Business situation
Business finance for new businesses under 12 months
New businesses trading under 12 months have fewer lender options, but equipment finance secured by the asset and small unsecured loans from 6 months of trading are available on our panel.
The cash-flow pattern we plan around
Uneven early revenue while a customer base builds.
What new businesses under 12 months typically fund
- First vehicle or equipment
- Initial stock
- Working capital while invoices ramp up
Documents lenders usually ask new businesses under 12 months for
- ABN and GST registration
- All bank statements since trading started
- Evidence of contracts or bookings
Finance options for new businesses under 12 months
Equipment loan for new businesses under 12 months
For a new business the asset does the heavy lifting: lenders are more comfortable funding a ute or machine they can secure than an open-ended cash loan, and property ownership by the director widens the panel..
Chattel mortgage for new businesses under 12 months
A chattel mortgage is equipment or vehicle finance where your business owns the asset from purchase and the lender holds a mortgage over it as security until the loan is repaid. It is the most common structure for business vehicles, machinery and plant in Australia.
Unsecured business loan for new businesses under 12 months
An unsecured business loan is a lump sum repaid over an agreed term without property or equipment pledged as security. Lenders on our panel assess trading history, turnover and cash flow instead, and a director’s guarantee usually applies.
Key terms
Business loans for new businesses
Business loans for new businesses are typically limited to asset-backed equipment finance or small unsecured loans once 6 months of trading and consistent deposits are visible. Startups with no trading history are usually assessed on the director’s personal position.
Questions from new businesses under 12 months
Am I eligible for an unsecured business loan?
We compare options for Australian businesses. Lenders look at factors such as trading time, turnover, cash flow, credit history and the amount you need. Tell us about your business and we will explain which options may fit. There is no single minimum that applies across every lender on our panel.