Unsecured Business Loans
Unsecured Business Loans
Access to the right financing can make the difference between seizing an opportunity and watching it pass by.
Unsecured Business Loans Australia
For many Australian business owners, unsecured business loans offer a practical path to funding without the need to put business or personal assets on the line as security.
What Is an Unsecured Business Loan?
An unsecured business loan gives you access to money without having to put up your property, equipment, or other assets as security. Unlike secured loans where lenders hold a charge over property, equipment, or other tangible assets, unsecured loans are assessed primarily on the financial strength and creditworthiness of your business.
Still confused? Think of it this way.
With a traditional secured loan, the bank says "we'll lend you this money, but if you can't pay it back, we get your building" (or your car, or whatever you've put up as security).
With an unsecured loan, there's no specific asset tied to the loan from day one.
Instead, lenders look at how your business is actually performing.
They want to see:
- Consistent revenue coming in
- Healthy cash flow
- That you're profitable (or at least heading that way)
- A track record of meeting your financial obligations
In short: the lenders in this model are betting on your business's ability to keep making money rather than betting on the value of your physical stuff.
Can You Actually Get Approved?
Let's talk about the minimum requirements most lenders look for:
The Basics
- You need to be an Australian citizen or permanent resident
- You need to be over 18
- Your business needs a valid ABN (and if you're a company, an ACN)
- You've been trading for at least 12 months (some lenders want 24)
- You're doing at least $5,000-$10,000 per month in revenue (varies by lender)
Your Business Structure
Doesn't matter as much as it used to. Whether you're:
- A sole trader
- In a partnership
- Running a company
- Operating through a trust
Most lenders will work with you. The paperwork requirements might be a bit different, but the doors are open.
Industry Matters
We’re not going to sugarcoat this: some industries have a harder time. Adult entertainment, cryptocurrency, businesses involving gambling, very new and unproven industry models—these can be tricky.
On the flip side, established industries like trades, professional services, retail, hospitality (with good financials)—these are pretty straightforward.
If you're in a trickier industry, it doesn't mean no, it just means we need to work a bit harder to find the right lender.
Can You Get an Unsecured Business Loan with Bad Credit?
Short answer: Yes but it’s harder, and it will cost more.
Bad credit doesn’t automatically shut every door. Some lenders specialise in businesses that have had credit issues in the past. What they care about most is what your business looks like right now.
Instead of focusing only on your credit score, they’ll look at:
- Your current cash flow (is money coming in consistently?)
- Revenue trends (are things improving or declining?)
- How long you’ve been trading
- Whether your business model makes commercial sense
- Your recent banking conduct
If your business is healthy today, many lenders are willing to consider that.
How Does It Work?
Getting Approved
When you apply, lenders dig into your business finances. They're asking themselves one main question: "Can this business comfortably afford to pay us back?"
They'll look at your bank statements to see money flowing in and out. They'll check your revenue history. They'll want to understand your profit margins. And yes, they'll look at your credit history too—both personal and business.
Once You're Approved
You get a lump sum of money. Let's say it's $50,000. You then pay it back in monthly instalments over whatever term you've agreed to—could be 12 months, could be 5 years. Each payment includes some of the original amount (the principal) plus interest.
The nice thing about this structure is predictability. You know exactly what you're paying each month, which makes it easier to budget.
How Much Can You Borrow?
This varies a lot. Some lenders will go as low as $2,000 for really small needs. Others focus on larger amounts. Where you'll sit depends entirely on how strong your business looks on paper.
One important thing to know: Even though these are called "unsecured," if you borrow more than $150,000, most lenders will register what's called a PPSR charge over your business assets. It's not quite the same as a traditional secured loan (they're not valuing specific assets upfront), but it does give them some protection. Just be aware of that.
In the case that an unsecured business loan with a PPSR charge defaults, the lender has the legal right to seize and sell registered assets on the PPSR to recover debt.
