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Compare $20,000 Business Loans

If you need a loan to boost your small business, loo no further. From big banks to online lenders, Mozo compares a range of $20,000 business loans to help find the right one for you.

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Who offers $20,000 business loans?

Business loans are offered by banks, credit unions and even online lenders, most of which you can compare right here! By using our free comparison tool, you’ll be able to compare things like interest rates, fees and other loan features. 

How do I apply for a $20,000 business loan with Mozo? 

Once you’ve found the right loan for your circumstance by using Mozo’s business loan comparison tool, click the ‘go to site’ button. You’ll then be redirected to the provider’s site where you can fill out an application

$20,000 business loan comparisons on Mozo - last updated 21 October 2021

Search promoted business loans below or do a full Mozo database search. Advertiser disclosure.

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  • Featured Product
    Zip Business Trade

    Zip Business Trade from $1,000 to $3,000 interest free. Account fee is $12 per month, it is waived if you have zero balance. (T&Cs apply, see website for more details. Credit approval criteria, fees and charges apply.)

    Interest Rate
    Upfront Fee
    Funding speed
    0%
    $0
    Instantly, once approved
    Go to site
    Details
  • Equipment Loan

    Finstead Equipment Loan with market leading rates and one dedicated specialist from start to finish. Tailored finance solutions with ongoing finance support.

    Interest Rate
    Upfront Fee
    Funding speed
    from 2.85% p.a.
    On Settlement
    48 Hours
    Go to site
    Details
  • 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
    $0.00
    Same Day
    Go to site
    Details
  • Unsecured Business Loan

    A straight forward business loan with no hidden fees or charges. Achieve business goals through having fast, easy access to finance to give your business the boost it needs.

    Interest Rate
    Upfront Fee
    Funding speed
    from 9%
    $0.00
    Within same day
    Go to site
    Details
  • 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 Application
    3%, starting at $399
    from 3 hours
    Go to site
    Details
  • Invoice Finance

    Waddle Invoice Finance connects with your accounting software to make managing cash flow easy. Get funds from your unpaid invoices with Waddle, a cash flow platform combining innovative tech with competitive rates and flexible terms.

    Interest Rate
    Upfront Fee
    Funding speed
    6% - 11% p.a.
    0.50% - 1.50% drawdown fee on each transaction
    Same day
    Go to site
    Details
  • Featured Product
    Line of Credit

    Zip Business Loans online application process can be completed in as little as five minutes, and once approved you can access the funds within 24 hours. A line of credit up to $500k that converts into a loan when you draw down. Participating lender in the SME government guarantee scheme.

    Interest Rate
    Upfront Fee
    Funding speed
    On Application
    2% to 3%
    Instantly, once approved
    Go to site
    Details
  • Business Loan

    Fast, flexible business loans from $10,000 to $250,000. Great for businesses which have been trading for more than 6 months with a monthly turnover above $10,000.

    Interest Rate
    Upfront Fee
    Funding speed
    On Application
    $0.00
    48 Hours
    Go to site
    Details
  • Business Loan

    Small business loans with no repayments for the first 8 weeks. Offer ends 30 June. T&Cs apply. Prospa uses risk-based pricing to determine your interest rate, which can range from 9.9% - 26.5% p.a. simple interest. They look at factors including your industry, years in business, cash flow, creditworthiness and the overall financial health of your business. Participating lender in the SME government guarantee scheme.

    Interest Rate
    Upfront Fee
    Funding speed
    Interest rates vary based on risk. Rates range from 9.90% to 26.50% p.a.
    3%
    from 24 hours
    Go to site
    Details
  • 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. Participating lender in the SME government guarantee scheme.

    Interest Rate
    Upfront Fee
    Funding speed
    On Application
    3.00%
    from 24 Hours
    Go to site
    Details
  • Featured Product
    Zip Business Trade Plus

    Zip Business Trade Plus loans from $3,000 to $150,000, interest free loan. No account fees or interest. One-off 3% extension fee, split over 4 instalments. (T&Cs apply, see website for more details. Credit approval criteria, fees and charges apply.)

    Interest Rate
    Upfront Fee
    Funding speed
    0% for the first 60 days, 3% extension fee
    $0 for up to first 60 days
    Instantly, once approved
    Go to site
    Details
  • Invoice Finance

    Easily set up a line of credit against your debtors ledger, which grows with your business. Have peace of mind you can access funds as soon as you invoice instead of waiting for your customers to pay. ScotPac is the largest non-bank lender in Australia with over 30 years' experience partnering with local businesses.

