FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
More about the Belair Small Business Loans
Let me know about the Belair Small Business Loans
Belair unsecured loans offers amounts of between $5,000 and $100,000. Terms range from 3 and 24 months, cash flow friendly repayments that are either daily or weekly.
How is how is the Unsecured Loan different from the traditional business loan?
It is possible to apply to get this Small Business Loan in under 10 minutes on the internet or on the phone. You’ll receive an instant response and the money could be in your account in 24 hours. Traditional company loans reference an interest rate per annum plus other fees and charges. We offer a company loan is a pre-paid loan which means you be aware of the total amount due, which includes any interest, fees or charges. Then, it is divided into weekly or daily amount to be paid back.
What can be the Small Business Loan be used for?
A Small Business Loan can be used to fulfill almost every company purpose including managing cash flows, business remodeling, marketing, to purchase inventory or new equipment, for general working capital and so much more. The loan is not available for personal purposes.
About larger Belair Business Loans
What is the Larger Belair Business Loan?
The Larger Business Loan is a larger size loan to aid in business growth opportunities. Loans range from $100,000 to $500,000 with a term fixed for up to 36 months. Repayments are scheduled weekly or fortnightly to work with your cash flow.
How’s the Origination Fee determined?
The Larger Business Loan has an Origination Fee, which is calculated at 2.5 percentage of the amount of the loan.
Do I qualify 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 with an annual turnover of $700,000. The applicant must also be a New Zealand Citizen (or Permanent Resident) who is over the age of 18 and have a New Zealand business (with a valid NZBN/IRD) and be able demonstrate at the least 12 months of operating.
How can the funds be used for?
A Larger Business Loan is a great option for almost every company need, including business renovations, to purchase equipment or inventory or as general working capital and so much more. The loan is not available for personal reasons.
Is the Larger Business Loan one that requires security?
Asset security is necessary to access funding over $150,000. It is usually in the form of a charge against assets and can include the registration of this through the PPSR or filing as a caveat.
A personal or director’s guarantee is a guarantee to repay a loan which is generally in nature rather than specifying security over an asset. The person signing the ensure is personally responsible if the company borrower is unable to make the repayment.
The Personal Property Securities Register (PPSR) is an online central registry run by the New Zealand Government. It records security interests that have been that are registered for personal property (including items or assets). The PPSR grants priority over personal property to be assigned according to the date the security interest was registered.
The caveat can be described as a formal form of document to offer notice of a legal claim against a property.
What is a pre-approval minus Credit Check?
When you’re applying for the Larger Business Loan of more than $250K it is possible to offer a preliminary pre-approval to help make the process. We could be able to apply for this without a credit verification and within 6 hours of the initial application. This pre-approval is made based on an initial assessment, which involves answering a couple of financial well-being checks. It’s neither an offer nor a guarantee of credit. A conditional approval is subject an assessment of your creditworthiness and any offer that you receive could have different terms.
The application process
Do I qualify for funds?
You are eligible to apply for a company loan if you:
- are a New Zealand Citizen (or Permanent Resident)
- are at least 18 years old, have 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 process for applying is fast and easy. Complete the online form in few minutes and an experienced company expert in lending will be in touch to assist you.
To apply for up $100,000, you’ll require identification details (valid Driver’s License) and a valid NZBN/IRD and at least six months of bank statements.
In addition, for larger loan sizes, you’ll require:
$100K to $250K: Application details including credit approval, 6-12 months of bank statements, IRD statement (if loan above $150K).
$250K-$500K: Details of the application, including credit consent, 12 month bank accounts, the IRD statements, 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 a decision?
For an unsecured loan ($5K and up) we usually offer a response in one hour, provided you make your application in quality company time and permit us to make use of the advanced bank verification system to instantly verify your bank information online. If you choose to upload copies of your banking statements we can provide a decision within the span of one business day.