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What is a PPSR Charge? A Personal Property Securities Register (PPSR) charge means being recorded on an official government noticeboard that shows when someone has security interests or debts against personal property. This personal property can include vehicles, machinery, and equipment. However, this excludes real estate. |
Unsecured Business Loan Calculator
Understanding how much you’re really paying back and over how long is a big part of the puzzle when you’re preparing for a loan. To give you more of an idea to start, we’ve created a free tool in our unsecured business loan calculator to help you crunch the numbers.
Slide or enter in the details of the amount you are looking to borrow and over how long to get a proper estimation for your weekly repayments. This will also give you an estimate of how long you will pay overall.
These numbers are based on the annual percentage rate and the interests generally charged in this space. However, every lender and business is different. Your repayments will change based on your loan offers, which lenders provide differently based on:
Industry
Cash flow
Trading time
Banking conduct
Credit worthiness
...and more!
Disclaimer: The calculation provided is for indicative purposes only. For accurate loan and repayment comparison, you must get a loan comparison with a soft credit check. (Soft credit checks have absolutely no impact on your credit score.)
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$1,000,000
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156 weeks
Est. weekly repayments
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If you wish to get more accurate loan repayment figures, please complete your application form by filling out your loan details. One of our lending specialists will get in touch with you to discuss your requirements in detail.
What Can You Actually Use This Money For?
The short answer: almost anything business-related. These are some real-world examples we see often:
This is huge, especially for seasonal businesses. If you're a landscaper and winter is quiet, or you run a retail business and you need to buy Christmas stock in September, these loans can keep things moving while you wait for revenue to catch up.
Retailers and wholesalers use these all the time. Your supplier offers a 20% discount if you buy now instead of next month? Sometimes borrowing the money makes financial sense.
Good marketing costs money upfront but pays off over time. If you've got a campaign that you're confident will bring in customers, financing it can make sense.
Not big enough to warrant specialised equipment finance, but still important. New coffee machine, computer upgrades, tools - stuff that keeps your business running well.
Your coolroom breaks down. Your website gets hacked and needs emergency work. Your main vehicle dies. Life happens, and sometimes you need money fast to deal with it.
Hiring someone new before you can fully afford them because you know they'll pay for themselves. Taking on a bigger project that needs some upfront investment. Opening a second location.
Documents Needed
Our loan guide
Unsecured Business Loans
Loan amount
$5k - $500k
Interest rates from
Starts from 7.99% p.a.
Loan term
3 months – 60 months
Pre-approval time
2-4 hrs
Unconditional approval & settlement time
24 hours – 72 hours
Repayments
Daily/ Weekly/ Fortnightly
Security
No security required
The Stuff You Need to Think About Before You Apply
Okay, here’s where we need to be straight with you about the downsides. Not to scare you off, but because you deserve to know what you're getting into.
You're Going to Pay More in Interest
Let's just put the numbers out there:
Secured loan: Usually somewhere between 8-10% per year
Unsecured loan: More like 10-15% per year, sometimes higher
On a $50,000 loan over 3 years, that difference could mean paying $3,000-$5,000 more in total interest. That's real money.
Why the difference? The lender is taking on more risk without holding your property as security. They price that risk into the interest rate.
Honest advice: Do the math on the full cost, not just the monthly payment. Sometimes the speed and convenience are worth the extra cost. Sometimes they're not. It depends on what the money is helping you achieve.
If this loan is going to help you land a big contract or get through to your busy season when you'll make good profit, the higher interest might be a great investment. If you're just trying to cover operational shortfalls with no plan to improve things, that higher interest is just digging the hole deeper.
Personal Guarantees
Here's something that catches people off guard: even though these loans are "unsecured," almost all of them require you to sign a personal guarantee.
What that actually means:
If your business can't pay, you personally are on the hook. The lender can come after your personal assets—your house, your car, your savings. It's not automatic and it doesn't happen immediately, but it can happen.
If you default, it goes on both your business credit file and your personal credit file. That can make it harder to get finance of any kind for years.
We need you to really think about this:
- Can your business handle the repayments even if revenue drops by 20-30% for a few months?