    Interest Rate
    Upfront Fee
    Funding speed
    from 4.00% p.a.
    From $500
    From 24 hours
    Go to site
    Details

*Example cost figure provides indicative minimum total repayments over 6 months on a $10,000 loan. Actual costs will vary depending on individual risk score as assessed by the lender.

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.

Business Banking Resources

Reviews, news, tips and guides to help find the best business loan for you.

FAQ

How to find the right $20,000 business loan for me

If you’re thinking of picking up some new equipment or need a quick cash injection to get a new project underway, a $20,000 business loan could be your best bet. But if you’ve never had to shop around on a loan before, you might be wondering how to know when you’re onto a winner. That’s where we come in. We’ve answered some of the most commonly asked questions when it comes to taking out a business loan.

What could I use a business loan for?

If your business is a little short on cash and is looking to grow or cover an expense, then a $20,000 business loan could save the day. And while what you use the money for is entirely up to you, some of the most common uses for this kind of financing are: 

  • Buying new equipment 
  • Paying wages
  • Paying invoices 

What kind of business loan can I get?

Here are the four types of business loans you may come across once you start shopping around: 

Secured and unsecured business loans 

Business loans are either listed as secured or unsecured - it’s important to understand the difference between the two, so you can help make a decision about which option would better suit your business. Secured business loans often come with lower rates, however, in order to get that low rate, you must provide an asset to be used as security, like your car. So in the event that you are unable to make your repayments, the lender has the right to reclaim you asset and sell it on your behalf. 

On the other hand, unsecured business loans don’t ask you to offer up an asset as collateral. Unsecured business loans are also the more common type of loan you’ll see advertised, but these types of financing often mean higher interest rates. 

Short term business loans

A short term business loan is often used by business owners in need of fast funding to pay for an unexpected bill or expense. They can be used for invoice financing, which may often appear as a line of credit. 

Equipment finance business loans 

This is a type of business loan that can be used specifically to purchase equipment. You might consider an equipment finance business loan if your equipment needs an upgrade or you’re looking to expand. 

More frequently asked questions

How do I find the right loan for my business? 

If it’s your first time shopping around for a $20,000 business loan, there are a few things you’ll want to compare. Not only can the right deal help you save a bundle, but it can give you the flexibility you need when paying off your loan.

The interest rate

These two features are possibly the most important features of any type of loan. Most of us recognise interest rates as an annual charge. Business loan interest rates are a little different and can be charged on a weekly or fortnightly basis. And if there is no advertised interest rate on a specific loan, it could be because the lender will offer you a customised rate if your application is successful. 

Fees

Fees are another factor to keep your eye on, as they may come in many types. Upfront or ongoing fees are the more common fees you could come across, but others include valuation, exit or late payment fees. Keep in mind that these can add up over time and may see you fork out more than you initially bargained for, so be sure to pick a loan with minimal or zero fees.

Repayment flexibility 

Once you start comparing $20,000 business loans, you’ll soon find that many lenders offer different repayment schedules, like weekly, fortnightly or monthly. But in some cases, a lender may ask you to make daily repayments. So it’s important to carefully consider the type of repayments you’ll be able to afford making. 

Repayment features

Last but not least are repayment features that can help you pay off your loan faster, such as extra repayments or a redraw option. Having the ability to make extra repayments to your loan can help you cut down on interest and get you out of debt quicker. And if you ever need to redraw the money for a sudden bill, a redraw facility will allow you to do so. 

Can I take out a $20,000 business loan with bad credit?

If you’ve got a poor credit history, taking out a business loan for any amount can be tricky. Many lenders take into account both your personal and businesses credit history when determining your eligibility.  So if either one or both look like bad news to the lender, your application may be denied. 

If you do have a poor credit history, then you might want to consider exploring other options first, like using funds in your business savings account. It could also be worth repairing yours or your businesses credit history first before applying. 

What do you need to apply for a $20,000 business loan?

Think you’ve found the right business loan for you? Great! Now the next step is to apply. Although the necessary documentation you may be asked to provide will depend on the lender, there’s a good chance you’ll be asked to provide: 

  • Your drivers license 
  • Your Australian Business Number (ABN) or Australian Company Number (ACN)
  • Financial information, like your bank account and tax records 

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