​Private Lending for Complex and Non-Standard Borrowers in Australia

Not every borrower fits within traditional lending criteria.

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Across Australia, many individuals and businesses are declined by banks due to complex financial structures, time constraints, or policy limitations, even when they have strong assets and viable opportunities.

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Innovate Funding is an Australian private lending specialist providing funding solutions for complex borrower scenarios across residential, commercial and business lending.

We assist borrowers across Australia including NSW, VIC, QLD and WA.

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At Innovate Funding, we specialise in structuring private lending solutions that are secured against property and tailored to the specific requirements of each borrower.

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Whether the challenge is timing, complexity, or documentation, we focus on delivering solutions that get deals across the line.

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Can You Get a Loan If You’ve Been Declined by a Bank?

Yes. Private lending allows borrowers to access funding using property as security, even if they do not meet traditional bank criteria.

Approval is based on:

• Available equity

• Strength of the security

• A clear and realistic exit strategy

Rather than strict servicing requirements.

This allows borrowers who have been declined by banks to still access funding when the underlying deal is strong.

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What Is Private Lending?

Private lending is a form of asset-based, non-bank lending where loans are secured against property and assessed based on equity and exit strategy rather than income alone.

It is commonly used in scenarios where:

• Time is critical

• Financial structures are complex

• Traditional lenders are unable to approve the deal

Private lending plays a key role within the broader Australian funding landscape and provides an alternative to conventional finance.

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Why Traditional Lenders Decline Complex Borrowers

Banks operate under strict lending policies that prioritise consistency, documentation, and serviceability.

As a result, borrowers may be declined due to:

• Irregular or self-employed income

• Multiple entities or complex structures

• Credit history issues or prior defaults

• Time-sensitive transactions that exceed bank timeframes

• Unusual or non-standard security scenarios

These situations do not necessarily indicate high risk, they simply fall outside traditional lending models. Private lending provides a practical alternative.

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How Private Lending Solves Complex Scenarios

Private lending focuses on the fundamentals of the deal rather than rigid policy frameworks.

Key factors considered include:

• Property value

• Available equity

• Exit strategy

• Transaction timeframe

Depending on the scenario, funding may be structured using:

• second mortgage loans

• bridging loans

• secured business loans

• no doc loans

Each solution is tailored to the borrower’s circumstances rather than applying a one-size-fits-all approach.

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Common Complex Borrower Scenarios

Self-Employed and Low Documentation Borrowers

Many self-employed borrowers are unable to provide full financial documentation required by traditional lenders. Private lending allows these borrowers to access funding based on the strength of the asset and overall deal structure rather than full financials.

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Credit-Impaired Borrowers

Borrowers with prior defaults, arrears, or credit events are often excluded from bank lending.

Where sufficient equity exists, private lending can provide a structured pathway to funding.

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Time-Sensitive Transactions

Opportunities can be lost when funding is delayed. Private lending provides fast, practical solutions when timing is critical.

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Business Owners with Complex Structures

Borrowers operating across multiple entities or layered financial structures often fall outside traditional lending criteria. Private lending allows these deals to be assessed holistically.

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Property-Backed Funding Requirements

Borrowers who require access to equity across residential, commercial, or industrial assets can utilise private lending to unlock capital efficiently.

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How We Structure Complex Deals

Every scenario is assessed individually to ensure the most appropriate structure is used.

We focus on:

• Understanding the borrower’s objectives

• Assessing the available security and equity position

• Structuring funding aligned with the exit strategy

• Delivering fast and practical solutions

This flexible approach allows us to support transactions that fall outside conventional lending frameworks.

Real-World Scenarios

Scenario 1: Credit-Impaired Borrower (Sydney, NSW)

A borrower with prior credit issues was declined by multiple lenders despite holding strong equity in their property. 

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They required funding to complete a time-sensitive transaction.

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We structured a second mortgage loan, allowing the borrower to access equity within a short timeframe and proceed with the opportunity, with a clear plan to refinance.

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Scenario 2: Self-Employed Borrower (Melbourne, VIC)

A self-employed borrower was unable to provide full financial documentation required by traditional lenders.

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Despite strong underlying income, the application could not be approved through standard channels.

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We arranged a no doc loan, enabling funding based on asset strength and overall deal structure.

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Scenario 3: Urgent Settlement (Brisbane, QLD)

A borrower required immediate funding after delays placed a property purchase at risk.

We structured a bridging loan, allowing the transaction to settle on time and avoid financial penalties.

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Why Borrowers Use Private Lending

Private lending is used when flexibility, speed, and structure are critical to achieving an outcome.

Borrowers choose this approach for:

• Fast approvals, often within 24–48 hours

• Flexible lending criteria

• Ability to structure complex transactions

• Access to funding when traditional lenders are not suitable

• Greater control over timing and execution

Private lending provides a practical and effective solution where conventional finance cannot meet the requirements of the deal.

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Related Complex Borrower Scenarios

We assist a wide range of borrowers and professionals across different scenarios.

Learn more about:

• private lending for accountants and their clients

• private lending for developers and builders

• private lending for commercial property transactions

• funding solutions for business owners without traditional security

• private lending strategies for property owners

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Frequently Asked Questions

Can complex borrowers still get approved for funding?

Yes. Private lending is specifically designed to support borrowers with non-standard profiles, provided there is sufficient security and a clear exit strategy.

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How fast can private lending be arranged?

Indicative terms are typically provided within 24–48 hours, with settlement possible in a matter of days depending on the scenario.

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Do I need full financial documentation?

Not always. Many private lending solutions rely more heavily on asset value and deal structure rather than full financials.

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Speak With a Private Lending Specialist

If you have been declined by a bank or require funding for a complex scenario, our team can help structure a solution. Enquire today to discuss your situation.