FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
About The Everton Park Small Business Loans
Let me know what you think of the Everton Park Small Business Loans
Everton Park unsecured loans offers amounts of between $5,000 and $100,000. The terms range between 3 and 24 months. They also offer cash flow-friendly repayments that are either daily or weekly.
What is what makes the Unsecured Loan different from an traditional company loan?
The application to get your Small Business Loan in under 10 minutes via the internet or over the phone. You’ll get an instant response and the money could be on your account within 24 hours. Traditional company loans are based on an annual rate of interest along with other charges and fees. Our company loan is an upfront priced loan which means you know in advance the total amount to be paid, including any fees, charges or charges. Then, it is broken down into a daily or weekly installment amount.
What can you use the Small Business Loan be used for?
A Small Business Loan can be used for virtually every business purpose including managing cash flows, business improvements, advertising, to purchase inventory or new equipment, as general working capital and much more. The loan is not available for personal reasons.
Concerning Larger Everton Park Business Loans
What is the Larger Everton Park Business Loan?
The Larger Business Loan is a larger size of loan that can be used to fund business growth opportunities. Loans range between $100,000 and $500,000 with a fixed-term up to 36 months. Repayments are either weekly or fortnightly in order to accommodate your cash flow.
How’s the Origination Fee determined?
This Larger Business Loan has an Origination Fee that is determined at 2.5% of the loan amount.
Can I get the Larger Business Loan?
To be eligible for a loan in this amount, your company needs to be 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) with a minimum age of 18 years old, own a New Zealand company (with a valid NZBN/IRD) and be able demonstrate at minimum 12 months of continuous trading.
How can the funding be utilised?
A larger company loan can be used for almost every company purpose including company improvements, purchasing equipment or inventory or as general working capital, and much more. The loan cannot be used for personal purposes.
Is the Larger Business Loan one that requires security?
Asset security is necessary for funding of more than $150,000. This is by way of charge against assets and can include registering this in the PPSR or registering a caveat.
A director’s or personal guarantee is a promise to repay a loan which is generally based rather than stating security over an asset. The person who signs the guarantee is personally responsible if the company creditor is unable to re-pay the debt.
The Personal Property Securities Register (PPSR) is a central, national online register that is operated by the New Zealand Government. It reflects security interests registered in respect of personal property (including the assets or goods). The PPSR permits prioritisation over property that is personal to be granted according to the date a registration of a security interest.
Caveats are legal document filed to provide notice of a legal claim against a property.
What exactly is a preapproval without Credit Check?
When you’re applying for the Larger Business Loan that exceeds $250,000 we can offer a preliminary pre-approval to help simplify the process. It is possible to do this without a credit check, and within 6 hours of your initial application. The pre-approval process is based on an initial evaluation that involves answering a couple of financial well-being checks. This is not an offer of credit or guarantee of credit. Unconditional approval is subject to an extensive credit evaluation and any offer you might receive could be based on different conditions.
The application process
Are I eligible for funding?
You may apply for a 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)
- you must prove at least 6 months of business (for you to qualify for unsecured loan $5K – $100K) or 3 years of trading (for the Larger Business Loan $100K - $500K)
How do I apply?
The application process is quick and easy. Just fill out the online application in just a few minutes, and an experienced business credit specialist will be in touch to guide you through the process.
For a loan of up to $100,000 you’ll need the right identification documents (valid Driver’s Licence) along with a valid NZBN/IRD and at least 6 months’ worth of bank statements.
For larger loan sizes, you’ll need:
$100K – $250K: Application details including credit approval, 6-12 months of bank statements, IRD statement (if credit is over $150K).
$250K-$500K: Details of the application, including credit consent as well as 12 month bank accounts, the IRD statements, last 2 years finalised financial statements, in addition to interim financials from the current financial year such as age-related payables and aged Receivables reports.
How fast will I get a decision?
For an unsecured loan ($5K and up) we typically provide an answer within an hour, provided you make your application at quality company timings and allow us to utilise the advanced bank verification system link to instantly verify your bank details online. If you want to upload copies of your bank statements we can offer the decision in as little as one company day.
For the Larger Business Loan ($100K and up) we may be in a position to offer you with pre-approval conditional to your application within 6 hours. After you’ve signed the pre-approval, the turnaround time is around 2-3 days for final approval. However, this could be shorter based upon the circumstances for each application. Certain transactions have received approval within less than 24 hours.
