Non-bank Lending
Made Simple

There are parts of the private credit market that will struggle over the next 12-24 months, predicts Msquared Capital’s Paul Miron. In his latest interview with Ausbiz, he says construction and development lending is particularly vulnerable to economic conditions and contagion risks. Budget measures continue to see turbulence in property valuations, while at the same time, debt-laden developers rely on constant property sales to sustain cash flow.

Msquared Capital has appointed a new chief commercial officer and expanded its origination team after surpassing $1.5 billion in commercial lending. Michael Volkiene has been promoted from general manager – loan origination and credit to the newly created chief commercial officer (CCO) role. The appointment comes as the private credit firm looks to expand its footprint, citing tighter bank lending criteria, growing demand for non-bank finance and a shortage of experienced credit professionals across the sector.

Bank credit appetite is tightening month to month as rising energy costs, inflation and interest rates create a challenging environment for SMEs. Creditworthy businesses are being told no, or worse, are left waiting for an answer while the clock runs down on a time-critical opportunity. For brokers who know how to navigate commercial finance, 2026 is proving to be one of the most significant growth opportunities seen in years. Broker Daily interviews Michael Volkiene, General Manager Loan Origination & Credit at Msquared Capital, about how the best commercial brokers are helping borrowers weather uncertainty.

Brokers are handling increasingly complex scenarios across both traditional and alternative lending avenues. Michael Volkiene, general manager, loan origination and credit, of private credit group Msquared Capital, expects brokers to claim 55%-60% of the commercial lending space over the next three years. He sees this as a result of brokers diversifying and responding to the increasingly sophisticated needs and expectations of their clients.

Findings from Msquared Capital indicate that demand for specialist non-bank lenders is rising as major banks step back from complex commercial lending scenarios. The lender says it is seeing a sharp increase in commercial borrower enquiries heading into 2026 as businesses refinance to manage higher interest rates, address tax obligations and inject fresh working capital.

Following unprecedented growth in commercial lending demand, Connective has added Msquared Capital to its panel to bolster options for brokers servicing complex commercial lending scenarios. Specialising in short-term loans, the private credit firm has been added to provide up to 80% LVR lending against residential, commercial and industrial securities. Msquared Capital was founded in 2017 […]