Prospa business loans: a broker's guide

Prospa is a well-known name in Australian non-bank SME lending, and a lender brokers often ask about. This guide sets out what Prospa offers, who it lends to and what it asks for, using only what Prospa publishes on its own website. Where Prospa's pages give different figures for the same thing, we say so rather than pick one.

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Prospa at a glance

Prospa is an Australian online lender to small businesses. It offers three lending products:

• Small Business Loan: a fixed-term loan paid as a lump sum.

• Business Loan Plus: a larger fixed-term loan for more established businesses, with upfront security.

• Business Line of Credit: a revolving facility the business can draw on and repay.

If you're comparing a term loan with a revolving facility for a client, our guide to business lines of credit vs overdrafts covers how revolving facilities work.

Side by side

Figures are as published by Prospa when we checked. Always confirm current policy with Prospa before you submit.

Who Prospa lends to

Prospa lists these requirements across its products:

• The business owner is 18 or over and an Australian citizen or permanent resident.

• The business is Australian, with an active ABN or ACN.

• A valid driver's licence.

• Good credit history.

• Minimum monthly turnover of $6K (Small Business Loan and Line of Credit).

Prospa's application form lists companies, sole traders, partnerships and trusts as business types. Its pages don't say whether every business type is eligible for every product, so check with Prospa for anything unusual. Prospa doesn't publish a list of excluded industries on the pages we reviewed.

On credit, Prospa says it runs personal credit checks through credit reporting bodies alongside its own assessment of the business. For how lenders typically weigh these factors, see How SME lenders assess a deal.

Small Business Loan

The Small Business Loan is Prospa's entry product and has the lowest trading requirement of the three.

• Amount: $5K to $500K, paid as a lump sum.

• Eligibility: at least 6 months trading and $6K monthly turnover.

• Term and repayments: fixed rate, terms up to 5 years, weekly repayments.

• Establishment fee: 3% to 3.5%.

• Security: no upfront security up to $150K. Above $150K, see the security section below.

Business Loan Plus

Business Loan Plus is for larger amounts and more established businesses.

• Amount: $500K to $1M, paid as a lump sum.

• Eligibility: at least 3 years trading.

• Turnover: Prospa's pages list this as $1M annual turnover in one place and $2M in others. Confirm the current figure with Prospa before you rely on it.

• Security: upfront security is required. One Prospa page lists property ownership as a requirement; another describes the security as a charge over the applying business entity or entities.

• Term and repayments: fixed rate, terms up to 5 years (60 months), weekly repayments.

• Establishment fee: 2% to 3%.

• Support: Prospa says Plus loans come with a dedicated Business Lending Specialist.

Business Line of Credit

The Line of Credit gives the business an approved limit to draw on, repay and draw again.

• Limit: up to $500K. Prospa's comparison table shows a starting point of $2K.

• Eligibility: Prospa's line of credit and requirements pages list a minimum of 2 years trading, plus $6K monthly turnover. Its FAQ also lists property or asset ownership as a requirement. One summary page shows 6 months trading, so confirm with Prospa if your client is under 2 years.

• Interest: fixed rate, calculated daily on the drawn balance, not the full limit.

• Fees: no establishment or origination fee. A weekly service fee of 0.046% applies, which Prospa's FAQ says is calculated on the facility limit.

• Repayments: weekly minimum repayments covering interest, principal on the drawn balance and the service fee, so they move with how much is drawn. Extra repayments can be made at any time.

• Drawing funds: through the Prospa app or online, into the nominated business account.

• Review: no fixed end date, with eligibility reviewed every 2 years. If the facility isn't continued, access is suspended and the balance is repaid over a 2 or 4 year paydown period, as set out in the contract.

Security: the $150K line

The $150K mark matters for every Prospa product.

• Up to $150K, Prospa says no upfront asset security is required.

• Above $150K, or where a client's combined Prospa funding goes above $150K, Prospa requires property ownership, and asset security may be required.

• A registration fee may apply if Prospa registers a caveat or mortgage over real property.

The “combined funding” point is worth noting if your client already has a Prospa facility and needs more.

Documents

• Most loans: recent trading figures and the ABN, plus a driver's licence and business bank account details to apply.

• Over $150K: Prospa may also ask for the last two years of financial reports and 12 months of bank statements.

