Working Capital Loans

A working capital loan provides funding to help cover the everyday costs of running your business. It can be used to manage short-term cash-flow gaps, pay operating expenses or give your business additional capital to take advantage of growth opportunities.

Working capital finance can be structured as a term loan, line of credit, overdraft or another flexible business facility. We assess your turnover, cash flow, trading history, credit profile and funding requirements, then compare suitable options across our panel of 80+ banks and non-bank lenders.

Working capital loans can be used for a wide range of business expenses, including wages, suppliers, stock and inventory, rent, marketing, tax obligations, repairs, unexpected expenses, seasonal costs and funding new contracts or growth.

The amount available depends on your turnover, cash flow, trading history, credit profile, existing commitments and the type of finance required. Working capital facilities can range from smaller short-term loans through to significantly larger facilities for established businesses.

Eligible businesses can receive a same-day decision, with same-day funding available up to $500,000 for qualifying applications. Many other approved applications can be funded within 24–48 hours, depending on the amount, documentation and complexity of the application.

Working capital loan rates vary depending on the type of facility, amount, term, turnover, trading history, credit profile and whether security is provided. We compare rates, fees and repayment structures across suitable lenders to help find a competitive option for your circumstances.

Not necessarily. Unsecured working capital finance may be available without residential or commercial property security, although guarantees may still be required. Secured facilities may provide access to larger amounts, longer terms or more competitive rates.

Yes, subject to eligibility. Unsecured working capital loans don't require residential or commercial property security and are generally assessed using factors such as your turnover, cash flow, trading history and credit profile.

Potentially. Some lenders offer low-doc or streamlined working capital loans without requiring full financial statements or tax returns. Instead, they may assess business bank statements, turnover, accounting data, BAS, ABN and GST history and your credit profile.

Potentially. An ABN is an important starting point, but an ABN alone doesn't guarantee approval. Your trading history, turnover, bank transactions, GST registration, credit profile and ability to repay may also be considered.

Potentially. Previous credit issues don't automatically prevent you from accessing working capital finance. Some lenders place greater emphasis on your current turnover, cash flow and trading performance, although your credit history can affect the rate, amount and terms available.

Potentially. Some lenders consider newer businesses and start-ups, although established businesses generally have access to more options. Your current revenue, industry experience, credit profile, available security and ability to repay can all influence eligibility.

Yes, subject to eligibility. Working capital finance can be available to Australian ABN holders including sole traders, partnerships, companies and trusts.

Yes. Purchasing stock and inventory is one of the most common uses for working capital finance. It can help you place supplier orders, prepare for busy periods or increase inventory without using all of your available cash.

Yes. Working capital finance can help cover payroll, supplier invoices, rent and other day-to-day operating expenses when expenses need to be paid before revenue comes into the business.

Potentially. Business finance may be used to pay or refinance eligible tax obligations, subject to lender criteria and approval. A dedicated tax debt loan may also provide a more suitable structure depending on your circumstances.

Yes. Working capital finance can help seasonal businesses cover expenses during quieter periods, purchase inventory ahead of peak demand or prepare for busy periods before the additional revenue arrives.

Yes. Working capital finance can help cover upfront costs associated with taking on new work, including materials, inventory, wages and supplier expenses before your business receives payment from the customer.

The terms are often used interchangeably. Working capital finance broadly refers to funding used for everyday business operations, while cash flow loans are generally focused on bridging gaps between money coming in and expenses going out.

A working capital term loan provides a lump sum that is repaid over an agreed period. A business line of credit provides an approved limit that can be drawn from, repaid and potentially redrawn as needed. A term loan can suit a defined expense, while a line of credit can be better suited to recurring working capital requirements.

A business overdraft is generally linked to a transaction account and allows the balance to fall below zero up to an approved limit. Working capital finance is a broader category that can include overdrafts, lines of credit and term loans.

Working capital finance can be based on the overall strength and cash flow of your business. Invoice finance provides funding against eligible outstanding customer invoices, making it particularly useful for businesses with money regularly tied up in accounts receivable.

Terms vary depending on the lender, loan amount and finance structure. Some working capital facilities are designed for short-term needs, while others can be repaid over several years. Revolving facilities such as lines of credit operate differently and may remain available subject to ongoing lender requirements.

Repayments depend on the amount borrowed, interest rate, fees, loan term and repayment frequency. Depending on the facility, repayments may be daily, weekly, fortnightly or monthly. We compare the overall cost and repayment structure, not just the headline rate.

Often, although this depends on the lender and facility. Some loans allow additional repayments or early payout, while others may have early repayment, break or discharge fees. We can factor repayment flexibility into the options we compare.

Potentially. Refinancing may allow you to replace an existing facility with a different rate, repayment structure or loan term. Whether refinancing is worthwhile depends on the fees, total cost and terms of both the existing and proposed finance.

Getting an initial quote with Overdrive does not require an upfront credit check. We can assess your requirements and compare suitable options before progressing to a formal application. If you decide to proceed, the selected lender may conduct a credit enquiry as part of its assessment.

Eligible Australian businesses with an ABN can apply, including sole traders, partnerships, companies and trusts. Eligibility depends on factors such as turnover, trading history, cash flow, credit profile, existing commitments and ability to repay.

Working capital finance can be suitable if you need additional funds to cover operating expenses, manage seasonal cash flow, purchase stock or take advantage of a growth opportunity. The right structure depends on whether your funding need is one-off, recurring or linked to your receivables.