FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
About The Gold Coast Small Business Loans
Tell me about the Gold Coast Small Business Loans
Gold Coast unsecured loans offers amounts of between $5,000 and $100,000 with terms between 3 and 24 months and cash flow friendly repayments, which are either daily or weekly.
What is the Unsecured Loan different from an traditional business loan?
It is imaginable to apply to this Small Business Loan in under 10 minutes on the internet or by phone. You will receive an immediate response, and the funds could be available in just 24 hours. Traditional company loans reference an annual rate of interest plus other fees and charges. The business loan is a cash-based loan so you will be aware of the total amount due, which includes any interest, fees or charges. Then, it is broken down into either a daily or weekly payment amount.
What could be the Small Business Loan be used for?
A Small Business Loan can be used for nearly every company need, such as managing cash flows, business remodeling, marketing, to purchase inventory or new equipment, for general working capital and much more. The loan cannot be used for personal use.
About larger Gold Coast Business Loans
What is the Larger Gold Coast Business Loan?
The Larger Business Loan is a larger size of loan that can be used to fund company expansion opportunities. The loan ranges from $100,000 to $500,000 with a term fixed with a maximum of 36 months. Repayments are weekly or fortnightly depending on your situation.
How’s the Origination Fee determined?
This 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 of this size the business needs to have been operating for a minimum of 3 years with an annual turnover of $700K. It is necessary to be a New Zealand Citizen (or Permanent Resident) who is over the age of 18 and have a New Zealand company (with a valid NZBN/IRD) and be able to prove at the least 12 months of operating.
How can the funds be utilised?
A large company loan can be used to fund almost any company need, including company renovations, purchase of inventory or new equipment or as general working capital and much more. The loan is not available to fund personal expenses.
Is the Larger Business Loan one that requires security?
Asset security is required for accessing funds over $150,000. It’s in the form of a charge on assets and can include registration through the PPSR or filing a caveat.
A personal or director’s ensure is a promise to pay back a loan that is general in nature, rather than specifying the security of a specific asset. The person signing the guarantee is personally accountable if the company the borrower fails to repay the debt.
The Personal Property Securities Register (PPSR) is an online, central register operated by the New Zealand Government. It reflects security interests that are registered for personal property (including objects or assets). The PPSR allows preference over private property assigned according to the date a security interest was registered.
An affidavit is an official document lodged to provide the public notice of a legal claim to property.
What is a pre-approval without Credit Check?
When you’re applying for a Larger Business Loan that exceeds $250K we may be able to provide a preliminary pre-approval to help make the process. We could be able to apply for this without a credit verification and within 6 hours of the initial application. This pre-approval is based on an initial evaluation that involves the answer to a series of financial well-being checks. It is neither an offer nor a guarantee of credit. Acceptance without condition is subject to an exhaustive credit evaluation, and any offer that you might receive could be based on different terms.
The application process
Do I have the right to receive funds?
You may apply for a business loan if you:
- are a New Zealand Citizen (or Permanent Resident)
- are 18 years or older, own a New Zealand business (with a valid NZBN/IRD)
- you must prove at least 6 months worth of trade (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 complete the online application within a couple minutes, and a dedicated business lending specialist will contact you to guide you through the process.
To be eligible for up to $100,000 you’ll require ID details (valid Driver’s License), a valid NZBN/IRD as well as at least 6 months’ worth of bank statements.
Otherwise, for larger loan sizes, you’ll require:
$100K – $250K: Details of application, including credit approval, 6-12 months of IRD statements, bank statements (if the loan is greater than $150K).
$250K-$500K: Details for application including credit consent twelve months of bank records, IRD statements, last 2 years finalised financial statements, in addition to interim current financial year financials including Aged Payables, Aged Receivables Summary.
What speed will I be able to get an answer?
For an unsecured loan ($5K and up) we typically offer an answer in just one hour, provided you make your application at quality company hours and permit us to utilise the bank verification system link to instantly verify your bank’s information online. If you decide to upload copies of your banking statements we can provide a decision within an company day.
For the Larger Business Loan ($100K or more) we may be in a position to provide you with a conditional pre-approval within about 6 hours. Once you’ve signed the pre-approval document, you will need to wait around 2-3 days for final approval. However, this could be shorter based on the specifics of each application. Some transactions have received approval in less than 24 hours.
