A revolving business overdraft gives your SME a flexible line of credit - draw what you need, repay when it suits, and only ever pay interest on what you use. We find the right lender for you.
A business overdraft is a revolving facility - not a one-time loan. Your limit refreshes as you repay, giving you ongoing access to working capital.
We assess your business and connect you with the right lender. Once approved, a credit limit is set - up to $500K depending on your turnover and credit profile.
Access funds directly from your business account whenever you need them - no reapplying. Interest is only charged on the amount drawn, not your full limit.
As you repay, your available balance refreshes. Weekly or monthly repayments keep the facility active over a 5-year term - there when you need it, invisible when you don't.
OverdraftMe is a specialist business overdraft broker based in Sydney, Australia. We match Australian SMEs with the right lender from our panel of 50+ lenders. ACL 511092 | MFAA Member | AFCA Member. Have more questions? Read our full FAQ →
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Business overdraft interest rates range from 14.55% to 25% p.a. for unsecured facilities through non-bank lenders, and 6% to 12% for secured bank facilities. Through OverdraftMe, we compare 50+ lenders to find the lowest rate for your profile.
The critical point many business owners miss: interest is only charged on the drawn amount, not the full limit. A $100K overdraft where you draw $20K for one week costs approximately $70 in interest at 18% p.a. When you repay, the interest stops. This makes overdrafts dramatically cheaper than they appear on paper.
All interest and fees are tax deductible. At 25% company tax rate, 18% effectively becomes 13.5% after the deduction. Full tax deductions guide.
There are three cost components:
Interest (14.55-25% p.a. unsecured): Calculated daily on your drawn balance, charged monthly. If you draw $50,000 at 18% for one month, the interest is approximately $750. If you draw nothing, the interest is $0.
Line fee (1-2% p.a.): Charged on your total approved limit whether you use it or not. On a $100K facility at 1.5%, that's $125 per month or $1,500 per year. This is the cost of having the facility available.
Establishment fee ($0-$995): One-off setup cost. Some lenders waive this entirely.
For detailed cost breakdowns: $20K | $50K | $75K | $100K | $200K
Many businesses use credit cards for working capital. An overdraft almost always costs less. Credit cards charge 18-22% plus 1.5-2% merchant surcharges on every transaction. On $100K/year in supplier payments via Amex, that's $1,500-$2,000 in surcharges alone. An overdraft eliminates surcharges entirely because you pay suppliers via bank transfer. Full comparison.
Since 1 July 2025, ATO General Interest Charge (GIC) at 10.96% is NOT tax deductible. Business overdraft interest IS deductible. For a $100K ATO debt, an overdraft at 18% with tax deduction effectively costs 13.5% - versus 10.96% non-deductible GIC. After tax, the overdraft is cheaper AND clears your ATO debt immediately. Full comparison.
OverdraftMe is operated by John Pierre Saliba, a senior finance broker with over 10 years of experience. Qualifications: Bachelor of Business and Commerce, Advanced Diploma in Financial Planning, Diploma of Finance and Mortgage Broking Management. MFAA accredited, AFCA registered, credit representative of Lend and Loan Pty Ltd (ACL 511092). You deal with John directly. Book a 15-minute call or call 02 8046 3933.
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