FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
Information About The Jamboree Heights Small Business Loans
Tell me what you think of the Jamboree Heights Small Business Loans
Jamboree Heights unsecured loans offers the range of $5,000 to $100,000, with terms ranging from 3 and 24 month and cash flow friendly repayments, which are either daily or weekly.
How is how is the Unsecured Loan different from an traditional business loan?
You can apply to get the Small Business Loan in under 10 minutes via the internet or on the phone. You’ll receive a same day response and the funds could be in your account in 24 hours. Traditional company loans have an annual interest rate along with other charges and fees. This business loan is a cash-based loan and you’ll know in advance the total amount due, which includes any fees, charges or charges. Then, it is broken down into a daily or weekly payment amount.
What can you use the Small Business Loan be used for?
The Small Business Loan can be used for almost every business reason, such as managing cash flows, company renovations, marketing, to purchase inventory or new equipment, to fund general working capital and much more. The loan cannot be used for personal reasons.
Concerning Larger Jamboree Heights Business Loans
What is the Larger Jamboree Heights Business Loan?
The Larger Business Loan is a larger size of loan that can be used to fund business expansion opportunities. Loans are between $100,000 and $500,000 with a term fixed for up to 36 months. Repayments are scheduled weekly or fortnightly, depending on your situation.
How’s the Origination Fee determined?
The Larger Business Loan has an Origination Fee, calculated at 2.5 percent of the loan amount.
Am I eligible for 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 generate an annual revenue of $700K. You must be a New Zealand Citizen (or Permanent Resident) over 18 years and have a New Zealand business (with a valid NZBN/IRD) and be able to demonstrate at minimum 12 months of continuous trading.
How can the funds be utilised?
A Business Loan of a larger size can be used to fund almost every business need, including company renovations, to purchase equipment or inventory, as general working capital and much more. The loan cannot be used for personal use.
Is the Larger Business Loan a secured loan?
Asset security is required to obtain funding above $150,000. This can be done in the form of a charge over assets, and could be registered on the PPSR or the registration of a caveat.
A director’s or personal ensure is a commitment to pay back a loan that is general in nature, rather than stipulating the security for a particular asset. The person who is signing the ensure is personally responsible if the business lender is not able to make the repayment.
The Personal Property Securities Register (PPSR) is an online, central register operated by the New Zealand Government. It lists security interests that are that are registered for personal property (including goods or assets). The PPSR grants prioritisation over property that is personal to be assigned according to the date the security interest has been registered.
The caveat can be described as a formal document filed to provide an official notice of a claim to property.
What is a pre-approval without Credit Check?
If you’re requesting larger company loans that exceeds $250K it is possible to offer an initial pre-approval to make the process. We may be able to make this decision without a credit check, and within 6 hours of your initial application. The pre-approval process is based on an initial evaluation that involves you answering some financial health checks. It is in no way an offer, nor is it a guarantee of finance. Unconditional approval is subject to a full credit assessment and any offer you are offered could be subject to different terms.
Application process
Are I eligible for funding?
You are eligible to apply for a company loan if you:
- are a New Zealand Citizen (or Permanent Resident)
- are over the age of 18 and own a New Zealand company (with a valid NZBN/IRD)
- can demonstrate at least 6 months worth of trade (for the unsecured loan $5K – $100K) or three years of trade (for the Larger Business Loan $100K - $500K)
How do I apply?
The application process is simple and simple. Complete the online form in few minutes and a dedicated company credit specialist will be in touch to assist you.
To apply for up $100,000 you’ll require proof of identity (valid Driver’s Licence), a valid NZBN/IRD and at least six months worth of bank statements.
In addition, for larger loan sizes, you’ll need:
$100K to $250K: Details of application, including credit consent, 6 – 12 months of bank statements, IRD statement (if credit is over $150K).
$250K – $500K: Details for application including credit consent, 12 months bank statement, an IRD statements and the last two years’ finalised financial statements, as well as interim financial statements for the current year such as age-related payables and aged Receivables Summary.
How quickly will I receive an answer?
For an unsecured loan ($5K to $100K) we typically offer an answer in just one hour if you apply at standard business times and allow us to use the advanced bank verification system link to instantly verify your bank’s information online. If you decide to upload copies of your bank statement, we’ll offer an answer within just an business day.
