Westpac: Change required to address emerging business funding needs

Emerging Australian businesses and industries are being held back when it comes securing the business funding they need to grow.
At least, that’s according to the latest Smart Industry Report on Emerging Industries from Westpac.
The report revealed that businesses in a number of emerging fields, including those ‘driving’ the move towards a digital and low carbon Australian economy, often lack the financial support provided to similar innovators in other countries.
Westpac highlighted the maturity of the capital market in Australia, as well as issues with regulation and government as being the major roadblocks startups and entrepreneurs face when accessing finance.
RELATED: Small business loans made simpler in 2019 as online lenders adopt new code
According to Reeta Dhar, Westpac’s National Head of Emerging Industries, the bank is determined to help plug the funding gap though.
“Westpac wants to back the businesses that are backing Australia, which is why we are the first bank in Australia to set up a network of specialist bankers dedicated to emerging industries, and a risk appetite to provide debt funding to scale-up businesses,” she said in a statement last week.
“We are committed to understanding the strategies, technologies and business models of these transformative companies and are unlocking a range of services that allow them to extend their operating runway, including access to debt.”
Could government small business strategy help Australian innovators?
Announced in November last year, the Federal Government’s two-pronged SME funding strategy could go some way to assisting small and emerging businesses with securing better value loans.
The first prong - a $2 billion Australian Small Business Securitisation Fund - aims to provide small banks and online lenders with the ability to significantly boost their funding levels, which would then be passed on to small businesses by way of more competitive business loans.
Secondly, the Government also floated plans to establish an Australia Small Business Growth Fund backed by banks and superannuation funds.
Inspired by the UK’s own Business Growth Fund, the Australian fund would provide longer term equity funding to small businesses - something many businesses find difficult to acquire without taking on debt.
RELATED: $2 billion small business boost: Coalition announces two-pronged funding strategy
While neither strategy currently has a concrete implementation date, the Department of the Treasury states that legislation to introduce the Australian Small Business Securitisation Fund is likely to be introduced in the earlier stages of 2019.
Until then, if you’re looking for a funding solution for your own business why not start by checking out some of the great business loan offers below. Or if you’d like to see even more, head over to Mozo’s Business Loans Comparison Hub to compare a range of offers from both banks and online lenders.
Compare business Loans 2019 - rates updated daily
Line of Credit
Unsecured business funding up to $500K. Start the online application process in just 5 minutes, and get access to funds within 24 hours once approved. Great for ABN registered businesses with an annual turnover of $200K+.
Interest Rate
Upfront Fee
Funding speed
On Application2% to 3%Instantly, once approvedLine of Credit
Unsecured business funding up to $500K. Start the online application process in just 5 minutes, and get access to funds within 24 hours once approved. Great for ABN registered businesses with an annual turnover of $200K+.
- Interest Rate
- On Application
- Upfront Fee
- 2% to 3%
- Ongoing Fees
- $0.00
- Late payment fee
- -
- Transaction fee
- -
- Early repayment penalty
- 0
- Other fees
- Various late payment fees may apply.
- Loan type
- Line of Credit
- Security type
- Unsecured
- Minimum loan amount
- $10,000
- Maximum loan amount
- $500,000
- Minimum loan term
- 6 months
- Maximum loan term
- 5 years
- Repayment frequency
- Weekly, Fortnightly, Monthly
- Repayment types
- Principal & Interest
- Minimum trading period
- 18 months
- Minimum annual turnover
- $200,000
- Application speed
- 10 minutes
- Approval speed
- 24-48 hours
- Funding speed
- Instantly, once approved
- Extra repayments allowed
- Yes
- Redraw allowed
- Yes
- Other benefits
- -
- Other restrictions
- -
Short Term Business Loan
Unsecured business loans from $10,000 - $250,000, over 6 to 24 months. Online application takes only 10 minutes and you'll know if you're approved within hours. Apply now.
Interest Rate
Upfront Fee
Funding speed
On Application3.00%from 24 HoursShort Term Business Loan
Unsecured business loans from $10,000 - $250,000, over 6 to 24 months. Online application takes only 10 minutes and you'll know if you're approved within hours. Apply now.
- Interest Rate
- On Application
- Upfront Fee
- 3.00%
- Ongoing Fees
- $0.00
- Late payment fee
- $0.00
- Transaction fee
- $0.00
- Early repayment penalty
- $0.00
- Other fees
- -
- Loan type
- Loan
- Security type
- Unsecured
- Minimum loan amount
- $10,000
- Maximum loan amount
- $250,000
- Minimum loan term
- 6 months
- Maximum loan term
- 2 years
- Repayment frequency
- Daily, Weekly
- Repayment types
- Principal & Interest
- Minimum trading period
- 1 year
- Minimum annual turnover
- $100,000
- Application speed
- 10 Minutes
- Approval speed
- from 24 Hours
- Funding speed
- from 24 Hours
- Extra repayments allowed
- No
- Redraw allowed
- Eligible to apply for renewal after 50% paid down
- Other benefits
- -
- Other restrictions
- Minimum $100k turnover and 1 Year in Business.
