FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
Information About The Bella Vista Small Business Loans
Let me know what you think of the Bella Vista Small Business Loans
Bella Vista 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 is what makes the Unsecured Loan different from the traditional business loan?
Apply for the Small Business Loan in under 10 minutes online or by phone. You will receive a same day response and the money could be available in just 24 hours. Traditional company loans refer to an annual rate of interest along with other charges and fees. We offer a company loan is a pre-paid loan therefore you’ll know in advance the total amount due, which includes any fees, charges or charges. This is then broken down into either weekly or daily installment amount.
What could you use the Small Business Loan be used for?
It is a Small Business Loan can be used to fulfill almost any company use, including control of cash flow business remodels and marketing for purchasing inventory or new equipment, as general working capital, and much more. The loan is not available for personal use.
About Larger Bella Vista Business Loans
What is the Larger Bella Vista Business Loan?
The Larger Business Loan is a larger size loan to aid in business growth opportunities. The loan ranges from $100,000 to $500,000 with a term fixed that can last up to 36 months. Repayments are scheduled weekly or fortnightly, depending on your cash flow.
How is the Origination Fee calculated?
This Larger Business Loan has an Origination Fee that is determined at 2.5 percentage of the amount of the loan.
Am I eligible for the Larger Business Loan?
In order to be eligible for a loan in this amount the company needs to be operating for at least three years with an annual turnover of $700K. Your business must belong to a New Zealand Citizen (or Permanent Resident) with a minimum age of 18 years old and have a New Zealand business (with a valid NZBN/IRD) and be able to demonstrate at minimum 12 months of continuous trading.
What can I use the funding for?
A large company loan can be used for nearly any company use, including company renovations, purchase of equipment or inventory as well as for general working capital and so much more. The loan cannot be used for personal purposes.
Is the Larger Business Loan one that is secured?
Asset security is needed for accessing funds over $150,000. It’s in the form of a charge against assets, which could also include the registration of this on the PPSR or the registration of as a caveat.
A personal or director’s guarantee is a commitment to repay credit that is generally based rather than stipulating security over an asset. The person who is signing the guarantee is personally responsible if the business the borrower fails to repay the debt.
The Personal Property Securities Register (PPSR) is a central, national online register operated by the New Zealand Government. It contains security interests that are registered for personal property (including the assets or goods). The PPSR permits preference over private property assigned depending on the date that a security interest that is registered.
An affidavit is an official document lodged to provide notice of a legal claim to a property.
What is a pre-approval that does not require Credit Check?
When you’re applying for an enterprise loan of more than $250K we can offer a preliminary pre-approval to help ease the process. We may be able to get this done without a credit verification and within 6 hours of your initial application. The pre-approval process is based on an initial evaluation that involves you answering a few financial well-being checks. It’s not an offer of credit or guarantee of funds. Acceptance without condition is subject to an exhaustive credit evaluation, and any offer you may receive may have different terms.
Application process
Are I eligible for funding?
You may apply for a business 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)
- can demonstrate at least 6 months worth of trade (for the unsecured loan $5K – $100K) or three years of trading (for the Larger Business Loan $100K - $500K)
How do I apply?
The application process is fast and easy. Just fill out the online application in just a few minutes, and a dedicated company credit specialist will contact you to guide you.
For a loan of up to $100,000, you’ll need ID details (valid Driver’s Licence) along with a valid NZBN/IRD as well as at least 6 months’ worth of bank statements.
If you’re looking for loans with larger sizes, you’ll require:
$100K-$250K: Application requirements, including credit consent, 6-12 months of IRD statements, bank statements (if loan above $150K).
$250K-$500K: Details for application including credit consent twelve months bank statement, an IRD statement and the last two years’ finalised financial statements, plus interim financial statements for the current year, Aged Payables and Aged Receivables summary.
How soon will I hear an answer?
For an unsecured loan ($5K up to $100,000) we usually provide a response in one hour, provided you apply during standard company hours and you allow us to make use of the advanced bank verification system link to instantly verify your bank’s information online. If you decide to upload copies of your banking statements , we will be able to provide an answer within 1 business day.
