Business Fit Out Finance

Key highlights

• Spread fit-out costs over time instead of paying upfront in full
• Fund joinery, equipment, flooring, signage and trade labour
• Keep working capital free for stock, wages and opening costs
• Unsecured, secured or line-of-credit options depending on your profile
• Comparing 80+ lenders helps match funding to your fit-out budget

What business fit out finance covers

Business fit out finance funds the work of turning a bare or dated space into premises ready to trade from. That can include joinery and cabinetry, flooring, lighting, partitioning, signage, counters, shelving, climate control, and the labour of the trades who install it all. Some fit-outs also involve equipment, technology and furniture. Rather than paying the full cost upfront, finance spreads it over a manageable term so the outlay does not consume your cash reserves at exactly the moment you need them for stock, wages and marketing. Funding across Overdrive's panel ranges from around $5,000 up to $5 million, all indicative and subject to lender criteria and assessment of your circumstances.

Why spreading the cost makes sense

A fit-out is an investment that pays back over years of trading, so it often makes sense to fund it over time rather than in a single lump sum. Paying cash for the whole project can leave a business dangerously short during the very period when it most needs working capital, whether that is opening a new location or reopening after a refurbishment. Spreading the cost keeps money free for stock, staffing and the marketing that drives customers through the door. It also lets you match repayments against the revenue the improved space generates. The aim is a fit-out that strengthens the business without creating a cash-flow hole in the process.

Which funding products suit a fit-out

Several products can fund a fit-out, and the right one depends on your situation. An unsecured business loan provides a lump sum without requiring property security, typically available up to around $500,000, and suits many fit-out budgets. A secured loan can support larger projects where you have property or assets to offer. A line of credit or overdraft gives flexible access to funds as costs land in stages, which suits fit-outs paid in progress claims. Some businesses combine a loan for the bulk of the work with a flexible facility for contingencies. Comparing these against your budget and timeline helps you avoid over- or under-committing.

Funding a fit-out in stages

Fit-outs rarely bill in one hit. Deposits, progress payments to builders and trades, and final settlements tend to fall due at different points. This staged pattern can suit a flexible facility such as a line of credit, where you draw as each payment falls due and pay interest generally only on what you use. Alternatively, a term loan drawn to cover the full budget gives certainty of funds for the whole project. The choice depends on how your fit-out is structured and how predictable the costs are. A broker who understands both the products and the way fit-outs are typically invoiced can help you match the funding to the payment schedule.

Eligibility and how fast you can move

To access fit-out finance, lenders generally look for an active Australian ABN, a minimum trading history often around six to twelve months, and a minimum monthly turnover. Low-doc options may assess you on bank statements or BAS rather than full financials, which helps newer businesses or those whose returns are not finalised. Newer businesses may still qualify subject to criteria. For eligible applicants, same-day pre-approval and funding within 24 to 48 hours may be available, which matters when trades are booked and timelines are tight. All figures and timeframes are indicative and subject to lender assessment, so the actual outcome depends on your profile and the completeness of your application.

Costs and the tax angle to check

Pricing on fit-out finance is product- and profile-dependent; stronger secured facilities can start from around 7.49% p.a., with unsecured and short-term products priced higher depending on turnover, term, security and credit profile. Rates are indicative and subject to assessment, never guaranteed. On the tax side, fit-out works can involve depreciation, capital works considerations and questions about what is deductible and over what period, all of which depend on your circumstances and the nature of the works. These are matters for your accountant, not your broker. Check with your accountant before committing so the fit-out is treated correctly, and view any general information here as background only rather than tax advice.

Why compare 80+ lenders for a fit-out

Lender appetite for fit-out finance varies, particularly where works are involved rather than tangible equipment, and pricing, terms and flexibility differ widely. Applying to a single bank means accepting its view without seeing alternatives that might suit your project better. Overdrive's Simon Kendrick compares a panel of 80+ banks and non-bank lenders on one application, matching your fit-out budget and profile to lenders likely to fund it well. For eligible applicants, this comparison can reveal a more suitable structure and price than the first approached, and it avoids lodging several separate applications that each leave a mark on your credit file and can affect future borrowing.

If a fit-out is on the horizon, financing it well keeps your cash free for everything else the project demands. Simon Kendrick at Overdrive Business Loans can review your budget and turnover, run a soft credit check that leaves no mark, and compare fit-out finance across 80+ lenders to find a structure that fits. For eligible applicants, pre-approval can be quick and funding may be available within 24 to 48 hours once agreed. Get in touch for an obligation-free quote, and check the tax treatment of your fit-out with your accountant so the project is set up soundly from the start.