Quick answer
Cleaning businesses and contractors can borrow $20,000 to $50,000 secured on property, with no formal valuation and no cash flow evidence. It covers wages, equipment, vans and new contract set-up while clients pay late, and funding can follow in as little as 24 hours once approved.
Key points
- Loans of $20,000 to $50,000 secured on property.
- Wages, equipment and van costs covered while clients pay on terms.
- No bank statements or cash flow evidence.
- Funding in as little as 24 hours once approved.
- Typical use
- Wages, equipment, vans, contract start-up
- Security
- Property equity
- Loan size
- $20,000 to $50,000
- Speed
- As little as 24 hours once approved
Cleaning contracts are won on reliability and priced tightly. The work is labour heavy, so wages are the largest cost, and they are paid every week. Equipment, chemicals, uniforms and vans come on top. The clients, from office managers to strata groups, pay on terms that can stretch to sixty days. A cleaning business that grows quickly is often the one that runs short of cash first.
The cleaning business cash cycle
Wages come first. Cleaners, supervisors and casuals are paid weekly, with penalty rates for nights, weekends and public holidays.
Start-up costs for new contracts. A new site needs equipment, chemicals, uniforms, key management and sometimes a security clearance before the first clean.
Slow commercial payers. Facility managers and head offices often pay on thirty to sixty days.
Vehicles and equipment. Vans, floor scrubbers, vacuums and steam cleaners are expensive and wear out.
Contract churn. Losing a big contract at short notice leaves wages and vehicle payments with nothing to cover them.
A cash flow lender sees a business in transition and says no. A secured lender looks at what you own.
What a cleaning business loan can cover
- Wages and super for a new contract’s crew.
- A floor scrubber, a carpet extractor or a fleet of vacuums.
- A second van, or repairs to the existing one.
- Chemicals, consumables and uniforms.
- Insurance, police checks and site induction costs.
- A supplier account that has been put on hold.
- A BAS or PAYG bill.
How the loan works
Amounts start at $20,000 and reach $50,000 with real estate as security, to 80% of a home’s value or 70% of commercial property, after existing debt. There is no formal valuation at the start and no cash flow evidence; funding can follow in as little as 24 hours once approved. See our page on consolidating cash flow loans into one if existing loans are putting pressure on weekly takings.
A worked example
A cleaning company has won a contract across four floors of a commercial building. A crew of six needs to start next Monday. Equipment and chemicals come to $11,000, uniforms and inductions to $2,500 and wages to $7,400 a week. The facility manager pays on sixty days from the end of the month. The director owns a home worth around $820,000 with $390,000 owing. Borrowing $30,000 against the real estate takes care of the equipment, the set-up costs and the first weeks of wages, and paying interest ahead for up to three months means repayments start after the first invoice is paid. The example is illustrative and does not constitute an offer.
Tips for steadier cleaning cash flow
- Invoice fortnightly, not monthly, where the contract allows it.
- Ask new clients for a deposit or the first month in advance.
- Keep a list of who pays on what terms and chase at day twenty-five.
- Cost every contract fully, including travel time and supervision.
- Park tax money first, then spend what is left.
Repayments
Repayment begins with as many as three months of interest paid in advance, followed by weekly instalments. Most cleaning businesses repay from contract invoices as they clear. Details are in prepaid interest and weekly repayments. Compare the all-in cost and ask whether early repayment is possible.
Employing staff safely
Cleaning businesses carry real obligations around awards, super, workers’ compensation and work health and safety. Keep records current and make sure every contract price allows for the true cost of labour. A loan solves a timing problem. It does not fix a contract that is priced too low, so check your margins before you borrow.
Costs cleaning businesses forget
Vehicle registration and servicing, chemical storage and disposal, equipment repairs, uniforms and the time between a contract ending and wages being paid can all hurt. Public liability and workers’ compensation insurance arrive as large annual lumps. A weekly reserve helps, and a short loan fills the gaps that remain.
Before you borrow
Check that the contract you are funding earns its keep. Work out the true weekly cost of the crew, including super, leave loading, travel between sites and supervision, then compare it with what the client pays. If the margin is thin, negotiate the price or the scope before you borrow, because a loan will not fix a contract that loses money every week. Also ask whether the client will accept fortnightly invoicing, as that alone can shorten the gap you are borrowing to cover. Finally, check how long the contract runs. A twelve-month term with a notice clause is a stronger base for a loan than a month-to-month arrangement that could end next week.
Apply
The application form takes a minute: amount, estimated property value, what is owing, your state, monthly cash flow, business name. After that a person gets in touch by phone. Nothing on this page is advice or an offer, and every loan is assessed.
Frequently asked questions
Can a cleaning business borrow without cash flow records?
Yes. The loan is secured on property, so we do not ask for bank statements or proof of cash flow.
Can the loan cover wages for a new contract?
Yes. Winning a large contract often means hiring and equipping a crew before the first invoice is paid.
What if my clients pay on sixty days?
Commercial clients, facility managers and strata groups often pay late. A short loan covers wages while invoices are outstanding.
Can I borrow to buy a van or equipment?
Yes. Vans, machines and chemical stock are common uses.
Can a company van be used as security?
A company vehicle owned outright with nothing owing can secure up to 50% of its sale value.