Invoice Finance
Get your customer invoices paid early, without waiting up to 90 days for payment. Apply online in 10 minutes and select your local or overseas invoices to fund. Flexible funding with no lock-in contract.
Interest Rate
Upfront Fee
Funding speed
On Application$0.00Same DayInvoice Finance
Get your customer invoices paid early, without waiting up to 90 days for payment. Apply online in 10 minutes and select your local or overseas invoices to fund. Flexible funding with no lock-in contract.
- Interest Rate
- On Application
- Upfront Fee
- $0.00
- Ongoing Fees
- $0.00
- Late payment fee
- $0.00
- Transaction fee
- On Application
- Early repayment penalty
- $0.00
- Other fees
- -
- Loan type
- Line of Credit
- Security type
- Secured
- Minimum loan amount
- $10,000
- Maximum loan amount
- $100,000,000
- Minimum loan term
- 0 years
- Maximum loan term
- 4 months
- Repayment frequency
- -
- Repayment types
- -
- Minimum trading period
- 0 years
- Minimum annual turnover
- $0
- Application speed
- 10 Minutes
- Approval speed
- 24 hours
- Funding speed
- Same Day
- Extra repayments allowed
- yes
- Redraw allowed
- yes
- Other benefits
- No lock in contract, flexible funding drawdowns, international invoices, trade finance
- Other restrictions
- -
- Hot DealNo repayments on Lumi Business Loans for the first 6 weeks (T&Cs apply).
Unsecured Business Loan
A straightforward business loan with no hidden Lumi fees or charges. Speedy application and approval process with fast access to funds according to Lumi.
Interest Rate
Upfront Fee
Funding speed
from 9%$0.00Within same dayUnsecured Business Loan
A straightforward business loan with no hidden Lumi fees or charges. Speedy application and approval process with fast access to funds according to Lumi.
- Interest Rate
- from 9%
- Upfront Fee
- $0.00
- Ongoing Fees
- $0.00
- Late payment fee
- -
- Transaction fee
- $0.00
- Early repayment penalty
- $0.00
- Other fees
- $0.00
- Loan type
- Loan
- Security type
- Unsecured
- Minimum loan amount
- $5,000
- Maximum loan amount
- $300,000
- Minimum loan term
- 3 months
- Maximum loan term
- 3 years
- Repayment frequency
- Weekly
- Repayment types
- Principal & Interest
- Minimum trading period
- 6 months
- Minimum annual turnover
- $50,000
- Application speed
- 10 minutes
- Approval speed
- 2 hours
- Funding speed
- Within same day
- Extra repayments allowed
- yes
- Redraw allowed
- yes
- Other benefits
- -
- Other restrictions
- Loans above $300,000 must be secured by property.
Unsecured Business Loan
Business Loans from $5,000 to $600,000 with high approval rates. Access to funds in as little as 3 hours. Cash flow friendly repayments and open minded offers.
Interest Rate
Upfront Fee
Funding speed
On Application3%, starting at $399from 3 hoursUnsecured Business Loan
Business Loans from $5,000 to $600,000 with high approval rates. Access to funds in as little as 3 hours. Cash flow friendly repayments and open minded offers.
- Interest Rate
- On Application
- Upfront Fee
- 3%, starting at $399
- Ongoing Fees
- no
- Late payment fee
- $50.00
- Transaction fee
- -
- Early repayment penalty
- no
- Other fees
- -
- Loan type
- Loan
- Security type
- Unsecured
- Minimum loan amount
- $5,000
- Maximum loan amount
- $600,000
- Minimum loan term
- 3 months
- Maximum loan term
- 1 year
- Repayment frequency
- Weekly, flexible
- Repayment types
- Principal & Interest
- Minimum trading period
- 6 months
- Minimum annual turnover
- $120,000
- Application speed
- 10 Minutes
- Approval speed
- within 1 hour
- Funding speed
- from 3 hours
- Extra repayments allowed
- yes
- Redraw allowed
- no
- Other benefits
- Daily repayments available.
- Other restrictions
- -
Mozo provides general product information. We don't consider your personal objectives, financial situation or needs and we aren't recommending any specific product to you. You should make your own decision after reading the PDS or offer documentation, or seeking independent advice.
While we pride ourselves on covering a wide range of products, we don't cover every product in the market. If you decide to apply for a product through our website, you will be dealing directly with the provider of that product and not with Mozo.