Quick answer
An unsecured pack stands on cash flow alone, so the evidence is trading evidence: three to six recent months of business bank statements, lodged BAS, your latest tax return, an ATO account position, identity documents and a debt schedule. With no property to lean on, the assessor wants the statements and the tax story to line up cleanly.
Key points
- No property means cash flow carries the whole decision.
- Bank statements, BAS and tax should tell one consistent story.
- Unsecured options are typically sized from $5,000 to $500,000 on turnover.
- A short purpose statement helps the assessor see what the funds will do.
- Typical range
- $5,000 to $500,000, sized on turnover and statements
- Security
- None over property
- Gathering time
- Roughly 1 to 2 hours
What changes when there is no property in the picture?
When a loan is secured by property, an assessor has two things to lean on: the business’s trading and the strength of the security. An unsecured application has only the first. That makes the evidence of trading do all of the work, and it explains why unsecured packs are leaner in paper but sharper in detail.
The practical consequence is simple. For a secured pack, a few untidy months can be absorbed by the security. For an unsecured pack, every month of statements is part of the decision. It pays to read your own statements before the assessor does; the page on what assessors mark on bank statements lists the usual things.
What belongs in an unsecured pack?
| Item | What it proves | Where it comes from |
|---|---|---|
| Photo ID for each owner or director | Identity | Scans of the original |
| Business bank statements, all accounts | Revenue pattern, day-to-day conduct | Banking apps, PDF |
| Merchant or POS settlement reports | Card takings match deposits | Payment provider portal |
| Lodged BAS, recent quarters | Turnover reported to the ATO | ATO online services for business |
| Latest tax return or financials | Profit and tax position | Accountant |
| ATO account position | Tax debts, payment plans | Online services for business |
| Schedule of existing debts | Repayments already committed | Your records |
| Two-line purpose statement | What the funds will do | You |
Add leases or key contracts only if they bear on the story (for example, a new contract that is the reason for the loan).
How do I tell my cash-flow story in a paragraph?
Assessors read hundreds of files. Yours is easier to read when it comes with a short, plain cover note, five lines at most:
- What the business does and how long it has traded.
- What the funds are for.
- How it will help the business earn or save.
- Anything unusual in the statements (a lumpy month, a one-off payment) and why.
- How the funds will be repaid, in terms of the business’s normal income.
Cash-flow lending sizes the amount on turnover, and the cover note is where you connect the two. The follow-up page on serviceability in plain English shows what the assessor does with the numbers once they have read your note.
Illustrative example. A garden-maintenance business with steady weekly income wants funds to add a second crew and van. Its note reads: “Eight years trading. Funds for a van fit-out and tools for a second crew. Existing customers already waitlisted. Winter statements dip because of shorter days; summer rebounds.” The assessor now knows what the dip is before spotting it.
What should I check before I send statements?
Open each PDF and read it the way a stranger would. Look for:
- Gaps in dates, or statements that start mid-month.
- Large one-off deposits you cannot account for in a line.
- Transfers between your own accounts, which can make revenue look bigger than it is.
- Dishonours, overdrawn days, or payments returned.
If you find any, you have two choices: explain them in the note, or fix the cause going forward. Fix it before you lodge lists the usual repairs.
What if I have a thin history or a tough period?
You are not out of the game, but the pack needs to meet the problem head-on. A short history should be covered with whatever evidence there is: contracts, invoices issued, forward bookings. A rough quarter should be named and put in context, not left to be found. The pages on thin trading history and explaining a bad month show how.
Should I run the readiness check?
It takes about three minutes and turns your answers into a list of what to gather and what to fix first. Try the application readiness check before you assemble the pack; it will tell you where to spend your time.
What are the common mistakes in an unsecured pack?
- Sending only the main account. If the business uses a second account for card settlements, wages or tax savings, the assessor needs it too. A missing account looks like a missing part of the story.
- Round-number deposits without captions. Family loans, owner top-ups and transfers from savings are common and fine, provided they are named.
- Statements that stop mid-month. Download whole calendar months, so the first and last days are not cut off.
- A purpose that cannot be tested. “General business use” tells the assessor nothing. A defined purpose ties the amount to something measurable.
How does turnover size the amount?
Unsecured and cash-flow options are typically sized from the business’s turnover and the pattern on its bank statements, which is why the range for trading businesses generally runs from $5,000 to $500,000. A business with steady, well-evidenced takings can usually support a larger facility than one with the same annual total arriving in a few lumpy deposits.
That is the reason the statements get such close attention in an unsecured file. They are not only proof that the business exists; they are the basis of the sizing. Evenly spread revenue, consistent banking and low-drama conduct help. A pack that shows those qualities, and that explains any exceptions, makes the sizing conversation short.
Ready for the first step?
When your statements are tidy and your story is clear, lodge a free enquiry. It takes around a minute and asks for no documents, and it will not mark your credit file. Your details land with one person who reads them, not with a crowd of lenders.
Give the form exact answers: the amount you need, what it is for, how long you have traded and your state. Accurate input means the first call can move straight to options, and the pack you have built waits ready for the moment it is requested.
Frequently asked questions
How many months of bank statements do I need for an unsecured pack?
It depends on the lender and the amount, so ask when you speak to a specialist. Gather the most recent full months you can, in PDF, so you are ready whichever number is asked for. Include every business account, not just the main one.
Is a personal guarantee likely?
It is possible, particularly where a company is borrowing without property. If a guarantee is requested, each guarantor will need ID and a statement of position, so tell your co-directors the possibility early.
My GST registration is recent. Does that matter?
Only to the extent that you may have fewer BAS to show. Supply what is lodged and rely on bank statements for the months before. The ATO sets the registration threshold at $75,000 of GST turnover, so a newer registration just means your lodged history is shorter.
Should I include a cash-flow forecast?
It is optional but useful, particularly when the funds are for growth or a seasonal build-up. business.gov.au has a free cash flow template. Keep forecasts modest and label estimates as estimates.
What if my business is mostly cash or card takings?
Show how takings reach the bank. A cash-heavy business should deposit regularly and consistently, and the pack should include the POS or merchant settlement reports that match the deposits.