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Business acquisition and franchise finance: how to fund buying a business or a franchise

Buying an existing business or a franchise is commonly funded with a business loan, secured or unsecured, often alongside asset finance for any vehicles, equipment or fit-out that come with the purchase and your own contribution. 360 Asset Finance is a broker, not a lender: we can arrange business acquisition and franchise finance through our lender panel, subject to the lender's criteria. Get advice from an accountant and a lawyer before you sign anything.

Last updated 6 November 2026 · Reviewed by 360 Asset Finance Compliance

At a glance

Finance for buying a business or franchise can combine a business loan with asset finance for the vehicles and equipment included in the sale.
With a franchise, you'll also need to review the franchisor's disclosure document and franchise agreement, and the Franchising Code of Conduct applies.
Some business-purpose loans secured by residential property can be used to buy a business, subject to the lender's criteria, but your property is at risk if the loan isn't repaid.
We compare lenders on our panel and don't lend our own money; the lender decides whether to approve the finance.

How do I finance buying a business or a franchise in Australia?

Most purchases are funded with a mix of your own contribution and finance. Common types of finance include:

Business loans. A loan for the purchase, which may be unsecured or secured by business assets, depending on the lender.
Asset finance. Vehicles, equipment and fit-out that come with the business can often be financed separately, usually with the asset as security.
Loans secured by property. Some business-purpose loans secured by residential or commercial property can be used to buy a business, subject to the lender's criteria.

We can arrange these through our lender panel. The lender will assess your application against its criteria.

Buying an existing business or a franchise: how do they compare?

Point	Buying an existing business	Buying a franchise
What you're buying	An established business, often with its customers, staff, stock, equipment and premises lease.	The right to run a business using the franchisor's brand, systems and suppliers, under a franchise agreement.
Who sets the rules	You, once the sale completes.	The franchisor sets operating procedures, and changes generally need its agreement.
Key documents to review	The contract of sale, financial records, leases, licences, contracts and any debts registered against assets.	The information statement, disclosure document and franchise agreement, as well as any lease and equipment list.
Ongoing costs to plan for	Running costs, stock and any equipment upgrades.	Running costs plus the fees payable to the franchisor under the agreement.
Finance	Business loans and asset finance through a lender panel, subject to criteria.	Business loans and asset finance through a lender panel, subject to criteria. Lenders may also look at the franchise system.
Advice	An accountant, a lawyer and a business adviser.	An accountant, a lawyer and a business adviser with franchising experience.

A general summary only: every sale and every franchise agreement is different.

Can I use my home or other property to help buy a business?

In some cases. 360 MMS, a mortgage manager in the 360 group, has some business-purpose loans secured by residential property that can be used to buy a business, subject to the lender's criteria. Our guide to using residential property as security for a business loan explains how these loans work.

Using your home as security puts it at risk if the business can't keep up with repayments. Everyone who owns the property should understand what they're signing, and your accountant and a solicitor can help you weigh it up.

What should I check before buying a franchise?

Read everything the franchisor gives you, including the information statement, disclosure document and franchise agreement.
Understand the Franchising Code of Conduct and your rights under it.
Use the government's Franchise Disclosure Register to compare franchisors.
Check the franchisor's financial position and look it up on the ASIC register.
Talk to existing franchisees about their experience.
Get advice from an accountant and a lawyer with franchising experience before you sign.

Pros and cons

Possible pros of using finance to buy a business or franchise:

You may not need to fund the whole purchase from your own savings.
Asset finance can be matched to the vehicles and equipment you're taking over.
Repayments are set out in the loan agreement, which can help with planning.
Comparing a panel of lenders gives you more than one option to consider.

Possible cons:

Interest and fees add to the total cost of the purchase.
Repayments start while you're still learning to run the business.
Lenders commonly ask directors or owners to act as guarantors, and secured loans put the security at risk.
A franchise adds fees and conditions set by the franchisor.

Whether finance suits your purchase depends on the business and your circumstances. Your accountant can help you weigh it up.

How do I finance buying a business, step by step?

Find the business or franchise and get the sale details, such as the contract, the business's financial statements and, for a franchise, the disclosure document.
Get advice from an accountant and a lawyer before you commit.
Tell your broker about the purchase, the funds you'll put in yourself and any vehicles or equipment included in the sale.
Your broker compares options across the panel and prepares the application. The lender will assess your application against its criteria.
If it's approved, you sign the loan documents and the funds are paid at settlement of the purchase.

How can 360 Asset Finance help?

We're a specialist finance broker working with a panel of lenders. When you're buying a business or a franchise, we can:

arrange business acquisition and franchise finance through our lender panel, subject to the lender's criteria;
compare business loans and asset finance across the panel, and show you the repayments and total cost;
tell you which documents the lender needs from you, the seller or the franchisor;
work alongside your accountant and lawyer;
prepare the application and keep you updated through to settlement;
connect you with 360 MMS if property-secured finance may help.

FAQs

How do I finance buying a franchise in Australia?

Franchise purchases are commonly funded with a business loan, asset finance for equipment and fit-out, and your own contribution. 360 Asset Finance can arrange franchise finance through its lender panel, subject to the lender's criteria.

Can I get a loan to buy an existing business?

Possibly. Some lenders consider business acquisition loans, secured or unsecured, depending on the business and your circumstances. The lender will assess your application against its criteria.

Can I use my home to buy a business?

In some cases. Some 360 MMS business-purpose loans secured by residential property can be used to buy a business, subject to the lender's criteria. Your home is at risk if the loan isn't repaid, so get advice first.

Can the equipment that comes with the business be financed separately?

Often, yes. Vehicles and equipment can usually be financed with asset finance, with the asset as security. 360 Asset Finance can compare options for them across our panel.

Do I need a deposit to buy a business or franchise?

It depends on the lender, the business and your circumstances. Your broker can tell you what the lender requires.

What documents do I need for business acquisition finance?

Usually the contract of sale or franchise agreement, the business's financial records, your business plan and cash flow forecast, and identification. 360 Asset Finance will tell you what the lender needs for your purchase.

Buying a business or a franchise?
Tell 360 Asset Finance what you're buying, how much you need and your timeline, and we'll help you compare lenders on our panel.
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Keep reading:Using residential property as security for a business loan · Secured vs unsecured business loans · Types of unsecured business loans, and finance for higher-risk industries · Types of business finance: equipment, vehicles, property-secured, commercial property and software · Asset and equipment finance

Sources and further reading:business.gov.au: Buy an existing business · business.gov.au: Buy a franchise · business.gov.au: Apply for a business loan

General information only. It doesn't take into account your objectives, financial situation or needs, and it isn't credit, tax or legal advice. Finance is provided by the lender you choose and is subject to its lending criteria; fees and charges apply. 360 Asset Finance is a trading name of Kuone Consulting Pty Ltd (ABN 75 647 329 002), Australian Credit Licence 566705.

On this page

How do I finance buying a business or a franchise in Australia?Buying an existing business or a franchise: how do they compare?Can I use my home or other property to help buy a business?What should I check before buying a franchise?Pros and cons How do I finance buying a business, step by step?How can 360 Asset Finance help?FAQs Next steps

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