Investing in Commercial Premises through an SMSF

There are various important decisions a business owner will make about their premises. For example, whether to rent or buy, where to base the business and even the style of the property.

If you are a business owner with an SMSF, there is an additional option to consider and that is – landing business premises and an investment property at the same time. Figuring out whether buying your commercial premises through your self-managed super fund (SMSF) is an option is imperative to the success of your investment.

There can be many gains through purchasing commercial property through your SMSF, including creating a certain level of freedom by smart use of resources.

Unlock your super

It can free up capital for you as the business owner and unlock your super so it can do more for you.


Another benefit to purchasing commercial property through your SMSF is that the property is protected against insolvency. So, depending on the type of business you have, this can be particularly appealing to you as a business owner.

There’s a tremendous level of protection of assets within super which ticks the asset protection box for a lot of SMEs that may be subject to litigation due to the nature of what they do.

The tax benefits

Then there are the tax benefits.

During the accumulation phase, income tax is only $0.15 in the dollar. In retirement, as the law stands, it is zero. This means that the money accumulated in an SMSF through the investment does not get taxed.

Beware of the responsibilities

On the flip side of the shiny self-management coin, there is an absolute element of responsibility on compliance matters. You are the trustee of an SMSF and you need to understand what those responsibilities entail.

You must pay commercial rates for rent through a prearranged lease agreement and, although having a protected asset is great for some businesses, it also means that equity is locked within the fund. You can’t take earnings elsewhere.


Having an SMSF means you can’t give all of this work to someone else to do for you, but you can seek advice. We are an accredited finance broker that has completed specialist SMSF lending and commercial property finance training, giving us the expertise to form an integral part of your advice and consultation team.

How a commercial broker can help your business

Having a good finance broker on your team from the outset is the best way to address difficult situations before they affect the viability of your business. Whether your business is running smoothly or is on the rocks, a specialist commercial broker at your side is often one of your greatest assets.

It’s surprisingly easy for businesses to experience financial hardship. That’s where a commercial finance broker like us can come in handy. We can help give you advice and guidance as to whether or not finance could be an option for you and if so, what would be the terms and requirements around this. Here at Infinitas Finance, we resolve difficult financial situations to help a business survive and thrive.

This can be around several areas such as:

  • Refinancing
  • Restructuring debt
  • Improving cash flow
  • Improving working capital
  • As well as a wide range of other solutions we have at our fingertips

Our standard process with commercial lending is designed with your best interests in mind. It involves preparing a detailed credit memorandum which addresses a range of aspects, including:

  • Past and projected performance
  • Management analysis
  • Risks assessment and mitigation
  • Industry comparison
  • Financial analysis
  • We then tender the deal out to the relevant lenders and requesting they respond with their most competitive offers. Within a few days, we present and explain the range of offers to you and you decide who you would prefer to proceed with.

We then manage your loan for its entire duration, contactable 24/7 to assist. Want to know more about how we can help? Contact us today.