Quick answer
Your accountant should send a lender finalised profit and loss and balance sheet statements for the last two years, current-year management figures, your tax returns and notices of assessment, and ATO account data such as the integrated client account. A short cover note explaining unusual items and any add-backs helps the lender read the numbers correctly.
Key points
- Lenders usually want two years of finalised financials plus year-to-date management figures, not just the last tax return
- ATO account data, including the integrated client account, shows payment history and any tax debt, so ask for it early
- A cover note explaining one-off costs and add-backs can change how the numbers are read
- Accountant access to the ATO runs through Relationship Authorisation Manager, so check it is set up before you need it
- An accountant who is behind on lodgements is the most common cause of avoidable delay
When a lender asks for “your financials”, most owners ring the accountant and say “send them the usual”. Then the lender replies that something is missing, the accountant is on leave, and the week disappears.
A little briefing up front fixes most of this. Here is what an accountant can send, what each piece tells a lender, and how to ask for it so nothing comes back half done.
What do lenders actually ask an accountant for?
Requirements vary by lender and loan size, so read the lender’s checklist first. Published bank lists give a good picture of the pattern. ANZ’s business lending checklist, for example, asks for finalised profit and loss and balance sheet statements covering the last two years, interim figures for the current year, and a recent BAS together with an ATO statement showing twelve months of debits and credits. Westpac’s published requirements for one of its products include twelve months of ATO statements including the integrated client account. Smaller loans from non-bank lenders may need far less, sometimes only bank statements and a BAS.
A typical full pack looks like this:
| Item | What the lender learns |
|---|---|
| Profit and loss, last two years | Trend in sales, margins and costs |
| Balance sheet, last two years | Assets, liabilities, owner loans, tax and super owing |
| Current-year management accounts | Whether trading has held up since year end |
| Tax returns and notices of assessment | Reported income and tax position of the entity and owners |
| Recent BAS | Current turnover and GST position |
| ATO integrated client account | Payment history, any tax debt, penalties and interest |
| Debtor and creditor lists | Who owes you, who you owe, how old |
| Depreciation schedule | Asset base, useful when equipment is security |
What is the integrated client account, and why does it matter so much?
Of all the items, this is the one owners know least. It is the ATO’s running ledger for your business: activity statement transactions, payments, penalties and interest. A lender reads it to see two things quickly, whether you pay tax on time and whether any debt is building. Some lenders ask for it once the loan passes a set size; for instance, Moula states it requires it for business loans over $50,000 and CommBank’s broker checklist asks for it where total commercial exposure reaches $500k or more.
Practical point: accountants reach the ATO’s business accounts through the Relationship Authorisation Manager, which replaced the old AUSkey arrangement. If your accountant has not been linked to your business there, they cannot pull the account, and fixing that mid-application takes time. Ask now whether the link is current.
Why does a cover note matter?
Numbers without context get read by the lender’s worst-case rules. A short note from your accountant (half a page) can change that. It should cover:
- One-off items. A legal dispute, relocation, or an insurance claim that depressed or inflated a year.
- Add-backs. Items the accountant considers non-recurring or non-operational, such as a once-off settlement, interest on loans being refinanced, or owner-related costs. The glossary entry on add-backs explains how lenders treat them.
- Changes in structure. A new company, a trust distribution, a partner leaving.
- Anything in the balance sheet that looks odd. Director loans, large related-party balances, a tax liability and why.
Keep it factual. A note that argues, hedges or defends makes a lender nervous; a note that states and documents helps them. If you want to understand what they are reading, our guide on reading your profit and loss statement takes a few minutes.
How should you brief your accountant?
The easiest way to avoid delay is a short written request. Include:
- The lender’s name and the exact checklist, or a paste of it.
- The amount and purpose of the loan, so the accountant knows what to emphasise.
- The date you need the pack, with a buffer for questions.
- Whether you authorise them to speak to the lender directly.
- Anything you already suspect the lender will query.
