$100k business loan secured by property

$100k is the point where a business problem stops being a nuisance and starts being serious. It’s a tax debt big enough to be reported to credit bureaus, a director penalty notice with your name on it, or a growth opportunity you can’t fund from the account. It’s also a size most banks still treat slowly and most private lenders consider too small.

Secured against property you own, a $100k loan can be arranged in days or less, with interest that doesn’t have to come out of trading cash.

What changes when the loan reaches $100k?

Compared with a smaller loan, a few things shift:

• The structure question gets real. At $50k a caveat is almost always the answer. At $100k, if the term needs to run beyond a few months, a registered second mortgage may suit better.
• Your bank’s terms matter more. Some first mortgages require the bank’s consent before another mortgage is registered, which can affect the timeline.
• The borrower is often a company, with the director’s property as security and a director’s guarantee.
• The exit needs a little more proof. A single invoice may cover $50k; $100k usually rests on a contract, several receivables or a refinance.

What doesn’t change: same-day funding is still possible for a property-secured $100k once documents are in, and there’s still no formal valuation required.

Why is $100k of ATO debt a line worth knowing?

Under the ATO’s disclosure rules, a business with an ABN can have its tax debt passed to credit reporting bureaus where $100,000 or more has been overdue for longer than 90 days and the business isn’t working with the ATO to deal with it, for instance by keeping to a payment plan. Once that’s on the file, other lenders and some suppliers will see it.

Your ATO position	What it may mean	Where to start
Under $100k overdue	Below the reporting threshold	Pay ATO debt with property equity
$100k+ overdue, under 90 days	Approaching the reporting criteria	Engage with the ATO now and consider clearing it
Payment plan defaulted	Full overdue balance payable	ATO payment plan defaulted
Director penalty notice	21 days from posting to act	DPN and property equity

The ATO debt on your credit file guide covers the reporting rules in detail.

Caveat or registered second mortgage at $100k?

If…	A caveat loan tends to suit	A registered second mortgage tends to suit
The term is	A few weeks to a few months	Longer within the short-term range
Speed needed	Today or tomorrow	Within days
Your bank’s consent	Isn’t available quickly	Is available or not required
The property’s state	Has short caveat time limits	Any state
Later flexibility	Can convert to a second mortgage	Already registered

A caveat stops other dealings being registered on the title; NSW Land Registry Services describes it as a statutory injunction. A registered mortgage is a fuller security interest; see registered mortgage. The second mortgage business loans and caveat loans pages explain both in full.

What can $100k fix?

• An ATO debt or director penalty, cleared in one step.
• Payday Super during growth. Super now moves with every pay run rather than quarterly, so a fast-hiring business feels it in its bank balance. See Payday Super and payroll.
• Machinery an equipment financier won’t take. See equipment and machinery.
• Stock ahead of a peak season.
• A contract start-up for a trades or construction business.

How does a $100k secured loan compare?

	$100k caveat or second	Unsecured business loan	ATO payment plan	Overdraft increase	Equipment finance
Typical speed	Same day possible	Days	ATO-dependent	Weeks	Days
Repayments	Can be none	Frequent	Instalments	Interest monthly	Monthly
Security	Property	Usually a director guarantee	None	Bank’s security	The equipment
Fits	One-off needs with a clear exit	Small needs, no property	Affordable instalments	Ongoing swings	Standard new equipment

How does it work?

1. Tell us the basics in a one-minute enquiry. Your credit file isn’t touched.
2. Agree the structure with a specialist: caveat or second mortgage, and the term.
3. Receive the Letter of Offer showing the amount, term, interest handling and assessment fee.
4. Sign and verify ID, with your solicitor advising.
5. Settle, with funds sent to you or straight to the ATO or supplier.

Who suits a $100k secured loan, and who doesn’t?

Suits: companies and individuals in business with property equity, a defined need and an exit within months, such as receivables, a contract, a refund or a refinance.

Doesn’t suit:

• A business that’s insolvent and can’t recover. See an insolvency adviser first.
• An owner who’d be relying on hope rather than a document to repay.
• A long-term borrowing need, which a bank serves better.
• Any personal or household purpose.

Documents you’ll need

• Photo ID for each owner, director and guarantor.
• ACN or ABN; trust deed if relevant.
• A recent statement for every loan on the property.
• The ATO statement, notice, contract or invoice behind the need.
• Exit evidence: contracts, invoices, refinance letter or accountant’s forecast.

How fast?

At $100k, same-day funding is possible for a property-secured loan once documents are in. If your bank’s consent is needed for a registered second mortgage, allow a little longer, or start with a caveat.

What it costs (without the guesswork)

You won’t find a price list here, and that’s deliberate: two $100k loans can carry very different risk. One behind a modest home loan with a signed contract as the exit is not the same as one squeezed behind a large mortgage with a forecast as the exit. Each is priced on its security, LVR, term and exit, with the goal of the keenest price that file can support.

What you’ll pay, in plain terms:

• Interest for the term, either taken upfront (prepaid) or added to the balance and repaid at the end (capitalised).
• An assessment fee: small, set per loan, printed on the Letter of Offer.
• Legal and registration costs, including your own solicitor.
• A discharge when the caveat or mortgage comes off.

Ranking behind a bank costs more than ranking first. A shorter term is the simplest way to keep the dollars down.

What happens at the end of a $100k loan?

Plan the finish before you start. About a week before the exit money arrives, ask for a payout figure; it will show the principal, any capitalised interest and the discharge costs. When the funds land, whether that’s a progress claim, a refund or a refinance, the loan is repaid, the caveat is withdrawn or the second mortgage discharged, and the title is back to how it was.

If the exit is running late, say so before the due date. With enough equity, a short extension may be possible, or a caveat may be converted to a registered second mortgage to give the term more room.

Illustrative example (net funds): a Perth tiling company owes the ATO $104k, overdue for 70 days, and the director’s investment house is worth about $820k with $410k owing. Illustrative: at a combined LVR of 65%, total borrowing against the house could reach about $533k, which leaves roughly $123k behind the existing loan.

• Loan: $110k caveat loan for 4 months, interest capitalised
• Less assessment fee and legal costs: about $5k
• Paid to the ATO: $104k
• Buffer: about $1k
• Exit: two progress claims on an apartment project, plus a refinance of the investment house if a claim slips The Perth private lender page covers WA title points, and the $50k and $250k pages show how the picture changes either side.

Six figures due soon? Send a 60-second enquiry.

Six-figure need? See if you qualify

Start with what you know: the property, what’s owing on it, the amount, the purpose and how you’ll repay. No credit check is run to enquire, your details stay with one direct lender, and a specialist reads each enquiry and calls back with an honest view, including whether an ATO arrangement might serve you better.

Correct details about the property and existing debt are what get you a firm answer first time. Check whether you qualify.