- Do you have a backup plan if things get tight?
- Are you comfortable with this level of personal risk?
- Have you talked to your partner/spouse about this if it affects them too?
Personal guarantees work out fine thousands of times—the business does well, payments get made, everyone's happy. But they can also cause serious stress when businesses hit rough patches.
Don't sign a personal guarantee unless you've genuinely thought through the worst-case scenario and you're okay with it.
So, Is an Unsecured Business Loan Right for You?
It's probably a good option if:
- You need money relatively quickly (within days or weeks, not months)
- You're borrowing under $250,000
- You need it for something that'll genuinely help your business
- You can comfortably afford the repayments even if revenue dips
- You don't have major assets to use as security (or prefer not to)
- Your business has decent cash flow and trading history
You should probably look at other options if:
- You can't really afford the repayments without everything going perfectly
- You're just trying to keep a struggling business alive without a plan to improve it
- You're borrowing for something that won't actually help generate revenue or improve the business
- You need a much larger amount and have assets that could get you better rates on a secured loan
- Your business is too new or your credit history is too problematic for unsecured lending
You should definitely talk to someone (like us) if:
- You're not sure whether you can afford it
- You're not sure what your options are
- You're worried about the personal guarantee aspect
- You want to compare different structures
- Your situation is a bit complicated
Have questions?
Call us on 1300 253 041 to talk to a specialist.
How to Actually Apply (And What You'll Need)
The Application Itself
Most applications these days are online and pretty straightforward. You'll need to provide:
- Your business details (name, ABN, structure, what you do)
- How long you've been operating
- Roughly what you're turning over each month
- How much you want to borrow
- What you're using it for
If you're working with us, we typically handle most of this for you. We'll ask you these questions in a conversation, then we complete the actual applications.
Documents
Here's what to have ready:
Bank statements - Usually the last 3-6 months from your main business account. They want to see your actual cash flow, not just what you tell them.
Financial statements - Profit and loss, balance sheet if you have one. If you're using Xero or MYOB, some lenders can connect directly, which makes this easier.
ID - Driver's license or passport. Basic identity verification.
Business documents - If you're a company, they might want to see your company registration. If you're operating through a trust, they'll want to see the trust deed.
Tax stuff - Proof you're up to date with your BAS and tax obligations. Some lenders can check this directly through your myGov, others want to see recent lodgements.
Pro tip: Having this stuff organised before you start makes everything faster. If you're scrambling to find three months of bank statements, it slows everything down.
What Happens Next
- You submit everything - either directly to a lender or through us
- They review it - usually takes 24-48 hours for an initial decision
- They come back with an offer - this shows the amount approved, interest rate, fees, repayment amount, and term
- You read it carefully - seriously, read the whole thing. Check the total amount you'll pay back, not just the monthly payment
- You sign if you're happy - or you ask questions if something's unclear
- Money arrives - usually 1-2 business days after you sign, sometimes same day if you bank with them already
How We Help (And Why It Might Be Worth Talking to Us)
Look, you can absolutely go directly to banks and apply yourself. Some people prefer that. But here's what we bring to the table:
We Know Who Says Yes
After 15 years, we know which lenders are most likely to approve your particular situation. If you're a 15-month-old business doing $8,000 a month in a specific industry, we know which three lenders are your best shot and which ones will just waste your time.
That matters because every application you make gets recorded. Too many applications in a short period can actually hurt your chances.
We Know How to Present Your Application
Two businesses with identical financials can get different outcomes based on how the application is presented. We know what to highlight, what to explain, and how to address potential concerns before they become problems.
We Save You Time
Instead of you filling out five different applications with five different lenders, we do that work. You give us your information once, we handle the rest.
We Can Actually Compare
When you go to one bank, they show you their product. Maybe it's great, maybe it's not, but you don't really know without seeing other options. We can show you 3-4 actual offers side by side so you can make an informed choice.
