Before refinancing business loans, prepare a clear record of what needs paying out, what security is available and how the replacement debt would be repaid. A well-organised file helps identify missing information; it does not guarantee approval or faster settlement.
This checklist supports our property-backed business loan refinance service. It is a preparation guide, not a universal lender document list. Requirements vary by borrower, structure and lender. Personal and household debt consolidation is outside this service.
Start with a short summary—not a folder of sensitive documents
For an initial discussion, summarise the business purpose, total debt to refinance, current repayment commitments, approximate property equity, deadline and intended repayment source. Note any arrears or enforcement notices promptly.
Keep full statements and identification documents for the agreed document-collection process. Confirm the recipient and secure delivery method before sharing them. Never send banking passwords or one-time verification codes.
1. Build a complete business-debt schedule
Use one row per facility, including loans that may remain in place. Record these fields:
- Lender, borrower entity and facility type.
- Current statement balance and statement date.
- Formal payout amount, validity date and any daily adjustment.
- Repayment amount, frequency and next payment date.
- Remaining term, maturity date and any final payment.
- Arrears, default notices and relevant deadlines.
- Security, guarantees and whether the facility is being retained or discharged.
A statement balance is not necessarily a settlement payout. Ask the outgoing lender to identify applicable interest, early repayment and discharge charges. Have your adviser reconcile any difference rather than adding an unexplained allowance.
2. Obtain payout evidence for the intended settlement date
Keep complete payout letters, not cropped screenshots. If a quote expires before the expected settlement date, ask for an updated figure or written confirmation of how it changes. Identify which party will arrange discharge and confirm closure after settlement.
Illustrative arithmetic only: if two verified payouts are $60,000 and $35,000, the debt component is $95,000. A statement showing $58,000 for the first facility does not explain its $60,000 payout; reconcile the $2,000 difference. Transaction costs, any retained interest and justified working capital are separate funding components. They must not be counted twice.
3. Explain the property and existing mortgage position
- Property address, type and ownership details.
- Current mortgage statements and payouts where a mortgage will be replaced.
- Known additional mortgages, caveats or other security interests.
- Available value evidence, clearly identified as an estimate, appraisal or valuation.
- Relevant loan terms and information about consent or priority requirements.
An owner’s estimate is not an accepted lender valuation, and apparent equity is not the same as net usable funding. Existing debt and transaction costs affect the proposed structure. If a second mortgage is proposed, retain the first-mortgage repayments in the cash-flow assessment.
4. Show current trading and cash flow
Prepare available business bank statements, financial accounts, BAS or management figures as requested. Include a forecast that separates confirmed receipts from assumptions, accounts for existing obligations and tests slower trading or delayed payments.
Explain the cause of repayment pressure and what has changed. A refinance cannot be assessed properly from gross turnover alone. Our daily repayments guide explains how to map deductions against operating costs.
5. Reconcile tax and other creditors
Where relevant, provide current business tax statements, payment-arrangement details, supplier balances and any notices to your adviser. Distinguish liabilities to be paid out from obligations that will continue. Do not treat an informal estimate or an accountant’s review in progress as a confirmed final tax balance.
6. Support the repayment strategy
For ongoing servicing, explain how cash flow supports all repayments. For a proposed sale or refinance exit, provide the available supporting evidence and distinguish an intention, an indicative proposal and an unconditional commitment.
Record the principal due at maturity and what happens if the planned exit is delayed or produces less money. Interest-only repayments do not reduce principal. Moving unsecured debt onto property security also exposes that property to loss if the replacement loan is not repaid.
7. Check the complete funding calculation
Reconcile the gross facility with outgoing payouts, applicable fees, retained interest and any approved working capital. Confirm the net proceeds actually available. Compare total costs and remaining debt, not simply the new periodic repayment. See our rates, fees and repayment risks guide.
Before sending the file
- Use dated filenames showing the entity and document type.
- Check that borrower names and property ownership are consistent.
- Include all pages and explain missing documents.
- Identify expired payouts and unconfirmed assumptions.
- Keep existing payment and notice deadlines visible—an application does not suspend them.
If the business cannot meet its obligations under realistic assumptions, independent accounting, legal or restructuring advice may be more appropriate than further borrowing. The Small Business Debt Helpline offers free support for small business owners in financial difficulty.
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Start with the summary figures, purpose and timeframe. We can then identify the information required for your particular scenario.
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General preparation information only—not financial, legal, tax or insolvency advice. Business-purpose finance only, subject to lender assessment, verification, acceptable security, terms and fees. No approval or settlement outcome is guaranteed.