FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
About The West Lindfield Small Business Loans
Tell me more about West Lindfield Small Business Loans
West Lindfield unsecured loans offers amounts between $5,000 and $100,000, with terms ranging from 3 and 24 months. They also offer cash flow-friendly repayments, which are either daily or weekly.
What makes how is the Unsecured Loan different from a traditional company loan?
Apply to get your Small Business Loan in under 10 minutes online or over the phone. You’ll get an instant response and the money could be in your account within 24 hours. Traditional business loans refer to an annual interest rate plus other fees and charges. This company loan is an upfront priced loan which means you know in advance the total amount payable including any interest, fees or charges. This is then broken down into either weekly or daily repayment figure.
What could 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 business remodeling, marketing, to purchase inventory or new equipment, to fund general working capital, and much more. The loan is not available to fund personal expenses.
About Larger West Lindfield Business Loans
What is the Larger West Lindfield Business Loan?
The Larger Business Loan is a larger amount of loan to help company expansion opportunities. Loans are between $100,000 and $500,000 for a fixed period of with a maximum of 36 months. Repayments are scheduled weekly or fortnightly depending on you cashflow.
How’s the Origination Fee calculated?
The Larger Business Loan has an Origination Fee which is determined at 2.5 percentage of the loan amount.
Am I eligible for the Larger Business Loan?
To be eligible for a loan that is this large, your business needs to have been operating for a minimum of 3 years and have an annual turnover of $700,000. Your company must belong to a New Zealand Citizen (or Permanent Resident) over 18 years and have a New Zealand business (with a valid NZBN/IRD) and be able to prove at least 12 months of trading.
How can the funds be utilised?
A Business Loan of a larger size is a great option for almost every business need, including company renovations, purchase of inventory or new equipment or as general working capital and so much more. The loan is not available to fund personal expenses.
Is the Larger Business Loan one that requires security?
Asset security is needed to access funding over $150,000. It’s by taking a charge over assets, which could also include the registration of this in the PPSR or making as a caveat.
A personal or director’s ensure is a promise to pay off a credit line that is generally based rather than stating the security of a specific asset. The person who is signing the guarantee is personally liable if the company lender is not able to repay the debt.
The Personal Property Securities Register (PPSR) is a central, national online registry run by the New Zealand Government. It lists security interests that are which are registered with respect to personal property (including the assets or goods). The PPSR permits priority over personal property to be granted in accordance with the date on which a security interest has been registered.
Caveats are legal document lodged to provide an official notice of a claim against a property.
What is a pre-approval minus Credit Check?
If you’re applying for an enterprise loan of more than $250K we may be able to provide a preliminary pre-approval to help simplify the process. We might be able to make this decision without a credit check, and within 6 hours of your initial application. The pre-approval process is based on an initial evaluation that involves you answering some financial well-being questions. It is not an offer of credit or guarantee of financing. Acceptance without condition is subject to an extensive credit evaluation and any offer that you might receive could be based on different terms.
Application process
Can I be eligible for funding?
You are eligible to apply for an company loan if you
- are a New Zealand Citizen (or Permanent Resident)
- are at least 18 years old, have a New Zealand company (with a valid NZBN/IRD)
- you must demonstrate at minimum 6 months worth of trade (for for the unsecured loan $5K – $100K) or 3 years of trading (for the Larger Business Loan $100K or $500K)
How do I apply?
The application process is fast and easy. Just fill out the online application within a few minutes and an experienced company expert in lending will call you to guide you through the process.
To be eligible for up to $100,000, you’ll need identification details (valid Driver’s Licence), an active NZBN/IRD, and at least six months worth of bank statements.
For larger loan sizes, you’ll also need:
$100K – $250K: Application requirements, including credit consent, 6-12 months of bank statements, IRD statement (if credit is over $150K).
$250K to $500K: Application details including credit consent, 12 month bank accounts, the IRD statement and the last two years’ finalised financial statements, and interim current financial year financials including Aged Payables, Aged Receivables summary.
How soon will I hear a decision?
For an unsecured loan ($5K to $100K) we typically offer an answer within an hour if you make your application at standard business times and you allow us to utilise the advanced bank verification system link to immediately verify your bank account information online. If you want to send us copies of your bank statements , we are able to provide a decision in just the span of one company day.
