FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
Information About The Salisbury Park Small Business Loans
Tell me what you think of the Salisbury Park Small Business Loans
Salisbury Park unsecured loans offers amounts between $5,000 and $100,000. Terms range from 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 the traditional company loan?
Apply to get the Small Business Loan in under 10 minutes by phone. You will receive an answer within the same day and the money could be on your account within 24 hours. Traditional company loans have an annual interest rate along with other charges and fees. This company loan is a loan that is priced upfront so you will be aware in advance of the total amount due, which includes any fees, charges or charges. This is then broken down into a daily or weekly repayment figure.
What can be the Small Business Loan be used for?
It is a Small Business Loan can be used for almost every business reason, such as cash flow management, company improvements, advertising for purchasing inventory or new equipment, for general working capital and much more. The loan is not available for personal purposes.
About the Larger Salisbury Park Business Loans
What is the Larger Salisbury Park Business Loan?
The Larger Business Loan is a larger amount of loan to help company expansion opportunities. Loans range from $100,000 to $500,000 for a fixed period of with a maximum of 36 months. Repayments are either weekly or fortnightly in order to accommodate your situation.
How’s the Origination Fee calculated?
It is important to note that the Larger Business Loan has an Origination Fee which is calculated at 2.5% of the amount of the loan.
Can I get the Larger Business Loan?
To be eligible for a credit in this amount, your company needs to be in operation for at least 3 years and have an annual turnover of at least $700K. Your company must belong to a New Zealand Citizen (or Permanent Resident) over 18 years, own a New Zealand business (with a valid NZBN/IRD) and be able to prove at least 12 months of trading.
What can I use the funding for?
A Larger Business Loan can be used for almost any business purpose including company improvements, purchasing inventory or new equipment for general working capital and much more. The loan is not available to fund personal expenses.
Is the Larger Business Loan a secured loan?
Asset security is necessary for accessing funds over $150,000. This is in the form of a charge over assets, which could also include registration in the PPSR or registering a caveat.
A director’s or personal guarantee is a guarantee to repay a loan which is generally in nature rather than specifying the security for a particular asset. The person who is signing the ensure is personally liable if the company the borrower fails to pay back the debt.
The Personal Property Securities Register (PPSR) is an online central registry run by the New Zealand Government. It records security interests that have been granted to individuals who own personal property (including goods or assets). The PPSR gives priority over personal property to be granted according to the date a security interest has been registered.
An affidavit is an official form of document to offer an official notice of a claim to property.
What is a pre-approval minus Credit Check?
If you’re seeking an enterprise loan of more than $250K it is possible to offer an initial pre-approval that will help smooth out the process. It is possible to apply for this without a credit verification and within six hours of your initial application. The pre-approval is based upon an initial assessment, which involves answering a couple of financial well-being questions. It is not an offer of credit or guarantee of funds. Unconditional approval is subject to a full credit assessment and any offer that you are offered could be subject to different conditions.
Application process
Do I have the right to receive funds?
You can apply for a company loan if you:
- are a New Zealand Citizen (or Permanent Resident)
- are over 18 years, have a New Zealand company (with a valid NZBN/IRD)
- you must prove at least 6 months of business (for the unsecured loan $5K – $100K) or 3 years of trading (for the Larger Business Loan $100K - $500K)
How do I apply?
The application process is simple and simple. Simply complete the online form within a few minutes and an experienced business lending specialist will be in touch to assist you.
For a loan of up to $100,000 you’ll require proof of identity (valid Driver’s License) as well as a valid NZBN/IRD as well as at least 6 months’ worth of bank statements.
In addition, for larger loan sizes, you’ll require:
$100K-$250K: Information about the application including credit consent, 6-12 months of IRD statements, bank statements (if credit is over $150K).
$250K – $500K: Details for application including credit consent, 12 months of bank records, IRD statements, last 2 years finalised financial statements, plus interim financial statements for the current year including Aged Payables, Aged Receivables Summary.
How quickly will I receive an answer?
For an unsecured loan ($5K up to $100,000) we can often provide an answer in just one hour – as long as you submit your request within quality business times and you allow us to utilise the advanced bank verification system link to immediately verify your bank account information online. If you choose to submit copies of your bank statement, we’ll offer an answer in just the span of one company day.
