Why self-employed lending is different
The banks assess your income differently. Here is what that means.
When you are employed by someone else, your income is simple — payslips and a tax return. When you run your own business, lenders look at your business financials differently to how you think about your own income. Understanding this gap is the first step to getting approved.
Important to know before you apply
Most lenders assess self-employed income based on your taxable income shown in your tax returns — not your business revenue. If you legitimately reduce your taxable income through business deductions, this can affect your assessed borrowing capacity. Claudia will explain exactly how your income will be assessed before any application is lodged.
01
2 years trading — most lenders
Most standard lenders require a minimum of 2 years of self-employment history supported by 2 years of tax returns and business financials. Some lenders have different criteria — Claudia compares all of them.
02
Taxable income is assessed
Lenders typically use your average taxable income over the past 2 years — not your gross revenue. Business add-backs may apply with some lenders. Claudia identifies which lenders treat your income most favourably.
03
More lender options than you think
While some lenders are restrictive with self-employed borrowers, others specialise in this area. Claudia accesses 40+ lenders — including specialist lenders who understand business income — to find the best fit for your situation.
04
Business structure matters
Whether you are a sole trader, company director, partner, or trustee — the way your income is documented and assessed differs. Claudia reviews your specific structure and identifies the lenders who will assess it most accurately. Subject to lender criteria.
Who this applies to
Every type of self-employed borrower.
Whether you have been trading for two years or twenty, Claudia works with all business structures. Subject to individual lender assessment and eligibility criteria.
Business structures Claudia works with
All assessed across 40+ lenders — subject to lender criteria
Sole traders
The most common structure for small business owners. Income assessed from your personal tax return and business profit and loss statement. 2 years of tax returns typically required by most lenders.
Company directors — Pty Ltd
Directors drawing a salary plus dividends or distributions. Lenders assess different components differently — Claudia identifies which lenders give the most credit for your specific income mix. Subject to lender assessment.
Structure matters
Partnerships
Your share of partnership income assessed based on partnership tax return and your individual return. Claudia identifies lenders who understand this structure clearly.
Trusts
Discretionary and unit trust structures require specific documentation and lender understanding. Some lenders are more experienced with trust structures than others — Claudia knows which ones.
Contractors and independents
Regular contract income over 2+ years can be assessed similarly to employment by some lenders. Claudia assesses whether your contracting history qualifies and which lenders will treat it most favourably. Subject to lender criteria.
Less than 2 years trading
Standard lenders generally require 2 years of trading history. Some specialist lenders have different criteria — including options for those who were previously PAYG employees in the same industry. Options are limited and subject to individual lender assessment.
Limited options — speak to Claudia first
What you will need
Documents lenders typically require from self-employed borrowers.
Document requirements vary by lender, loan type, and business structure. This is a general guide — Claudia will confirm exactly what is required for your specific situation and preferred lender.
Typical document requirements by loan type
General guide only — requirements vary by lender and individual circumstances
| Loan type | Typical documents required | Notes |
|---|---|---|
| Full documentation | Last 2 years personal tax returns and ATO assessments · Last 2 years business tax returns · Last 2 years business financial statements (profit & loss, balance sheet) · Business ABN registration · Accountant letter (some lenders) · 3 months business bank statements | Widest lender choice |
| Low documentation | ABN registered for 2+ years · GST registered for 1+ year (some lenders) · Signed income declaration · Business bank statements (typically 12 months) · BAS statements (some lenders) | Subject to lender criteria* |
| All loan types | Photo ID (drivers licence and passport) · 3 months personal bank statements · List of all liabilities (personal loans, credit cards, Afterpay, etc.) · Details of any existing properties owned | Always required |
Low-doc loans explained: Low-documentation loans allow self-employed borrowers to verify income without full financial statements in some circumstances. They typically require a higher deposit, carry different conditions, and are offered by a smaller number of lenders. They are not suitable for every situation — Claudia will advise honestly whether a low-doc loan is in your best interest or whether full-doc with the right lender is a better option. Subject to lender assessment and individual eligibility.
How Claudia helps
The process — from first call to approval.
Claudia handles the complexity of self-employed lending so you can focus on running your business. Lender-paid — Claudia is paid by the lender, paid directly by the lender.
Your self-employed lending process with LendingPlace
1
Initial consultation
Claudia reviews your business structure, income, and goals. She identifies which lenders are likely to assess your income most favourably — before any application is lodged.
Lender-paid always
2
Document review
Claudia reviews your tax returns and business financials to understand how lenders will assess your income. She may suggest speaking with your accountant to ensure documents are presented optimally — she will explain what that means for your situation.
3
40+ lenders assessed for your structure
Not all lenders treat self-employed income the same way. Claudia identifies the lenders who will assess your business structure, trading history, and income type most accurately and fairly. Subject to lender criteria.
4
Application lodged on your behalf
Claudia prepares and lodges your application. She manages all communication with the lender — you do not have to explain your business structure to a bank assessment team yourself.
5
Approval and settlement
Claudia stays with you through formal approval and settlement. If the lender has follow-up questions about your business income — Claudia handles those directly on your behalf.
Hands-off for you
Lenders we compare
40+ lenders — including specialists in self-employed lending.
Claudia accesses all major banks, regional banks, non-bank lenders, and specialist lenders through AFG — including those who have specific products and assessment criteria for self-employed borrowers.
Commonwealth Bank
Major bank
Westpac
Major bank
ANZ
Major bank
NAB
Major bank
Macquarie
Specialist lender
Liberty Financial
Non-bank specialist
Pepper Money
Specialist lender
Bank of Queensland
Regional bank
Suncorp
Regional bank
ING
Online bank
St George
Regional bank
+ 30 more
Full AFG panel
Lender suitability depends on your individual business structure, income documentation, trading history, and loan purpose. Claudia identifies which lenders on the AFG panel are best suited to your specific situation.
Lender-paid · No obligation · 2 minutes
Self-Employed? Let's Talk.
Claudia will call you within 72 hours. Lender-paid — no cost ever.
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Call Claudia — 1300 562 670
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