application
We’ll expertly handle your application from start to finish. Some types of business loans can be approved within 24-48 hours with minimal documentation.
3
Get Funded
Once approved, documentation is signed electronically, making settlement fast. Once settled, the funds will be disbursed to your account, or a facility will be available for you to access.
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What is a business loan?
A business loan is a form of financing that allows you to borrow funds to support your business operations, growth, or investment activities. The loan is repaid over time with interest under agreed terms.
Business loans can be structured in different ways depending on your needs. Some loans are secured against property or assets, while others are unsecured and based on your business performance.
Lenders assess your ability to repay the loan based on factors such as cash flow, revenue, time in business, and credit profile. The structure of the loan will determine how much you can borrow, how quickly you can access funds, and the cost of borrowing.
Features*
Loan amounts
Business loans in Australia can range from $10,000 to over $50 million, depending on the lender, type of loan, and available security, among other factors.
Loan terms
Terms can range from short term facilities of 3 to 12 months to longer term loans of up to 30 years for property backed lending.
Security
Loans can be secured against property, equipment, or other assets. Loans can also be unsecured and assessed based on your capacity to repay.
Interest rates
Rates vary depending on risk, loan type, and lender. Secured loans typically offer lower rates than unsecured loans.
Repayment structures
Repayments can be structured as weekly, fortnightly, monthly, or interest only depending on the loan type.
How does a business loan work?
Once you apply, the lender reviews your financial position, including revenue, expenses, and existing commitments. For secured loans, the lender will also assess the value of the asset being used as security.
Once approved, you receive funds either as a lump sum or as access to a facility such as a line of credit. Repayments are made according to the agreed schedule.
At the end of the term, the loan is repaid in full, or in some cases refinanced or extended.
Common Types of Business Loans
These loans do not require assets as security and are instead assessed based on your capacity to repay the loan. They are generally faster to approve and easier to access, with approvals as fast as 24-48 hours.
A business line of credit provides a revolving facility that allows you to draw funds as needed rather than receiving a lump sum. You only pay interest on the amount used, and as you repay the balance, the available limit resets for future use.
These loans are backed by assets such as property or equipment, which are used as security for the loan. Because the lender has security in place, these loans typically offer lower interest rates, higher borrowing limits, and longer repayment terms.
Equipment finance is used to fund the purchase of machinery, vehicles, or other business assets, with the equipment itself typically used as security. This allows you to spread the cost over time while preserving cash flow for other business needs.
Invoice finance allows you to access funds tied up in unpaid invoices by advancing a percentage of their value upfront. This provides ongoing cash flow support, particularly for businesses that operate on extended payment terms.
Private lending involves funding from private lenders who offer more flexible approval criteria and faster turnaround times. These loans are often used for complex scenarios, urgent funding needs, or situations where traditional lenders are not suitable.
Why Get a Business Loan?
Access to capital when you need it
Business loans provide access to funding without needing to rely solely on cash reserves or personal savings. This allows you to act on opportunities, manage expenses, and keep operations running.
Flexible funding options
There is a wide range of loan types available, including secured, unsecured, revolving line of credit facilities, and private lending solutions. This flexibility allows you to choose a structure that matches your business needs.
Preserve cash flow
Instead of using large amounts of cash upfront, you can spread the cost of expenses over time. This helps maintain liquidity so you can continue to operate, invest, and respond to changing business conditions.
Fast access to funding
Many business loan options, particularly unsecured and private lending solutions, offer fast approvals and funding. This is important when timing matters, such as securing stock, covering urgent expenses, or acting on time sensitive opportunities.
Scalable funding as your business grows
Some facilities, such as lines of credit and invoice finance, increase in line with your revenue. This allows your funding capacity to grow alongside your business without needing to reapply each time.
Access larger loan amounts with security
If you are able to provide property or assets as security, you can access higher loan amounts and more competitive rates. This makes it possible to fund larger projects, acquisitions, or long term investments.