For Larger Business Loans ($100K up to $500,000) we may be capable of offer the conditional pre-approval in about 6 hours. Once you have signed the pre-approval, the turnaround time is approximately 2-3 days to receive final approval, however this may be quicker depending on the specifics of each application. Certain offers have been approved within less than 24 hours.
The fastest way is to make sure you apply during standard business hours and allow us to use our modern bank verification to verify your bank information online. If you opt to send us copies of your bank statements it takes a bit longer.
What is the time frame to receive the money?
For the Small Business Loan ($5K or more) we typically provide an answer in just one hour – as long as you submit your request within standard business times and permit us to use the advanced bank verification system link to immediately verify your bank account information online. If you decide to send us copies of your bank statements, we are able to provide an answer in as little as an business day.
For Larger Business Loans ($100K or more) we may be in a position to provide you with a conditional pre-approval in around six hours. After you’ve signed the pre-approval, turnaround times are about 2-3 days for final approval. However, this can be faster depending upon the circumstances for each application. Certain deals have been approved in just 24 hours.
The fastest way would be to ensure you apply during standard business hours. You can also allow us to use the advanced bank verification system to instantly verify your bank information online. If you decide to upload the copies of bank statement, it may take a bit longer.
How much can I borrow?
We offer loans ranging from $5,000 to $500,000. When you make an application for a certain amount, we consider a variety of elements to determine how much we can lend you well-being of the company and the extent of repayments your business can support. The total amount of your loan will depend on the specific circumstances that are unique to your business.
When you make an application for a specific amount we look at a range of factors to assess how much we can lend you such as health for your business and the extent of repayments your company can afford. The amount you receive from your loan will depend on the particular circumstances that are unique to your company.
Fees & repayments
How much do you charge for the cost of a company loan?
If you decide to apply for the business loans, we will assess the risk profile the business and provide an individualised offer that includes the amount of loan, the term and interest rates. This business loan is an upfront cost loan and you’ll know the exact amount payable including any costs, fees, or interest rates.
What is the factor that determines the price I pay?
Business loan interest rates differ based on various factors like the amount of money borrowed, what company assets the money are used to purchase, the industry the business is operating in, how long the business is in operation as well as whether the company has sufficient cash flow to cover the loan, and overall health or financial standing of the business.
What are the fees?
There aren’t any hidden costs with our company loans, and you’ll know exactly how much you’ll need to pay, and at what time, from day one. There’s no compounding interest, and the loan comes with no additional fees (as long as you make your payments in time).
We do not charge an Application Fee. You are able to apply for a loan with no upfront cost or the obligation to take action.
The Origination Fee is the cost associated with setting up and managing the loan. You are only charged this fee if you proceed with the loan. Our Origination Fee is 2.5% of the amount of loan.
Can I pay out the loan earlier?
You can decide to repay the entire amount of the loan at any point in time.
If you do decide to take this route, please talk to one of our helpful company loans experts. They’ll provide you with details on repayment along with an early payout estimate. This is calculated as the sum of the remaining principal amount plus any accrued interest as of the time of the early payout in addition to 1.5% of the remaining principal plus any outstanding fees.
What is the process for repayments?
To help you avoid missing repayments and to fit in your cash flow schedule, we offer repayments either daily or weekly. They are automatically deducted from your nominated business account.
Security & privacy
Will my data be secure?
Security of your data, and being upfront about the ways we gather information, use it, and exchange it, as well as secure your information, is of paramount importance and is an essential part 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 protect your personal, sensitive financial information and our funders are ISO 27001 certified for our commitment to the security of our customers as well as their privacy. We use an advanced bank verification system to immediately verify the bank account details online to provide an immediate response.
About business loans
How do you define asset-based lending (a secured loan)?
The term "asset-based" refers to borrowing where an company owner uses the assets they have to get the funds for a loan. The asset may be a personal asset like the family home, or an company asset such as a vehicle or piece or equipment.
The majority of lending institutions, not just the largest banks, are inclined to secure loans against assets. If you have trouble paying back the loan, the asset could be offered for sale by the lender. In essence, it’s an opportunity to secure additional financing taking advantage of the value of what you already own.
Are I require security for an company loan?
For loans of up to $150K, the requirement for asset security is not required in advance to gain access to the funds However, we do require an individual guarantee. As long as you follow the loan terms (as stipulated in the loan contract), asset security is not needed. If you take out loans in excess of $150K generally, there is the option of a personal ensure and security in the form of the charge of assets.