Purpose
Know exactly what the money changes.
Funding principles
Capital should solve a defined problem without hiding a bigger one.
These principles describe how SME Capital Partners intends to approach future business-purpose lending and product development. They are not facility terms and do not create a credit commitment.
Evidence
Make the operating and financial story reconcilable.
Sustainability
Test what the business looks like after funding, including downside cases.
Genuine business purpose
The intended use of funds should be clear, lawful and connected to the company’s operations, tax liabilities, working-capital requirement, R&D cycle or defined growth plan.
Sustainable after-funding position
Paying one liability is not enough if the company immediately recreates the same cash-flow problem. Future assessment should consider the post-funding business and ongoing obligations.
Transparent information
Material liabilities, existing finance, security interests, ATO status, cash-flow pressure and other relevant facts should be presented accurately.
Clear commercial terms
Pricing, security, repayment, defaults and other material conditions should be documented clearly. ASIC’s unfair-contract-term guidance is relevant to standard-form small-business financial contracts. Read ASIC guidance.
Independent professional advice
Tax, legal, accounting, insolvency/restructuring and R&D advice should remain with appropriately qualified professionals. Commercial funding should not be presented as a substitute for that advice.
No guaranteed outcome
A website enquiry, adviser introduction, tax balance, expected R&D position or business forecast does not itself create an approval. Any future facility will depend on the actual assessment and final documentation.
Responsible product expansion
Additional products and larger facility ranges should only be presented as available once the operational, legal and compliance position has been finalised.
Pre-launch information only. Nothing on this page is a credit offer, approval or commitment to provide a facility.