SME Lending Boom Presents New Revenue Opportunities for Brokers

Barry Saoud, Chief Executive of Mortgages and Commercial Lending at Pepper Money, highlighted this trend, stating, "The surge in SME borrowing is being driven primarily by growth ambitions. Many small businesses are seizing opportunities to expand: hiring staff, upgrading equipment, and scaling after strong trading periods."

Non-bank lenders are playing a pivotal role in this landscape by offering alternative solutions tailored to the unique needs of SMEs. For instance, online small business lender Banjo Loans reported a 300% surge in applications for its Business Loan Express in one month after expanding lending limits. Similarly, Bluestone Home Loans noted that approximately 60% of its home loan lending is to self-employed individuals, indicating a growing demand for flexible financing options.

According to the Australian Bureau of Statistics (ABS), the number of new Australian Business Numbers (ABNs) more than doubled in 2025. New ABN registrations nationwide jumped 21% to 104,784 in the year leading up to August 2025, up from 436,000 between July 2023 and June 2024. This surge underscores the dynamic nature of the SME sector and the increasing need for accessible financing solutions.

For brokers, this evolving landscape presents a "golden opportunity" to support the burgeoning SME sector. By understanding the specific challenges and requirements of small business owners, brokers can offer tailored financing solutions that align with their growth objectives. This approach not only enhances client relationships but also positions brokers as invaluable partners in the SME growth journey.

To capitalise on this trend, brokers should consider:

• Building strong relationships with non-bank lenders to offer a diverse range of financing options.
• Staying informed about the latest developments in SME lending to provide up-to-date advice.
• Developing expertise in assessing the unique financial needs of SMEs to offer customised solutions.

By embracing these strategies, brokers can effectively tap into the growing SME lending market and drive mutual success.