For the Larger Business Loan ($100K or more) we may be likely to provide you with a conditional pre-approval within about six hours. Once you have signed the pre-approval, the turnaround time is around 2-3 days for final approval, however this could be shorter based upon the circumstances for each application. Certain agreements have been approved in just 24 hours.
The most efficient method is to make sure you apply during normal business hours, and allow us to use our advance bank verification to confirm your bank details online. If you decide to upload duplicates of your banking accounts, it may take a bit longer.
How fast will I get the funds?
For the Small Business Loan ($5K up to $100,000) we usually offer an answer within one hour – provided you submit your request during normal business timings and allow us to use the advanced bank verification system link to immediately verify your bank account information online. If you opt to upload copies of your banking statement, we’ll offer a decision in as little as the span of one business day.
If you are applying for Larger Business Loans ($100K and up) We may be able to provide you with pre-approval conditional to your application within six hours. After you’ve signed the pre-approval, turnaround times are about 2-3 days for final approval. However, this may be quicker depending on the specifics of each application. Certain offers have been approved within just 24 hours.
The quickest method for you to apply is make sure you apply during standard business hours. Also, allow us to use the modern bank verification to check your bank’s information online. If you decide to send us copies of your bank statements it will take a little longer.
What’s the minimum amount I can borrow?
We offer loan amounts between $5,000 to $500,000. When you submit an application for a particular amount, we take into consideration a range of factors to determine the well-being of your business and the amount of repayments that your business will be able to support. The total amount of your loan will be contingent on the particular circumstances of your business.
When you make an application for a set amount, we will consider a number of aspects to assess how much we can lend you such as well-being of the company as well as the amount of repayments your business is able to afford. The amount you receive from the loan will be determined by the particulars the business.
Fees & repayments
How much do you charge for an company loan?
If you decide to apply for business loans with us business loan, we’ll assess the risk profile of your business and offer an individualised proposal that includes loan amount, term and interest rates. This business loan is an upfront priced loan so you will know the exact amount payable including any charges, interest rates or fees.
What determines the amount I will be charged?
Business loan interest rates differ based on various factors including the amount that is borrowed, what company assets the money will be used for and the sector the company operates in, how long the company has been running, what percentage of the company has sufficient cash flow to support the loan, and also the general well-being or financial standing of the company.
What are the cost?
There are no hidden costs for our company loans, and you’ll know exactly how much you be required to pay, and at what time, from the first day. There’s no compounding interest, and the loan comes with no additional fees (as as you make your payments punctually).
We do not charge an application fee. You can request a credit loan no cost upfront or any obligation to sign up.
The Origination Fee covers the expenses involved with establishing and managing the loan. It is only charged for this cost if you take out the loan. The Origination Fee for us is 2.5% of the loan amount.
Can I pay off the loan earlier?
You can decide to repay the entire amount of your loan in full at any time.
If you choose to pursue this option, please speak to our friendly company loans professionals. We will offer you with repayment details along with an early payout estimate. This is 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 and any outstanding fees.
What are the repayment methods?
To make sure you do not miss payments and to work your cash flow cycle we offer repayments that are either daily or weekly. They will be automatically deducted from your designated business account.
Security & privacy
Will my information be secure?
Security of your data, and being clear about how we collect information, use it, and exchange it, as well as protect your information, is of huge importance and an integral aspect of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We make use of industry-standard encryption techniques to protect your sensitive, personal and financial data and our funders are ISO 27001 certified for our dedication to protecting the security of customers and privacy. We make use of an advanced bank verification system link to immediately confirm your bank account information online so we can provide rapid response.
About business loans
What is asset-based borrowing (a secured loan)?
An asset-based loan is when an company owner makes use of assets they own to obtain the funding. The asset can be an individual property, such as the family home or it could be a business asset like a truck or piece or equipment.
The majority of the lenders including the largest banks, are inclined to secure loans against assets. If you have trouble paying back the loan, then your assets could be offered for sale by the lender. In essence it is an opportunity to secure new funding using the value of what you already own.
Do I require security to secure a company loan?
For loans that exceed $150,000, it is not necessary to secure assets prior to the loan’s access however, we do require a personal guarantee. If you adhere to your loan obligations (as specified in the loan contract) the security of assets will never be required. For loans of over $150,000 generally there is the option of a personal guarantee and security in the form charges on assets.