The fastest way for you to apply is ensure you apply during normal business hours. You can also let us use the modern bank verification to verify your bank account information online. If you choose to send us copies of your bank statements it takes a bit longer.
How soon will I receive the funds?
For the Small Business Loan ($5K to $100K) we usually provide a response in one hour if you submit your request within standard business time and allow us to use the bank verification system to instantly verify your bank details online. If you opt to submit copies of your bank statements we can provide the decision within one business day.
If you are applying for Larger Business Loans ($100K to $500K) we may be capable of offer you with pre-approval conditional to your application in around 6 hours. Once you’ve signed the pre-approval form, it will take between 2 and 3 days for the final approval. However, this could be shorter based on the circumstances of each application. Some agreements have been approved within less than 24 hours.
The most efficient method can be ensure you apply during standard business hours, and permit us to use the advanced bank verification system to verify your bank information online. If you choose to upload duplicates of your banking statements, it will take a little longer.
How much can I borrow?
We provide loan amounts between $5,000 and $500,000. When you submit an application for a specific amount we take into consideration a range of elements for determining what is the health for your company and the extent of payments your business can afford. The amount you receive from your loan will be contingent on the particular circumstances of your company.
When you apply for a specific amount we will consider a number of variables to determine the well-being of your company and the level of repayments that your business is able to afford. The total amount of the loan will be determined by the particulars that are unique to your business.
Fees & repayments
How much do you charge for a business loan?
If you decide to make an application for our company credit, we will assess the risk profile of your company and offer you with a tailored offer, including the amount of loan, the term and the interest rates. This business loan is an upfront cost loan which means you know the exact amount you will have to pay, including interest rates, fees or charges.
What is the basis for the rate I pay?
Business loan interest rates depend on several factors like the amount of money borrowed, what company assets the funds are used to purchase in addition to the industry that the business operates in, the long the business has been in operation, how long the business has sufficient cash flow to fund the loan, as well as the general well-being or creditworthiness of the company.
What are the costs?
There are no hidden costs with our company loans. You’ll know exactly how much you’ll be required to pay and when, starting from the very first day. There’s no compounding and no additional fees (as long as you are able to make your payments punctually).
We do not charge an application fee. You can make an application for loans without any upfront costs or any obligation to sign up.
The Origination Fee covers the expenses involved in establishing and managing the loan. You are only charged this cost if you take out the loan. Our Origination Fee is 2.5 percentage of the loan amount.
Do I have the option of paying off the loan early?
You can decide to repay the total amount of your loan early at any time.
If you are deciding to pursue this option, please call our helpful business credit specialists. The specialists will provide you with repayment details and an early payout figure. This will be calculated as the sum of the principal balance plus any accrued interest as of the time of early payment plus 1.5% of the principal amount remaining and any outstanding fees.
What are the repayment methods?
To ensure you do not miss repayments and to fit in with your cash flow routine, we provide repayments either weekly or daily. They are automatically deducted from the nominated company account.
Security & privacy
Will my information be protected?
Protecting your information, and being clear about the ways we gather data, process, exchange and ensure the security of your information is of huge importance and an integral element of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We use industry recognised encryption techniques to protect your personal, sensitive financial information and our funders are ISO 27001 qualified for our dedication to the security of our clients as well as their privacy. We make use of an advanced bank verification system link to instantly verify the bank account details online, allowing us to provide quick responses.
About business loans
What is asset-based borrowing (a secured loan)?
Asset-based borrowing is when a company owner uses assets they own to secure the loan. The asset can be a personal asset like the family home or it could be a business asset such as a truck or piece of equipment.
The vast majority of banks, including the largest banks, are inclined to guarantee loans against assets. If you are having difficulty paying back the loan then the asset might be transferred to the lender. In essence, it is the process of securing new funding using the worth of the asset you already own.
What do I require security to get an company loan?
For loans up to $150,000 no asset security is required upfront to access the money However, we do need the personal guarantee. In the event that you fulfill the terms of your loan (as stipulated in the loan contract), asset security will never be required. For loans over $150,000 generally, there is personal ensure and security that is in the form an asset charge.