For the Larger Business Loan ($100K and up) we might be able to provide you with conditional pre-approval within six hours. Once you have signed the pre-approval, turnaround times are around 2-3 days for final approval. However, this may be quicker depending on the specifics of each application. Certain transactions have received approval in the space of 24 hours.
The most effective method can be ensure you apply during normal company hours, and permit us to use the advanced bank verification system to instantly confirm your bank details online. If you opt to upload duplicates of your banking accounts, it may take a bit longer.
How quickly will I receive the cash?
For the Small Business Loan ($5K up to $100,000) we typically offer a response in one hour – provided you submit your request during normal business time and permit us to use the advanced bank verification system link to instantly verify your bank information online. If you decide to upload copies of your banking statements, we are able to provide a decision in just 1 business day.
For Larger Business Loans ($100K and up) we may be able to provide the conditional pre-approval within six hours. Once you’ve signed the pre-approval, turnaround times are 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 most efficient method for you to apply is make sure you apply during normal business hours, and permit us to use the advanced bank verification system link to instantly verify your bank information online. If you decide to upload documents from your account accounts, it takes a bit longer.
How much can I borrow?
We provide loans that range from $5,000 to $500,000. When you make an application for a specific amount we look at a variety of variables for determining the well-being that is your company and the amount of the repayments your business can afford. The total amount of your loan will be contingent on the particular circumstances of your business.
When you apply for a set amount, we take into consideration a variety of factors to determine the health that is your business and the amount of the repayments your business can support. The amount you receive from the loan will be determined by the particulars that are unique to your business.
Fees & repayments
How much should you charge for the cost of a company loan?
If you decide to apply for the company loan, we will assess the risk assessment that you have for your company and provide an individualised offer that includes the amount of loan, the term and interest rates. The company loan is a loan that is priced upfront so you will be aware of the total amount payable including any interest rates, fees or charges.
What determines the amount I’m charged?
Interest rates for business loans rates vary due to variables like the amount to be that is borrowed, what company assets the funds are used to purchase, the industry the business is in, how long the company is in operation for, in the event that the business has sufficient cash flow to support the loan, as well as the general well-being as well as creditworthiness company.
What are the cost?
There aren’t any hidden charges with our company loans, and you’ll know precisely how much you be required to pay and when, from the day you sign up. There’s no compounding interest, and the loan comes with no additional fees (as long as you are able to make your payments punctually).
We do not charge an Application Fee. You are able to make an application for loans with without any upfront costs or commitment to apply.
The Origination Fee includes the expenses associated in establishing and managing the loan. This is only a fee if you decide to take the loan. The Origination Fee for us is 2.5% of the amount of the loan.
Can I pay out the loan earlier?
You may choose to pay back all of your loan at any point in time.
If you do decide to pursue this option, please call our helpful business credit specialists. The specialists will provide you with the details of your repayment and an early payout figure. This is calculated as the total of the principal amount remaining and accrued interest to the date of early payout in addition to 1.5 percent of the principal amount remaining as well as any outstanding fees.
How do you make repayments work?
In order to help you avoid missing payments and to work with your cash flow cycle we offer repayments that are either weekly or daily. They are automatically deducted from the nominated business account.
Security & privacy
Will my information be secure?
Making sure that your information is secure, and being clear about how we collect, use, exchange and secure your information, is of paramount importance and is an essential element of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We use industry recognised encryption standards to secure your personal, sensitive and financial data and our funders are ISO 27001 certified for our dedication to protecting the security of customers and privacy. We employ a highly sophisticated bank verification system link to instantly verify the bank account details online. This allows us to offer a fast response.
About business loans
How do you define asset-based lending (a secured loan)?
Asset-based borrowing occurs when an business owner utilises assets they own to secure the funds for a loan. The asset can be either an individual asset, such as the family home, or it could be a company asset like a truck or piece or equipment.
The majority of the lenders even the banks with the biggest size, prefer to make loans secured by an asset. If you have trouble paying back the loan then the asset might be taken over by the lender. In essence it is a way of securing additional financing making use of the value of what you already have.
Are I need security to get a business loan?
For loans of up to $150,000, the requirement for asset security is not required before you are able to access the money, however we do need a personal guarantee. As long as you follow the terms of your loan (as detailed in your loan contract document) the security of assets will never be needed. For loans of over $150,000 generally there is an individual guarantee and security is provided in the form of charges on assets.