Quick answer
Self-employed Australians can get business loans without payslips or recent tax returns by proving income another way: business bank statements, lodged BAS, notices of assessment from myGov, invoices and, where available, property equity. Sole traders report business income on their individual tax return, so a late return affects both personal and business evidence. A dedicated business account makes the biggest difference.
Key points
- No payslips? Bank statements and BAS show what you earn.
- Sole traders use their individual tax return and TFN for business income.
- myGov gives you returns, notices of assessment and activity statements.
- Keeping business money in its own account is the single best habit.
- Unsecured
- Typically $5k – $500k
- Property-secured
- $20k – $5m
- Key evidence
- Statements, BAS, NOAs
Why is borrowing harder when you’re self-employed?
Employees prove income with a payslip and a letter from their employer. Self-employed people don’t have either. Their income is whatever the business earns after costs, and it’s usually documented once a year, in a tax return that might be many months old by the time a lender sees it.
On top of that, business.gov.au notes that a sole trader uses their individual tax file number to lodge returns and is personally liable for tax on all the income the business earns. So when a sole trader’s return is late, both the personal and business sides of the picture go missing at once.
None of that makes you unfundable. It means the evidence has to come from somewhere other than a payslip or a fresh return.
What evidence works for self-employed borrowers?
| Evidence | Where it comes from | What it shows |
|---|---|---|
| Business bank statements | Internet banking | Money actually received, month by month |
| Lodged BAS | ATO online services via myGov | Turnover reported each quarter (if GST registered) |
| Notices of assessment | myGov Inbox | Income assessed in past years |
| Invoices and customer list | Your invoicing software | Who pays you and how often |
| Platform payout summaries | App or marketplace dashboard | Income through platforms |
| Accountant’s letter | Your registered tax agent | Confirmed figures and lodgement status |
| Property equity | Your property details | Security that reduces reliance on income evidence |
The ATO says individuals, including sole traders, can view and print lodged returns, notices of assessment and activity statements through online services linked to myGov. If you’ve linked the ATO to myGov, your notices of assessment arrive in your myGov Inbox.
How do you make self-employed income easy to see?
- Run business money through one account. It’s optional for sole traders but, as business.gov.au puts it, a good idea. Deposits then tell your income story without a lender picking through personal transactions.
- Pay yourself on a pattern. Regular transfers from the business account to your personal account look like a salary and make your drawings clear.
- Lodge BAS on time, if you’re registered. On-time BAS are strong evidence on their own.
- Keep invoices tidy. A clear invoice history makes it simple to match income to deposits.
The bank statement snapshot shows what your deposits look like to a lender.
Illustrative example: a sole trader without a current return
Illustrative only; not a real business.
A self-employed physiotherapist works across two clinics as a contractor and has her own ABN. Her latest return is overdue because she switched tax agents mid-year. She wants $28,000 for portable treatment equipment and a vehicle deposit for a new mobile service.
Her file: twelve months of statements from her business account showing fortnightly payments from both clinics, her last two notices of assessment from myGov, and a short letter from her new tax agent confirming the outstanding return is being prepared. There are no payslips and no current return, but her income is plain to see.
What if you’re newly self-employed?
The first year is the hardest, because there’s little history to show. Contracts, a history of similar work as an employee, and property security can all help. Our guide on proving income in your first year covers this in detail, and the new ABN page covers what lenders look for.
Which loan types suit self-employed borrowers?
- Unsecured, cash-flow or line of credit, typically $5,000 to $500,000, sized on turnover and bank statements. See bank statement business loans.
- Property-secured, from $20,000 to $5,000,000 by first mortgage, second mortgage or caveat. See low doc secured business loans.
Loans are for business purposes only. Past credit issues and ATO debt are considered case by case.
What will a lender ask a self-employed borrower?
Expect straightforward questions on the first call:
- How long have you been self-employed, and in what?
- Who are your main customers, and how do they pay you?
- How much comes in each month on average, and what’s a quiet month like?
- What’s the money for?
- Is anything overdue with the ATO?
- Do you own property?
Short, honest answers are all that’s needed. The documents then confirm what you’ve said.
Is the loan in your name or the business’s?
If you’re a sole trader, the business isn’t a separate legal entity, so the loan is in your name and used for business purposes. If you operate through a company or trust, the entity usually borrows and the directors or trustees provide guarantees. Either way, the evidence is similar; it’s the paperwork structure that changes.
If some of your income is paid in cash, bank it and keep a record of takings. Our guide on making cash takings count explains a simple routine that makes cash visible in your statements.
Self-employed? Let’s look at what you’ve got
Being your own boss shouldn’t mean being shut out of finance because the paperwork runs behind. Tell us about your work and what you need. There’s no credit check when you first enquire, your details aren’t handed out to a list of lenders, and a real person who understands self-employed income will call you.
When you complete the form, give your honest average monthly income and mention anything that’s overdue. It lets us line you up with a lender who’ll accept your evidence straight away. See if you qualify.
Frequently asked questions
Can I get a business loan if I'm self-employed with no tax returns?
Often, yes. Lenders can use business bank statements and BAS instead, and property-secured lenders rely mainly on equity. How long you've been trading and how clean your statements are both matter.
What counts as proof of income when I'm self-employed?
Business bank statements, lodged BAS, your notices of assessment, invoices to regular customers, platform payout summaries and, where available, an accountant's letter.
Is this the same as a home loan for self-employed people?
No. This site covers business loans for business purposes only, such as equipment, stock, working capital or tax debts. Home loans are a different product.
I'm a contractor paid by one main client. Does that count?
Yes. Regular payments from one client, visible in your statements over time, are good evidence. Lenders will consider the reliance on one client, so a long history helps.
Do I need an ABN?
Yes, for a business loan you'll need an active ABN. Lenders check it on ABN Lookup.