The Tasmanian Government recognises that the private sector is critical to growing our economy and is committed to supporting Tasmanian businesses.
The $60 million Business Growth Loan Scheme provides loans to assist Tasmanian businesses to develop, expand or undertake new projects, that promote growth in the Tasmanian economy and align with the Tasmanian Government’s strategic objectives.
The scheme will open for applications until 5pm, 18 December 2026 or until all funding has been utilised, whichever occurs first.
Key details of the Business Growth Loan Scheme
The minimum loan amount is $100,000 and the maximum loan amount is $5 million.
The loan term is up to 5 years.
Concessional interest rates apply for the first three years (currently 7.28%), with commercial rates to apply after year 3.
Loan interest will apply from the commencement of the loan.
Principal repayments must commence no later than 1 year after the initial drawdown of the loan.
Loan security must include freehold security up to a maximum Loan to Value Ratio (LVR) of 80 per cent.
Loans must be repaid in full or fully refinanced at the end of the agreed loan term.
To be eligible for a loan under this scheme your business will:
Hold an active Australian Business Number (ABN) and be registered for Goods and Services Tax (GST).
Be located in Tasmania.
Clearly demonstrate an ability to service the loan.
Clearly demonstrate the skills and experience necessary to manage the proposed operation.
Clearly demonstrate a satisfactory ability to meet project contingencies and cost overruns.
Demonstrate the loan supports Tasmanian employment, and that Tasmanian labour and materials will be used wherever possible to complete the project.
Demonstrate that the project aligns to an identified policy objective of the Tasmanian Government - such as Tasmania’s Small Business Growth Strategy 2026 - and contributes to growth in the Tasmanian economy.
Clearly demonstrate that the financial assistance from the Tasmanian Government sought under this scheme is required and that the project cannot be funded on commercial terms through normal banking channels.
Ineligibility criteria also apply to this loan scheme – please check the guidelines before applying.
To apply for a loan:
Read these guidelines (below) and consider the eligibility criteria.
Discuss your lending requirements with your bank to determine if your bank can fund, or partly fund, the planned expenditure or project.
Discuss your proposal with your financial or business advisors.
Email us on bgls@building.tas.gov.au, in the first instance, to arrange a discussion of your proposal, or ask any questions.
To apply, Building Tasmania will provide a link to SmartyGrants. SmartyGrants is an easy to use online loan and grant management system that can be accessed via mobile phone, tablet, or computer.