FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
Information About The Shanes Park Small Business Loans
Let me know what you think of the Shanes Park Small Business Loans
Shanes Park unsecured loans provides amounts between $5,000 and $100,000 with terms between 3 and 24 months and cash flow-friendly repayments that are either per day or weekly.
What is what makes the Unsecured Loan different from a traditional company loan?
It is imaginable to apply for this Small Business Loan in under 10 minutes via the internet or on the phone. You’ll receive an immediate response, and the money could be on your account within 24 hours. Traditional company loans reference an annual interest rate plus other fees and charges. The business loan is a cash-based loan therefore you’ll be aware of the amount you will have to pay, including the interest, fees and charges. Then, it is broken down into weekly or daily amount to be paid back.
What can the Small Business Loan be used for?
It is a Small Business Loan can be used for almost every company purpose including control of cash flow company renovations, marketing, to purchase inventory or new equipment, or as general working capital and so much more. The loan cannot be used for personal purposes.
Concerning Larger Shanes Park Business Loans
What is the Larger Shanes Park Business Loan?
The Larger Business Loan is a larger size loan to aid in business expansion opportunities. The loan ranges from $100,000 to $500,000 over a fixed term that can last up to 36 months. Repayments are weekly or fortnightly to work with you cashflow.
How is the Origination Fee determined?
It is crucial to note that the Larger Business Loan has an Origination Fee, which is calculated at 2.5 percentage of the amount of the loan.
Do I qualify for the Larger Business Loan?
To be eligible for a loan that is this large the company needs to be trading for at least 3 years and generate an annual revenue of at least $700,000. It is necessary to be a New Zealand Citizen (or Permanent Resident) over 18 years as well as own a New Zealand company (with a valid NZBN/IRD) and be able demonstrate at minimum 12 months of continuous trading.
What can the funds be used for?
A large company loan can be used for almost every company reason, such as business renovations, to purchase inventory or new equipment for general working capital and much more. The loan cannot be used for personal purposes.
Is the Larger Business Loan a secured loan?
Asset security is required to access funding over $150,000. This is by way of charge against assets, and could include registering this through the PPSR or filing as a caveat.
A director’s or personal guarantee is a commitment to repay credit that is general in nature rather than defining security over a particular asset. The person who is signing the ensure is personally responsible if the company creditor is unable to re-pay the debt.
The Personal Property Securities Register (PPSR) is a central, national online register operated by the New Zealand Government. It records security interests that have been that are registered for personal property (including the assets or goods). The PPSR grants prioritisation over property that is personal to be granted in accordance with the date on which a security interest has been registered.
A caveat is a legal document filed to offer an official notice of a claim against a property.
What exactly is a preapproval without Credit Check?
If you’re seeking larger company loans that is greater than $250,000 we may be able to provide a preliminary pre-approval to help simplify the process. It is possible to make this decision without credit checks and within 6 hours of your initial application. The pre-approval is based upon an initial evaluation that involves answering a couple of financial well-being questions. It’s not an offer of credit or guarantee of credit. The approval of a conditional loan is subject to an assessment of your creditworthiness and any offer that you receive could be subject to different conditions.
The application process
Do I qualify for funds?
You can apply for a business loan if you:
- are a New Zealand Citizen (or Permanent Resident)
- are over the age of 18 and have a New Zealand business (with a valid NZBN/IRD)
- can demonstrate at least 6 months worth of trade (for for the unsecured loan $5K – $100K) or three years of trading (for the Larger Business Loan $100K to $500K)
How do I apply?
The application process is simple and simple. Just fill out the online application within a couple minutes, and a dedicated business expert in lending will contact you to assist you.
To apply for up $100,000, you’ll require ID details (valid Driver’s Licence) and an NZBN/IRD that is valid and at least 6 months’ worth of bank statements.
In addition, for larger loan sizes, you’ll require:
$100K-$250K: Details of application, including credit consent, 6 – 12 months of IRD statements, bank statements (if the loan is greater than $150K).
$250K-$500K: Details for application including credit consent as well as 12 month bank accounts, the IRD statement and the last two years’ finalised financial statements, in addition to interim current financial year financials such as age-related payables and aged Receivables summary.
What speed will I be able to get an answer?
For an unsecured loan ($5K up to $100,000) we usually provide a response in one hour – as long as you make your application at standard company times and permit us to make use of the advanced bank verification system link to instantly verify your bank details online. If you choose to upload copies of your bank statement, we’ll offer a decision within an company day.
