Private lending › Low doc business loans
Low doc business loans,
secured by property.
When the business is sound but the paperwork is not ready, property equity does the work that tax returns would otherwise do. We arrange low doc and no doc facilities assessed on the security and the exit, not on a servicing calculator.
Get indicative terms
Same day, in writing. No credit check to enquire.
The basics
What low doc actually means
A low doc loan is one where the lender accepts alternative evidence of income instead of two years of tax returns, financial statements and notices of assessment. A no doc loan goes further again: no income evidence at all, with the assessment resting entirely on the security offered and the plan to repay. Both still require you to declare the purpose of the loan, and both are business or investment lending rather than consumer credit.
There is a distinction inside this phrase that costs borrowers a lot of money, because two very different products share the same label. One is unsecured cash flow lending, advanced against card takings or bank statements, typically priced in the high teens to high twenties and repaid daily or weekly over six to eighteen months. The other is property-secured low doc lending, where a registered mortgage sits behind the facility. Same words, different universe on price and size.
We arrange the second kind. If you own property with equity in it, you are almost always better served by borrowing against that equity than by an unsecured facility, because the lender's risk is covered by an asset rather than by a rate. If you have no property to offer, we are the wrong call and we will say so on the first conversation rather than after a valuation.
The process
What you actually need to provide
- Identification and an ABNStandard identity documents and evidence the borrowing entity exists. An ABN registered for at least six months is the usual floor, though the security carries more weight than the trading history.
- A declaration of purposeA signed statement that the funds are for business or investment purposes. This is a legal requirement, not a formality, and it is what puts the loan outside consumer credit regulation.
- The property detailsA rates notice, statements for anything already secured against the title, and your estimate of value. That is usually enough for indicative terms the same day.
- A credible exitHow the facility gets repaid: a sale, a refinance once financials are current, a settlement, a receivable landing. This matters more than income evidence ever will.
What you do not need
Two years of tax returns. Financial statements. Notices of assessment. Twelve months of BAS. In most cases, none of these are required at all, and where a funder does want something on income it is typically a single accountant's letter or a recent bank statement rather than a full financial package.
Credit appetite
What lenders assess instead
Equity, not income
The gap between what the property is worth and what is owing against it sets the facility. A property worth $1.5m with $800,000 owing has meaningful room at 80%, regardless of what last year's return said.
Position on title
A first mortgage prices better than a second. A second needs the existing lender's consent, which is reliably the slowest part of any low doc file.
The exit
Low doc facilities are short by design. Lenders want a specific repayment event with a date attached, not a general intention to refinance at some point.
ATO debt and arrears
Neither is automatically disqualifying, and settling an ATO position is one of the most common reasons these loans are written. What matters is whether the arrears are explained and the exit still works.
Where low doc is the wrong answer
If your financials are current and you can wait six to eight weeks, a full-doc facility from a bank or a mainstream non-bank lender will be materially cheaper. Low doc buys speed and it buys access when the documentation genuinely is not available. It is not a permanent funding structure, and anyone telling you otherwise is selling rather than advising.
Terms
Low doc parameters
Priced against LVR, security type and location rather than against income evidence. Metropolitan residential security at moderate leverage sits at the sharp end of the range; specialised or remote security at the other.
| Rates | From 7.99% p.a. |
|---|---|
| Establishment fee | From 0.75% |
| Term | 3 – 60 months |
| Maximum LVR | Up to 80% |
| Loan size | $200,000 – $100m+ |
| Income documents | Generally not required |
| Purpose | Business and investment |
| Indicative terms | Same day |
FAQ
Frequently asked questions
What is a low doc business loan?
A low doc business loan is finance where the lender accepts limited or alternative evidence of income instead of full tax returns and financial statements. Assessment rests mainly on the security offered and the plan to repay. It suits businesses that are trading well but cannot yet produce current financials, and it is available for business or investment purposes only.
What is a low doc loan?
A low doc loan is any loan approved without the standard income documentation a bank requires. Rather than two years of returns and notices of assessment, the lender relies on the value of the security, the borrower's equity position and a credible exit. The trade for that flexibility is a higher rate and a shorter term.
What is the difference between low doc and no doc?
Low doc means reduced income evidence, often a single accountant's letter, recent bank statements or a signed income declaration. No doc means no income evidence at all, with the lender relying entirely on the security and the exit. No doc is generally available only at conservative LVRs and on strong security, and it prices accordingly.
Who qualifies for low doc business loans?
Broadly, a borrower with an ABN, a business or investment purpose, and property with enough equity to support the facility. Credit history matters far less than at a bank, and existing ATO debt or arrears do not automatically rule you out. What is required in every case is real security and a repayment plan the lender can test.
How do I get a low doc business loan in Australia?
Start with the property rather than the paperwork. Bring a rates notice, statements for any existing mortgage, your estimate of value, and a clear description of what the money is for and how it will be repaid. That is enough for written indicative terms the same day, and no credit check is needed to enquire.
Are low doc loans still available?
Yes. Consumer low doc home loans were largely withdrawn after the responsible lending reforms, which is why people assume the product disappeared. Business and investment purpose low doc lending was never affected in the same way and remains widely available through non-bank and private funders.
What counts as income for a low doc loan?
Where a funder asks for anything at all, it is usually one of: an accountant's letter confirming the business can service the facility, six to twelve months of business bank statements, recent BAS, or a signed self-certification of income. Many property-secured facilities require none of these, particularly where interest is capitalised into the loan.
How much can I borrow on a low doc loan?
Up to 80% of the property's value across our panel, inclusive of anything already secured against it. On a property worth $1.5m with $800,000 owing, that is roughly $400,000 of available room, subject to valuation and lender assessment. Facilities run from $200,000 to $100m and above.
What are the disadvantages of a low doc loan?
The rate is higher than a full-doc facility, the term is shorter, and there are establishment costs to recover. If the exit does not happen on time you are exposed to extension fees or a default rate. It is a deliberate short-term tool, and it only makes sense when the cost is smaller than the cost of the opportunity or problem it solves.
Do I need a deposit for a low doc business loan?
Not for a facility secured against property you already own, where existing equity takes the place of a deposit. For a purchase, expect to contribute the difference between the price and the maximum the lender will advance, which on low doc terms generally means 20% or more of the value.
Enquire
Tell us about the security.
Rough value, what is owing against it, what the funds are for and how the facility gets repaid. No financials needed to get indicative terms.
Prefer to talk it through? Call 0478 715 429.