• Business Loan Plus: ATO portal access is also required.

• Line of Credit: 12 months of bank statements, with ATO portal access and financial statements possibly requested.

Prospa says no business plan is required.

Early payout and changing your mind

• 14-day change of mind: within 14 days of the loan agreement date, the borrower can cancel and return the funds free of charge.

• Early payout of a loan: Prospa's requirements page lists the remaining principal, plus accrued interest, plus 1.5% of the remaining principal and any outstanding fees.

• Line of Credit: extra repayments can be made at any time to reduce the drawn balance.

Submitting a deal to Prospa as a broker

Prospa runs a partner program for brokers and other providers who serve SME clients. Here is how it works, based on Prospa's partner page and referral partner brochure.

• Getting set up: brokers register as a Prospa Partner through Prospa's partner page.

• Submitting: partners enter lead details in the Prospa Partner Portal, which Prospa says also shows lead tracking, status updates and commission.

• The steps: Prospa lists four: submit lead details, Prospa assesses eligibility, an offer is made, and commission is paid.

• Who talks to the client: Prospa's brochure says its business lending specialists speak with the client, and Prospa handles the credit assessment and approval.

• Commission: Prospa says it pays partners commission on new and repeat deals. It doesn't publish rates on its public pages.

• What your client needs to apply: photo ID, an active ABN, at least 6 months of bank statements, and business financials for some loan amounts.

One thing to check: Prospa's partner page lists the Line of Credit at up to $150K, while its brochure and product pages show up to $500K. Confirm the limit with Prospa before you quote it to a client.

Where Prospa may fit

Based on Prospa's published criteria, it is worth a look when:

• the business has been trading for at least 6 months and needs a lump sum, without security up to $150K

• an established business, trading 3 years or more, needs $500K to $1M and can offer security

• a business trading 2 years or more wants an ongoing working capital facility it can draw on as needed

Whether it actually fits depends on the full deal: turnover, credit, industry, existing debt and security. Enter a scenario in Visro to see whether Prospa fits and how it compares with the rest of the panel. Lenders can't pay for ranking, so results reflect policy fit only.

Questions brokers ask

What's the minimum trading time for a Prospa loan? 6 months for the Small Business Loan, 2 years for the Line of Credit and 3 years for Business Loan Plus, according to Prospa's requirements page.

What's the minimum turnover for Prospa? $6K a month for the Small Business Loan and Line of Credit. For Business Loan Plus, Prospa's pages show both $1M and $2M a year, so confirm with Prospa.

Does Prospa need security? Not upfront for funding up to $150K. Above $150K, or combined funding above $150K, Prospa requires property ownership and may require asset security. Business Loan Plus requires upfront security.

How much can Prospa lend? Up to $500K on the Small Business Loan and Line of Credit, and $500K to $1M on Business Loan Plus, subject to Prospa's assessment.

How are Prospa repayments made? Weekly, by direct debit from the business account, for all three products.

Does Prospa work with brokers? Yes. Prospa has a partner program, and brokers submit deals through the Prospa Partner Portal.

Does Prospa pay broker commission? Prospa says it pays partners commission on new and repeat deals, but it doesn't publish rates on its public pages.

The short version

• Three products: Small Business Loan ($5K to $500K), Business Loan Plus ($500K to $1M) and Business Line of Credit (up to $500K).

• Minimum trading of 6 months, 3 years and 2 years respectively, and $6K monthly turnover for the loan and line.

• No upfront security up to $150K; property ownership required above that.

• Weekly repayments across the range.

• Brokers submit through the Prospa Partner Portal.

• Some figures differ between Prospa's own pages, so confirm before you submit.

Sources

• Prospa: Business loan requirements

• Prospa: Business loans

• Prospa: Business line of credit

• Prospa: Frequently asked questions

• Prospa: Partner with Prospa

• Prospa: Referral partner brochure (PDF)

This guide was prepared independently by Visro using Prospa’s publicly available materials as at 7 November 2026. It is general information only. It isn’t legal, financial or credit advice and doesn’t take into account anyone’s circumstances. Visro is not the lender, is not affiliated with Prospa, and does not make credit decisions, guarantee funding outcomes or provide credit assistance. Inclusion in this guide is not an endorsement. Lender products, criteria and fees change without notice, so always confirm current details with Prospa before proceeding.