Do you need an ABN or GST registration to get a business loan?

Two little acronyms, ABN and GST, come up in almost every business loan conversation. If you’re new to business, it’s easy to feel unsure whether you’ve got the right registrations in place. This lesson clears it up in plain English.

What is an ABN, and why does a lender need it?

An ABN (Australian Business Number) is an 11-digit number that identifies your business to the government and to other businesses. The Australian Business Register explains you’re entitled to one if you’re carrying on or starting an enterprise in Australia, or you’re a company registered under the Corporations Act.

For a lender, an ABN is step one. It confirms:

• there’s a genuine business to lend to
• what kind of entity it is (sole trader, partnership, company or trust)
• roughly how long it’s been registered
• whether it’s registered for GST, and since when

All of that is visible on the free, public ABN Lookup. So lenders can, and do, check it.

What does the ABR say counts as a business?

This matters if you’re just starting. The ABR explains there’s no single test for “carrying on an enterprise”, but signs include:

• significant commercial activity with sales of products or services
• an intention to make a profit, often shown by a business plan
• repeated, regular activity and proper record-keeping
• operating in a similar way to other businesses in the same industry

If your business hasn’t started trading yet, the ABR notes you may still be entitled to an ABN if you can show you’ve begun setting up, such as buying equipment, getting licences or advertising.

When do you need to register for GST?

The ATO’s rules are clear:

Situation	GST registration
GST turnover of $75,000 or more	Required; register within 21 days of reaching the threshold
Non-profit with GST turnover of $150,000 or more	Required
Providing taxi or ride-sourcing travel	Required, regardless of turnover
GST turnover under $75,000	Optional

Source: ATO, Registering for GST (page updated September 2026).

If you’re registered for GST, you’ll lodge a BAS (business activity statement), usually quarterly. Our guide to your first BAS explains it gently.

Why do lenders compare your turnover with your GST status?

Because the two should line up. If your bank statements show turnover well above $75,000 a year, but ABN Lookup shows no GST registration, a lender will ask why. It could be a simple oversight, but it raises questions about your tax position and record-keeping.

Likewise, lenders may compare your BAS with your bank statements. If sales reported to the ATO look very different from money going through the bank, expect questions.

The fix is simple: make sure your registrations match reality before you apply. If you’re unsure, ask your accountant or registered tax agent.

Registrations in order and wondering what’s next? Start a 60-second enquiry. There’s no credit check, just a real person who’ll explain your options.

Quick check: are your registrations loan-ready?

• Is my ABN active? Look yourself up on ABN Lookup and check the status and entity name.
• Is the entity right? If the loan is for your company, the company’s ABN is the one that matters.
• Am I registered for GST if my turnover requires it? Check the $75,000 threshold against the last 12 months.
• Are my BAS lodgements up to date? Lodging late is common; lodging not at all is a bigger worry for lenders.
• Does my business name match? Registered business names should line up with the ABN holder.

If you’ve recently changed structure, for example from sole trader to company, you’ll have a new ABN. Our guide to going from sole trader to company explains what that means for borrowing.

What if you’ve only just registered?

A brand-new ABN isn’t an automatic no, but it does mean less history. Lenders will lean more on your bank statements, your industry experience and any property security. The lessons on how long you’ve traded and new business loans cover this in detail.

Common mix-ups first-timers make

A few ABN and GST muddles come up again and again. None of them are disasters, but it’s better to sort them before a lender asks.

• Using a personal name on invoices when the ABN belongs to a company. Customers should be paying the entity that holds the ABN.
• Forgetting that a new structure means a new ABN. If you’ve set up a company, the old sole trader ABN doesn’t carry over.
• Assuming GST registration is automatic. It isn’t. You register, and the date you’re registered from appears on ABN Lookup.
• Letting an old ABN sit active after you’ve stopped using it. Tidy registrations make your story simpler.
• Mixing up turnover and profit. The GST threshold is about turnover, the money coming in, not what’s left after costs.

If any of these sound familiar, a quick chat with your accountant or registered tax agent will usually fix it in one sitting.

Ready to take the next step?

With your ABN and GST sorted, you’ve ticked one of the most basic lender boxes. The next question is what your business could actually borrow.

Enquiring takes about a minute, and there’s no credit check involved. We don’t forward your details to a crowd of lenders; a real person reads your enquiry, checks how your business is set up and explains your options simply. Please enter your business details exactly as registered, since accurate details help us match you properly the first time.

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