Office Hallway

Commercial Property


Looking for commercial property finance?

At Chardon, we take a personal approach to helping you get your commercial property loan approved.

*Information provided is for assessment purposes only and no enquiry is made on your credit file.

Commercial Property Finance

Looking for finance to purchase commercial property?

At Chardon, we take a personal approach to helping you get your commercial property loan approved from our range of specialist lenders.

We're Here to Help

Getting a loan to purchase commercial property can be time consuming. Let us help!

Get Approved

We are experts at finding lenders that will approve commercial property loans.

Multiple Options

We have a vast network of lenders that will offer

commercial property loans.

What is a commercial property loan?

If you are looking to purchase a commercial property for your business or as an investment Chardon Commercial Lending can help.

Commercial property loans are for businesses seeking finance to fund real estate that is used for commercial purposes. It can be for your own business or as an investment.

The main advantages and disadvantages are:




Longer payment terms

Structured payments

Flexible options


Requires a minimum deposit of at least 20% or another property as security.

How do commercial property loans work?

Commercial property loans require a higher deposit, usually 20%, more than residential property loans which generally require a minimum of 5%.


In other words, for a residential property, you can borrow up to 95% of the purchase price whereas with commercial property you can borrow up to 80% depending on the lender. 

If you don't have 20-30% deposit, you can also leverage your equity in existing properties including either commercial or residential to meet the deposit requirements.

You should also know that certain properties are valued differently depending on the type. 

For example:

  • An office or storefront is valued differently to a service station.

What are commercial property loans used for?

There are many reasons and purposes you would use a commercial property loan. It all depends on the type of commercial property you are looking to finance.

Standard commercial properties are cheaper to finance as they appeal to a wider range of business types and are much higher in demand.

Standard commercial properties you could get a loan for:

  • Factories

  • Warehouses

  • Offices

  • Shop fronts

  • Storage units

Specialised commercial properties attract a higher rate due to the fact that they only appeal to a select range of business types. With these properties you can expect to only borrow between 50-65% of the purchase price.

Specialised commercial properties you could get a loan for:

  • Hotels

  • Service stations

  • Childcare centres

  • Car yards

  • Supermarkets

  • Restaurants

  • Pubs

  • Farms

  • Aged care facilities

  • Gyms are other recreational facilities

Aside from the type of property you’re looking at and associated level of demand, the location it’s in will also be considered by lenders as this further determines risk.

In fact, some lenders will only approve funding for properties falling under specific postcodes. Rural properties, for instance, are considered higher risk than those in metropolitan areas.

They will therefore come with a higher rate and tighter eligibility criteria.

What are the types of commercial property loans?

There a 3 main types of commercial property loans available.



To qualify for a no-doc loan, you’ll need a strong exit strategy—meaning enough security for lenders to recoup losses should you default on your loan.

That’s because no-doc loans require zero documentation and accountant declarations. Again, the application process is much quicker than full-doc loans (and even low-doc loans) but the interest rate will be higher to justify additional risk.


As the name suggests, low-doc loans come with considerably less paperwork. You (or your accountant) will simply declare your total income and that you have the ability to make repayments.

This offers businesses with low profit margins more choice and flexibility, allowing them greater access to finance (typically through non-bank and alternative lenders).

Lenders who accept low-doc applicants take on more risk, and as a result charge slightly higher interest rates. However, the application and approval process is typically much quicker.


Full-doc commercial property loans require a complete assessment of the borrower and relevant applicants or guarantors. This means providing all income and liability documents (e.g. financials, tax returns and bank statements).

Full-doc loans require more work and documentation upfront, but as a result, also come with more competitive rates.

Need help with choosing the right commercial property loan?

The team at Chardon Commercial Lending can help you with the entire process and even negotiate and find the best deal from our network of lenders.

Are you eligible for a commercial property loan?

While your eligibility for commercial property finance depends largely on your lender and their criteria, there are a few things you can do to increase your odds of an approval:

  • Have either a deposit of at least 20%, or available equity in an existing property (residential or commercial) or other eligible asset;

  • Check on your credit score to make sure it’s in good shape (above 700 is ideal). Chardon can carry out a FREE credit check for you, so we can find out what your credit score is before we help you apply for a commercial property loan. This is a good way to keep your credit score safe, as a declined application can damage it;

  • Be clear on why you’re taking out a commercial property loan and how the property you’re purchasing will add value to your business as the lenders would also like to know.

How can we help?

With Chardon, we take a personalised approach to help you get your commercial property loan approved from our network of specialist lenders.

  1. Book a meeting with one of our brokers

  2. Provide us with some information about your financial situation

  3. We find lenders that offer a suitable loan solution

  4. Submit your loan application

  5. Get Approved!

Eligibility and approval is subject to standard credit assessment criteria.

For more information please download our credit guide.

Image by Umut Sedef

Client Testimonials

Read some of what our clients have experienced choosing us as their broker.

Sidney Cityscape

Subscribe to Our Newsletter

Stay informed and up to date on the latest facts and figures of what's happening in Australian finance and the property markets.


Business Loans FAQ

Read through our knowledge base to find answers on how to get a business loan.

Eligibility and approval is subject to standard credit assessment criteria. For more information please refer to our credit guide.

 © Copyright Vandalay Industries (Finance) Pty Ltd. All Rights Reserved.

How can I get a business loan?

This is a very broad question. The best way to begin is to look at your reasons for getting a business loan, the amount you need and if you can afford to repay it. The first questions a potential lender will ask are ‘What do you need the money for?’ and ‘How much money do you need?’ Once you have answered these questions, you can approach potential lenders.

