What Documents Do You Need for a Low Doc Commercial Loan?

At Hodgestone Finance, we know that not everyone has all the documentation required to get the loans they need to purchase property, machinery and other vital assets that can help your business succeed. This is where our ability to assist you with low doc lending comes in handy.

In this article, we’ll go through what documentation you’ll need to get a low doc loan and how you can obtain each one. This means you’ll be well-prepared when we connect you with one of our many private lenders.

Here is what you need to know.

What is a Low Doc Loan?

When you are searching for the right type of loan, you may come across the term ‘low doc’. Standing for ‘low documentation’, these types of loans do not need the same amount of documents that you would need for a more traditional loan from a conventional source, like one of the big banks.

At Hodgestone Finance, we can assist you in getting low doc loans for $40M+, which you can pay back over an extended period of time. Low doc loans are ideal for:

• Investors
• People without regular PAYG income
• Businesses struggling to get the loan they need through their bank
• Self-employed sole traders
• Self employed borrowers with complex company structures

We specialise in designing low doc commercial loans for Melbourne, Brisbane and Sydney businesses.

The Documents Needed For Low Doc Commercial Loans

Applying for any sort of loan usually comes with the need for a whole lot of technical and sometimes confusing documentation that you need to supply. This is to help the lender, usually a bank, check your credentials and make sure you are who you say you are, and are capable of paying back the loan.

Low doc loans don’t need nearly as many documents for a successful application, but there are still some that you will absolutely need to provide. They can be one of the following:

Business Activity Statements (BAS)

Your business statements should showcase how your business has been operating, including how much money you’re bringing in and what your expenses are. Some lenders like to use BAS to gauge the consistency of your income and any cash flow patterns for self-employed borrowers. Try to use BAS statements from the last three to six months.

Your GST Status and ABN

You will need to have an active Australian Business Number (ABN) that has been registered for over a year to show that your business is a legitimate one.

Any business that has an annual income above $75,000 will need to have a Goods and Services Tax (GST) registration. This is needed to show that your business can meet the minimum expectations of revenue.

A Signed Declaration of Income or an Accountant's Letter

Show your proof of earnings using recent bank statements that show regular deposits or cash flow. Some lenders will also allow you to use a self-declared income statement if other documentation is limited, but this may result in a higher interest rate.

A signed letter from your accountant can also act as a declaration of income, as it will confirm your earnings based on their knowledge of the financials of your business.

Documents You Won’t Need

If the song and dance of attempting to get a traditional loan has left you dizzy, we don’t blame you! Trying to figure out exactly what you do and don’t need for all the different types of loans is certainly enough to make your head spin.

If you are going to apply for a low-doc loan through us, here are some of the documents you won’t need to provide.

• Income Tax Return (ITR): This is the type of tax return that you lodge for your business. For more information, see the ATO’s Income Tax Return
• Notice of assessment: This is the document you receive after the ATO processes your tax return.
• Financial reports: These documents track and analyse your business income.

Of course, should you happen to have access to any of this information, we encourage you to bring it along with you to your consultation with our team. The more information we have, the better the rate and loan we can get for you.

We have private lenders in Brisbane, Melbourne and Sydney that we can connect you with to get the perfect low doc loan! You can always rely on us to help you get private commercial loans.

Our Types of Commercial Loans Explained

As an expert commercial loan broker, Hodgestone Finance specialises in helping you find the perfect private commercial loans that will help your business succeed.

Here are our commercial loan options.

Commercial Property Loans

Anyone looking for commercial property loans in Australia knows that finding the right one isn’t always easy. Commercial property finance is usually used to buy or refinance an investment property or an owner-occupied building like an office or factory.

The commercial real estate loans we offer include:

• Full doc property loans
• Bad credit property loans
• Low doc property loans / no doc (non-conforming) property loans
• Commercial property loans
• Investment property loans
• Bridging property loans
• Short term commercial loans, with quick settlement timeframes

Construction Lending

Are you planning a building or development project? Our low doc construction loans can help get your construction project off the ground.

We provide high-quality, low doc development loans and other finance options for clients who don’t conform to bank policy for whatever reason, including:

• Credit issues
• Lack of financials
• LVR parameters
• No pre sale requirements

And a variety of other factors!

Lease Doc Loans

These types of loans will use your current commercial lease agreements to secure the finance you need. This lets your business access money without providing the full range of documents banks usually require, and they are ideal for businesses that rely on leased premises but do not conform to the requirements of banks regarding tax returns and other similar documents.

Lease doc loans are great for:

• Businesses with existing lease agreements but limited financial documentation
• Self-employed individuals or companies with complex structures
• Investors and businesses who want a fast loan approval without an excess of paperwork

Connect With Hodgestone Finance, Your Trusted Commercial Loan Broker Today!

Getting low doc commercial loans has never been easier, thanks to Hodgestone Finance. As a trusted commercial loan broker for many clients across the country, we pride ourselves on helping you find the perfect lender from our non-bank and private connections.

With three offices available to visit or speak to, it’s easy to get started on receiving your loan! Call our head office on 1300 463 439 to speak with an expert, or fill out our online form to get a free quote for our services.