Business Loans Australia :: News
SHARE

Share this news item!

New Horizon for Small Business Lending Rules

New Horizon for Small Business Lending Rules

New Horizon for Small Business Lending Rules?w=400

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

The Treasury has rolled out a fresh update to the lending landscape with the release of the Treasury Laws Amendment Instrument 2024: Small Business Exemption, bringing new changes up for public discussion.

The proposed regulations, aimed at modifying the National Consumer Credit Protection Regulations 2010, will push the deadline of the current small business lending exemption to October 3, 2026, from its original expiry of October 3, 2024.

Essentially, this extension means that loans serving both personal and legitimate business purposes-where the business component isn't marginal-will remain exempt from responsible lending regulations.

Current consumer credit laws, highlighted in Chapter 3 of the National Credit Act, generally bypass commercial funding. However, mixed-purpose loans (for example, blending personal and commercial finance needs) are subject to these laws unless it is evident that the primary use is for business.

Eligibility for the exemption defines a small business as having fewer than 100 employees or recording revenue of $5 million or below in the last fiscal year.

Extending the exemption offers more runtime for gathering data, which will aid in making a well-informed future decision about whether the exemption should become permanent, expire, or be altered to boost efficacy.

This approach appears to shed light on the adaptability of lending regulations, pushing boundaries for the benefit of small business dynamics within the evolving market landscape.

Source: Initially reported by David Jacobson, Bright Corporate Law Principal.

Disclaimer: This information is shared for informative purposes and should not be considered as legal advice. Always seek expert consultation to address specific needs before acting on any information provided.

Published:Thursday, 15th Aug 2024
Source: Paige Estritori

Please Note: If this information affects you, seek advice from a licensed professional.

Share this news item:

Finance News

RBA Holds Cash Rate at 3.60%, Forecasts Extended Stability
RBA Holds Cash Rate at 3.60%, Forecasts Extended Stability
08 Dec 2025: Paige Estritori
The Reserve Bank of Australia (RBA) has announced its decision to maintain the official cash rate at 3.60% during its December meeting, signaling a potential extended period of stability through 2026. This move reflects the central bank's response to higher-than-expected inflation and a robust economic environment. - read more
October Sees Significant Rise in Australian Household Spending
October Sees Significant Rise in Australian Household Spending
08 Dec 2025: Paige Estritori
In October 2025, Australian household spending experienced a notable increase of 1.3%, reaching A$78.4 billion. This marks the most substantial monthly rise in nearly two years, driven primarily by year-end sales events and heightened consumer confidence. - read more
Australia's Economy Achieves 2.1% Annual Growth in Q3 2025
Australia's Economy Achieves 2.1% Annual Growth in Q3 2025
08 Dec 2025: Paige Estritori
Australia's economy has demonstrated remarkable resilience, recording a 2.1% year-on-year growth in the third quarter of 2025. This marks the fastest annual expansion in two years, driven by robust business investments and consumer spending. - read more
APRA's New Cap on High DTI Home Loans: What It Means for Borrowers
APRA's New Cap on High DTI Home Loans: What It Means for Borrowers
30 Nov 2025: Paige Estritori
The Australian Prudential Regulation Authority (APRA) has announced a significant policy change aimed at mitigating risks in the housing market. Effective February 2026, APRA will implement a cap restricting banks from issuing more than 20% of new home loans to borrowers with debt-to-income (DTI) ratios of six times or higher. This measure applies to both owner-occupier and investor loans, excluding new housing developments. - read more
Global Dynamics and Their Impact on Australia's Financial Landscape
Global Dynamics and Their Impact on Australia's Financial Landscape
30 Nov 2025: Paige Estritori
In a recent address in Sydney, Penelope Smith, head of the international department at the Reserve Bank of Australia (RBA), shed light on the significant influence of global factors on Australia's financial conditions. She pointed out that indicators such as low equity risk premia and credit spreads suggest that financial conditions may be more accommodative than they appear at first glance. - read more
Westpac's Financial Performance: Navigating Challenges in a Competitive Mortgage Market
Westpac's Financial Performance: Navigating Challenges in a Competitive Mortgage Market
30 Nov 2025: Paige Estritori
Westpac Banking Corporation has reported a slight decrease in its annual profit, recording A$6.99 billion for the year ending September 30, 2025, down from A$7.11 billion the previous year. Despite this decline, the result surpassed analysts' expectations of A$6.83 billion. - read more
NAB Lowers Business Loan Interest Rates by 0.25%
NAB Lowers Business Loan Interest Rates by 0.25%
22 Nov 2025: Paige Estritori
National Australia Bank (NAB), Australia's largest business bank, has announced a 0.25% per annum reduction in interest rates for eligible business lending products. This decision follows the Reserve Bank of Australia's (RBA) recent 0.25% cut to the cash rate. - read more