For Larger Business Loans ($100K and up) we may be in a position to provide you with conditional pre-approval in about six hours. After you’ve signed your pre-approval, turnaround times are approximately 2-3 days to receive final approval. However, it could be faster based upon the circumstances for each application. Certain agreements have been approved within the space of 24 hours.
The quickest method would be to make sure you apply during normal company hours. Also, permit us to use the advanced bank verification system link to instantly confirm your bank details online. If you choose to upload documents from your account statements it will take a little longer.
How quickly will I receive the money?
For the Small Business Loan ($5K or more) we can often offer an answer in just one hour if you apply during standard business timings and let us use the advanced bank verification system link to immediately verify your bank account information online. If you choose to send us copies of your bank statement, we’ll provide an answer in as little as 1 business day.
For Larger Business Loans ($100K and up) we might be capable of offer you with pre-approval conditional to your application in around 6 hours. Once you’ve signed the pre-approval document, you will require to wait approximately 2-3 days to receive final approval, however this could be shorter based on the particular circumstances of each application. Certain agreements have been approved within 24 hours.
The quickest method for you to apply is ensure you apply during normal business hours and allow us to use our advanced bank verification system to instantly confirm your bank details online. If you decide to send us duplicates of your banking accounts, it may take a bit longer.
What is the maximum amount I can borrow?
We provide loan amounts between $5,000 to $500,000. When you submit an application for a specific amount we consider a variety of elements to determine the health for your company and the level of the repayments your business can support. The total amount of your loan will depend on the specific circumstances of your business.
When you submit an application for a certain amount, we consider a variety of variables to determine your health that is your company and the amount of repayments your business will be able to support. The total amount of your loan will be contingent on the particular circumstances the business.
Fees & repayments
How much do you charge for an company loan?
If you decide to request one of our company loan, we will assess the risk profile of your business and offer you with a customised offer, including loan amount, term and interest rates. It is a business loan is an upfront-priced loan so you will be aware of the total amount due, which includes any interest rates, fees or charges.
What determines the amount I’m charged?
Business loan interest rates depend on a variety of factors like the amount of money that is borrowed, what business assets the money are used to purchase and the sector the company is in, how long the business has been in operation for, whether the business has enough cash flow to pay for the loan, and general well-being or creditworthiness of the business.
What are the fees?
There aren’t any hidden charges with our business loans, and you’ll know exactly how much it is that you be required to pay and when, from the very first day. There’s no compounding and no extra fees (as as long as you pay your payments on time).
We don’t charge an Application Fee. You are able to apply for a loan with without any upfront costs or obligation to proceed.
The Origination Fee includes the expenses associated with the setting up and management of the loan. The only way to pay this fee if you proceed with the loan. Our Origination Fee is 2.5 percent of the amount of the loan.
Can I pay out the loan early?
You may choose to pay back the total amount of your advance loan at any time.
If you are deciding to take this route, please call our helpful company loan specialists. The specialists will provide you with repayment details and an early payout figure. The figure will be calculated as the total of the principal remaining plus any accrued interest as of the time of the early payout, plus 1.5% of the principal amount remaining and any fees that remain unpaid.
How do you make repayments work?
To make sure you do not miss payments and to work your cash flow cycle we provide repayments either daily or weekly. They are automatically deducted from your designated company account.
Security & privacy
Will my information be protected?
The security of your personal information, as well as being clear about how we collect data, process, exchange and secure your information, is crucial and is an essential aspect of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We employ industry-recognised encryption standards to protect your personal, sensitive financial and other data. Our funders are ISO 27001 certified for our commitment to customer security and security. We make use of an advanced bank verification system that allows you to instantly verify your bank account information online to provide a fast response.
About business loans
How do you define asset-based lending (a secured loan)?
The term "asset-based" refers to borrowing where a business owner utilises assets they own to secure the funding. The asset could be an individual asset, such as the family home or it could be a business asset like a truck as well as a piece of machine.
The vast majority of banks, including the banks with the biggest size, prefer to guarantee loans against assets. If you are having difficulty paying back the loan then your asset may be transferred to the lender. In essence it’s the process of securing new financing by making use of the value of what you already have.
Do I require security for a company loan?
For loans of up to $150K, no asset security is required upfront to access the money however, we do need a personal guarantee. If you adhere to your loan commitments (as detailed in your loan contract document) the security of assets will never be required. If you take out loans in excess of $150K typically, you will need a personal guarantee and security that is in the form charges on assets.