Product factsheet

Business Line of Credit Factsheet 2026

Eligibility, rates, costs, worked examples and what documents you need. Written by John Pierre Saliba, MFAA accredited broker.

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Written by John Pierre Saliba | MFAA Accredited | ACL 511092 | Bachelor of Business and Commerce | Last updated: May 2026

What is a business line of credit?

A business line of credit is a revolving facility that works like an overdraft but is not tied to your transaction account. You draw funds as needed, repay when revenue lands, and the limit refreshes. Interest applies only to the drawn balance.

Through the OverdraftMe lender panel, lines of credit range from $20,000 to $500,000. The key difference from a business overdraft is that a line of credit operates as a separate facility, not linked to your everyday bank account.

Key facts

FeatureDetail
Facility size$20,000 to $500,000. Use the borrowing calculator for an estimate.
Interest rate13% to 22% p.a. (drawn balance only)
TermRevolving, redraw without reapplication
RepaymentInterest-only on drawn balance, repay principal at will
Trading history6 months minimum
Min monthly revenue$6,000 in business bank deposits
Credit scoreEquifax 550 or above
Property securityNot required under $150,000
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Who is a business line of credit for?

Eligibility at a glance

Core criteria for the OverdraftMe lender panel:

Not sure if you qualify? Check eligibility here.

How it works

  1. Step 1: Check eligibility60-second online form. No credit check. Tells you in a minute whether you are in range.
  2. Step 2: 15-minute call with JohnDiscuss your needs, facility size, and which lender fits. One application, one credit enquiry.
  3. Step 3: Upload 6 months of bank statementsFull document list under $150K. No tax returns, no BAS, no financials.
  4. Step 4: Decision and fundingLender decision typically 1 to 4 hours. Funds available same day for morning applications.
Start my application → Talk to John directly

What documents you need

Worked example

$200,000 line of credit

Facility limit: $200,000

Amount drawn: $80,000 for a project deposit

Interest rate: 18% p.a. (drawn balance only)

Weekly interest cost: ~$277 on the $80K drawn

After client pays: Repay $80K, interest stops immediately

Facility resets: $200K available again, no reapplication

See real settled deals on the results page.

Want to see numbers for your business? Get your indicative quote. Takes 2 minutes. No credit check.

Compare with other products

Want the facility tied to your transaction account? See the Business Overdraft Factsheet.

Need a fixed lump sum instead? See the Business Loan Factsheet.

No property? See the Unsecured Overdraft Factsheet.

For stock or payroll gaps, see the Working Capital Loan Factsheet.

Guides and resources

Available Australia-wide

OverdraftMe serves all states and territories. Speak to a broker in Sydney, Brisbane, or Gold Coast.

Frequently asked questions

What is a business line of credit?

A revolving credit facility separate from your transaction account. You draw what you need, repay, and the limit refreshes. Interest on drawn balance only.

How is it different from a business overdraft?

An overdraft is attached to your everyday bank account. A line of credit is a standalone facility. Both are revolving, but a line of credit gives you a separate pool of funds.

How much can I access?

$20,000 to $500,000 through the OverdraftMe lender panel. Use the borrowing calculator for a personalised figure.

What interest rate will I pay on a line of credit?

13% to 22% p.a. on the drawn balance only. No interest on undrawn funds.

Do I need tax returns for a line of credit?

No. Under $150,000, most lenders require only 6 months of bank statements, an ABN, and a driver's licence.

How fast can a line of credit be approved?

Decisions typically in 1 to 4 hours. Same-day funding available for complete morning applications.

Can I redraw after repaying?

Yes. The facility revolves. Once you repay, the full limit is available again without reapplying.

Still have questions? Call John Pierre on 02 8046 3933 or see all FAQs.

General information only. Not financial advice. Credit subject to lender assessment. All rates, fees and terms quoted are indicative only and subject to change based on your individual circumstances, credit profile and lender policy at the time of application. Past approvals do not guarantee future results. OverdraftMe is a credit representative of Lend & Loan Pty Ltd (ACL 511092).

Free download: Business Line of Credit Factsheet 2026

Same content as above, in a 2-page PDF you can email or print. Written by John Pierre Saliba.

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