Sydney Physio Approved for $25K in Extra Working Capital, With an Existing Loan Already in Place
One of the most common questions we get at OverdraftMe is some version of this: "I already have a business loan. Can I still get more funding?" Plenty of business owners assume the answer is no, because the first lender they ask says no. This case study shows why that first no is rarely the final answer.
- A business with an existing unsecured facility can still be approved for additional funding in Australia.
- This Sydney physiotherapy clinic was approved for a $25,000 additional facility on top of its existing funding through OverdraftMe.
- The deciding factors were a clean servicing history on the existing facility and choosing a lender whose policy accepts second positions.
- OverdraftMe submitted to one lender only, so the business wore a single credit enquiry. The broker service cost the client $0; the lender pays on settlement.
The situation
A Sydney-based physiotherapy clinic came to us looking to grow. The practice was busy and the owner wanted funds to support the day-to-day side of running it: wages, rent, supplies, and the gap between treating patients and actually getting paid.
That gap is the defining cash flow problem for physios and healthcare practices. Sessions are delivered today, but the money arrives on someone else's schedule: private health funds, Medicare, NDIS plan managers, and patients themselves all pay on different cycles. Meanwhile the clinic's costs, especially staff wages, are fixed and weekly.
The complication: funding already in place
Here's what made this one harder than a standard application. The clinic already had an unsecured facility with another funder.
Many lenders treat an existing facility as an automatic decline, or heavily discount what they'll offer. From the lender's side, the existing repayments reduce the surplus cash available to service anything new, and an unsecured funder already holds a position against the business. Apply to the wrong lender in this situation and you collect a decline plus a credit enquiry for nothing.
This is exactly where lender knowledge earns its keep. Of the 50+ lenders on our panel, only some will lend alongside an existing unsecured facility, and each of those has its own rules about how much existing exposure they'll accept and how they verify it from your bank statements.
The principle: an existing facility doesn't disqualify you. It narrows the field of lenders who will say yes. The job is knowing which ones they are before the application goes in, so your credit file only wears one enquiry.
What we did
- Reviewed the bank statements first. Six months of statements showed consistent revenue and that the existing facility was being serviced comfortably. That servicing history is the strongest card an already-funded business holds.
- Shortlisted lenders that accept existing facilities. We excluded every lender whose policy auto-declines second positions, no matter how good their headline rate looked.
- Submitted to one lender only. The one whose policy matched the clinic's profile. One application, one credit enquiry.
The result
Approved: an additional $25,000 facility on top of the clinic's existing funding, giving the owner the day-to-day buffer they were after. Wages covered while waiting on health fund and NDIS payments, supplies ordered without juggling, and headroom to take on more bookings instead of managing the bank balance.
The clinic paid nothing for our service. As with every OverdraftMe deal, the lender pays us on settlement.
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Check my eligibility → Call 02 8046 3933What this means if you're in the same position
If your business already has a loan or facility and you need more working capital, three things decide what's possible:
- Your servicing history. If your statements show the existing facility being repaid without dishonours, you're a credible candidate for more.
- Your revenue headroom. Lenders look at total exposure against monthly revenue. The standard minimums still apply: roughly $6,000+ per month in revenue, 6+ months trading, and an Equifax score of 550 or above.
- Lender selection. This is the variable you can't see from the outside, and the one that decides whether you get an approval or a decline on the exact same application.
More on eligibility for every scenario, including existing funding, ATO debt, and bank declines, in our full approval guide.
Frequently asked questions
Can I get a business overdraft if I already have a business loan?
Yes, in many cases. Some lenders decline applications where another facility is already in place, but others will lend alongside existing funding if your bank statements show the business is servicing its current commitments comfortably. A broker who knows each lender's policy on existing facilities can place your application with a lender that accepts them, rather than one that auto-declines.
Will an existing facility reduce how much I can borrow?
Usually yes. Lenders assess your total exposure, so existing repayments reduce the surplus cash flow available to service new funding. The additional amount approved depends on your monthly revenue, the size of your existing repayments, and the lender's policy. It is still possible to be approved for a meaningful additional facility, as this case study shows.
Does applying for more funding affect my credit score?
Each formal application creates a credit enquiry. That is why OverdraftMe submits to one lender only, the one most likely to approve your profile, instead of shotgunning your application across the market. Checking your eligibility through our calculator does not involve a credit check.
What do physio and healthcare businesses use overdrafts for?
Common uses include covering wages between Medicare, NDIS, and private health fund payment cycles, fitting out new treatment rooms, purchasing equipment, and smoothing seasonal dips in bookings. A revolving facility suits these businesses well because income arrives in irregular cycles while costs like rent and wages are fixed.
Related reading
- All case studies
- Can I get approved? Every scenario covered
- Business overdrafts explained
- Business overdraft eligibility in Australia
This case study describes a real transaction arranged by OverdraftMe. Identifying details have been omitted to protect the client's privacy. Outcomes vary and past results do not guarantee future approvals. Approval amounts and terms are subject to full credit assessment by the lender. General information only, not financial advice. OverdraftMe is a credit representative of Lend & Loan Pty Ltd, Australian Credit Licence 511092.