Why Liquidators Are Turning to Renown Lending for Asset-Backed Rescue Financing

The Rise in Insolvencies and Business Closures

Australia is currently experiencing a sharp uptick in business insolvencies, with thousands of SMEs—particularly those in hospitality, construction, and retail—undergoing liquidation or voluntary administration. Many of these businesses are asset-rich but cash-flow poor. They own property or equipment but face urgent tax obligations, rent arrears, or default notices. Unfortunately, the traditional banking sector is no longer a lifeline for these businesses. Banks have grown increasingly risk-averse, slowing down their credit approvals and tightening lending criteria, even when the applicant holds significant tangible assets.

This environment has placed liquidators in a difficult position. Tasked with preserving value for creditors and avoiding unnecessary shutdowns or fire-sale asset disposals, they must act swiftly to stabilise businesses and prevent further erosion of equity. As a result, liquidators are increasingly turning to private lenders such as Renown Lending, which has built a reputation for fast, flexible, and ethical asset-backed lending solutions.

Why Liquidators Are Involving Renown Lending

Renown Lending has become a go-to partner for insolvency practitioners, administrators, and liquidators seeking a viable exit or restructuring strategy for their clients. The reasons are both structural and strategic.

1. Speed and Certainty: Renown Lending can issue conditional approvals within 24–48 hours and finalise settlements in under a week. For liquidators racing against the clock, this is invaluable. When a business is days away from insolvency or being unable to meet payroll, a delay of even a few days can be fatal. Renown’s streamlined process avoids the months-long wait typical of major banks.

2. Asset-Backed Lending: Unlike traditional financiers that focus on trading history and credit ratings, Renown Lending specialises in loans backed by real property or business assets. They offer high LVRs—up to 70% for residential, 65% for commercial, and 50% for vacant land. This gives liquidators and administrators a tangible pathway to secure funding using available collateral.

3. Ethical Approach: What sets Renown apart in a sea of private lenders is its ethical foundation. Founded after its principal, Kalpi Prasad, had a negative personal experience with exploitative private lending, Renown was created to clean up the industry. They offer transparency, no upfront lender fees, and structured, repayable loan plans that don’t trap businesses in a debt spiral.

4. Working with Liquidators, Not Around Them: Renown Lending understands the fiduciary duties of liquidators. Their team engages directly with administrators and restructuring advisors, providing documentation and fast-track approvals that enable refinancing, asset sales, or capital injections with minimal disruption to ongoing administration.

Case Studies: Renown in Action

Bowden Cafe, Adelaide A well-known Adelaide café faced imminent closure due to ATO debt and cash flow stress. Although profitable, delays in receivables and a pending GST bill pushed the owner to the brink. A liquidator referred them to Renown Lending. Within 72 hours, Renown refinanced the café’s debt, reduced repayments, and provided enough working capital for the business to rebrand and relaunch. Months later, the client refinanced to a mainstream bank.

Derrimut Gym, Victoria When a popular gym in Derrimut fell behind on rent and tax obligations, the landlord began eviction proceedings. Renown stepped in after a receiver was appointed. Using the equipment and lease as collateral, they arranged a six-month working capital facility that gave the gym enough runway to catch up on debts and rehire key staff. The gym remains in operation today.

These stories aren’t anomalies—they’re representative of how Renown operates: by providing responsible, short-term liquidity to asset-backed businesses in distress.

The Macro Landscape: Why Now?

In 2025, Australia’s financial landscape has shifted significantly. Banks are reluctant to take on SME risk, especially when the business doesn’t present ideal balance sheets or predictable earnings. Add to that a surge in ATO enforcement actions and rising lease defaults, and many businesses are simply unable to hold on without intervention.

Liquidators have taken note. By partnering with responsible private lenders like Renown, they can avoid knee-jerk insolvency filings, maximise recoveries, and, in some cases, return businesses to viability. Renown's capital, drawn from a $200 million warehouse and $25 million unsecured funding facility, gives them the firepower to make meaningful interventions.

How Renown Lending Executes

Renown’s model is built for the high-stakes, time-sensitive world of business restructuring:

• Fast approvals: Conditional offers within 24–48 hours

• Flexible terms: Loan sizes from $20K to $40M

• Property-backed security: Accepts residential, commercial, mixed-use, industrial, and vacant land

• Cash-flow solutions: Offers working capital for ATO, rent, payroll, or urgent expansion

• No upfront lender fees

• Ethical underwriting: Loans only extended where a viable repayment path exists

Renown also collaborates with brokers, insolvency practitioners, receivers, and even law firms handling administration matters to ensure deals proceed smoothly.

The Benefits for All Stakeholders

StakeholderBenefit Provided by Renown LendingLiquidatorsFast, asset-backed capital to stabilise business operationsBusiness OwnersA second chance to restructure or avoid bankruptcyCreditorsHigher recovery rates by avoiding asset fire salesRenown LendingStructured, ethical returns via short-term secured lending

This alignment of interests makes Renown Lending not only a funding partner but also a strategic ally in Australia’s evolving business finance ecosystem.

Why This Matters in the Long Term

Australia’s economy relies on the survival of its SMEs. They represent over 97% of all businesses and employ millions of Australians. If liquidators and banks allow viable SMEs to collapse due to short-term liquidity issues, the long-term damage to the economy will be significant.

Private lenders like Renown fill a critical gap, offering tailored funding solutions that support business continuity, employment, and growth. By operating ethically and with financial discipline, Renown is proving that private credit can be part of the solution—not the problem—in Australia’s insolvency and restructuring landscape.

Final Word

The rise in insolvency doesn’t have to mean the end of the road for every business. Thanks to forward-thinking liquidators and lenders like Renown Lending, there’s a growing movement to rescue, restructure, and refinance rather than shut down and sell off.

Renown Lending’s mission is simple: help businesses that have assets but lack options. In doing so, they’re not just providing loans—they’re helping preserve Australian jobs, businesses, and economic potential.