How the Australian Business Securitisation Fund could help your business

The fund should make it easier if you’re struggling to get finance for your business.

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The government recently announced plans to inject $2 billion into the small business lending market to help small- to medium-enterprises (SMEs) that are struggling to get capital.

The policy is called the Australian Business Securitisation Fund and will be introduced to address the ongoing credit squeeze for small businesses looking for funding.

Read our guide below to see how it could help your business.

What is the Australian Business Securitisation Fund?

It’s a taxpayer-backed fund that aims to increase competition in SME lending by boosting alternative lenders. It will be administered by the Australian Office of Financial Management.

How does it work?

The securitisation fund will purchase secured and unsecured loan packages from smaller banks and non-bank lenders, which can then use the funding to lend to SMEs and potentially lower borrowing costs for small business owners.

The big four banks currently account for over 80% of small business lending and often charge more on rates compared to non-bank lenders. The fund aims to level the playing field between traditional and alternative lenders and make it easier for owners to secure a loan.

How can I apply?

There is currently no official word on when or how SMEs can apply for or use the fund. We will keep updating this guide as more information is announced.

In the meantime, if you're considering a loan from a non-bank lender, read our guide to alternative bank loans.

What are my other options?

If your business needs funding soon and can't wait for the launch of the fund, you can compare fast small business loans now.

You can also prepare for the launch by reading our guide to how business loans work.

Updated August 20th, 2019
Name Product Min. Loan Amount Max. Loan Amount Loan Term Upfront Fee Apply Now
$5,000
$300,000
3 months to 1 year
3% origination fee
An unsecured business loan up to $300,000 for eligible businesses. Businesses operating for a minimum of 6 months and having turnover of at least $10,000 a month can apply.
$5,000
$500,000
6 months to 3 years
$0 application fee
A loan of up to $500,000 that can be approved and funded within 24 hours. Available to businesses with 6+ months operating history and $5,000+ monthly sales.
$5,000
$100,000
3 months to 1 year
2.5% establishment fee
Apply for up to $100,000 from Lumi and benefit from short loan terms, no early repayment fees and once approved receive your funds in just one business day.
$5,000
$1,000,000
3 months to 5 years
$0 application fee
A Small Business Lending Specialist from Valiant Finance can give you access to competitive business loans from over 60 lenders. Loans between $5,000 and $1 million are available. Request a call – your loan can be funded in 1 business day.
$5,000
$300,000
3 months to 2 years
3% origination fee
A business loan available up to $300,000 that can be funded in 1 business day. Must have a turnover of $6,000+ per month and provide 6 months of trading history, 3 months history for existing business purchases.
$5,000
$100,000
1 to 3 years
$0 application fee
Apply for up to $100,000 and get a response within 60 seconds. No upfront or ongoing fees and a transparent fixed rate.
$10,000
$500,000
6 months to 2 years
$0 establishment fee
A flexible business loan up to $500,000 with convenient top up and redraw facilities. Business must have been operating for 9 months+ and have monthly sales of $10,000+. Note: The establishment fee will be waived if you apply and are approved before 15 October 2019.
$5,000
$500,000
6 months to 2 years
2% drawdown fee
A business loan up to $100,000 for unsecured loans, or $500,000 for secured loans that you can use for any business purpose. Transparent costs and redraw facility available.
$10,000
$250,000
6 months to 2 years
2.5% origination fee
Apply for up to $250,000 and receive your approved funds in one business day. Minimum annual turnover of $100,000 and 1 year of trading history required.
$2,000
$300,000
1 month to 1 year
$0 application fee
An unsecured business loan from $2,000 that offers convenient pre-approval and no early repayment fees.
$10,000
$100,000,000
Up to 25 years
0.75% application fee
Borrow from $10,000 with multiple repayment options including optional fixed rate periods.

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