The quickest way to apply for you to apply is make sure you apply during normal business hours. You can also allow us to use the advanced bank verification system link to check your bank’s information online. If you decide to upload copies of your bank statement, it will take a little longer.
What is the time frame to receive the money?
For the Small Business Loan ($5K up to $100,000) we usually offer an answer within an hour if you apply within standard business timings and permit us to use the bank verification system to immediately verify your bank account information online. If you decide to upload copies of your banking statements, we’ll be able to provide an answer in as little as an business day.
For the Larger Business Loans ($100K up to $500,000) we could be capable of provide you with a conditional pre-approval in about six hours. After you’ve signed the pre-approval, the turnaround time is between 2 and 3 days for the final approval, however this can be faster depending on the particular circumstances of each application. Certain agreements have been approved within less than 24 hours.
The fastest method for you to apply is ensure you apply during standard business hours. You can also allow us to use the advance bank verification link to instantly check your bank’s information online. If you decide to send us the copies of bank statement, it will take a little longer.
What’s the minimum amount I can borrow?
We offer the loan amount between $5,000 to $500,000. When you make an application for a specific amount we consider a variety of aspects for determining how much we can lend you health for your business as well as the amount of repayments your company can support. The total amount of your loan will depend on the specific circumstances of your company.
When you submit an application for a specific amount we consider a variety of factors to assess the well-being that is your business as well as the amount of payments your business will be able to support. The amount you receive from your loan will be determined by the specific circumstances of your company.
Fees & repayments
What is the cost for the cost of a company loan?
When you request one of our business loans, we’ll assess the risk profile of your business and offer you with a tailored offer, including the amount of the loan, the duration and interest rates. This business loan is an upfront-priced loan and you’ll be aware in advance of the total amount you will have to pay, including charges, interest rates or fees.
What is the factor that determines the price I’m charged?
Business loan interest rates differ based on various factors including the amount that is borrowed, what company assets the funds are used to purchase, the industry the business operates in, how long the company has been in operation as well as how long the business has enough cash flow to support the loan, as well as the general well-being and creditworthiness of the business.
What are the fees?
There are no hidden fees with our business loans. You’ll be aware of the amount you’ll be required to pay, and when, right from the day you sign up. There’s not any compounding interest and no extra fees (as long as you are able to make your payments punctually).
We do not charge an application fee. You can get a cash loan with no upfront cost or obligation to proceed.
The Origination Fee covers the expenses involved in establishing and managing the loan. The only way to pay this cost if you take out the loan. Our Origination Fee is 2.5 percent of the amount of the loan.
Can I pay out the loan earlier?
You may choose to pay back the entire amount of your advance loan at any time.
If you do decide to do this please contact our helpful company loan specialists. The specialists will provide you with the details of your repayment along with an early payout estimate. This will be calculated as the total of the remaining principal amount and the accrued interest up to the date of early payout in addition to 1.5% of the remaining principal plus any outstanding fees.
How do you make repayments work?
To make sure you do not miss due dates and also to be in line your cash flow cycle we offer repayments that are either weekly or daily. They will be automatically deducted from your designated business account.
Security & privacy
Will my data be secure?
Making sure that your information is secure, and making it clear the ways we gather the information we collect, use, share and secure your information, is of huge importance and is an essential part of our relationship you.
Is it safe to link my bank account to the platform?
Yes. We utilise industry-recognised encryption standards to secure your personal, sensitive financial information and our funders are ISO 27001 certified for our commitment to the security of our customers as well as their privacy. We use an advanced bank verification system link to immediately verify your bank account information online, allowing us to offer quick responses.
About business loans
How do you define asset-based lending (a secured loan)?
The term "asset-based" refers to borrowing where a company owner makes use of the assets they have to obtain a loan. The asset could be a personal asset like the family home or it could be a company asset like a truck or other piece of machinery.
The vast majority of banks, even the largest banks, are inclined to make loans secured by assets. If you’re having trouble paying back the loan, your asset may be offered for sale by the lender. In essence it is the process of securing new financing taking advantage of the value of what you already own.
What do I require security to get an company loan?
Up to $150K in loans there is no requirement for asset security before you can access the money, however we do need a personal guarantee. If you adhere to the terms of your loan (as stipulated in your loan contract), asset security will never be needed. If you take out loans in excess of $150K generally, you can get a personal guarantee and security that is in the form a charge over assets.