Business overdraft
- Better manage cash flow
- Only pay interest on what you use
- No formal repayment structure
Key takeaways
Low doc options
Only pay interest on what you use
Up to 5 years terms for peace of mind
What is a Business Overdraft?
A Business Overdraft is similar to a Business Line of Credit – giving business owners a safety net to better manage business finances. It is typically a revolving line of credit that is attached to a business transaction account, allowing funds to be drawn if and when needed, up to an approved limit. It does not typically come with a formal repayment structure, and is usually used to assist in managing business cash flow.
Common reasons you might benefit from a Business Overdraft:
- You’re working on a long-term service or product delivery, and payment will not be received until it is completed or delivered.
- Your customers are delayed in paying you, affecting short term cash flow
- You experience seasonal or fluctuating revenue
- You need to purchase inventory in order to generate revenue
- You need capital for short term investments to grow revenue
Eligibility for a Business Overdraft
To be eligible for a Business Overdraft, you generally need to:
- Have an active ABN and GST registered
- Have been trading for more than one year
- Have an average monthly turnover of $10k +
Other criteria will likely apply as well, depending on your current situation and needs. Book a meeting with our expert team to talk through your requirements and timeframes, and we can work out the best way for you to move forward.
Nadine Connell
Commercial Finance Broker
A quick guide to Business overdraft
(Disclaimer) – this information is general in nature. Talk to our lending specialists for specific information tailored to your unique needs.
Amount
Any depending on eligibility
Interest rates
Varies based on credit history
Loan terms
Up to 60 months
Pre-approval
Depends on loan complexity
Starting from 48 hours
Repayments
Can be daily, weekly or monthly in terms of fee charge for drawdown; amortised over an agreed time period.
Approval & settlement
1 -3 days (can vary by lender)
Security
Can be unsecured or secured depending on your situation and priorities.
Documentation needed
- Proof of identity (low doc)
- 6 months bank statements (low doc)
- Business financials (sometimes)
- Cash flow projection (sometimes)
We get you the best business finance
from our marketplace of 60+ lenders
Not just your commercial finance broker.
Your business partner for the long haul.
Over the past 15 years Nadine and Chris have had the privilege to help more than 3,300 Australian business owners realise their business goals.
Everyone’s situation and needs are unique. That’s why we offer personalised commercial finance broker and planning services, designed to ensure you get the right type of business finance with the best rates and terms possible.
What’s more, as our client you’ll also get access to all the experience and knowledge of our team – helping you succeed long term. Together.
Key benefits of
Business overdraft
What can
Business overdraft
be used for?
How it Works
1. Talk to us
Share your goals with our lending experts.
2. We get to work
We negotiate with our network of 60+ lenders
3. You choose the best loan
We help you apply for the loan that best fits your needs.
Avoid these mistakes if you want the best Business overdraft
Some business owners aren’t aware that interacting directly with lenders could harm their chances of getting a business overdraft..
Here are some common mistakes to avoid:
- Applying with multiple lenders directly
- Allowing multiple credit checks in a short period of time
- Not being honest or omitting important information
- Asking for more than is serviceable
- Being unprepared – no cash flow or financials
Making these mistakes could mean you aren’t able to get a business overdraft at all, or only one with poor rates and terms. This is why it’s so beneficial to work with us. We partner with you and help you avoid these mistakes so you get the best outcomes possible.
Frequently asked questions
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As business finance brokers, we work for you to find the best loans from our marketplace of more than 60+ lenders which included the big four banks like Westpac, CommBank, ANZ and National Bank, to regional and niche lenders like BOQ, JudoBank, Pepper Money, Scotpac and many, many more. We don’t offer business loans directly ourselves.
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Have a question? Just ask!
One of our lending specialists will be in touch
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