Support for a wide range of business needs
Business loans can be used across multiple areas including operations, growth, restructuring, and investment. This versatility makes them a practical funding tool for businesses at different stages.
Opportunity to strengthen your financial position
Using finance strategically can help you consolidate debt, improve cash flow, and position your business for growth. Consistent repayments can also strengthen your credit profile over time.
What Lenders Look At
- Revenue and cash flow: Your ability to service the loan is assessed through your revenue and average cash position over a certain period. Lenders want to see that you can service the loan together with all your other commitments.
- Credit profile: Your credit history influences approval and pricing. Stronger credit profiles generally receive better terms. A credit score of 500 and above brings better chances of approval and better rates. However, bad credit business loans and lines of credit are available for those with imperfect credit.
- Time in business: Some lenders prefer a minimum trading period, typically between 6 and 12 months. Better rates and terms come with a longer trading history. For startups and new businesses, asset-based or secured lending can give them better rates and better chances of approval.
- Security: For secured loans, lenders assess the value and suitability of the asset being used as security. For equipment finance, some lenders review the invoice, while some perform valuations to assess the value and remaining life of the asset. For term loans backed by property, lenders will perform a desktop valuation or an in person valuation from an independent valuer.
What You Can Use a Business Loan For
- Working capital: Cover day to day expenses such as wages, rent, and supplier payments.
- Business expansion: Fund new locations, hire staff, or increase production capacity.
- Equipment purchases: Acquire essential equipment without large upfront costs.
- Debt consolidation: Combine existing debts into a single facility to simplify repayments.
- Inventory purchases: Stock up to meet demand and support growth.
- Business acquisition: Purchase an existing business or buy out a partner.
- Tax debt: Manage ATO obligations and avoid penalties.
Business Loan Rates and Fees
Interest rates vary widely depending on the lender, type of loan, your financial and credit profile, and other factors. Here are the basic ranges of different types of loans available in Australia:
Unsecured loansRates start at 8% for very strong bank applicants and around 14% from non bank lenders | Business lines of creditOverdrafts can be as low as 6% at banks and around 12%-25% at non bank lenders. | Secured business loansSecured business loans start at 6% to 8% p.a. | Invoice financeLenders charge a fee of around 0.5%-4.5 of the invoice value, but fees vary widely depending on the lender. | Equipment financeInterest rates for equipment loans typically range from 5% to 15% p.a. |
There are also fees involved in getting business loans.
- Establishment fee: An upfront fee charged when the loan is set up, often a fixed amount or percentage of the loan.
- Ongoing fees: Monthly or annual fees to maintain the loan or facility, depending on the lender.
- Early repayment fees: Charges that may apply if you repay the loan before the agreed term, especially for fixed rate loans.
- Line or facility fees: Fees charged on revolving facilities based on the approved limit, not just the amount used.
- Default fees and interest: Additional costs applied if repayments are missed, including higher interest rates and penalty fees.
There are loans and lines of credit available with little to no fees charged. It’s important to find lenders that don’t charge these fees so you can save more on your finance. Contact our team to learn more.
How Fast Can My Business Financing in Australia Be Approved?
Approval speed depends on the type of loan and lender.
- Unsecured business loans, unsecured lines of credit, and some private lending solutions can be approved within 24 to 48 hours, with funding shortly after.
- Secured loans, particularly those involving property, typically take longer due to valuation and documentation requirements. These approvals can take several days to weeks.
Choosing the right lender and having your documentation prepared can significantly improve approval timeframes.
Bad Credit Business Loans
Businesses and business owners with credit issues in their past can still access funding. Instead of focusing solely on your credit history, many non bank and private lenders prioritise your current business performance and capacity to repay the loan. For unsecured loan applications, lenders review recent bank statements, revenue trends, and your ability to meet repayments based on actual cash flow. Private lenders will assess your security value and the strength of your exit strategy.