Business Loans Articles

Alternative Funding Options for Your Australian Business
Alternative Funding Options for Your Australian Business
When it comes to starting or expanding a business in Australia, securing funding is often a top priority. However, traditional funding options, such as bank loans or government grants, can be difficult to obtain for small businesses. - read more
Business Loans in Australia: Tips for Finding the Perfect Fit
Business Loans in Australia: Tips for Finding the Perfect Fit
Funding is crucial for startups and small businesses looking to grow and succeed. In Australia, there are multiple financing options available, each catering to different business needs. These options range from traditional bank loans to more flexible lines of credit, helping entrepreneurs find the best fit for their specific requirements. - read more
From Application to Expansion: The Complete Roadmap to a Successful Business Loan Journey
From Application to Expansion: The Complete Roadmap to a Successful Business Loan Journey
For many Australian entrepreneurs, a business loan is a vital step towards achieving growth and success. Access to capital can fuel expansion, help manage cash flow, and provide the necessary resources to capitalize on new opportunities. However, navigating the journey from application to approval, and eventually, to expansion, presents its own set of challenges. - read more
A Growth Blueprint: Crafting a Financial Plan for Expanding Enterprises
A Growth Blueprint: Crafting a Financial Plan for Expanding Enterprises
Financial planning plays a crucial role when businesses are poised for growth. As enterprises expand, a well-crafted financial plan acts as a guiding framework to navigate the complexities that come with scaling operations. This plan helps in ensuring that resources are meticulously allocated and potential financial hurdles are effectively managed. - read more
The Ultimate Checklist for Applying for a Business Loan in Australia
The Ultimate Checklist for Applying for a Business Loan in Australia
Welcome to the world of boating! Whether you've just bought your first boat or are considering making a purchase, it's essential to understand the importance of regular maintenance. Proper upkeep not only extends the life of your boat but also ensures safety while out on the water. - read more
Commercial Property Financing: Top Strategies for Aussie Entrepreneurs
Commercial Property Financing: Top Strategies for Aussie Entrepreneurs
In the entrepreneurial world, securing the right type of financing can be the catalyst for substantial business growth and success. Commercial property financing in Australia encompasses a range of options tailored to meet the diverse needs of businesses, each with its own set of advantages and intricacies. This article delves into the heart of strategic financing, providing Aussie entrepreneurs with guidance on navigating this vital aspect of their business ventures. - read more
The Role of Refinancing in Sustaining Business Growth
The Role of Refinancing in Sustaining Business Growth
Loan refinancing is a financial strategy where existing debts are replaced with new ones, usually with different terms and conditions. While it might seem like just swapping one loan for another, the nuances can be game-changers for businesses. Refinancing often provides a chance to improve borrowing conditions, such as reducing interest rates, altering loan durations, or switching to a more favourable lender. - read more


Need Help Finding a Loan?
Loan Amount:
Postcode:

All quotes are provided free and without obligation by a Specialist from our National Broker referral panel. See our Privacy Statement for more details.

All finance quotes are provided free (via our secure server) and without obligation.
We respect your privacy.

Knowledgebase
Private Mortgage Insurance (PMI):
A type of insurance that a borrower might be required to purchase as a condition of a conventional mortgage loan, if the down payment is less than 20% of the property value.