Business Loans

Hospitality fitout finance
for Australian
venues

Finance your cafe, restaurant, bar, or hotel fitout from lease signing to first service. We compare 50+ lenders with commercial kitchen, bar, and hospitality fitout experience.

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Commercial kitchen equipment bundled in
Pre-approval before your builder starts
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50+ lenders compared in one application
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Liquor licence and compliance fitouts funded
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At EasyAsset, hospitality fitout finance is one of our specialist commercial lending categories. Whether you are opening a cafe, restaurant, bar, pub, or large multi-room hospitality venue, we work with lenders who understand the complexity of hospitality fitouts and the compliance requirements of commercial food service and liquor licensing. We help operators finance commercial kitchen equipment and exhaust canopies, bar fitouts, coolroom installation, acoustic treatment, outdoor dining areas, and gaming room compliance works under one staged drawdown facility. We know hospitality fitouts are complex, expensive, and time-sensitive, and we structure your finance to get you open.

How it works

How hospitality fitout finance works

Hospitality fitout finance is structured as a staged drawdown facility aligned to your builder’s progress payment schedule. Here is how the process works from lease to opening day.

1

You sign your commercial lease and receive fitout specifications

Most landlords provide a fitout guide or tenancy schedule detailing what is permitted. Some provide a landlord incentive or contribution toward fitout costs. Your finance application can begin at this stage, before any works commence.

Start your finance application as soon as your lease is signed
2

You obtain builder or contractor quotes

Your fitout finance application is typically based on accepted quotes from licensed builders and tradespeople. Lenders want to see the fitout cost broken down by trade. Most lenders require at least one formal quote before approving a staged drawdown facility.

Itemised builder quotes support your application
3

Finance is approved before works commence

Pre-approval means you know your funding is in place before your builder starts. This protects you from project delays caused by funding gaps mid-construction. Settlement typically occurs in stages aligned to your builder’s progress payment schedule.

Pre-approved before your builder starts
4

Funds are drawn in stages as works are completed

Unlike a standard loan, fitout finance is drawn progressively. As your builder completes agreed milestones and issues progress claims, your lender releases the corresponding funds. You only pay interest on the amount drawn at each stage, not the full facility limit.

Interest charged only on funds drawn at each stage
5

Fitout complete, you open and begin trading

On practical completion, the final drawdown is released to your builder. Your facility converts to a standard repayment schedule and you begin making repayments from your trading revenue. The fitout generates depreciable deductions from day one.

Open for business, repayments begin from trading revenue
Types of fitout finance

Which fitout finance structure suits your venue?

Four structures available for hospitality fitout finance. The right one depends on your venue size, trading history, and whether you want to bundle kitchen equipment with construction.

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Fitout loan

A term loan for the full fitout cost, with staged drawdowns tied to your builder’s progress payment schedule. The most common structure for hospitality fitouts. You repay over a fixed term of 3 to 7 years with the fitout itself as the primary security.

Draws aligned to builder progress claims
Fixed term and repayment schedule
Interest only on drawn amounts during construction
Available from specialist commercial lenders
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Unsecured business loan

For smaller fitouts or businesses that do not want to use the fitout as security. No charge over the fitout asset. Typically available up to $250,000 and approved based on your business revenue and credit profile rather than asset security.

No security required over the fitout
Faster approval for smaller fitouts
Available up to $250,000 from non-bank lenders
Higher rate reflects the unsecured nature
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Equipment and fitout bundle

Combine the fitout construction cost with commercial kitchen equipment, refrigeration, espresso machines, and other venue equipment under one facility. Particularly useful when both fitout works and equipment are sourced at the same time.

One loan covers construction and equipment
One monthly repayment
Single application and settlement process
Equipment assessed as additional security
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Sale and leaseback on existing fitout

If you own an existing fitout in a leased space, you may be able to sell the fitout asset to a lender and lease it back, unlocking working capital for a new fitout or other business needs without disrupting your current operation.

Unlock cash from existing fitout asset
No disruption to current operations
Suitable for refurbishments and upgrades
Available for established businesses with fitout assets
Structure recommender

Which fitout finance structure suits your venue?

Answer 4 quick questions and our recommender will suggest the best fitout finance structure for your hospitality venue, instantly, with no phone call needed.

Find your ideal hospitality fitout finance structure

4 questions · Takes about 30 seconds · Instant recommendation

Question 1 of 4

What type of hospitality venue are you fitting out?

Eligibility

Who qualifies for hospitality fitout finance?

Most Australian businesses with a signed commercial lease and an ABN can access fitout finance. Here is what lenders look at.

