FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
Details of The Bellbowrie Small Business Loans
Tell me how you can avail the Bellbowrie Small Business Loans
Bellbowrie unsecured loans provides amounts between $5,000 and $100,000. The terms range between 3 and 24 month and cash flow friendly repayments which can be made daily or weekly.
How is how is the Unsecured Loan different from an ordinary business loan?
It is possible to apply to your Small Business Loan in under 10 minutes on the internet or by phone. You will receive a same day response and the funds could be in your account in 24 hours. Traditional business loans have an annual interest rate as well as other fees and charges. Our business loan is a cash-based loan and you’ll be aware in advance of the total amount to be paid, including any fees, charges or charges. Then, it is broken down into weekly or daily installment amount.
What can the Small Business Loan be used for?
The Small Business Loan can be used for nearly every business need, such as the management of cash flow, company improvements, advertising, to purchase inventory or new equipment, for general working capital and much more. The loan is not available to fund personal expenses.
About Larger Bellbowrie Business Loans
What is the Larger Bellbowrie Business Loan?
The Larger Business Loan is a larger loan size to support company expansion opportunities. Loans range between $100,000 and $500,000 with a fixed-term for up to 36 months. Repayments are scheduled weekly or fortnightly depending on your situation.
How is the Origination Fee calculated?
It is crucial to note that the Larger Business Loan has an Origination Fee, which is calculated at 2.5% of the amount of the loan.
Do I qualify for the Larger Business Loan?
To qualify for a loan of this size, your business needs to be trading for at least 3 years with an annual turnover of at least $700,000. You must be a New Zealand Citizen (or Permanent Resident) at least 18 years old as well as own a New Zealand business (with a valid NZBN/IRD) and be able to prove at least 12 months of trading.
How can the funds be used for?
A Larger Business Loan is a great option for almost all business use, including company renovations, to purchase new equipment or inventory, as general working capital, and much more. The loan cannot be used for personal reasons.
Is the Larger Business Loan one that is secured?
Asset security is required to access funding over $150,000. It’s as a result of an charge against assets, and may be registered with the PPSR or filing as a caveat.
A director’s or personal guarantee is a promise to repay a loan which is generally in nature rather than stipulating security over a particular asset. The person who signs the ensure is personally liable if the business borrower is unable to make the repayment.
The Personal Property Securities Register (PPSR) is a central, national online register run by the New Zealand Government. It contains security interests registered in respect of personal property (including the assets or goods). The PPSR permits priority over personal property to be assigned according to the date a security interest was registered.
An affidavit is an official document filed to offer an official notice of a claim against a property.
What is a pre-approval minus Credit Check?
If you’re applying for the Larger Business Loan that is greater than $250K it’s possible to offer a preliminary pre-approval to help ease the process. We might be able to do this without credit checks and within 6 hours of your initial application. The pre-approval process is based on an initial assessment that includes the answer to a series of financial health questions. It’s neither an offer nor a guarantee of finance. Acceptance without condition is subject to an assessment of your creditworthiness and any offer you are offered could be based on different conditions.
Application process
Are I eligible for funding?
You are eligible to apply for a business loan if you:
- are a New Zealand Citizen (or Permanent Resident)
- are at least 18 years old, own a New Zealand business (with a valid NZBN/IRD)
- you must prove at least 6 months worth of trade (for you to qualify for unsecured loan $5K – $100K) or 3 years of continuous trading (for the Larger Business Loan $100K to $500K)
How do I apply?
The application process is quick and easy. Complete the online form in few minutes and an experienced company lending specialist will call you to help you.
To apply for up to $100,000, you’ll require the right identification documents (valid Driver’s Licence) and a valid NZBN/IRD as well as at least six months worth of bank statements.
Otherwise, for larger loan sizes, you’ll require:
$100K – $250K: Application requirements, including credit approval, 6-12 months of IRD statements, bank statements (if credit is over $150K).
$250K – $500K: Application details including credit consent as well as 12 months bank statement, an IRD statements and the last two years’ finalised financial statements, as well as interim financials for the current financial year including Aged Payables, Aged Receivables Summary.
How fast will I get a decision?
For an unsecured loan ($5K or more) we usually provide an answer within an hour if you apply at quality company time and let us make use of the advanced bank verification system to instantly verify your bank information online. If you opt to send us copies of your bank statements we can offer an answer in just one business day.