Then ask the accountant two questions: what can you send now, and what cannot you send until later? Management accounts and the latest BAS can often go the same day. Finalised statements take longer. Splitting it that way lets an application start moving.
Our list of questions to ask your accountant before a business loan goes into the conversation in more detail, including what to ask about structure and tax planning.
What if the accountant is behind?
It is more common than most owners admit. Lodgements slip, a bookkeeper leaves, a busy season hits. Lenders will not wait indefinitely, but a late return is not the end of the road.
First, find out exactly where each year sits: draft, lodged or not started. Second, ask for the best available interim information, since management accounts and BAS can show a lender trading is healthy even where final returns are outstanding. Third, if the delay is long, consider a conversation with an alternative provider. Our situation page on business loans when your accountant is behind lays out the options, and business loans without financials covers lending sized from bank statements.
Banks are often the cheapest money, and a bank will normally want the finalised pack. If that cannot be produced in time, a different lender may fund first, and you can refinance to a bank later once the paperwork is current.
What should you check before it goes out?
Read the pack yourself, even if you are not an accountant. Things to confirm:
- The business name, ABN and entity type match everywhere.
- Figures are consistent across documents. If the BAS turnover and the profit and loss differ, there should be an explanation.
- Dates are recent and cover the period requested.
- Nothing is marked draft unless the lender has agreed to drafts.
- Any ATO debt is shown, and a payment plan is documented if one exists.
A mismatch found by the lender costs more trust than one found by you.
A worked example
Illustrative only. A catering company needs $120k for a commercial kitchen upgrade. The lender’s checklist asks for two years of financials, current-year figures, a BAS and the ATO account. The owner sends the accountant a short email with the checklist, the loan purpose and a deadline of Friday.
By Wednesday the accountant has sent the finalised statements, the latest BAS and management accounts to the end of September. The ATO account link needs updating, which takes until Thursday. The accountant adds a half-page note: last year’s profit dipped because of a $22k one-off relocation cost, which is shown as an add-back, and one large customer moved to a new contract in July. The lender gets a complete pack on Thursday afternoon instead of a trail of follow-ups.
Ready to put the pack to use?
If your accountant’s pack is ready, or nearly so, the next step is finding a lender whose criteria fit your numbers. Our enquiry form takes about a minute, and no credit check is made when you ask. We do not forward your details to a pile of lenders; a real person reads your enquiry, thinks about what suits and phones you. Please enter your turnover, structure and any tax position exactly as your accountant would, so the first suggestion is a sensible one.
Frequently asked questions
What financial statements do lenders usually want from my accountant?
Typically profit and loss and balance sheet statements for the last two completed financial years, plus current-year management accounts. Large banks often ask for finalised statements, while some non-bank lenders will work from bank statements and a recent BAS. The lender's own checklist is the final word.
What is the integrated client account and why do lenders ask for it?
It is the ATO's running account for your business, covering activity statement transactions, payments, penalties and interest. Lenders use it to judge tax compliance and payment history. Your accountant or tax agent can usually access it if you have authorised them in the ATO's systems.
Do I need my accountant to write a letter?
It is not always required, but a short cover note often helps. It can explain a one-off cost, a change in ownership, a drop in one year, or items that should be added back when judging earnings. The note should state facts, not argue a case.
What if my accountant is slow or behind on my returns?
Raise it early, because late financials delay almost every application. Ask for a date, and ask what can be provided now, such as management accounts and BAS. If returns are overdue there are still routes, covered in our page on business loans when your accountant is behind.
Can the accountant speak to the lender directly?
Yes, with your written permission. A direct call from an accountant who knows the business can clear up questions quickly. Agree beforehand what they will and will not discuss.
Are add-backs normal and will a lender accept them?
Add-backs adjust reported profit for items that will not recur or are not true running costs, such as a one-off legal bill or owner-related expenses. Lenders may accept them where they are documented and reasonable. They will not accept a long list of unsupported adjustments.