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Melbourne is the second-most populous city within Australia, as it is home to more than 4.8 million residents. Not only is it the capital city of Victoria, but it also plays a huge role in the state’s economy, containing its major central business district.

In the past year alone, over 20,000 small businesses were created within the state, contributing to Victoria’s total of over 576,000 small-medium enterprises. SMEs are extremely important to the region’s economy, making up approximately 98% of Victoria’s total businesses.

As a result, it’s vital that small businesses in Melbourne receive the proper funding they require to get their venture up and running. Rather than filling in lengthy applications or waiting weeks for approval, many SMEs are turning to the fast and flexible finance that an unsecured business loan provides.

How do unsecured business cash loan providers in Melbourne work?

One of the best ways you can obtain unsecured business finance is by seeking the services of an unsecured business cash loan provider in Melbourne, such as Lumi. An unsecured loan differs to a secured loan, as it doesn’t require a valuable asset (such as property you own, your vehicle, etc.) to serve as collateral. Instead, you are simply required to provide a personal guarantee from the directors of the business.

There are plenty of ways that an unsecured business loan in Melbourne can assist your SME, including increasing working capital, purchasing inventory, renovating your workspace, covering cash flow fluctuations, and more.

The advantage of applying for funding through an unsecured business cash loan provider is that the application process is simple and can often be completed online in just minutes. Additionally, many lenders provide application outcomes within a few hours, with the approved funds deposited on the same business day.

Why set up a business in Melbourne?

Millions of domestic and overseas tourists flock to Melbourne each year to experience Australia’s cultural capital, particularly its major events and festivals, vibrant nightlife, and abundance of award-winning restaurants.

If you’re thinking about setting up your own business in Melbourne, there are some pros and cons you’ll need to consider to determine if it’s the right decision for you.


  • Melbourne is the start-up capital of Australia with 83% of all businesses in the city being categorised as small businesses.
  • Melbourne has taken the top spot as the 'world's most liveable city' for seven years. During this time, it received a perfect score for healthcare, education and infrastructure.
  • The city’s booming small business sector means there’s plenty of support (both financially and educationally) for SME owners.
  • Melbourne is home to the world’s largest tram network, which makes getting around the city and surrounding suburbs a lot easier than other cities within Australia.
  • Melbourne's population is reportedly growing faster than Sydney and by 2030 Melbourne will be the largest city in Australia.
  • Melbourne's office leasing costs, land prices and utility costs are amongst the lowest in Australia.


  • Despite some of the lowest utility costs, Melbourne is the second-most expensive city to live in in Australia, just behind Sydney. From rent to groceries and dining out - you can expect to pay more here than most other capital cities in Australia.
  • They don’t call it ‘the city of four seasons in one day’ for no reason. Melbournians must battle unpredictable weather, often dressing in layers or packing an umbrella in preparation of rain, hail, or shine.

Best areas in Melbourne to set up a business

Convinced that setting up a business in Melbourne is the right decision for you? Below we’ve rounded up the top 5 areas in and around Melbourne to set up your business.

Melbourne CBD

If you’re looking to set up a business (and love the hustle and bustle) then why not head to the central business district of the city? Melbourne’s city centre is home to numerous train systems, including Flemington Racecourse, Parliament, Flinders Street, and it’s very own, Melbourne Central. You’ll also find no shortage of bars, restaurants, cafes, and clubs within the region.


Carlton is an inner-northern suburb of Melbourne, just a stone’s throw from the city’s Central Business District. The area is famous worldwide for its ‘Little Italy’ precinct, as well as its abundance of 19th century Victorian architecture. Additionally, Carlton is home to one of the highest concentrations of university students in Australia, with The University of Melbourne, CBD campus of RMIT University and the Fitzroy campus of Australian Catholic University nearby.

South Yarra

South Yarra is located 4 km south-east of Melbourne's CBD. It is well-known for its bustling shopping district which is focused on Toorak Road and Chapel Street. Here, visitors can find everything from on-trend clothing boutiques, to various restaurants, cafes, bars, and clubs.


The suburb of Richmond can be found just 3 km south-east of Melbourne's CBD, making it an ideal inner-city location to set up a new business. Its three major commercial strips include Victoria Street, Bridge Road and Swan Street. Visitors can also enjoy its Little Saigon area, which is located along Victoria Street.

St Kilda

St Kilda is an inner-city suburb in Melbourne, located 6km from the CBD. It is most famous for attractions such as Luna Park, St Kilda Beach, Palais Theatre, and the St Kilda Esplanade Market. Many also see it as one of the entertainment capitals of Victoria, as it is home to a wide range of annual events and festivals.

Lumi offers unsecured business loans from $5,000 - $300,000 on flexible terms to SMEs all over Australia. Call 1300 00 LUMI or visit our website to see how we can help you.

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