We're Not Trying to Squeeze You Into Something Wrong
This is the big one. We only do well if you do well. If we put you into something you can't afford and you default, that's terrible for you and it's bad for our reputation. We'd rather be honest and say "this isn't quite right yet" than push you into something that'll cause problems later.
Sometimes the best advice is "wait three months" or "let's look at a different structure" or even "honestly, you don't need to borrow money right now."
Empower your business through an Unsecured Business Loan
Top Unsecured Business Loans Compared
Small business loans
These loans are appropriate for small businesses who generally require a quick hassle-free funding with least documentation.
Business line of credit
This facility gives flexibility to business owners to redraw or repay as and when the funds are required.
Unsecured invoice finance
An invoice finance facility allows access to funds to businesses in advance against their invoices.
Start-up Business Loan
This loan is for businesses which are yet to start trading or generally trading for lesser than 12 months.
Unsecured Small Business Loans
These loans are apt for small businesses that generally require quick hassle-free funding with the least documentation.
Low Doc Business Loans
This loan enables self-employed borrowers and small businesses to secure instant cash flow or business capital without the requirement to furnish supporting financial documentation typically needed for loan approval.
Unsecured Business Line of Credit
Allows business owners to flexibly redraw or repay the funds as required. This is highly effective for businesses with cash flow fluctuations.
ATO Tax Business Loans
Managing ATO tax debt is a common challenge for many, but with the right approach, it can be seamlessly integrated into your business strategy.
Let's Talk About Your Situation
Every business is different. What I've written here covers the general landscape, but your specific situation might be completely different.
Maybe you've got great cash flow but poor credit from a past business. Maybe you've got amazing credit but your industry is tricky. Maybe you're somewhere in between.
The best thing you can do is have a conversation with someone who knows this stuff and can give you honest advice about your specific situation.
That's what we're here for. No obligation, no pressure, just a straightforward conversation about what makes sense for your business.
Get in touch and let's work out what your best option actually is.
We've helped thousands of businesses over the years. Some of them ended up with unsecured loans. Some went a completely different direction. What matters is that they got into something that actually helped their business move forward.
How do I apply for an unsecured business loan?
1. Check your eligibility
Check the basic loan eligibility of your business and complete the application form which takes 60 seconds.
2. Submit your application
Once you complete your application form. We get in touch to discuss your business requirement and advice the documents required.
3. Get you approved as quick as 24 hrs
Once we get all the documents required, we login your application with the most suited lender and get the loan approval in as low as 24 hours.
Why choose Broc Finance for business success?
Competitive terms
Small business specialists
With over 15 years of experience in small business financing, we facilitate customized business financing solutions for small businesses from a suite of 90+ lenders.
Customer satisfaction
Our client testimonials speak for our service. Please feel free to view our customer reviews.
Clear communication
We understand the essence of time so don’t believe in wasting our customers time by giving false hopes. Transparent and clear communication is in our DNA.
We Service
MAV
Chi Morris
VINEET PASARNIKAR
Toni Speakman
Sunil Patel
Ibrahim Alpay
Min Wilson
shephali jain
$350m+ 
5000+ 
15+ years of 
109 
Funding possible 
Hassle free 
150+ 
Frequently asked questions
The loan application is obligation free and there are no application costs involved. You’ll be charged an origination fee only after your loan is approved and disbursed into your account. The origination fees differ from lender to lender and generally ranges between 2%-4% of the loan amount. The origination fee is a one-off fee and is on top of normal interest charged on the loan amount. Please contact us if you wish to know more details about the application process.
We have lenders on our panel who generally lend to almost every sector, so essentially there are no restrictions (barring a very few industries). In case you are skeptical about whether you can get funded in your industry or not, please get in touch for a free consultation with one of our lending experts.
At Broc Finance, we endeavour to get the most adequate facility suitable to the business requirements of our clients. In most of the cases logged in through us, we try to get an indicative offer from the lender for our client’s consideration before proceeding with formal application and consent to credit check.
This approach helps our clients to avoid unwanted rejections and credit checks which can significantly impact their credit score.
We would be happy to answer, if you have any other questions. Please contact us.