Business Green Loan
Business-purpose loans for eligible clean energy, transport, efficiency and other environmental investments in Australia. Borrowers must show how the funds will be used and have cash or loan balances above A$1 million.
Denne finansieringsmulighed er i øjeblikket beskrevet på engelsk.
CommBank’s Business Green Loan finances eligible environmental assets or projects through either a BetterBusiness Loan or a Market Rate Loan. You repay the borrowed money with interest and applicable fees. The bank sets the final pricing and conditions in its Letter of Offer—the document setting out the financing it is prepared to provide.
BetterBusiness allows principal-and-interest payments, which reduce the debt as well as pay interest, or interest-only periods, during which the principal remains to be repaid. A combination is possible. Terms can extend to 30 years depending on security and approval. Loans may be secured by property or unsecured. The unsecured BetterBusiness option has a published limit of A$250,000 and a maximum seven-year term. Variable-rate borrowers can make extra repayments and redraw eligible amounts—withdraw money they have repaid above the required minimum; fixed-rate borrowers cannot make extra repayments during the fixed period.
Market Rate Loans serve larger borrowing needs and can combine several loans within one facility. Their market-linked rate resets at intervals of one to six months using BBSY, an Australian short-term interest-rate benchmark, so borrowing costs can change at each reset. Fixed-rate arrangements are also available. Repayments and security are tailored, including interest-only or principal-and-interest payments and fully secured, partly secured or unsecured loans.
Fees depend on the route and your offer. BetterBusiness lists an establishment fee and A$35 monthly service fee. Its redraw fee is 0.49% a year on the available redraw balance exceeding A$100,000, calculated daily and charged monthly. A commitment fee can apply if the loan is not fully drawn within one month after offer acceptance. Market Rate charges can include establishment, facility-limit, borrowing, unused-limit and rollover fees. Early repayment can trigger an adjustment to cover the bank’s loss on fixed BetterBusiness loans or before a Market Rate reset date; separate interest-rate risk arrangements can have additional charges and break costs.
Eligibility
You must be an approved business customer borrowing for business purposes, open a BetterBusiness or Market Rate Loan, provide evidence of an eligible asset or project, and have cash or loan balances of more than A$1 million. That balance condition is separate from the amount you want to borrow. The green-loan page describes BetterBusiness for borrowing above A$10,000 and Market Rate for borrowing above A$500,000.
Eligible uses include renewable generation and batteries; electric vehicles and charging; efficient motors, lighting, heating and cooling; building insulation, glazing and heat pumps; recycling, refurbishment and composting; sustainable land and natural-resource management; and water or wastewater improvements. Building upgrades may qualify through the bank’s Green Buildings Tool recommendations or an eligible improvement in the building’s NABERS environmental performance rating or a reduction in carbon emissions. Other assets or projects can be considered individually by the bank.
BetterBusiness can suit businesses of any size, including sole traders, partnerships, trusts and registered companies, and individuals borrowing for business purposes. Market Rate lists medium-to-large Australian businesses and not-for-profit organisations. Both remain subject to credit assessment. Their product pages identify no account overdrawing or arrears in the past three months, no accounts in collections in the past six months, no bankruptcy in the past five years, and a deposit plus cash reserves covering at least the first three months of operations as factors that improve approval prospects. The stated 30% deposit is an approval-favouring factor, specifically for secured loans on the BetterBusiness page; it is not presented as a universal green-loan condition.
How to apply
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Request a callback through the Business Green Loan page or speak to your Business Banker, identifying the green asset or project and the intended underlying loan. The callback form asks for contact and business details, location, turnover, industry and borrowing needs.
Prepare evidence of the proposed use: quotations, project proposals and budgets, before-and-after site photographs or other detailed asset evidence. The banker confirms the documents needed alongside the standard credit requirements. These can include financial statements, income evidence, bank statements and identification. Review the offered rate, fees, security, repayment schedule and loan conditions before accepting the Letter of Offer.