Commercial lending is gaining momentum among mortgage brokers. Though residential lending continues to dominate broker market share, commercial lending is catching up.
According to the Mortgage & Finance Association of Australia, the total book value of commercial lending for mortgage brokers reached a record high of $83.92 billion between October 2023 and March 2024.
Matt Heinnen, Liberty group manager – commercial, said brokers are just scratching the surface.
“Brokers who lean in and ask the right questions could unlock significant value for clients and for their own businesses,” Heinnen said.
Leverage existing relationships
Brokers active in residential or motor lending may already have commercial opportunities within their portfolio. Many clients, especially self-employed borrowers, could be business owners seeking funding to grow their business.
Liberty adviser Renee Poppett has seen this firsthand.
“I had a client who started on a non-traditional home loan, and their emerging business was funded through private finance. As business became more profitable, we transitioned them to a more cost-effective commercial solution,” Poppett shared.
These transitions highlight how brokers can support clients across multiple stages of their lending journey, in turn building long-term relationships and expanding their service offering.
Lead with purposeful conversations
Identifying business goals and funding intent upfront is essential.
“Let the client tell you their story. That way, the conversation can emerge organically, rather than feeling like an interrogation or ticking boxes,” Poppett advised.
For brokers new to business lending, there’s a wealth of resources available, from industry publications to aggregator-led training and peer learning.
“Nowadays, there’s no shortage of support. With a nationwide presence, Liberty BDMs also play a hands-on role in guiding brokers through the process,” Heinnen added.
Focus on flexible solutions
Flexible loan features are central to delivering tailored business solutions. Liberty business loans support diverse business needs with features including 30-year terms, LVRs up to 80 per cent, and interest-only options up to five years.
“We have a broad appetite for security types and offer a wide spectrum of documentation options, including low doc loans designed for business borrowers with minimal paperwork,” Heinnen said.
Liberty also focuses on making the lending experience seamless for brokers and their customers.
“We aim to equip brokers with the tools and support they need to deliver confidently. That means engaging early, unpacking customer needs, and communicating clear timelines throughout the application process,” Heinnen said.
Workshop with the lender
Business lending often requires out-the-box thinking. With direct access to experienced BDMs and credit assessors, Liberty fosters open dialogue and a deeper understanding of each borrower’s unique circumstances.
“Our BDMs help brokers brainstorm solutions and structure deals that might not fit traditional lending,” Heinnen explained.
Poppett said open discussions with Liberty underwriters have been a key source of support.
“The Liberty team consider alternative income considerations such as BAS statements to support business growth,” Poppett said.
Business lending is evolving quickly and non-banks like Liberty are well-positioned to help brokers seize opportunities to expand their offering, deepen client relationships, and grow their own business.
For more information, visit liberty.com.au/broker or call 13 11 33.
Approved applicants only. Lending criteria apply. Fees and charges are payable. Liberty Financial Pty Ltd ACN 077 248 983 and Secure Funding Pty Ltd ABN 25 081 982 872 Australian Credit Licence 388133, together trading as Liberty Financial.
Matthew Heinnen
Group manager – commercial, Liberty
