Beforepay locks in $100 million facility to fuel Pay Advance and Personal Loan growth
Beforepay Group (ASX: B4P) has announced that its subsidiary, Beforepay Finance Pty Ltd, has entered into a new $100 million senior secured asset-backed revolving credit facility with Australian Commercial Mortgage Corporation Pty Ltd as trustee for Australian AB Finance Trust (“Balmain”), a subsidiary of Balmain NB Corporation Limited.
The deal consolidates the company’s existing funding arrangements with Balmain, increasing funding capacity by 82%, materially reducing borrowing costs, and strengthening the long-term funding platform. The additional headroom is intended to support the continued growth of both the Pay Advance and Personal Loan products.
For a consumer lender, funding is the raw material of the business. A larger, cheaper facility gives Beforepay more room to scale its loan book while improving the economics on every dollar lent.
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The facility at a glance: bigger, cheaper, longer
The new arrangement replaces the prior Balmain facility with a materially larger and lower-cost structure. Funding capacity rises from $55 million to up to $100 million, an 82% increase, with pricing reduced by approximately 3–4 percentage points based on current rates.
The facility begins with an initial committed limit of $40 million, structured to scale up to $100 million over time, subject to mutual agreement. A three-year term provides long-term funding certainty.
| Metric | Previous Facility | New Facility | Investor Impact |
|---|---|---|---|
| Funding capacity | $55 million | Up to $100 million (+82%) | More room to grow the loan book |
| Initial committed limit | — | $40 million, scalable to $100M | Committed base with upside headroom |
| Pricing | Higher | ~3–4 percentage points lower | Wider lending margins |
| Term | — | Three years | Long-term funding certainty |
Based on the prevailing 90-day BBSY benchmark rate at signing, the new facility is expected to reduce annual funding costs by over $1 million compared with the previous facility. This estimate assumes an equivalent $40 million drawn under each facility.
Additional highlights of the deal include:
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A three-year term providing long-term funding certainty
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A structure that can scale from the initial $40 million committed limit up to $100 million over time, subject to mutual agreement
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Support for the continued expansion of both Pay Advance and Personal Loan products
What an asset-backed revolving facility means for investors
A senior secured asset-backed revolving credit facility is a line of credit secured against the company’s loan assets. “Revolving” means the funds can be drawn, repaid and redrawn as required, rather than borrowed once as a lump sum. “Senior secured” indicates the lender holds a priority claim over the underlying assets.
For a lender like Beforepay, this type of funding is central to how the business operates. Cheaper funding widens the margin between what it costs to borrow money and what the company earns lending it out. Greater capacity allows more loans to be written.
This deal improves both levers at the same time: lower borrowing costs and higher available capacity.
Why the deal strengthens the investment case
The expanded facility builds on a relationship with Balmain that dates back to 2023. Rather than a first-time arrangement, it represents a consolidation and enlargement of an existing partnership, which management framed as an endorsement of the underlying business.
The dual benefit is straightforward. Beforepay gains greater firepower to grow its loan book, while the reduction in funding costs improves the unit economics of that growth.
Jamie Twiss, CEO, Beforepay
“This is an exciting milestone for Beforepay and an important endorsement of the strength of our business. The new facility provides significantly greater funding capacity at a materially lower cost, giving us a strong platform to continue growing both our Pay Advance and Personal Loan products. We’re delighted to expand our relationship with Balmain and appreciate their continued confidence and support as we execute our growth strategy.”
Balmain offered its own perspective on the partnership, reinforcing the third-party confidence behind the arrangement.
Craig White, Head of Corporate and Asset Based Lending, Balmain
“Balmain is pleased to support Beforepay through this new asset-based loan facility, which reflects our confidence in the strength of the business and its disciplined approach to growth. Since the beginning of our relationship in 2023, we have been impressed by Beforepay’s performance and the quality of its management team, and we look forward to expanding this relationship as the company continues to scale its Pay Advance and Personal Loan products.”
Balance sheet strength backing the growth runway
As at 30 June 2026, Beforepay reported A$13 million of cash on its balance sheet, including funding and settlement accounts, alongside a A$49 million equity position. All figures are unaudited.
The company described itself as well-capitalised for the future, with the increased debt capacity positioned to support significant top-line growth.
Key financial position points include:
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A$13 million cash on balance sheet (including funding and settlement accounts)
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A$49 million equity position
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Three-year facility term providing long-term funding certainty
Management indicated the additional capacity underpins future loan book growth across both the Pay Advance and Personal Loan products. The company did not disclose specific growth targets in the announcement, framing the expanded facility as a platform to support continued scaling rather than a defined outcome.
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