FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
Information About The Pymble Small Business Loans
Tell me more about Pymble Small Business Loans
Pymble unsecured loans offers amounts of between $5,000 and $100,000 with terms between 3 and 24 month and cash flow-friendly repayments that are either daily or weekly.
What makes the Unsecured Loan different from the traditional business loan?
You can apply to the Small Business Loan in under 10 minutes via the internet or over the phone, receive a same day response and the funds could be on your account within 24 hours. Traditional business loans have an interest rate per annum along with other charges and fees. Our business loan is an upfront priced loan which means you be aware of the amount you will have to pay, including any fees, interest or charges. This is then divided into weekly or daily payment amount.
What could be the Small Business Loan be used for?
It is a Small Business Loan can be used to fulfill almost any business use, including managing cash flows, company renovations, marketing to purchase inventory, new equipment, as general working capital and much more. The loan is not available for personal purposes.
About larger Pymble Business Loans
What is the Larger Pymble Business Loan?
The Larger Business Loan is a larger amount of loan to help business expansion opportunities. Loans range from $100,000 to $500,000 over a fixed term that can last up to 36 months. The repayments are made weekly or fortnightly, depending on your cash flow.
How is the Origination Fee determined?
The Larger Business Loan has an Origination Fee which is calculated at 2.5 percentage 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 have been operating for at least three years with an annual turnover of $700K. Your company must belong to a New Zealand Citizen (or Permanent Resident) at least 18 years old and have a New Zealand company (with a valid NZBN/IRD) and be able of proving at minimum 12 months of continuous trading.
What can the funding be used for?
A Larger Business Loan can be used for nearly every business purpose including business renovations, purchase of inventory or new equipment, as 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 needed to obtain funding above $150,000. This can be done as a result of an charge on assets and can include registration with the PPSR or making a caveat.
A director’s or personal guarantee is a commitment to repay a loan which is generally based rather than specifying the security of a specific asset. The person signing the ensure is personally accountable if the business lender is not able 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 registered in respect of personal property (including the assets or goods). The PPSR grants priority over personal property to be granted according to the date a security interest has been registered.
An affidavit is an official document filed to provide the legal claim to property.
What exactly is a preapproval without Credit Check?
If you’re requesting an enterprise loan of more than $250,000 we may be able to provide an initial pre-approval in order to ease the process. We could be able to apply for this without credit checks 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 checks. It’s neither an offer nor a guarantee of credit. The approval of a conditional loan is subject to a full credit assessment and any offer you receive could be based on different conditions.
The application process
Are I eligible for funding?
You may apply for an 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 demonstrate at minimum 6 months of trading (for you to qualify for unsecured loan $5K – $100K) or 3 years of continuous trading (for the Larger Business Loan $100K or $500K)
How do I apply?
The process for applying is fast and simple. Simply complete the online form within a few minutes and an experienced company loan specialist will contact you to assist you.
To apply for up $100,000, you’ll require ID details (valid Driver’s License), an NZBN/IRD that is valid and at least 6 months of bank statements.
For larger loan sizes, you’ll require:
$100K to $250K: Application details including credit approval, 6-12 months of IRD statements, bank statements (if you have a loan of more than $150K).
$250K-$500K: Application details including credit consent and 12 months bank statement, an IRD statements as well as the two most recent years’ financial statements, plus interim current financial year financials including Aged Payables, Aged Receivables reports.
How quickly will I receive a decision?
For an unsecured loan ($5K or more) we typically provide an answer within an hour if you make your application in standard business hours and allow us to use the advanced bank verification system to immediately verify your bank account information online. If you opt to submit copies of your bank statements , we’ll be able to offer an answer in as little as the span of one company day.
For Larger Business Loans ($100K and up) we could be capable of provide you with a conditional pre-approval within about six hours. After you’ve signed your pre-approval form, it will take between 2 and 3 days for the final approval, however it could be faster based on the particular circumstances of each application. Some transactions have received approval within 24 hours.
The fastest way would be to ensure you apply during standard company hours. You can also let us use the modern bank verification link to instantly verify your bank account information online. If you upload duplicates of your banking statements it can take a bit longer.
