FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
About The Maroubra Small Business Loans
Tell me about the Maroubra Small Business Loans
Maroubra unsecured loans provides amounts between $5,000 and $100,000, with terms ranging from 3 and 24 month and cash flow friendly repayments that are either per day or weekly.
How is how is the Unsecured Loan different from an ordinary business loan?
It is possible to apply for the Small Business Loan in under 10 minutes over the phone. You’ll get an answer within the same day and the money could be on your account within 24 hours. Traditional company loans reference an interest rate per annum along with other charges and fees. Our business loan is a loan that is priced upfront which means you be aware of the total amount due, which includes the interest, fees and charges. This is then broken down into either a daily or weekly repayment figure.
What can you use the Small Business Loan be used for?
A Small Business Loan can be used for nearly every business purpose including the management of cash flow, company renovations, marketing to purchase inventory, new equipment, for general working capital, and much more. The loan is not available for personal purposes.
About larger Maroubra Business Loans
What is the Larger Maroubra Business Loan?
The Larger Business Loan is a larger size of loan that can be used to fund company expansion opportunities. Loans are between $100,000 and $500,000 with a fixed-term with a maximum of 36 months. The repayments are made weekly or fortnightly, depending on you cashflow.
How is the Origination Fee calculated?
It is crucial to note that the Larger Business Loan has an Origination Fee, calculated at 2.5% of the amount of the loan.
Am I eligible for the Larger Business Loan?
To qualify for a loan of this size, your business needs to have been in operation for at least 3 years, and have an annual income 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 of proving at minimum 12 months of business.
How can the funding be used for?
A Business Loan of a larger size can be used for nearly all company use, including company remodeling, buying inventory or new equipment as well as for general working capital and much more. The loan is not available for personal reasons.
Is the Larger Business Loan one that is secured?
Asset security is required to obtain funding above $150,000. This can be done in the form of a charge against assets, and could be registered with the PPSR or registering a caveat.
A director’s or personal ensure is a guarantee to pay back a loan that is general in nature rather than defining security over a particular asset. The person signing the guarantee is personally accountable if the company borrower is unable to re-pay the debt.
The Personal Property Securities Register (PPSR) is an online, central register run by the New Zealand Government. It contains security interests that are registered for personal property (including goods or assets). The PPSR grants prioritisation over property that is personal to be granted in accordance with the date on which a registration of a security interest.
The caveat can be described as a formal form of document to offer notice of a legal claim to a property.
What is a pre-approval that does not require Credit Check?
If you’re requesting an enterprise loan that exceeds $250,000 we may be able to provide a preliminary pre-approval to help ease the process. We might be able to make this decision without a credit check and within 6 hours of the initial application. This pre-approval is based on an initial assessment that includes answering a couple of financial health questions. It is neither an offer nor a guarantee of credit. Acceptance without condition is subject to an exhaustive credit evaluation, and any offer you may receive may be on different terms.
Application process
Can I be eligible for funding?
You can apply for a company loan if you
- are a New Zealand Citizen (or Permanent Resident)
- are 18 years or older, own a New Zealand company (with a valid NZBN/IRD)
- you must prove at least 6 months of business (for a unsecured loan $5K – $100K) or three years of trade (for the Larger Business Loan $100K to $500K)
How do I apply?
The application process is simple and simple. Complete the online form within a few minutes and a dedicated business expert in lending will contact you to guide you through the process.
To apply for up $100,000 you’ll require the right identification documents (valid Driver’s Licence) and an active NZBN/IRD, and at least 6 months of bank statements.
Otherwise, for larger loan sizes, you’ll need:
$100K to $250K: Application requirements, including credit consent, 6-12 months of bank statements, IRD statement (if you have a loan of more than $150K).
$250K to $500K: Details of the application, including credit consent as well as 12 months of bank statements, IRD statement Last 2 years’ finalised financial statements, in addition to interim current financial year financials including Aged Payables, Aged Receivables reports.
How fast will I get a decision?
For an unsecured loan ($5K up to $100,000) we typically provide an answer within an hour if you apply within quality company times and allow us to use the advanced bank verification system link to instantly verify your bank information online. If you want to submit copies of your bank statements , we will be able to provide a decision in as little as 1 company day.
