Business loan amounts in Australia vary enormously — from $5,000 in working capital financing to $10 million+ in commercial property lending. The amount you can borrow depends on which type of lending product you're applying for, whether you have security to offer, and how strong your financials are.
Quick Reference: Loan Amounts by Product Type
| Product | Typical Range | Key Driver |
|---|---|---|
| Unsecured business loan | $5K–$500K | Monthly revenue |
| Secured business loan | $50K–$5M+ | Property security + profit |
| Equipment finance | $5K–$5M+ | Asset value |
| Invoice finance | Up to 90% of debtors | Invoice book size |
| Commercial property loan | $200K–$20M+ | Property value + income |
| Line of credit | $10K–$500K | Revenue + credit history |
How Unsecured Lenders Calculate Borrowing Capacity
Fintech and specialist lenders typically base the loan amount on a multiple of monthly revenue — usually 50–150% of one month's average revenue from the last 3–6 months of bank statements.
Example: $80,000/month average revenue × 100% = $80,000 maximum unsecured loan.
They'll also check:
- That deposits are consistent (not just 1–2 large payments per month)
- That the account isn't regularly going negative
- That there are no prior dishonoured payments or ATO debt
How Banks Calculate Borrowing Capacity
Traditional bank business loans are assessed on profitability (EBIT or EBITDA) and debt serviceability. The bank will typically lend up to a multiple of your annual profit, adjusted for all existing debt commitments.
A common assessment: EBITDA × 3–5× (varies by industry and security). A business with $200,000 EBITDA might be approved for $600,000–$1,000,000, depending on security offered.
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Impact of Property Security
Offering residential or commercial property as security substantially increases how much you can borrow — typically up to 70–80% of the property's value, minus any existing mortgages.
A business owner with a $900,000 home, $400,000 mortgage, and 80% LVR threshold has $320,000 in usable equity that could support a secured business loan.
ATO Debt and Its Effect
Existing ATO (Tax Office) debt — even if on a payment plan — is a significant red flag for most lenders. They see it as evidence of cash flow problems. Address ATO debt before applying where possible, or disclose it upfront and show a current payment arrangement.
How to Maximise Your Borrowing Capacity
- Clean up personal credit before applying (any defaults or late payments)
- Have 6+ months of strong, consistent bank statements
- Have current BAS statements lodged (no overdue ATO lodgements)
- Reduce existing personal debts (credit cards, car loans)
- If offering property security — have an updated valuation ready
Multiple Products, Multiple Amounts
Many businesses use a combination of facilities — a bank term loan for larger capital needs, plus a fintech line of credit for working capital. A broker can help you understand how to structure this to maximise total access without over-leveraging.
Find out your business borrowing capacity
We assess across multiple lender types and can tell you exactly what's realistically available for your business.