How fast will I get the funds?
For the Small Business Loan ($5K and up) we typically provide an answer within an hour if you make your application during normal business hours and you allow us to use the advanced bank verification system link to immediately verify your bank account information online. If you choose to upload copies of your bank statements, we are able to provide a decision within one business day.
For the Larger Business Loans ($100K and up) we could be likely to offer you with conditional pre-approval within about 6 hours. After you’ve signed the pre-approval, turnaround times are approximately 2-3 days to receive final approval. However, this may be quicker depending on the particular circumstances of each application. Certain agreements have been approved within the space of 24 hours.
The most effective method would be to make sure you apply during standard business hours. Also, allow us to use the modern bank verification to instantly confirm your bank details online. If you decide to send us copies of your bank statement, it will take a little longer.
How much can I borrow?
We offer the loan amount between $5,000 and $500,000. When you make an application for a particular amount, we take into consideration a range of variables for determining how much we can lend you health of the company and the amount of the repayments your company can support. The amount you receive from your loan will depend on the specific circumstances for your company.
When you make an application for a certain amount, we take into consideration a variety of elements to determine your well-being of the company and the amount of repayments your company will be able to support. The amount you receive from your loan will be determined by the particular circumstances of your business.
Fees & repayments
How much should you charge for a company loan?
If you decide to request one of our company financing, we will assess the risk profile the company and offer an individualised offer that includes the loan amount, the terms and the interest rates. A business loan is an upfront-priced loan which means you be aware in advance of the total amount you will have to pay, including costs, fees, or interest rates.
What determines the rate that I pay?
The interest rates on company loans rates depend on a variety of factors such as the amount that is borrowed, the company assets the money will be used for as well as the field the business operates in, how long the company is in operation, how long the business has sufficient cash flow to pay for the loan, and overall well-being as well as creditworthiness company.
What are the cost?
There aren’t any hidden charges with our business loans, and you’ll know precisely how much you’ll be required to pay, and at what time, from day one. There’s no compounding interest and the loan comes with no additional fees (as as you make your payments on time).
We don’t charge an Application Fee. You are able to make an application for loans with absolutely no upfront cost and no obligation to proceed.
The Origination Fee covers the expenses involved with the setting up and management of the loan. The only way to pay this fee if you decide to take the loan. The Origination Fee for us is 2.5 percent of the amount of loan.
Can I repay the loan in advance?
You can repay the entire amount of the advance loan at any time.
If you decide to take this route, please speak to our friendly business lending professionals. They will provide you with details on repayment and an early payment figure. This is calculated as the sum of the principal remaining plus any accrued interest as of the time of the early payout plus 1.5 percent of the principal remaining plus any outstanding fees.
What is the process for repayments?
To ensure you do not miss due dates and also to be in line with your cash flow cycle we offer repayments that are either weekly or daily. They are automatically deducted from the nominated company account.
Security & privacy
Will my data be protected?
The security of your personal information, as well as knowing the ways we gather information, use it, and exchange it, as well as ensure the security of your information is vital and is an essential aspect of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We employ industry-recognised encryption standards to protect your sensitive, personal financial and other data. Our funders are ISO 27001 qualified for our commitment to customer security and privacy. We utilise a sophisticated bank verification system link to instantly verify your bank account information online, allowing us to provide a fast response.
About business loans
How do you define asset-based lending (a secured loan)?
An asset-based loan is when the company owner makes use of an asset that they own to get the funds for a loan. The asset can be either a personal asset like the family home, or it could be a business asset such as a vehicle as well as a piece of machine.
The majority of lending institutions, including the big banks, tend to guarantee loans against assets. If you have trouble paying back the loan then the asset might be transferred to the lender. In essence, it’s a way of securing new financing by using the worth of the asset you already own.
Are I need security to get an company loan?
For loans that exceed $150K, it is not necessary to secure assets before you are able to access the money but we require a personal guarantee. require a personal guarantee. In the event that you fulfill the terms of your loan (as specified in your loan contract), asset security will never be needed. For loans over $150K generally, you can get personal guarantee and security is provided in the form of the charge of assets.