FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
More about the Bray Park Small Business Loans
Let me know what you think of the Bray Park Small Business Loans
Bray Park unsecured loans offers amounts of between $5,000 and $100,000. The terms range between 3 and 24 month and cash flow-friendly repayments, which are either daily or weekly.
What is this Unsecured Loan different from the traditional business loan?
Apply to get your Small Business Loan in under 10 minutes over the phone. You’ll get an immediate response, and the money could be on your account within 24 hours. Traditional company loans reference an interest rate per annum plus other fees and charges. Our company loan is a pre-paid loan therefore you’ll be aware of the amount you will have to pay, including any fees, interest or charges. Then, it is divided into weekly or daily payment amount.
What can be the Small Business Loan be used for?
It is a Small Business Loan can be used to fulfill almost any company purpose including the management of cash flow, business remodels and marketing to purchase inventory, new equipment, to fund general working capital, and much more. The loan is not available to fund personal expenses.
About Larger Bray Park Business Loans
What is the Larger Bray Park Business Loan?
The Larger Business Loan is a larger amount of loan to help business expansion opportunities. Loans range between $100,000 and $500,000 over a fixed term up to 36 months. Repayments are weekly or fortnightly in order to accommodate you cashflow.
How’s the Origination Fee calculated?
A Larger Business Loan has an Origination Fee which is calculated at 2.5% of the loan amount.
Am I eligible for the Larger Business Loan?
To be eligible for a credit in this amount the company needs to be operating for a minimum of 3 years and generate an annual revenue of at least $700,000. Your business must belong to a New Zealand Citizen (or Permanent Resident) with a minimum age of 18 years old or have a New Zealand business (with a valid NZBN/IRD) and be able to demonstrate at the least 12 months of operating.
How can the funding be used for?
A Business Loan of a larger size is a great option for almost any business purpose including business improvements, purchasing new equipment or inventory or 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 necessary to access funding over $150,000. This is by taking a charge over assets and can include registering this in the PPSR or making as a caveat.
A director’s or personal guarantee is a guarantee to repay a loan which is generally in nature rather than stipulating the security of a specific asset. The person who signs the ensure is personally liable if the company creditor is unable to re-pay the debt.
The Personal Property Securities Register (PPSR) is a central, national online register run by the New Zealand Government. It lists security interests that are which are registered with respect to personal property (including objects or assets). The PPSR grants prioritisation over property that is personal to be granted depending on the date that a registration of a security interest.
The caveat can be described as a formal document filed to provide the legal claim against a property.
What exactly is a preapproval without Credit Check?
If you’re seeking the Larger Business Loan of $250K or more we may be able to provide an initial pre-approval to simplify the process. We might be able to apply for this without a credit check, and within 6 hours of your initial application. This pre-approval is based on an initial assessment, which involves answering a couple of financial well-being questions. It is not an offer of credit or guarantee of finance. A conditional approval is subject an assessment of your creditworthiness and any offer that you may receive may be based on different conditions.
The application process
Do I qualify for funds?
You are eligible to apply for an business loan if you
- are a New Zealand Citizen (or Permanent Resident)
- are at least 18 years old, own a New Zealand company (with a valid NZBN/IRD)
- you must demonstrate at minimum 6 months of trading (for for the unsecured loan $5K – $100K) or three years of trading (for the Larger Business Loan $100K to $500K)
How do I apply?
The application process is fast and simple. Simply complete the online form within a couple minutes, and an experienced business loan specialist will be in touch to guide you.
For a loan of up to $100,000 you’ll require ID details (valid Driver’s License) as well as 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 also need:
$100K to $250K: Information about the application including credit consent, 6 – 12 months of bank statements, IRD statement (if the loan is greater than $150K).
$250K – $500K: Information on the application including credit consent as well as 12 months bank statement, an IRD statements, last 2 years finalised financial statements, plus interim financials for the current financial year such as age-related payables and aged Receivables summaries.
What speed will I be able to get an answer?
For an unsecured loan ($5K up to $100,000) we typically offer an answer in just one hour – as long as you make your application within quality company timings and permit us to use the advanced bank verification system to immediately verify your bank account information online. If you decide to submit copies of your bank statements we can offer the decision in just the span of one company day.
