Quick answer
To get your first business loan in Australia: work out exactly what the money is for and how much you need, check your business is loan-ready (ABN, tidy bank statements, BAS lodged), decide between secured and unsecured, gather your documents, make one well-matched enquiry, compare the offer by total cost, read the documents carefully, then sign and start repayments.
Key points
- Start with the purpose and the amount, not the lender.
- Get loan-ready first: ABN, one business account, BAS lodged.
- Make one well-matched enquiry instead of many applications.
- Compare offers by total dollars repaid, then read every page.
- Steps
- 8, start to finish
- Enquiry
- About 60 seconds
- Credit check to enquire
- None
- Amounts
- $5k – $5m
Welcome to Stage 3, the practical part. If you’ve worked through Loans 101 and What Lenders Check, you already know more than most first-time borrowers. Now let’s put it together into a simple, step-by-step path from “I think I need a loan” to “the money’s in the account”.
Step 1: What exactly is the money for?
Start here, not with the lender. Write one or two sentences:
“I want to buy a second coffee machine and grinder so we can serve the morning rush without a queue out the door.”
A clear purpose does three jobs at once. It tells you which kind of loan fits. It tells a lender the money is for business. And it helps you judge whether borrowing actually makes sense. If you’re weighing that up, our guide to good debt vs bad debt is a gentle place to start.
Step 2: How much do you need, really?
Get quotes, add them up, then add a sensible buffer for things like delivery, installation or a slower month while the new thing settles in. Try not to round up “just in case” by a large amount; bigger loans mean bigger repayments.
Our lesson on how much to borrow walks through this with an illustrative example.
Step 3: Is your business loan-ready?
Before any lender looks at you, look at yourself the way they will:
- Is your ABN active, and are you registered for GST if you need to be?
- Does all business income go through one business bank account?
- Are your BAS lodgements up to date?
- Do you know what’s on your credit report?
- Are there any debts or ATO balances you’ll need to mention?
The loan-ready checklist and the loan-readiness quiz turn this into a score and a to-do list.
Step 4: Secured, unsecured or line of credit?
Match the loan to the job:
| Your situation | Likely fit |
|---|---|
| One-off purchase, steady trading, no property to offer | Unsecured business loan (typically $5,000 to $500,000) |
| Larger amount, or newer business, or credit bumps, and you own property | Property-secured loan ($20,000 to $5,000,000) |
| Repeating short-term gaps (stock, waiting on invoices) | Line of credit |
If these terms feel fuzzy, revisit secured vs unsecured or choosing the right loan.
Step 5: Gather your documents
You’ll typically need identification, recent business bank statements, your ABN details, and for some loans BAS, tax returns, financial statements or property details. business.gov.au lists identification, financial reports, forecasts and personal financial information as common requirements. Documents, explained tells you what each one proves, which makes gathering them far less of a chore.
Step 6: Make one well-matched enquiry
This is where many first-timers go wrong: they apply to five lenders at once. Each formal application can leave an enquiry on your credit file, and a cluster of them can make you look stretched.
A better approach is one enquiry with someone who’ll match you properly. That’s how we work: start a 60-second enquiry with no credit check, and a real person calls to talk through your situation. Your details aren’t fanned out to a list of lenders.
Step 7: Compare the offer and read every page
When an offer arrives, check:
- total dollars repaid, including all fees (see what a loan costs)
- repayment size and frequency, tested against your slowest month
- security and guarantees: what you’re putting up and promising
- conditions: anything that must happen before or after the money is paid
- early payout: what happens if you want to finish early
business.gov.au also suggests checking a lender on ASIC’s registers. It’s free and takes a minute.
Step 8: Sign, settle and start repaying
Once you’re happy, you sign the documents. For unsecured loans the money is paid out after the paperwork is complete. For property-secured loans there’s an extra settlement step where the mortgage or caveat is registered. Then repayments begin.
A tip for your first loan: set a reminder a few days before each repayment for the first few months and keep a small buffer in the account. A clean repayment record on your first loan makes your second one easier.
What does the whole journey look like?
| Stage | What you do | What we do |
|---|---|---|
| Before | Purpose, amount, loan-ready check | Nothing yet; learn at your own pace |
| Enquiry | 60-second form, answered accurately | A real person reads it and calls you |
| Options | Ask questions, decide | Explain options in plain English |
| Application | Provide documents | Match and prepare with the right lender |
| Offer | Compare, read, sign | Walk you through every page |
| After | Repay on time | Stay available for questions |
For more on our side of things, see how it works.
Common questions at each step
“What if I get stuck at step three?” That’s normal. Many first-timers find one or two areas that need work, such as mixed banking or a late BAS. Fix the biggest one first, then move on.
“Do I have to finish every step before enquiring?” No. Steps one and two (purpose and amount) are the most important. A real person can help with the rest.
“Can I skip straight to step six?” You can, and plenty of people do. You’ll just get more out of the conversation if you’ve thought about the purpose and amount first.
“What if the answer is no?” business.gov.au suggests asking for feedback if you’re turned down. A clear reason tells you exactly what to work on next time.
Ready to take step six?
If you’ve worked through steps one to five, even roughly, you’re in great shape for a conversation.
Our enquiry takes about a minute. It’s not an application and there’s no credit check, so there’s nothing to lose by asking. We don’t do spray and pray: your details go to one real person who works on your situation and talks you through it in everyday English. Please answer each question accurately, especially the amount, purpose and any property, so the options you hear about fit from the start.
Frequently asked questions
What's the very first step to getting a business loan?
Write down, in one or two sentences, what the money is for and roughly how much you need. Everything else, from the loan type to the lender, flows from that.
Do I need an accountant to get a business loan?
Not always. Many smaller unsecured loans rely mainly on bank statements. For larger loans, or where tax returns and financial statements are needed, your accountant or registered tax agent is a big help.
How many lenders should I apply to?
Ideally one, well matched. Multiple formal applications can add enquiries to your credit file. It's better to find the right lender first, then apply once.
What happens after I enquire here?
A real person reads your enquiry and calls you to talk it through. There's no credit check at this stage. If there's a good option, they'll explain what's needed next; if not, they'll tell you honestly.
Can I back out after I've enquired?
Yes. Enquiring is a conversation, not a commitment. You only commit when you sign loan documents.