Can I borrow with super guarantee arrears?
Sometimes, though unpaid super is one of the arrears lenders treat most seriously and many will want it cleared or under a formal arrangement first. Super is employee money. Falling behind on it points at a cash flow problem and it exposes directors personally through the penalty notice regime. Options do exist while arrears are outstanding, usually across a smaller pool of lenders and at a higher cost. Speak with your accountant early.
Why lenders take it seriously
Unpaid super sits alongside unpaid PAYG as a signal credit teams watch closely, because both are money the business was holding for someone else. It also carries personal risk. The ATO can issue a director penalty notice for unpaid super, which in some circumstances makes the debt yours rather than the company’s. Lenders know a director carrying that exposure is a different proposition. Expect direct questions about how far behind you are, why it happened and what has changed since.
What usually needs to happen first
Most lenders want the arrears either paid out or covered by an ATO arrangement that is being met on time. Where the shortfall came from a one off gap and current obligations are being met, some lenders will look at funding the catch up as part of a wider facility. Others will not touch it. If the arrears are large and still growing, the honest answer is that borrowing may not be the fix. The free Small Business Debt Helpline on 1800 413 828 and your own adviser are the right first calls.
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Last updated 15th July 2026. Reviewed by Authorised Credit Representative 554584 of Australian Credit Licence 414426.