Signed commercial lease
A signed commercial lease is the fundamental starting point for fitout finance. Most lenders want to see a lease term that covers the finance term. A minimum remaining lease term of 3 years is typical.
Active ABN and trading history
An active ABN is required. Established businesses with 12 or more months of trading history have access to the full range of lenders. New businesses can still access fitout finance but may need a stronger asset position or personal guarantee.
Builder quotes or contracts in place
Lenders typically require formal quotes from licensed builders before approving a staged drawdown facility. Having your builder under contract before applying strengthens your application and speeds approval.
Landlord incentive or contribution
Many commercial landlords offer a tenant incentive toward fitout costs. Lenders want to see this factored into your total fitout budget. A larger landlord contribution reduces the amount you need to borrow and can improve your approval prospects.
Personal guarantee for smaller businesses
Most commercial lenders require a personal guarantee from directors or principals, particularly for smaller businesses or new operations. This is standard practice and does not affect your credit score unless you default.
No property security for smaller fitouts
Fitout loans up to around $250,000 are often available without real property security. The fitout itself is the security. For larger fitouts, some lenders may require a general security agreement over business assets.
Typical scenarios

3 typical hospitality fitout finance scenarios

Hospitality fitout costs vary significantly by venue type, kitchen specification, and location. Here is how the numbers typically look across three common venue sizes.

Cafe or small bar
$280,000
80-seat cafe fitout with commercial kitchen
TypeStaged fitout loan
Term5 years
Rate (est.)7.9% p.a.
DepositNone required
Approval pathFull or low doc
Estimated monthly repayment
~$5,690
approximately $1,313 per week
Independent cafe or small bar operator
Kitchen equipment, espresso equipment, refrigeration, bar fitout, dining area, and front of house all funded together.
Restaurant
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$680,000
120-seat restaurant, full commercial kitchen and bar
TypeStaged fitout loan
Term5 years
Rate (est.)7.9% p.a.
DepositNone required
Approval pathFull doc
Estimated monthly repayment
~$13,820
approximately $3,189 per week
Full-service restaurant, new premises
Commercial kitchen with exhaust canopy, coolrooms, bar fit-out, acoustic treatment, premium dining room, outdoor dining area.
Hotel or venue
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$1,500,000
Multi-room venue, commercial kitchen, function spaces
TypeCommercial fitout facility
Term7 years
Rate (est.)7.5% p.a.
Deposit10%
Approval pathFull doc
Estimated monthly repayment
~$23,900
approximately $5,515 per week
Hotel, pub, or large hospitality venue
Full venue fitout including commercial kitchen, bar, gaming room, function spaces, outdoor dining, acoustic treatment, and fire suppression.

Indicative repayments only. Actual rates depend on your profile, lender, and fitout scope.

Kitchen vs front of house

Back of house kitchen versus front of house dining: cost split in hospitality

Hospitality fitout budgets split roughly 40 to 60 percent between back of house and front of house. Understanding this split helps you finance accurately and make specification decisions that match your revenue model.

Back of house kitchen Compliance-driven cost

Commercial kitchen equipmentA commercial kitchen is the largest single cost centre in most hospitality fitouts. Commercial ranges, ovens, fryers, grills, bain maries, prep benches, and dishwashing equipment can all be bundled into your fitout finance facility. Equipment cost alone can run from $50,000 for a simple cafe to $300,000 or more for a full-service restaurant kitchen.
Exhaust canopy and make-up air systemCommercial exhaust canopies with fire suppression, grease filters, and a make-up air system are required by council and fire safety regulations. The make-up air system balances the air extracted by the canopy, which affects your HVAC design for the entire venue. This is often underestimated in early budgets.
Coolrooms and cold storageWalk-in coolrooms and freezer rooms are a significant fitout cost and are assessed as equipment items that can be bundled into the finance facility. Coolroom fit-out requires licensed refrigeration tradespeople and HACCP-compliant design.
Commercial plumbing and drainageCommercial kitchens have complex plumbing requirements including grease traps, triple bowl sinks, dishwasher connections, and floor waste drainage designed to council standards. Plumbing is a major trade package in a hospitality fitout and must be coordinated with the slab or floor build-out.

Front of house dining Brand experience cost

Bar fitout and cellar managementA bar fitout includes cabinetry, beer taps, glass washers, refrigeration, ice machines, and back bar display. For licensed premises, the bar design must be submitted to the liquor licensing authority. Bar fitout costs vary widely based on specification but are commonly $50,000 to $150,000 for a full-service bar.
Dining room furniture and acoustic treatmentCommercial-grade dining furniture, acoustic ceiling and wall treatment, feature lighting, and flooring are the main front-of-house cost items. Acoustic treatment is frequently underspecified and causes significant operational problems in venues with hard surfaces.
Outdoor dining and alfresco areasOutdoor dining areas involve retractable awnings or permanent structures, heating, lighting, and often council approval for encroachment on a footpath or public area. These works require a development application in many jurisdictions and the approval timeline should be factored into your fitout program.
Gaming room complianceVenues with electronic gaming machines require a designated gaming room meeting strict regulatory requirements including specific dimensions, sightline compliance, responsible gambling signage, and surveillance systems. Gaming room fitout is a specialist compliance area and requires experienced builders and advisors.
Fitout calculator

Estimate my repayment

Adjust the sliders to estimate your repayments. Speak with our team for an exact quote based on your profile.

