Eldium has recently added CFI Finance to its platform. Here's why we're excited to incorporate their lending into our offering.
About CFI
CFI Finance (cfifinance.com.au) is a specialist lender serving small businesses and franchise operators across Australia and New Zealand. They've been in business for 13 years and built their operation by truly understanding their customer and serving them with passion. They have a great management team led by Phil Chaplin and James Scurr, who know what they are doing and understand their business, broker partners and end customers down to the smallest details.
We particularly valued CFI's deep credit expertise, they have a strong risk focus on every deal and a strong process around risk management. This combination excited us since we first met in early 2025 through a mutual connection.
Our Involvement
The Fund has provided CFI with a debt warehouse, while Eldium independently has provided some equity capital to support them building out their business and operations. Eldium's investment was a requirement from CFI and ensured the Fund was able to obtain access to the loan book. This equity investment also provides them with the support to ensure the business is set up for the next phase. For Eldium, working closely with the lender provides better governance and more oversight of the business and its operations.
Their Book
CFI provides funding to SMEs looking to grow, acquire, fit out, or invest in their operations, with a strong focus on the franchise sector. They typically take security over business assets, and in some cases over real property depending on the size of the lend.
Their portfolio is super diverse, no one loan is more than 2% of the entire book. Historically their loss rates are low compared to the buffer Eldium has, and they have a strong record of collection.
Their Position in the Market
They support brokers and their clients with clarity and confidence, offering approvals within hours and funding within days. Their pricing reflects the responsiveness and certainty they provide, which is why they're a preferred partner for many commercial brokers and franchisors.
Their Borrowers
Their borrowers are a diverse group of small to medium business owners who are actively building and expanding. These are operators with clear plans, real commitments, and immediate funding needs. CFI earns their loyalty by understanding the business, moving quickly, and delivering solutions that work. They say no to many applications received, ensuring they stay consistent in their credit decisioning and focus on the right risk-adjusted returns when deciding to lend.
Why We Backed Them
We spent time with the people, reviewed the book, and saw how they operate. Several factors stood out:
- Strong, detail-focused management with no fluff or BS
- Low defaults across their prior warehouse facilities
- Clear, well-documented reporting
- Strong internal credit and collections processes
- Transparent conversations and shared alignment
They're thoughtful lenders who care about doing things well.
What This Means for Investors
By adding CFI to the Eldium platform, investors gain access to:
- Greater loan diversification, with no single loan exceeding 2% of their portfolio
- Exposure to both Australian and New Zealand SME borrowers
- Diversity of opportunities beyond property
- Strong lending with consistent performance
- Good risk-adjusted returns, given the healthy buffer in the Eldium facility
This adds another layer of depth to our credit strategy and opens a steady flow of high-quality opportunities.
This article is general information only. It does not take into account your personal financial situation and is not financial advice. The Eldium Income Fund is open only to wholesale clients under section 761G of the Corporations Act 2001 (Cth).