Commercial Finance for Business Owners and Investors
Commercial finance covers loans for business purposes: buying or refinancing commercial property, funding cash flow, building premises, or buying vehicles and equipment. The rules are different from home loans. Lenders look at the property, the lease and the business, not just your personal income.
We help business owners and investors across Australia compare commercial lenders and structure loans that fit how the business actually earns money. Whether you are a sole trader buying your first workshop or a family business refinancing a portfolio, we start with your goals and work back to the right loan.
What we can help with
- Commercial property purchase loans: shops, offices, warehouses, factories and medical rooms
- Commercial property refinance: better rates, releasing equity or restructuring
- Business line of credit: flexible cash flow funding
- Construction finance for business: building or developing premises
- SMSF commercial property loans: buying your business premises through super
- Asset finance: vehicles, equipment and machinery
Choosing the right type of funding
Different business needs suit different types of finance. As a rough guide:
- Buying premises: a commercial property loan, sometimes through an SMSF
- Short-term cash flow gaps: a line of credit or overdraft
- Vehicles and equipment: asset finance, such as a chattel mortgage
- Building or extending: construction finance paid in stages
- Growing or buying a business: a business loan, often secured against property
The Australian Government’s business.gov.au guide to choosing your funding is a good plain-English overview of the main options. A common mistake is using short-term money, like an overdraft, to pay for long-term assets. Matching the loan to the purpose keeps cash flow healthier.
How commercial loans differ from home loans
- Bigger deposit: lenders often lend 60% to 70% of the property value, sometimes more for strong applications or with extra security
- Shorter terms: many commercial loans run for shorter terms than a 30-year home loan, and some are reviewed every few years
- Risk-based pricing: rates depend on the property, the tenant, the lease and your financial position
- The lease matters: a long lease to a strong tenant can improve both approval and pricing
- GST can apply: many commercial property sales include GST, which changes how much cash you need at settlement
- More paperwork: business financials, leases and valuations
What lenders want to see
- Two years of business and personal tax returns and financial statements (some lenders offer options with less documentation)
- Recent BAS statements and business bank statements
- Details of the property and any existing leases
- Your other debts and assets
- A clear purpose for the loan and how it will be repaid
If you are self-employed, our self-employed loans page explains how lenders look at business income. Your personal credit history matters too. Our Credit Ready guide to the 4Cs of credit shows how lenders judge character, capacity, capital and conditions, and the same thinking applies to business lending.
Why use a broker for commercial finance
Commercial lending is far less standardised than home lending. Each lender has its own appetite for property types, locations, industries and loan sizes. One lender may love medical suites but avoid hospitality. Another may be strong on warehouses in outer suburbs.
We know which lenders like what, so we can:
- Save you time by going to the right lenders first
- Avoid unnecessary declines that can show on your credit file
- Present your business in the way lenders want to see it
- Negotiate pricing and terms
Commercial finance FAQs
Can I use my home as security for a commercial loan?
Yes. Adding your home as extra security can increase how much you can borrow or lower the rate. It also puts your home at risk if the loan isn’t repaid, so weigh that up carefully.
Can I get a commercial loan with low documentation?
Some lenders offer options that use BAS statements, bank statements or an accountant’s letter instead of full financials. Rates are usually higher.
How long does approval take?
Commercial loans usually take longer than home loans, often several weeks, because of valuations and lease reviews. Start early, especially before a contract deadline.
Do you work Australia-wide?
Yes. We help business owners and investors in every state.
Albert Waldron is a Credit Representative (407514) of Australian Finance Group Ltd, Australian Credit Licence 389087. This is general information only and does not take into account your personal circumstances. Please seek advice before acting. Commercial and business loans are subject to lender approval, terms and conditions.