A wide range of business loans is available and the right one for you will depend on your circumstances. For example, if you don’t have assets to pledge as collateral, you will need to get a business loan that is unsecured. If you have collateral (residential or commercial property or business assets), you will be able to get a business loan that is secured. The difference between the two types of loans is that you can borrow more for a lower interest rate when your loan is secured.

The type of loan can depend on what you plan to use the money for. Equipment finance and hire purchase, for example, are specialised types of business finance used to purchase equipment. If you are seeking short-term funding for cash flow, a business overdraft, line of credit or an unsecured business loan could be the right loan for your needs.

Which bank or lender is best to get a business loan from?

Many banks offer a range of business loans, so it’s impossible to say which bank is best for a business loan. For a traditional bank loan, the bank will require you to complete a large amount of paperwork. For a new business, the bank will also require a business plan, including profit and loss projections. Even though banks differ somewhat in their approaches, they tend to offer the same range of financial products. These include short-term and long-term loans, loans with fixed rates and variable rates, secured and unsecured business loans, business overdrafts, lines of credit, credit cards and equipment finance.

Besides the banks, there are many non-bank lenders that specialise in small business loans. They offer a wide range of finance options to meet the needs of businesses in various financial situations.

Fintech (financial technology) lenders are non-bank lenders that leverage technology to make it easier when applying for a business loan. Using leading-edge technology makes it possible for you to quickly and safely apply for a business loan online. 

Is it difficult to get a business loan?

This will depend on your financial situation, how long you have been in business, whether you have collateral and the type of business finance you choose. For example, for a typical SME, it’s very hard to get a traditional bank loan. You have to submit a large amount of paperwork and often wait six to eight weeks for approval. In fact, a survey of small to medium enterprises showed that banks reject around 75% of their loan applications. This high rejection rate is the result of regulatory restrictions which limit the level of risk banks can take on.

Non-bank lenders, including fintech companies, are not constrained by banking regulations, so they are able to make more loans to small businesses. Since the loans they make are unsecured, the interest rates are higher than those of traditional bank loans. As noted, the innovative technology they use simplifies the lending process. Once it has been determined that you can repay the loan, and you are approved, the funds are transferred into your account. In this situation, it’s not hard to get business finance if you meet the criteria of the non-bank lender.

How can I get a business loan without security?

You can get a business loan without security. When you don’t use security it’s called an ‘unsecured’ loan. Even if you don’t have security, there are many loan options available. The main difference is that you usually won’t be able to borrow as much and you will pay a higher interest rate. For example, a typical rate for a secured business overdraft is around 8% per year, while the rate for an unsecured business overdraft is around 12%. That’s 50% more interest for the unsecured loan.

Certain types of loans don’t require existing collateral but use what you are purchasing as collateral. For example, with equipment finance, the item you are purchasing acts as the collateral while you are repaying the loan.

Non-bank lenders provide unsecured loans, so don’t require collateral. They safely and securely analyse your finances and credit information online to determine if you are approved for a loan and the loan amount.

Can I get a business loan if I am credit-impaired (bad credit)?

This depends on what you mean by ‘credit-impaired' or 'bad credit'. If you don’t have a credit record at all, it can be challenging to get a business loan. The same is true if you have a bad credit history which can be a result of late payments, defaults and/or bankruptcy.

If you have no credit record, it’s recommended you start somewhere. This could be getting a personal credit card with a low limit and making sure that you make all the payments on time. This way you will build a positive credit record for when you want to take out larger personal or business loans.

If you have bad credit, it can be challenging to get business finance. Some non-bank lenders specialise in providing business loans to people with bad credit but will charge a higher interest rate due to the higher risk.

To get a clear picture of where you stand, you can get a copy of your FREE credit report from:

How is your interest rate better than a bank?


If you walk into a bank, you might get a good product. But the selection is limited because they can only provide their own products.


With a business loan broker, we are talking to all the banks and lenders. In many cases we will have lenders on our panel that you may not have heard of that might be the lender that offers you the best deal.

Can I pay off my business loan early?

With most business loans, there is an option to pay off the loan early. With some lenders, you will pay the interest for the full term even if you pay the loan off early.  Other lenders will charge full interest minus a small discount when the loan is paid off early. 

Is my business eligible to get business finance?

This will depend on a number of factors including your financial position, credit history and ability to make repayments. Business lenders will typically look at your cash flow, profit and loss statement and balance sheet. In addition, they will check your credit history to see what other debts you have and how reliable you have been in making payments. Some lenders will require collateral to get a business loan, while others offer unsecured business loans that don’t require collateral. Some lenders have minimum eligibility criteria before they will consider lending. 

What are early exit fees?

With most business loans you may need to pay a fee if you decide that you would like to repay the loan before the term ends. This rate can vary between different lenders.

What do I need to complete a business loan application?

It depends!

Firstly, on your personal circumstances. Secondly, on the type of transaction. And finally, it can depend on which lender you are using.

As a rule of thumb, be prepared to hand over items such as:


  • ID

  • Payslips

  • Tax Returns

  • ATO Notice of Assessment

  • Income Statement

  • Bank Statements

  • BAS

  • Rates Notice

  • Accountant’s Letter


The above list is not extensive, but depending on your circumstances, transaction type and bank, you may not need to supply all of these.


Further to this, your broker will need to capture all of your personal information such as your employment history, assets, liabilities, income and product needs and your business objectives.