If you are applying for a Larger Business Loan ($100K or more) we may be capable of provide the conditional pre-approval in about six hours. After you’ve signed your pre-approval, the turnaround time is about 2-3 days for final approval, however this may be quicker depending on the particular circumstances of each application. Certain offers have been approved in 24 hours.
The quickest method can be make sure you apply during standard business hours. You can also allow us to use our advance bank verification link to confirm your bank details online. If you send us duplicates of your banking statements , it takes a bit longer.
How quickly will I receive the cash?
For the Small Business Loan ($5K or more) We can usually offer an answer in just one hour – as long as you make your application in normal business timings and permit us to use the advanced bank verification system to instantly verify your bank’s information online. If you decide to submit copies of your bank statements, we’ll be able to offer a decision in as little as one business day.
For Larger Business Loans ($100K up to $500,000) we might be able to provide you with conditional pre-approval in around 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. Some deals have been approved within just 24 hours.
The fastest method would be to make sure you apply during standard business hours and allow us to use the advanced bank verification system link to instantly confirm your bank details online. If you upload documents from your account statements it takes a bit longer.
What is the maximum 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 take into consideration a range of aspects in order to assess the health of your business and the amount of repayments that your business can support. The amount you receive from the loan will be determined by the particular circumstances for your company.
When you make an application for a particular amount, we take into consideration a variety of factors to assess the health that is your company and the level of the repayments your business will be able to support. The total amount of your loan will be contingent on the particular circumstances of your company.
Fees & repayments
How much should you charge for an company loan?
If you decide to apply for business loans with us company loan, we’ll assess the risk assessment that you have for your business and provide an individualised offer, including the loan amount, the terms and the interest rates. A business loan is an upfront cost loan so you will know in advance the total amount to be paid, including any interest rates, fees or charges.
What determines the amount I’m charged?
Interest rates for business loans rates depend on a variety of factors such as the amount that is of money borrowed, the company assets the funds will be used for and the sector the business operates in, the long the company has been running for, whether the company has enough cash flow to fund the loan, and also the general health or financial standing of the business.
What are the charges?
There are no hidden costs for our company loans. You’ll be aware of the amount you’ll need to pay, and when, from the day you sign up. There’s no compounding interest and no extra fees (as as long as you pay your payments in time).
We don’t charge an application fee. You are able to get a cash loan without any upfront costs or the obligation to take action.
The Origination Fee includes the expenses associated with establishing and managing the loan. You are only charged this fee if you decide to take the loan. Our Origination Fee is 2.5 percentage of the loan amount.
Do I have the option of paying off the loan in advance?
You can choose to repay all of your loan in full at any time.
If you choose to take this route, please call our helpful company loan specialists. We will offer you with details on repayment along with an early payout estimate. This is calculated as the total of the remaining principal amount and any accrued interest at the time of early payment plus 1.5% of the principal amount remaining plus any outstanding fees.
How do repayments work?
To help you avoid missing payment dates and to align your cash flow cycle we provide repayments either daily or weekly. These are automatically withdrawn from your nominated business account.
Security & privacy
Will my data be secure?
The security of your personal information, as well as being transparent about the ways we gather the information we collect, use, share and protect your information, is crucial and an integral element of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We employ industry-recognised encryption techniques to protect your sensitive, personal and financial data and our funders are ISO 27001 qualified for our dedication to security for our customers and security. We employ a highly sophisticated bank verification system link to instantly verify your bank account information online to provide quick responses.
About business loans
How do you define asset-based lending (a secured loan)?
Asset-based borrowing occurs when an company owner makes use of an asset they own to obtain a loan. The asset may be an individual property, such as the family home or a business asset like a truck or piece of equipment.
The vast majority of the lenders even the big banks, tend to make loans secured by assets. If you have trouble paying back the loan then your assets could be taken over by the lender. In essence it is a way of securing new financing by making use of the value of what you already have.
Should I require security to get a company loan?
For loans that exceed $150,000, it is not necessary to secure assets in advance to gain access to the funds, however we do require the personal guarantee. So long as you comply with the loan terms (as stipulated in your loan contract document), asset security will never be required. For loans of over $150K generally, you are able to get personal ensure and security in the form the charge of assets.