Understanding exactly what lenders look for in 2026 gives you the best chance of approval - and helps you apply at the right time with the right documentation.
| Criteria | Minimum requirement | Notes |
|---|---|---|
| Trading history | 6 months | 12+ months preferred for larger facilities |
| Monthly revenue | $6,000/month | Consistent deposits in business account |
| ABN status | Active ABN | Must be registered and active |
| Credit score | Equifax 550+ | Some lenders go lower |
| Property security | Not required under $150K | May be required for larger facilities |
| Tax returns | Not required | Bank statements only for most products |
| Directors | Australian resident | At least one director must be Australian |
| Business structure | Any | Sole trader, partnership, company all eligible |
The 6 months of bank statements you provide are the core of the assessment. Here is what lenders focus on:
Regular, consistent deposits signal a stable business. Irregular or lumpy deposits raise questions about revenue reliability. Consistent is more important than high.
Growing revenue over the 6-month period is a strong positive signal. Declining revenue raises questions about business sustainability.
Lenders assess whether your costs leave sufficient cash flow to service a new facility. High existing loan repayments reduce your borrowing capacity.
Dishonoured payments (bounced direct debits) are a significant negative signal. A clean bank account with no dishonours for the last 3+ months is strongly preferred.
Regular BAS, PAYG and super payments visible in your statements show good compliance. Irregular or missing payments raise concerns.
Key point: Being disqualified by one lender does not mean you are disqualified by all. Different lenders have different appetites. A broker knows which lenders are most flexible for your specific situation.
Related: See the full 2026 Business Overdraft Factsheet for eligibility, worked examples and what documents you need.
Use our borrowing calculator for an instant estimate - no credit check, no obligation. Or talk to a broker who can assess your specific situation across 50+ lenders.
Check eligibility →Most non-bank lenders require 6 months of active trading. Some require 12 months for larger facilities. Banks typically require 2+ years.
Most lenders require at least $6,000 per month in business bank account deposits - equivalent to $72,000 per year. Some specialist lenders will consider lower amounts.
No - property security is not required for facilities under $150,000. Above that threshold, some lenders may request a general security agreement or property guarantee.
Yes - sole traders are eligible for business overdrafts provided they meet the standard criteria: 6+ months trading, $6,000+ monthly revenue, valid ABN and Equifax score 550+.
Everything you need to know - eligibility, rates, lenders, how to apply and Payday Super 2026. Free download.
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