FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
Information About The Flinders View Small Business Loans
Tell me what you think of the Flinders View Small Business Loans
Flinders View unsecured loans offers the range of $5,000 to $100,000 with terms between 3 and 24 months, cash flow friendly repayments, which are either daily or weekly.
What makes the Unsecured Loan different from an traditional company loan?
The application to get the Small Business Loan in under 10 minutes on the phone. You’ll receive an answer within the same day and the funds could be in your account within 24 hours. Traditional company loans are based on an annual interest rate as well as other fees and charges. This company loan is a pre-paid loan therefore you’ll know ahead of time the total amount to be paid, including any interest, fees or charges. Then, it is broken down into either weekly or daily payment amount.
What could the Small Business Loan be used for?
A Small Business Loan can be used for virtually every business use, including cash flow management, company remodeling, marketing for purchasing inventory or new equipment, as general working capital, and much more. The loan cannot be used to fund personal expenses.
Concerning Larger Flinders View Business Loans
What is the Larger Flinders View Business Loan?
The Larger Business Loan is a larger size of loan that can be used to fund company growth opportunities. Loans range between $100,000 and $500,000 over a fixed term up to 36 months. Repayments are scheduled weekly or fortnightly depending on the flow of cash.
How’s the Origination Fee calculated?
A Larger Business Loan has an Origination Fee which is determined at 2.5% of the amount of the loan.
Am I eligible for the Larger Business Loan?
To be eligible for a loan in this amount the business needs to be operating for at least three years and generate an annual revenue of $700,000. The applicant must also be a New Zealand Citizen (or Permanent Resident) who is over the age of 18 as well as own a New Zealand company (with a valid NZBN/IRD) and be able to prove at the least 12 months of operating.
What can I use the funds for?
A larger company loan is a great option for almost all business reason, such as company renovations, to purchase new equipment or inventory for general working capital and much more. The loan is not available for personal use.
Is the Larger Business Loan one that requires security?
Asset security is required to access funding over $150,000. It is usually as a result of an charge over assets and can include the registration of this in the PPSR or filing a caveat.
A personal or director’s ensure is a commitment to pay off a credit line that is general in nature rather than stating security over an asset. The person who signs the ensure is personally liable in the event that the company lender is not able to re-pay the debt.
The Personal Property Securities Register (PPSR) is an online central register operated by the New Zealand Government. It lists security interests that are that are registered for personal property (including items or assets). The PPSR allows preference over private property assigned according to the date a security interest was registered.
The caveat can be described as a formal document filed to offer the public notice of a legal claim to property.
What exactly is a preapproval without Credit Check?
If you’re requesting larger company loans that is greater than $250,000, we may offer an initial pre-approval in order to smooth out the process. It is possible to make this decision without credit checks and within six hours of your initial application. The pre-approval process is based on a preliminary assessment which includes answering a couple of financial well-being questions. It is not an offer of credit or guarantee of financing. A conditional approval is subject an assessment of your creditworthiness and any offer you may receive may have different conditions.
Application process
Do I have the right to receive funds?
You may 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)
- can demonstrate at least 6 months of business (for for the unsecured loan $5K – $100K) or three years of trade (for the Larger Business Loan $100K up to $500K)
How do I apply?
The application process is simple and easy. Just complete the online application in few minutes and an experienced company lending specialist will contact you to guide you through the process.
To be eligible for up to $100,000, you’ll need the right identification documents (valid Driver’s License) as well as an active NZBN/IRD, and at least six months worth of bank statements.
Otherwise, for larger loan sizes, you’ll need:
$100K-$250K: Application details including credit consent, 6 – 12 months of bank statements, IRD statement (if the loan is greater than $150K).
$250K-$500K: Details of the application, including credit consent twelve month bank accounts, the IRD statement, last 2 years finalised financial statements, plus interim current financial year financials including Aged Payables, Aged Receivables reports.
How soon will I hear an answer?
For an unsecured loan ($5K up to $100,000) we typically offer a response in one hour if you apply at quality business time and let us make use of the advanced bank verification system to instantly verify your bank details online. If you decide to submit copies of your bank statements , we are able to provide an answer within just the span of one business day.
If you are applying for a Larger Business Loan ($100K up to $500,000) we may be likely to provide you with pre-approval conditional to your application within six hours. After you’ve signed your pre-approval, the turnaround time is about 2-3 days for final approval. However, it could be faster based on the specifics of each application. Certain agreements have been approved within the space of 24 hours.
