Start with the way your business receives money
Progress claims, retentions and delayed payments can leave builders and trades with a gap between earned revenue and money in the bank. Wages and materials still need to be paid, while BAS obligations continue.
A business loan may address an existing ATO balance, but it must fit the business’s ongoing costs. No industry-specific approval policy, success rate or specialist case study has been supplied for this website.
Bring a realistic forecast to the conversation
Your accountant can help establish the debt and test repayment capacity. Lender criteria differ, and an initial conversation is not a guarantee of funding.
- Show the timing of progress claims and retentions.
- Allow for subcontractor and material payments.
- Include GST and PAYG obligations in each project forecast.
Choose a structure, not just a repayment figure
Secured or unsecured lending can involve different risks, guarantees and costs. Compare the total amount repayable and consider the consequences if trading slows. Where viability is uncertain, ask for appropriately qualified advice before borrowing.
