Growing your business with Bendigo business banking

At Bendigo Bank, we believe all businesses matter. Whatever stage your business is at, you need access to the right banking products and services to support you.

Business lending is designed to give your business the resources it needs to thrive. It can allow you to grow your business without using your working capital or savings. As well as increased sales, growth can provide resilience against changing market conditions or allow you to diversify your offerings. Expanding operations can also mean your business may capitalise on economies of scale, like reducing costs by buying in bulk.

Borrowing may provide the funds you need to grow your business. Taking on greater risk can feel daunting. But there are many options available to meet your business’ needs, whether you require a lump sum to purchase equipment, or are seeking some extra cash to manage cash flow.

Business overdraft

If you’re looking for additional cash flow to help support your business, a Business Overdraft might assist with this. It works as a line of credit that you can draw down as and when you need to. No set repayment schedules, just flexible funding that suits you.

This facility can give you the confidence to take on a project, knowing you can meet your operating costs before you get paid. You can use what you need, when you need it, and repay the funds once you receive payment.

Business loan

When you need a lump sum to make a big investment for your business, a Business Loan will provide you with the ability to borrow a certain amount of money and make regular repayments over a set period. With fixed or variable interest rate options available, a business loan can be tailored to your situation, supporting the growth of your business.

This is an option to consider if you are looking for finance to purchase a fixed asset, such as a warehouse or business premise.

Market rate loan

Similar to a business loan, a Market Rate Loan is a term loan facility which provides you the ability to borrow a lump sum to undertake a big investment for your business, and make repayments over time. The interest rate on a Market Rate Loan is based on the Bank Bill Swap rate (BBSY), and set by the bank. The BBSY is published daily in the newspaper and on the ASX website. Fixed and variable interest rate options are available for a Market Rate Loan on borrowing amounts starting from $200,000.

Equipment finance

Need equipment such as a new car, truck or piece of machinery to grow your business? There are several options to finance this, leaving your equity and cash flow free for other purposes.

An Equipment Loan enables you to own the asset and purchase it with a loan, using the asset as security. Another alternative is a Finance Lease where the bank will purchase and own the asset, leasing it back to you for an agreed period. You have the option to make an offer to purchase the asset at the end of the term.

With an Asset Purchase, the bank will purchase and own the asset, and you buy it in instalments over an agreed period. You will become the owner of the asset once you make the final payment.

If you want to provide vehicles for employees, you could consider a Novated Lease. This works like a finance lease and is designed for employee motor vehicles that form part of a salary package arrangement.

Credit cards for business 

A Credit Card for business works like a personal credit card but is only used for business purchases or to make payments to cover business needs.

Bendigo Bank credit cards come with useful features such as card security and individual cardholder spending limits, that help you manage payments and maintain control. At the end of each month, you receive a single monthly statement that includes an itemised list for each cardholder.

What you need to get lending for your business

If you’re applying for business lending, it’s important to understand what the bank is looking for in your application. There are several factors that go into business lending decisions. These include assessments of things like your balance sheet, cash flow performance, historical financials, and future forecasts. That’s why completing a detailed business plan is an important step before approaching a bank for a loan.

A business plan lays out the business’ background, corporate structure, products, key customers and suppliers and trading history. It also sets out how much the business wants to borrow, when the funds will be needed, how the loan will be used and how it will help the business to grow or achieve its strategy. Financial reports and bank statements are needed as evidence of the financial health of the business.

There are some common issues that can prompt the bank to turn down a business loan application. These include poor personal or business credit history; a poorly prepared business plan; a history of financial losses or declining revenue trends; or insufficient collateral to service the loan.

Business banking works for Plinius Engineering

Plinius Engineering is a Ballarat-based company which manufactures prefabricated steel structures and architectural metalwork products. The Managing Director, Mark Squire, explained what the relationship with Bendigo Bank means for his business. "Bendigo Bank makes me feel that my business matters, because they make us feel that we’re important. Everything they’ve done demonstrates to us that we matter.”

Whatever Plinius Engineering needs, there is a business banking product available. “Bendigo Bank have everything in place and a solution for everything we need. We’ve gone from equipment finance, expansion of building, credit cards to payroll to overdrafts. There hasn’t been a no, you can’t do this. There’s always been a way to do this, and that’s the difference.”

Finding the right solution for you

Whatever it is your business needs to grow and thrive, Bendigo Bank has a range of financial solutions to help. Your local business banking specialists will work with you to understand your goals and vision for the future of your business and find the right options to help you grow.

Not sure which product is right for you? Make an enquiry today!