Interest rates on business finance in Australia are among the least transparent figures in the lending market.

Lenders advertise headline rates that do not include fees. Comparison rates that include some fees but not others. Factor rates on revenue-based products that require conversion to understand the effective annual cost. Rate ranges that span from reasonable to extreme depending on borrower profile.

A business owner who signs a loan agreement without understanding the total cost of what they are accepting has made the most important financial commitment in the process without the information needed to evaluate it.