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
Author: Paige Estritori

Please Note: We do not endorse any specific products or companies. Some content is sourced from third parties, including press releases, and may not be independently verified for accuracy or completeness.

Share this news item:

Rate this article

0 Comments

No comments yet. Be the first to share your thoughts.

Finance News

SME Borrowing Rebound Puts Planning Ahead of Panic
SME Borrowing Rebound Puts Planning Ahead of Panic
04 Nov 2026: Paige Estritori
Australian SME borrowing activity appears to have regained momentum, with newly reported Banjo Loans Barometer data for the quarter to 30 September 2026 pointing to stronger loan applications, more loans drawn and a continued focus on cash buffers. The result is notable because it follows months of more cautious borrowing signals from parts of the small business market, and suggests many firms are not simply waiting for conditions to improve before reviewing their funding position. - read more
SMEs Turn to Non-Bank Funding as Investment Plans Hold Up
SMEs Turn to Non-Bank Funding as Investment Plans Hold Up
28 Oct 2026: Paige Estritori
Australian SMEs planning their next round of investment are increasingly looking beyond traditional bank funding, with new ScotPac SME Growth Index findings reported by Inside Small Business on 22 October 2026 showing non-bank finance has reached a record share of intended funding use. The result is a notable signal for business owners and finance managers: the question is no longer simply whether credit is available, but which structure best matches the timing, risk and cash flow profile of the business. - read more
Business Confidence Signals Put Loan Readiness Back in Focus
Business Confidence Signals Put Loan Readiness Back in Focus
16 Sep 2026: Paige Estritori
Latest Australian business survey reporting is sending a practical message to owners and finance managers: trading conditions may be holding up in parts of the economy, but confidence remains fragile. For SMEs, that mix matters. When revenue is uneven, input costs are sticky and customers are cautious, the timing and structure of new borrowing can become just as important as the headline interest rate. - read more
Why ATO Interest Changes Matter for Business Borrowers
Why ATO Interest Changes Matter for Business Borrowers
09 Sep 2026: Paige Estritori
A tax change now working through Australian business finances deserves close attention from owners, directors and finance managers. Since 1 July 2025, the ATO’s general interest charge and shortfall interest charge have no longer been tax-deductible. For businesses carrying overdue tax or correcting underpaid obligations, that can lift the effective after-tax cost of falling behind. - read more
Payday Super Puts Payroll Timing Under the Finance Microscope
Payday Super Puts Payroll Timing Under the Finance Microscope
02 Sep 2026: Paige Estritori
Australia’s move towards Payday Super is more than a compliance update for employers. For many small and medium-sized businesses, it changes the rhythm of payroll-related cash outflows and places a sharper focus on whether day-to-day liquidity is strong enough to meet obligations as they fall due. - read more
Specialist SME Lending Remains Open, But Discipline Matters
Specialist SME Lending Remains Open, But Discipline Matters
26 Aug 2026: Paige Estritori
Latest market reporting around specialist SME lender Judo Bank points to a business credit market that is not shutting down, but is becoming more deliberate. The lender’s continued focus on relationship-led lending, deposits and small to medium-sized business borrowers suggests demand for finance remains present among firms with clear plans and serviceable cash flow. - read more
Payment Timing Keeps Pressure on SME Working Capital
Payment Timing Keeps Pressure on SME Working Capital
19 Aug 2026: Paige Estritori
Fresh small business indicators are again pointing to a familiar challenge for Australian SMEs: trading activity may continue, but the timing of cash receipts is still creating pressure. Recent industry commentary has highlighted uneven payment behaviour, cautious customer spending and a more deliberate approach to investment among smaller firms. For owners and finance managers, that combination can make working capital planning just as important as sales growth. - read more


Business Loans Articles

Financial Planning for Business Growth: A Blueprint for Expanding Enterprises
Financial Planning for Business Growth: A Blueprint for Expanding Enterprises
Financial planning becomes increasingly important as a business prepares to expand. A practical financial plan can help an enterprise allocate resources, assess funding needs, manage cash flow and prepare for risks that may arise as operations scale. - read more
How to Compare Business Loan Features Before You Apply
How to Compare Business Loan Features Before You Apply
Comparing business loan features is an important part of understanding the different finance options available to your business. Loan products vary between lenders, with differences in interest rates, fees, repayment terms, borrowing limits and eligibility criteria. - 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
How to Improve Your Startup Loan Application in Australia
How to Improve Your Startup Loan Application in Australia
Securing finance can be an important step for a startup, but new businesses often face closer lender scrutiny because they may have limited trading history. This guide explains how startup loan options work in Australia and how founders can prepare a clearer, more credible application without assuming approval is guaranteed. - read more
Business Liquidity Financing Options in Australia
Business Liquidity Financing Options in Australia
Liquidity is a vital part of business financial health. It describes how readily a business can meet short-term obligations, manage cash flow and respond to changing conditions without unnecessary financial strain. - read more
Common Mistakes to Avoid When Evaluating Your Refinancing Options
Common Mistakes to Avoid When Evaluating Your Refinancing Options
Refinancing can be a powerful tool for small and medium enterprises (SMEs) in Australia. It offers an opportunity to restructure debt, potentially secure better interest rates, and the possibilities of improved cash flow - all critical elements for maintaining and growing a business. Given the dynamic nature of financial markets, refinancing can provide businesses with a strategic advantage to manage their finances more effectively. - read more
Business Loan Refinancing and Sustainable Business Growth
Business Loan Refinancing and Sustainable Business Growth
Business loan refinancing involves replacing existing debt with a new loan under different terms. For Australian businesses, refinancing may help improve cash flow, simplify debt management or align repayments with longer-term growth plans, but the costs and trade-offs need to be assessed carefully. - read more



Knowledgebase
Personal Loan:
A personal loan is usually made by a financial institution to an individual person without the need for the provision of asset security. Personal loans can generally be obtained for any worthwhile purpose subject to the lending criteria of the financ