Loan amount $480,000
Loan term 5 years
Interest rate 7.9% p.a.
Repayment frequency
Estimated repayment
$9,710
per month
Loan amount$480,000
Total interest$102,583
Total repayable$582,583
Number of repayments60
Get an exact quote →
Indicative only. Actual repayments vary based on lender, credit profile, and fees.
Tax benefits

Tax benefits of financing your hospitality fitout

Fitout finance has specific and favourable tax treatment. Structured correctly, the after-tax cost of your fitout is significantly lower than the headline price.

01
Depreciation on fitout assets
Once your fitout is complete, it becomes a depreciable asset on your business balance sheet. The ATO assigns effective life ratings to fitout components including flooring, partitioning, lighting, electrical fit-outs, and air conditioning. Depreciation reduces your taxable income annually.
02
Instant asset write-off for eligible businesses
Under current ATO temporary full expensing rules, eligible businesses may write off the full cost of fitout components in the year they are first used or installed. Your accountant should assess which components qualify and in which financial year the deduction is most beneficial.
03
Interest deductions on fitout loans
The interest component of your fitout loan repayments is deductible as a business expense across the full loan term. Combined with depreciation, the effective after-tax cost of your fitout is materially lower than the headline price.
04
GST on fitout costs is claimable
GST-registered businesses can claim the full GST component of fitout construction costs and equipment purchases on their BAS. On a $500,000 fitout that is over $45,000 back in your cash flow.
05
Capital works deductions under Division 43
For fitout work that constitutes structural improvements to a leased premises, a Division 43 capital works deduction may apply. Your accountant should assess the split between depreciable plant and equipment versus capital works to optimise your deduction strategy.
How to apply

Get your fitout funded in 4 steps

1

Submit your details

Fill in the quick form above with your business details, estimated fitout cost, and whether you have builder quotes in place. No credit check, no commitment. Takes about 2 minutes.

2

We compare lenders

A specialist matches you to commercial lenders from our panel of 50+ who offer fitout finance for hospitality venues, including lenders with specific experience in commercial kitchen and bar fitout costs.

3

Get pre-approved

Pre-approval in as little as 24 to 48 hours so you can proceed with your builder with confidence that your funding is in place before works commence.

4

Drawdown as works progress

As your builder completes milestones and issues progress claims, we coordinate the drawdown releases. You only pay interest on what has been drawn. On practical completion, your loan converts to a standard repayment schedule.

Get a free quote →
No credit check · No obligation · Australian team
FAQ

Hospitality fitout finance FAQ

Can I include commercial kitchen equipment in my hospitality fitout finance?+
Yes. Commercial kitchen equipment including ranges, ovens, fryers, grills, dishwashers, exhaust canopies, coolrooms, and freezers can all be bundled into the same finance facility as your fitout construction works. This is very common in hospitality fitout finance and gives you one loan for the entire project.
Does my council DA approval affect my fitout finance timeline?+
Yes. A development application can add 4 to 16 weeks to your project timeline depending on the council and the nature of your proposed works. Outdoor dining, change-of-use applications, and heritage-affected premises typically take longer. Apply for your DA as early as possible and discuss your expected approval timeline with your lender when applying for fitout finance.
What is a grease trap and do I need one?+
A grease trap is a plumbing device required by council for most food service premises to prevent grease from entering the sewer system. They are mandatory for restaurants and commercial kitchens and must be sized to your kitchen output. Grease trap installation is a significant plumbing cost in a hospitality fitout and must be factored into your construction budget and finance amount.
Do I need to have a builder selected before applying?+
No, but having builder quotes in place speeds up approval significantly. You can apply for pre-approval before selecting a builder, and then proceed to formal approval once quotes are in hand. This allows you to negotiate with builders knowing your funding is effectively confirmed.
Can I finance a fitout for a new business with no trading history?+
Yes, though the pathway differs. New businesses and startups can access fitout finance through lenders who assess the strength of the business plan, the location, the lease terms, and often require a personal guarantee or additional security. EasyAsset works with lenders who specifically cater to new business fitouts.
What happens if the fitout costs more than expected?+
Overruns are common in construction. Most fitout finance facilities can be increased mid-project with a variation approval. It is important to notify your lender early if costs are tracking higher than the original quote rather than waiting until the final claim. We recommend including a contingency of 10 to 15% in your initial finance amount.
Can the landlord's fitout contribution be included in the finance arrangement?+
The landlord contribution typically reduces the total amount you need to borrow rather than being paid through the finance facility. Some lenders structure the facility net of the expected landlord contribution. Your solicitor and lender can advise on the best way to document the incentive in the context of your finance.
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