For Larger Business Loans ($100K up to $500,000) we may be capable of offer you with pre-approval conditional to your application in around 6 hours. After you’ve signed the pre-approval, the turnaround time is between 2 and 3 days for the final approval. However, this could be shorter based upon the circumstances for each application. Certain agreements have been approved in 24 hours.
The quickest way to apply would be to make sure you apply during normal company hours and permit us to use the advanced bank verification system to instantly verify your bank information online. If you choose to send us documents from your account statements , it may take a bit longer.
What is the time frame to receive the cash?
For the Small Business Loan ($5K and up) We can usually offer an answer in just one hour – as long as you submit your request during standard business hours and permit us to use the bank verification system link to immediately verify your bank account information online. If you opt to submit copies of your bank statements, we will be able to provide a decision within the span of one business day.
For the Larger Business Loans ($100K and up) we might be in a position to provide you with pre-approval conditional to your application in about six hours. After you’ve signed the pre-approval form, it will take around 2-3 days for final approval, however this may be quicker depending on the circumstances of each application. Certain offers have been approved within just 24 hours.
The fastest way is to ensure you apply during normal business hours. Also, let us use the advance bank verification to confirm your bank details online. If you decide to send us duplicates of your banking statements, it will take a little longer.
How much can I borrow?
We offer the loan amount between $5,000 to $500,000. When you make an application for a certain amount, we consider a variety of aspects that determine how much we can lend you health of the company and the amount of the repayments your business can afford. The total amount of your loan will be contingent on the specific circumstances the business.
When you make an application for a particular amount, we look at a range of factors to determine the health of your business and the extent of repayments that your company can afford. The total amount of the loan will be determined by the particular circumstances for your company.
Fees & repayments
How much should you charge for an company loan?
When you make an application for the business credit, we will assess the risk profile that you have for your business and offer you with a customised offer, including the loan amount, the terms and the interest rates. This company loan is an upfront-priced loan which means you be aware of the total amount due, which includes any charges or interest.
What determines the rate that I pay?
The interest rates on company loans rates depend on a variety of factors like the amount of money borrowed, what company assets the money will be used for as well as the field the company operates in, the long the business has been running and how long the business has sufficient cash flow to pay for the loan, and also the general health and creditworthiness of the business.
What are the charges?
There are no hidden costs with our business loans. You’ll know precisely what you need to pay, and when, from the day you sign up. There’s no compounding interest and no additional fees (as long as you make your payments in time).
We do not charge an application fee. You are able to get a cash loan with no upfront cost or commitment to apply.
The Origination Fee is the cost associated with setting up and managing the loan. This is only a fee if you proceed with the loan. The Origination Fee for us is 2.5% of the amount of loan.
Can I pay out the loan early?
You can decide to repay the entire amount of the advance loan at any time.
If you do decide to do this please speak to our friendly business lending specialists. They’ll provide you with the details of your repayment and an early payout figure. This will be calculated as the sum of the principal remaining and the accrued interest up to the time of early payout and 1.5 percent of the principal remaining and any outstanding fees.
How do you make repayments work?
In order to help you avoid missing due dates and also to be in line your cash flow schedule, we offer repayments either daily or weekly. They will be automatically deducted from your nominated business account.
Security & privacy
Will my data be secure?
Security of your data, and being clear about the ways we gather the information we collect, use, share and ensure the security of your information is crucial and an integral part of our relationship you.
Is it safe to link my bank account to the platform?
Yes. We make use of industry-standard encryption standards to protect your sensitive, personal as well as financial data. Our funders are ISO 27001 certified for our commitment to protecting the security of clients and privacy. We utilise a sophisticated bank verification system that allows you to immediately verify the bank account details online so we can provide an immediate response.
About business loans
What exactly is an asset-based loan (a secured loan)?
Asset-based borrowing occurs when the business owner uses an asset they own to obtain the funding. The asset can be an individual property, such as the family home or a business property like a truck or piece of equipment.
The majority of lenders, even the big banks, tend to make loans secured by an asset. If you are having difficulty paying back the loan, then your asset may be taken over by the lender. In essence, it is the process of securing additional financing taking advantage of the value of what you already have.
Do I require security to get an business loan?
Up to $150K in loans the requirement for asset security is not required upfront to access the money however, we do need an individual guarantee. So long as you comply with your loan commitments (as stated in your loan contract), asset security will never be required. For loans of over $150K generally there is an individual ensure and security in the form of an asset charge.