Business Debt Consolidation

Business debt consolidation involves refinancing multiple eligible business debts into a new finance facility. Instead of managing several loans, credit facilities or other business debts separately, you may be able to combine them into a simpler repayment structure that better suits your cash flow.

We review your existing business debts, repayments, rates, fees and remaining terms, along with your turnover, cash flow, credit profile and available security. We then compare suitable options across our panel of 80+ banks and non-bank lenders to determine whether refinancing could give you a better overall structure.

Depending on the lender and your circumstances, you may be able to consolidate eligible business loans, lines of credit, overdrafts, equipment finance, credit cards, short-term business finance and tax debt. What can be included depends on the type of debt and proposed refinance structure.

Potentially. Multiple eligible business loans and finance facilities may be refinanced into a single facility, which can simplify your repayments and make your business debts easier to manage.

Potentially. Refinancing to a lower rate, longer term or different repayment structure may reduce your regular repayments and improve cash flow. However, extending the loan term can increase the total interest paid over the life of the finance, so the overall cost should also be considered.

Potentially. If your existing debts have higher rates or your business circumstances have improved since you originally borrowed, refinancing may provide access to more competitive pricing. We compare your existing facilities against suitable alternatives to determine whether a better rate and structure are available.

The amount available depends on your existing debt, turnover, cash flow, credit profile, repayment history, available security and ability to service the new facility. Both unsecured and secured consolidation options may be available.

Eligible businesses may receive a same-day indicative decision, with same-day funding available up to $500,000 for qualifying applications. More complex refinances, particularly those involving multiple facilities, property security or asset payouts, may take longer.

Not necessarily. Unsecured business debt consolidation may be available to eligible businesses without residential or commercial property security, although guarantees may still be required. Secured refinancing can potentially provide access to larger amounts, longer terms or more competitive rates.

Potentially. Some lenders offer low-doc or streamlined refinancing options without requiring a complete set of financial statements or tax returns. Depending on the application, lenders may instead assess bank statements, turnover, accounting data, BAS, existing debt statements and your credit profile.

Potentially. Previous credit issues don't automatically prevent you from refinancing. Some lenders consider your current turnover, cash flow and trading performance alongside your credit history. Existing arrears, defaults or repayment issues can affect the options, rates and terms available.

Potentially. Higher-cost or short-term business loans may be refinanced into a different facility where you meet the new lender's criteria. This can potentially reduce repayment pressure, although existing payout fees and the total cost of the replacement finance should be considered.

Potentially. Eligible business credit card balances may be included in a broader business debt consolidation or refinancing strategy, depending on the lender and facility.

Potentially. Existing lines of credit and overdrafts may be refinanced into a term loan or another business finance facility. Whether this makes sense depends on how your business uses the facility and whether you still require ongoing access to revolving credit.

Potentially. Existing equipment, machinery or commercial vehicle finance may be refinanced, although asset-backed loans can have different payout requirements and security arrangements. In some cases, keeping asset finance separate may provide a better overall structure.

Potentially. Eligible ATO tax debt may be refinanced alongside other business debts depending on your circumstances and lender criteria. This can help bring multiple obligations into a more manageable finance structure.

Potentially. For eligible businesses, we can often secure lower rates and better terms than an ATO payment arrangement. Whether refinancing is worthwhile depends on the rate, fees, repayment structure and total cost of the new facility compared with your existing arrangement.

Potentially. If you have sufficient equity in eligible commercial property, it may be possible to use that property as security to refinance business debts. Secured finance can potentially provide a longer term and lower rate than some unsecured facilities.

Potentially. Available equity in eligible property may be used to support a business debt refinance, subject to lender criteria, valuation and your ability to service the new facility.

Potentially. Some refinancing structures can provide additional working capital above the amount required to pay out existing debts, subject to borrowing capacity and lender approval. This can give your business additional liquidity rather than using the entire new facility to refinance existing debt.

It can. Replacing multiple repayments with a more manageable structure may reduce the amount your business needs to pay each week or month. The actual improvement depends on the new rate, loan term, fees and repayment structure.

Not necessarily. A lower rate or repayment doesn't automatically mean a lower total cost. Extending the repayment period can reduce regular repayments while increasing the total interest paid. We compare the rate, fees, term, repayments and overall cost before recommending a refinance.

Not always. If your existing facilities already have competitive rates and suitable terms, refinancing may provide little benefit after payout and establishment costs are considered. Consolidation should improve your overall position rather than simply move your debt to a different lender.

Yes. You don't necessarily need to refinance every facility. Sometimes refinancing one expensive or poorly structured debt while keeping competitive existing facilities in place can provide a better result.

Refinancing means replacing an existing finance facility with a new one. Debt consolidation is a type of refinancing where multiple debts are combined into a new facility. You can refinance a single business loan without consolidating other debts.

A formal refinance application may involve a credit enquiry and the opening and closing of credit accounts can affect your credit profile. Getting an initial quote with Overdrive does not require an upfront credit check. If you decide to proceed, the selected lender may conduct a credit enquiry as part of its assessment.

Potentially, although your options may be more limited. Lenders will consider the extent of any arrears, why they occurred, your current cash flow and whether the proposed refinance is sustainable. It's generally better to review your options before repayment problems become more serious.

Yes, subject to eligibility. Business debt consolidation can be available to eligible sole traders, partnerships, companies and trusts with business-related debts.

Requirements vary, but you may need identification, ABN or company details, business bank statements, financial statements or BAS, accounting information, statements for existing debts, current payout figures and details of any assets or property being offered as security.

There can be. Your existing facilities may have payout, early repayment, break or discharge costs, while the new facility may have establishment, legal, valuation or other fees. These costs should be included when determining whether refinancing provides a genuine benefit.

Often, although conditions vary between lenders. Some facilities allow additional repayments or early payout, while others may charge early repayment, break or discharge fees. Repayment flexibility can be considered when comparing your options.

It may be worth considering if you're managing multiple repayments, paying high rates, relying heavily on short-term finance, experiencing cash-flow pressure or your business has improved since you originally borrowed and may now qualify for better terms.

Business debt consolidation can be useful when it genuinely improves your finance position through a better rate, more manageable repayments, simpler debt structure or improved cash flow. The key is comparing the new facility against what you're currently paying, including all fees and the total cost over the loan term.