FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
More about the Brendale Small Business Loans
Tell me more about Brendale Small Business Loans
Brendale unsecured loans offers amounts between $5,000 and $100,000 with terms between 3 and 24 months and cash flow-friendly repayments that are either daily or weekly.
What makes what makes the Unsecured Loan different from an ordinary company loan?
You can apply to this Small Business Loan in under 10 minutes via the internet or on the phone. You’ll receive an answer within the same day and the funds could be in your account within 24 hours. Traditional business loans have an annual interest rate together with additional fees and charges. This business loan is a loan that is priced upfront and you’ll be aware in advance of the total amount payable including any fees, interest or charges. Then, it is broken down into a daily or weekly payment amount.
What can the Small Business Loan be used for?
The Small Business Loan can be used for almost every company need, such as managing cash flows, company renovations, marketing to purchase inventory or new equipment, to fund general working capital and so much more. The loan cannot be used to fund personal expenses.
Concerning Larger Brendale Business Loans
What is the Larger Brendale Business Loan?
The Larger Business Loan is a larger size loan to aid in company expansion opportunities. Loans are between $100,000 and $500,000 for a fixed period of that can last up to 36 months. The repayments are made weekly or fortnightly, depending on the flow of cash.
How is the Origination Fee determined?
This Larger Business Loan has an Origination Fee, which is determined at 2.5 percent of the loan amount.
Can I get the Larger Business Loan?
To be eligible for a credit that is this large the business needs to be trading for at least 3 years with an annual turnover of at least $700,000. Your business must belong to a New Zealand Citizen (or Permanent Resident) over 18 years or have a New Zealand business (with a valid NZBN/IRD) and be able of proving at least 12 months of trading.
What can the funding be used for?
A large business loan can be used for almost all company need, including company remodeling, buying new equipment or inventory for general working capital, and much more. The loan is not available for personal use.
Is the Larger Business Loan one that is secured?
Asset security is required for funding of more than $150,000. It’s in the form of a charge on assets, and may include registering this with the PPSR or the registration of a caveat.
A director’s or personal ensure is a commitment to pay off a credit line that is generally based rather than defining security over a particular asset. The person signing the guarantee is personally liable if the business the borrower fails to make the repayment.
The Personal Property Securities Register (PPSR) is a central, national online registry run by the New Zealand Government. It lists security interests that are registered in respect of personal property (including goods or assets). The PPSR allows preference over private property granted in accordance with the date on which a registration of a security interest.
An affidavit is an official document filed to provide the legal claim to a property.
What is a pre-approval that does not require Credit Check?
If you’re applying for a Larger Business Loan of more than $250,000 it is possible to offer an initial pre-approval that will help smooth out the process. We could be able to make this decision without a credit check, and within six hours of your initial application. This pre-approval is made based on an initial assessment that includes you answering a few financial well-being checks. It’s in no way an offer, nor is it a guarantee of credit. Acceptance without condition is subject to an exhaustive credit evaluation, and any offer you might receive could be subject to different terms.
The application process
Are I eligible for funding?
You can apply for an company loan if you
- are a New Zealand Citizen (or Permanent Resident)
- are over 18 years, own a New Zealand company (with a valid NZBN/IRD)
- must show at least six months of trading (for a unsecured loan $5K – $100K) or three years of trade (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 in just a few minutes, and a dedicated business credit specialist will contact you to assist you.
To apply for up $100,000 you’ll require identification details (valid Driver’s License) and a valid NZBN/IRD as well as at least 6 months’ worth of bank statements.
For larger loan sizes, you’ll require:
$100K – $250K: Information about the application including credit consent, 6-12 months of IRD statements, bank statements (if loan above $150K).
$250K – $500K: Details for application including credit consent as well as 12 months of bank statements, IRD statement, last 2 years finalised financial statements, and interim financials for the current financial year such as age-related payables and aged Receivables summary.
How soon will I hear an answer?
For an unsecured loan ($5K or more) we usually offer a response in one hour, provided you submit your request in standard business hours and allow us to utilise the bank verification system to instantly verify your bank information online. If you choose to upload copies of your bank statements , we are able to provide a decision within an company day.
For Larger Business Loans ($100K and up) we may be able to offer the conditional pre-approval in around six hours. Once you’ve signed the pre-approval, turnaround times are between 2 and 3 days for the final approval. However, this could be shorter based on the particular circumstances of each application. Some deals have been approved within just 24 hours.