For Larger Business Loans ($100K or more) we may be able to offer the conditional pre-approval in about 6 hours. After you’ve signed your pre-approval form, it will take between 2 and 3 days for the final approval. However, this can be quicker based on the circumstances of each application. Certain transactions have received approval within less than 24 hours.
The quickest method can be make sure you apply during standard company hours, and permit us to use the advanced bank verification system to instantly confirm your bank details online. If you decide to send us the copies of bank statement, it may take a bit longer.
How soon will I receive the funds?
For the Small Business Loan ($5K up to $100,000) we typically offer an answer in just one hour – provided you make your application within normal business times and you allow us to make use of the advanced bank verification system to instantly verify your bank’s information online. If you opt to upload copies of your banking statements, we are able to offer a decision within one business day.
For the Larger Business Loans ($100K to $500K) We may be in a position to offer you with pre-approval conditional to your application in around six hours. Once you have signed the pre-approval, the turnaround time is around 2-3 days for final approval. However, it could be faster based on the specifics of each application. Certain agreements have been approved in 24 hours.
The quickest method for you to apply is ensure you apply during normal business hours, and allow us to use the advance bank verification to confirm your bank details online. If you decide to upload copies of your bank accounts, it can take a bit longer.
What’s the minimum amount I can borrow?
We provide loans that range from $5,000 and $500,000. If you apply for a certain amount we look at a variety of variables in order to assess the health for your business and the extent of repayments your business can support. The total amount of your loan will depend on the particular circumstances the business.
If you apply for a set amount, we will consider a number of aspects to assess your well-being that is your business and the amount of the repayments your business can afford. The total amount of the loan will be determined by the specifics for your business.
Fees & repayments
What is the cost for the cost of a company loan?
If you decide to make an application for business loans with us company credit, we will assess the risk profile the company and offer you with a customised proposal that includes the loan amount, the terms and interest rates. This business loan is a loan that is priced upfront therefore you will know in advance the total amount due, which includes any interest rates, fees or charges.
What determines the amount I am charged?
The interest rates on company loans rates depend on a variety of variables like the amount to be borrowed, the business assets the money will be used for in addition to the industry that the business operates in, the long the company has been running as well as how long the company has sufficient cash flow to pay for the loan, and general well-being or financial standing of the company.
What are the costs?
There are no hidden fees with our business loans, and you’ll know precisely what it is that you need to pay, and when, from the day you sign up. There’s not any compounding interest and there are no additional charges (as as you make your payments punctually).
We do not charge an application fee. You can apply for a loan without any upfront costs or obligation to proceed.
The Origination Fee covers the costs associated with the setting up and management of the loan. You are only charged 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 pay out the loan in advance?
You can repay all of your loan at any point in time.
If you are deciding to pursue this option, please contact our helpful business loans specialists. The specialists will offer you with repayment details and an early payout figure. The figure will be calculated as the sum of the principal remaining and the accrued interest up to the time of the early payout and 1.5 percent of the remaining principal as well as any outstanding fees.
What is the process for repayments?
To make sure you do not miss payment dates and to align your cash flow cycle we offer repayments either weekly or daily. They will be automatically deducted from your designated company account.
Security & privacy
Will my information be secure?
Protecting your information, and being upfront about the ways we gather the information we collect, use, share and secure your information, is vital and is an essential element of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We utilise industry-recognised encryption standards to secure your sensitive, personal and financial data and our funders are ISO 27001 qualified for our commitment to the security of our customers as well as their privacy. We use an advanced bank verification system to instantly verify the bank account details online so we can provide an immediate response.
About business loans
What is asset-based borrowing (a secured loan)?
Asset-based borrowing is when the company owner uses an asset that they own to obtain a loan. The asset could be an asset belonging to the personal, like the family home or an business asset such as a vehicle or other piece of machinery.
The majority of banks, even the major banks, prefer to make loans secured by an asset. If you’re having trouble paying back the loan, the asset could be offered for sale by the lender. In essence it is means of securing new funding using the worth of the asset you already own.
Should I require security for a company loan?
For loans that exceed $150,000, there is no requirement for asset security in advance to gain access to the funds but we require a personal guarantee. need the personal guarantee. If you adhere to the terms of your loan (as specified in your loan contract) Asset security will never be required. For loans over $150K generally, there is the option of a personal ensure and security that is in the form a charge over assets.