This means that even if you have past cleared defaults or previous financial issues, funding may still be available. However, loans in this category typically come with higher interest rates and shorter terms due to the increased risk.
The priority should be selecting a loan that supports cash flow and stabilises your position. If you have credit issues and need financing, our team can help you find a suitable lender.
Startup Business Loans
Startup businesses can access funding, and there are many lenders that are willing to lend to those with short trading histories.
Unsecured options with good rates and terms may not be available until you’ve been in business for 12 months, so startups are best suited to asset based or secured options.
Startups can access:
- Secured or asset based loans secured by property
- Equipment finance
- Equipment rent to own
- Residential property loans
Lenders assess startups based on the following:
- Personal financial position
- Available security
- A deposit (for equipment finance)
- A 12 month cash flow forecast
- Proof to support the forecast
Use Our Business Loan Calculator
Understanding what your repayments will look like for a business loan is an important step before applying.
A business loan calculator allows you to estimate repayment amounts, and total interest costs based on factors like your loan amount, interest rate, term, repayment frequency, security type, repayment type, and any additional payments.
This helps you assess affordability and choose a loan that fits your cash flow.
Get the Right Business Loan for Your Needs
If you are looking for business funding, we can help you find a solution that fits your situation and goals.
Apply now or speak with our team to explore your options.
Frequently Asked Questions
The amount you can borrow depends on your revenue, cash flow, credit profile, and whether you provide security. Loan amounts can range from $10,000 to $50 million. Unsecured loans can go up to $2 million, while secured loans can go much higher.
The difference between secured and unsecured business loans is that secured loans require an asset as security, while unsecured loans do not.
With a secured business loan, you offer property or another asset as security, which usually allows you to access lower interest rates, higher loan amounts, and longer repayment terms.
With an unsecured business loan, you do not need to provide any security, and approval is based on your capacity to repay. This allows for faster approvals, often within 24 to 48 hours
Approval timeframes for business loans depend on the loan type. Unsecured loans can be approved within 24 to 48 hours, while secured loans may take longer due to valuation and documentation requirements.
The documents required depend on the loan size and lender. Many unsecured loans up to $1M do not require financials and are typically assessed via a read only view of bank statements, while larger loans typically require full financial documentation. Full documentation can require:
Financials (Profit and loss statements, balance sheets)
ATO ICA and ITA portal access
Asset and liability statements
Details of existing debts and commitments
Yes there are business loan solutions for business owners with bad credit history. Some lenders assess applications based on cash flow and overall business performance rather than credit score alone. Businesses with bad credit can access funding from non bank or private lenders but rates can be higher and terms can sometimes be shorter.
Many lenders allow early repayment, but some may charge fees or not offer a reduction in interest if you pay out a business loan early. Your terms are outlined in the loan agreement and these will cover if there are any fees for an early repayment. If your loan is variable rate, you may repay early and reduce the amount of interest paid. If your loan is fixed rate, you may be charged a break fee or an early repayment fee.
In most cases, yes any business loan you acquire will reduce your borrowing capacity in the future. This is because having a loan increases your liabilities, which lenders consider in future applications. Lenders will want to make sure you can cover all your current liabilities on top of the loan you’re applying for. If you have too many loans and liabilities, you can consolidate them into a better priced single loan to free up cash flow and improve your borrowing capacity.
Interest rates vary depending on the loan type, risk profile, and lender. Secured loans generally offer lower rates than unsecured loans. Lender selection is an important factor in securing the best rates for your business loan. Our team can help you find the best lender with the lowest rates so you can save more on your loan.
* To approved applicants only
Disclaimer: Loans and the benefits associated with them are only available to those who have been approved. The information provided on this page is general and does not consider your individual circumstances. It is not meant to serve as a substitute for professional advice, and you should not rely on it for any decisions. Always consult with a professional regarding finance, tax, and accounting matters before making any choices or taking action.