Funding speed varies significantly. Traditional commercial banking services can take several weeks. In contrast, many online and specialist lenders offer a quick approval business loan, with streamlined processes that can result in funds being available in as little as 3 to 6 hours after approval.

An initial enquiry or 'soft check' to see what loan you might be eligible for generally does not impact your credit score. However, submitting a formal business loan application results in a 'hard enquiry', which is recorded on your credit file. It is best to avoid multiple hard enquiries in a short period.

While a strong credit history is beneficial, it is still possible to get a loan for your business with an imperfect credit file. Many modern lenders place a higher emphasis on your recent cash flow and real trading performance. If you can demonstrate consistent revenue, you may still qualify for a business loan, though potentially at a higher interest rate.

The loan amount depends on your business's revenue, trading history, and the type of loan. Unsecured loans typically go up to $250,000, while secured loans can be significantly higher, often into the millions, depending on the value of the asset provided as security.

While your bank may know you, it can only offer its own products. Melbourne's lending market is incredibly diverse, with over 80 lenders actively competing for your business. Many specialist and online lenders offer faster approvals, more flexible criteria, and sharper rates than the 'big four'. Our platform instantly compares them for you, ensuring you see the best option for your Melbourne business, not just the most convenient one.

For most business loans under $250,000, the process is surprisingly simple. Melbourne businesses can often secure funding with just an active ABN, a driver's licence for identification, and the last 6-12 months of digital bank statements. For larger or more complex funding, you may also need financial reports like a Profit & Loss statement and recent tax returns.

While securing a loan for a brand-new business is challenging, it's not impossible. Most lenders require a minimum of 6 months of trading history to demonstrate revenue. Once your Melbourne startup hits that milestone, you become eligible for a wide range of loan options. Given Melbourne's competitive startup scene in areas like Cremorne and the CBD, having a solid business plan and early sales data is key to a successful application.

We see Melbourne businesses use loans for a huge range of opportunities. The most common reasons are purchasing inventory for retail stores, funding a new café or restaurant fit-out in high-traffic areas, buying new equipment or vehicles for construction and trade businesses, and covering cash flow gaps between major projects or seasonal peaks like the Spring Racing Carnival or the Australian Open.

No. As a sole trader, you are personally liable for any debt associated with the business, so a formal Director's Guarantee isn't necessary. The distinction is that you and the business are considered a single legal entity, making your personal assets potentially liable without a separate guarantee.

The difference is how you use them. A term loan provides a lump sum for a specific purpose, like buying a new coffee machine for your St Kilda café or a van for deliveries across the city. A line of credit is a flexible, revolving safety net for ongoing needs, like managing payroll during a quiet month. Our data shows 85% of Melbourne businesses prefer the flexibility of a line of credit for managing day-to-day cash flow.