iscover 
The changes include higher lending limits for its Line of Credit and Term Loan products in New Zealand, an increased lending ratio for its Line of Credit in Australia and New Zealand, and a streamlined assessment process for Asset Finance Lite Doc.
Under the expanded Line of Credit settings, the lending ratio will increase from 150 per cent to up to 200 per cent of monthly sales in both markets.
The maximum lending limit for the product in New Zealand will also rise from $200,000 to $300,000, while the Australian limit remains at up to $500,000.
ScotPac’s Term Loan, also known as Boost Business Loan, will now offer three funding bands, with loan amounts ranging from $10,000 to $500,000.
Meanwhile, Asset Finance Lite Doc will introduce a streamlined assessment process using bank-statement data analysis, with decisions possible in as little as 48 hours.
Businesses continue to seek funding despite adverse conditions
Australian businesses, particularly small and medium-sized enterprises (SME), are facing mounting pressure on their margins and cash flow as higher costs and regulatory changes add to an already challenging operating environment.
National Australia Bank’s (NAB) Business Survey, which has tracked confidence and conditions for more than 20 years, found that a “triple threat” of higher interest rates, global uncertainty and elevated fuel and diesel costs had pushed business confidence to near-historic lows.
Alongside these economic pressures, Australian Taxation Office debt enforcement and regulatory changes such as Payday Super have also put pressure on cash flow.
In May, credit bureau CreditorWatch found payment arrears had climbed to their highest level since January 2020.
The pressure has also been reflected in personal insolvency figures, with business-related personal insolvencies increasing 14.4 per cent in FY2025–26 to 4,046 cases, according to the Australian Financial Security Authority.
Yet despite the poor business conditions and confidence, business lending remains at record highs, with a particular focus on working capital facilities.
Brokers have also told Broker Daily of growing interest in business loans and a shift in how they approach the sector as clients’ needs and credit requirements change.
A report published by the Australian Banking Association (ABA) found 40 per cent of small and medium-sized businesses sought finance from their bank, while credit provided by banks reached a record $750 billion in April 2026, up from $567 billion in April 2023.
Banks such as Commonwealth Bank of Australia, Australia New Zealand Banking Group, NAB, and Judo Bank have also recorded strong growth in their business lending books.
Competition between bank and non-bank lenders has also intensified. The ABA found that the margin on small business loans above the cash rate had fallen to a five-year low.
Against this backdrop, ScotPac chief product officer Wade Doblo said the product changes reflected the funding needs the lender was seeing among businesses.
“Despite uncertain economic forecasts, business investment plans and the demand for non-bank lending remain very strong,” Doblo said.
“ScotPac’s latest SME Growth Index Report showed that three in every five businesses are planning to invest in the next six months, and that more than 60 per cent intend to use a non-bank funding source. That’s up from 19 per cent just seven years ago.
“Businesses are also managing higher operating costs, new regulatory obligations such as Payday Super in Australia, and ongoing supply-chain disruption, all of which test cash reserves.
“By expanding lending capacity and making our assessment process more responsive, we can help more businesses find funding that fits their circumstances – whether they need to manage cash flow, finance equipment or invest in growth.”
[Related: How Payday Super could trigger ‘structural shift’ in SME lending]
Want to see more stories from trusted news sources?Make Broker Daily a preferred news source on Google.
