First & Second Mortgage Business Loans

Product names do not describe every legal or cost consequence. Ask for the proposed facility and security documents, then compare them on the same amount and expected repayment date.

The effect of a mortgage, caveat, guarantee or priority agreement depends on the documents and jurisdiction. Obtain independent legal advice before signing.

More property security does not fix an unclear business purpose or repayment plan. Pause and compare alternatives if the proposal relies on an unsupported future refinance, uncertain sale proceeds, incomplete first-lender information or a repayment amount the business has not tested.

The Australian Government's business-loan preparation guide identifies financial reports, cash-flow statements, forecasts, identification and lease agreements as possible application inputs. Requirements vary, but a property-backed proposal is easier to assess when these six areas are organised.

Flag missing documents and conflicting balances rather than estimating them. Send identification and sensitive financial records only through an appropriate secure process.

The facility amount and headline rate do not show how much money the business receives or what it may owe at repayment. Request written terms for the same amount, expected period and repayment scenario.

• What is the total amount borrowed and the net amount available after known costs?
• How is interest calculated, and what payments are required before maturity?
• Which establishment, valuation, legal, ongoing, extension and discharge costs apply?
• What first-lender consent, deed of priority or other legal work may be required?
• What events can change pricing, trigger review or require repayment?
• What evidence supports the proposed repayment plan, and what is the fallback?

ASIC's credit advertising guidance explains that promoters must not make false or misleading statements or engage in misleading or deceptive conduct. Treat advertising about speed, ease or flexibility as a prompt for questions, not a substitute for an assessment or written terms.

Identify the expected source of repayment, the evidence supporting it and a contingency. If repayment depends on a property sale, calculate expected net proceeds after existing debt and sale costs. If it depends on refinancing, record the actual assessment stage and outstanding conditions rather than treating future approval as certain.

Hypothetical example: a company considers a second mortgage to fund equipment while retaining its existing property loan. Its comparison records the current payout, proposed second facility, all known costs, required monthly payments and the amount owing at the planned repayment date. It also tests a delayed business receipt. This example is not an Emet Capital customer, completed transaction or approval indication.

ASIC's commercial-loan information explains that borrower protections can depend on the loan purpose and circumstances. Ask a solicitor about the proposed legal documents and an accountant or business adviser to test cash-flow assumptions.

Emet Capital can help a business borrower organise the transaction, identify missing information, compare suitable lender responses and coordinate the application process. We focus on business-purpose finance secured by residential or commercial property.

As commercial finance brokers, we provide access to over 50 lenders nationwide, including major banks, regional lenders, and private capital providers. Availability and lender appetite vary by transaction.

Begin with the amount required, business purpose, property security, current debt, deadline and repayment plan. We will explain the next information needed for an initial discussion. Lender assessment, valuation, legal work and complete documentation determine whether and when a proposal can proceed.