The quickest method would be to ensure you apply during standard business hours. Also, let us use the advance bank verification to instantly verify your bank account information online. If you decide to upload documents from your account statements it may take a bit longer.
How fast will I get the money?
For the Small Business Loan ($5K or more) We can usually provide an answer in just one hour – provided you apply within standard business timings and let us make use of the advanced bank verification system to instantly verify your bank details online. If you decide to upload copies of your banking statements we can offer the decision in as little as an business day.
For the Larger Business Loans ($100K to $500K) We may be in a position to offer the conditional pre-approval within about 6 hours. After you’ve signed the pre-approval document, you will require to wait between 2 and 3 days for the final approval, however it could be faster based upon the circumstances for each application. Certain agreements have been approved within just 24 hours.
The quickest method would be to make sure you apply during normal business hours. Also, let us use the advance bank verification link to confirm your bank details online. If you upload duplicates of your banking statements it will take a little longer.
How much can I borrow?
We provide loans that range from $5,000 and $500,000. When you submit an application for a certain amount we will consider a number of factors that determine the health for your business and the level of repayments that your business is able to afford. The amount you receive from your loan will depend on the specifics of your business.
When you make an application for a certain amount, we look at a range of aspects to assess the well-being of your business and the level of payments your company is able to afford. The amount you receive from your loan will depend on the particular circumstances for your business.
Fees & repayments
What is the cost for an business loan?
If you decide to make an application for business loans with us company loan, we’ll assess the risk assessment of your business and offer you with a customised offer, including the loan amount, the terms and interest rates. A business loan is an upfront-priced loan which means you know in advance the total amount you will have to pay, including charges or interest.
What determines the amount I am charged?
Interest rates for company loans rates vary due to factors like the amount of money of money borrowed, the business assets the money will be used for in addition to the industry that the company is in, how long the business has been operating as well as what percentage of the business has sufficient cash flow to fund the loan, and the general health or financial standing of the business.
What are the cost?
There are no hidden costs with our company loans. You’ll know exactly how much it is that you need to pay, and when, right from the day you sign up. There’s no compounding and no additional fees (as long as you are able to make your payments punctually).
We do not charge an application fee. You can apply for a loan with absolutely no upfront cost and no commitment to apply.
The Origination Fee covers the expenses involved in establishing and managing the loan. The only way to pay this fee if you proceed with the loan. Our Origination Fee is 2.5% of the amount of the loan.
Do I have the option of paying off the loan in advance?
You may choose to pay back the total amount of your loan early at any time.
If you are deciding to do this please contact our helpful company lending specialists. They will provide you with repayment details and an early payout figure. It will be calculated using the sum of the principal balance plus any accrued interest as of the time of the early payout in addition to 1.5 percent of the principal amount remaining and any fees that remain unpaid.
How do you make repayments work?
In order to help you avoid missing due dates and also to be in line with your cash flow general, we offer repayments either daily or weekly. These are automatically deducted from the nominated company account.
Security & privacy
Will my information be protected?
Making sure that your information is secure, and knowing how we collect the information we collect, use, share and safeguard your data, is of huge importance and an integral part of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We use industry recognised encryption techniques to protect your sensitive, personal financial information and our funders are ISO 27001 qualified for our commitment to the security of our customers as well as their privacy. We employ an exceptionally sophisticated bank verification system that allows you to immediately verify your bank account information online to provide an immediate response.
About business loans
What exactly is an asset-based loan (a secured loan)?
Asset-based borrowing is when a business owner uses the assets they have to get the funding. The asset can be an individual property, such as the family home, or an company property like a truck or piece of equipment.
The majority of lenders, even the major banks, prefer to secure loans against an asset. If you’re struggling to pay back the loan, the asset might be transferred to the lender. In essence, it is an opportunity to secure new financing using the worth of the asset you already have.
What do I require security to secure an company loan?
For loans that exceed $150K, it is not necessary to secure assets before you are able to access the money, however we do need a personal guarantee. If you adhere to the loan terms (as specified in the loan contract) and you are able to meet your obligations, asset security will never be needed. For loans that exceed $150,000, typically, you will need an individual ensure and security that is in the form charges on assets.