Understanding the various types of business loans in Australia is the first step to borrowing.

1. Term loans

Think of term loans as the sturdy foundation of business financing. You receive a lump sum with a set term and interest rate, and repay it through regular installments. Ideal for various needs, from equipment purchase to expansion plans.

2. Line of credit

A line of credit works much like a safety net. You're granted a credit limit, but you only pay interest on the funds you use. It's perfect for handling unforeseen expenses or managing cash flow.

3. Equipment finance

When your business needs shiny new equipment, an equipment finance loan comes to the rescue. It allows you to acquire machinery or assets with the loan itself secured against the equipment. A smart choice for asset-intensive businesses.
4. Invoice financing

Unlock the value of your unpaid invoices. With invoice financing, you can access funds tied up in outstanding invoices, keeping your cash flow steady and your business thriving.

5. Commercial real estate loans

If you're planning to expand your business by buying or renovating commercial property, this is the loan you need. It's like securing a new home, but for your business endeavours.

6. Unsecured loans

No collateral? No problem! Unsecured loans don't require any assets as security. They're suitable for businesses that lack valuable assets or prefer not to pledge them.
7. Franchise financing

For those aiming to join a franchise, franchise financing loans can make the journey smoother. They're tailored to the unique needs and financial structures of franchising businesses.

8. Trade finance

When importing and exporting goods, trade finance can be a valuable ally. It facilitates international trade by providing funds to pay suppliers and ensure a smooth flow of goods.

9. Business overdraft

Picture a financial cushion to cover unexpected expenses or emergencies. Business overdrafts allow you to access extra funds when your business account balance runs low.