For the Larger Business Loan ($100K to $500K) we may be likely to offer you with conditional pre-approval within about six hours. Once you’ve signed the pre-approval form, it will take between 2 and 3 days for the final approval. However, this can be quicker based upon the circumstances for each application. Some transactions have received approval within the space of 24 hours.
The quickest way to apply is to ensure you apply during standard business hours and allow us to use the advance bank verification to instantly verify your bank account information online. If you opt to upload the copies of bank statements it will take a little longer.
How quickly will I receive the funds?
For the Small Business Loan ($5K to $100K) we can often provide an answer in just one hour, provided you make your application at standard business hours and you allow us to utilise the advanced bank verification system to instantly verify your bank details online. If you decide to send us copies of your bank statements we can offer an answer in as little as an business day.
For the Larger Business Loans ($100K up to $500,000) we might be likely to offer you with conditional pre-approval within six hours. Once you’ve signed your pre-approval document, you will require to wait about 2-3 days for final approval. However, this may be quicker depending on the circumstances of each application. Certain transactions have received approval 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 verify your bank information online. If you decide to send us copies of your bank statements it takes a bit longer.
How much can I borrow?
We provide loan amounts between $5,000 to $500,000. When you submit an application for a specific amount we take into consideration a range of variables that determine what is the well-being of the business as well as the amount of the repayments your company can afford. The total amount of your loan will be contingent on the specific circumstances the company.
When you make an application for a particular amount, we take into consideration a variety of factors to assess how much we can lend you such as health of your company as well as the amount of payments your company can afford. The amount you receive from your loan will be determined by the specifics the company.
Fees & repayments
How much do you charge for the cost of a company loan?
When you make an application for one of our business financing, we will assess the risk profile for your business and offer you with a customised offer including the amount of loan, the term and the interest rates. It is a business loan is an upfront priced loan so you will know in advance the total amount payable including any interest rates, fees or charges.
What determines the rate that I pay?
The interest rates on company loans rates differ based on various factors such as the amount that is borrowed, what company assets the funds are used to purchase in addition to the industry that the business operates in, how long the business has been running, what percentage of the company has enough cash flow to cover the loan, and overall health as well as creditworthiness business.
What are the cost?
There aren’t any hidden costs with our business loans. You’ll know exactly how much you need to pay and when, right from the first day. There’s not any compounding interest and there are no additional charges (as long as you are able to make your payments on time).
We do not charge an application fee. You can get a cash loan with without any upfront costs or obligation to proceed.
The Origination Fee covers the expenses involved with setting up and managing the loan. It is only charged for this fee if you proceed with the loan. The Origination Fee for us is 2.5 percentage of the amount of loan.
Can I pay off the loan earlier?
You can choose to repay the entire amount of your advance loan at any time.
If you are deciding to pursue this option, please talk to one of our helpful company credit specialists. The specialists will offer you with repayment details as well as an early payout amount. This will be calculated as the total of the principal balance and the accrued interest up to the date of early payout plus 1.5 percent of the remaining principal and any outstanding fees.
What are the repayment methods?
To ensure that you don’t miss payments and to work your cash flow schedule, we offer repayments either weekly or daily. They are automatically deducted from your nominated company account.
Security & privacy
Will my information be protected?
The security of your personal information, as well as being upfront about how we collect data, process, exchange and ensure the security of your information is of paramount 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 standards to secure your sensitive, personal financial information and our funders are ISO 27001 qualified for our dedication to protecting the security of clients and privacy. We use an advanced bank verification system that allows you to instantly confirm your bank account information online. This allows us to offer rapid response.
About business loans
What exactly is an asset-based loan (a secured loan)?
Asset-based borrowing occurs when the company owner borrows from an asset they own to make the funding. The asset may be an asset belonging to the personal, like the family home, or it could be a company property like a truck as well as a piece of machine.
The vast majority of lending institutions, even the major banks, prefer to guarantee loans against an asset. If you’re having trouble paying back the loan, your assets could be sold by the lender. In essence it is a way of securing new funding making use of the value of what you already own.
Are I require security to get an company loan?
For loans up to $150K there is no requirement for asset security upfront to access the money, however we do require a personal guarantee. As long as you follow your loan commitments (as stated in the loan contract) Asset security is not required. For loans of over $150,000 generally, there is personal guarantee and security that is in the form a charge over assets.