The quickest way to apply is to make sure you apply during normal business hours. You can also allow us to use our modern bank verification link to confirm your bank details online. If you decide to send us duplicates of your banking statements it will take a little longer.
How quickly will I receive the money?
For the Small Business Loan ($5K up to $100,000) We can usually offer an answer within one hour – as long as you apply at standard business times and permit us to utilise the advanced bank verification system link to instantly verify your bank’s information online. If you decide to send us copies of your bank statements we can provide the decision in as little as an business day.
For Larger Business Loans ($100K up to $500,000) we might be in a position to offer the conditional pre-approval within 6 hours. Once you have signed the pre-approval form, it will take around 2-3 days for final approval, however this could be shorter based on the specifics of each application. Certain agreements have been approved in just 24 hours.
The fastest method would be to make sure you apply during standard business hours. Also, allow us to use the modern bank verification to instantly verify your bank account information online. If you upload duplicates of your banking accounts, it may take a bit longer.
How much can I borrow?
We offer loans that range from $5,000 and $500,000. When you submit an application for a specific amount we consider a variety of variables to determine how much we can lend you well-being of your business as well as the amount of repayments your company is able to afford. The total amount of the loan will be determined by the particular circumstances that are unique to your business.
If you apply for a particular amount, we take into consideration a variety of factors to assess the health for your company as well as the amount of repayments your company will be able to support. The amount you receive from the loan will be determined by the particular circumstances for your company.
Fees & repayments
How much do you charge for an business loan?
If you decide to apply for one of our company financing, we will assess the risk profile that you have for your business and provide you with a customised offer, including the amount of loan, the term and interest rates. A company loan is an upfront-priced loan therefore you will know the exact amount to be paid, including any charges, interest rates or fees.
What is the factor that determines the price I will be charged?
The interest rates on company loans rates differ based on various factors such as the amount that is borrowed, what company assets the funds will be used for as well as the field the company is in, how long the company has been in operation as well as whether the business has enough cash flow to pay for the loan, and the general well-being or creditworthiness of the company.
What are the fees?
There are no hidden fees for our business loans. You’ll know precisely what you’ll be required to pay and when, starting from the very first day. There’s no compounding interest and the loan comes with no additional fees (as as long as you pay your payments in time).
We do not charge an Application Fee. You are able to request a credit loan no cost upfront or obligation to proceed.
The Origination Fee covers the costs associated with setting up and managing the loan. The only way to pay this fee if you choose to proceed with the loan. The Origination Fee for us is 2.5 percentage of the loan amount.
Can I pay off the loan in advance?
You may choose to pay back the entire amount of the loan at any point in time.
If you do decide to pursue this option, please speak to our friendly business loan experts. They’ll offer you with details on repayment as well as an early payout amount. This will be calculated as the sum of the remaining principal amount plus any accrued interest as of the time of early payment, plus 1.5 percent of the principal balance and any outstanding fees.
How do you make repayments work?
To ensure you do not miss due dates and also to be in line your cash flow cycle we offer repayments either weekly or daily. They will be automatically deducted from your designated business account.
Security & privacy
Will my information be secure?
The security of your personal information, as well as being upfront about the ways we gather data, process, exchange and safeguard your data, is of huge importance and is a crucial aspect 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 customer security and privacy. We make use of an advanced banking verification system to immediately verify your bank account information online to offer quick responses.
About business loans
How do you define asset-based lending (a secured loan)?
An asset-based loan is when a company owner makes use of the assets they have to secure the funding. The asset can be an individual property, such as the family home or a business property like a truck as well as a piece of machine.
The vast majority of lending institutions, even the big banks, tend to guarantee loans against assets. If you’re having trouble paying back the loan, the asset might be transferred to the lender. In essence, it is the process of securing new financing using the value of what you already own.
Should I require security to secure an business loan?
For loans up to $150,000 the requirement for asset security is not required prior to the loan’s access however, we require a personal guarantee. need the personal guarantee. If you adhere to the terms of your loan (as stipulated in your loan contract) and you are able to meet your obligations, asset security is not needed. For loans of over $150,000 generally, you are able to get the option of a personal guarantee and security that is in the form a charge over assets.