For the Larger Business Loan ($100K up to $500,000) we could be in a position to provide you with pre-approval conditional to your application within about 6 hours. Once you have signed the pre-approval, turnaround times are about 2-3 days for final approval. However, this may be quicker depending on the circumstances of each application. Certain agreements have been approved in 24 hours.
The quickest method can be make sure you apply during normal company hours and allow us to use our modern bank verification to instantly confirm your bank details online. If you decide to send us the copies of bank statements , it takes a bit longer.
What is the time frame to receive the funds?
For the Small Business Loan ($5K and up) we can often provide a response in one hour if you submit your request during normal business time and allow us to use the advanced bank verification system link to instantly verify your bank information online. If you want to submit copies of your bank statements, we’ll be able to offer an answer within an business day.
If you are applying for Larger Business Loans ($100K up to $500,000) we could be capable of offer the conditional pre-approval in about 6 hours. Once you’ve signed your pre-approval, the turnaround time is around 2-3 days for final approval. However, this can be faster depending on the specifics of each application. Certain offers have been approved in less than 24 hours.
The quickest method for you to apply is ensure you apply during standard business hours. You can also let us use the advance bank verification to instantly verify your bank account information online. If you decide to upload documents from your account statements, it can take a bit longer.
How much can I borrow?
We offer loans that range from $5,000 and $500,000. When you make an application for a specific amount we will consider a number of factors to determine how much we can lend you well-being of your company and the extent of repayments your company is able to afford. The total amount of the loan will be determined by the specifics the company.
When you make an application for a set amount, we will consider a number of variables to determine the well-being of your company as well as the amount of repayments your company is able to afford. The total amount of your loan will be contingent on the particulars the company.
Fees & repayments
What is the cost for a company loan?
When you make an application for one of our business credit, we’ll assess the risk profile for your business and offer you with a tailored offer that includes the amount of loan, the term and interest rates. A company loan is an upfront priced loan which means you know in advance the total amount to be paid, including any costs, fees, or interest rates.
What is the factor that determines the price I am charged?
Interest rates for business loans rates vary due to factors including the amount borrowed, the business assets the funds will be used for as well as the field the business operates in, the long the company has been running as well as what percentage of the company has enough cash flow to pay for the loan, and also the general well-being or financial standing of the company.
What are the fees?
There aren’t any hidden costs with our company loans, and you’ll know precisely how much you be required to pay, and when, starting from the very first day. There’s no compounding and there are no additional charges (as as long as you pay your payments punctually).
We don’t charge an Application Fee. You can apply for a loan with no upfront cost or the obligation to take action.
The Origination Fee covers the costs associated with establishing and managing the loan. You are only charged this fee if you choose to proceed with the loan. The Origination Fee for us is 2.5% of the loan amount.
Do I have the option of paying off the loan early?
You may choose to pay back the total amount of your loan early at any time.
If you choose to take this route, please speak to our friendly company loans specialists. They’ll offer you with details for repayment as well as an early payout amount. This will be calculated as the total of the principal remaining and accrued interest to the time of early payment plus 1.5% of the remaining principal as well as any outstanding fees.
What are the repayment methods?
To make sure you do not miss payments and to work your cash flow cycle we provide repayments either daily or weekly. They will be automatically deducted from your designated company account.
Security & privacy
Will my information be protected?
Security of your data, and making it clear the ways we gather the information we collect, use, share 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 use industry recognised encryption protocols to safeguard your sensitive, personal financial and other data. Our funders are ISO 27001 qualified for our commitment to customer security and security. We utilise a sophisticated banking verification system to instantly verify your bank account information online to provide a fast response.
About business loans
What exactly is an asset-based loan (a secured loan)?
Asset-based borrowing occurs when a company owner utilises an asset they own to secure the funding. The asset may be an individual property, such as the family home or it could be a business asset such as a truck or piece or equipment.
The vast majority of lending institutions, including the banks with the biggest size, prefer to guarantee loans against an asset. If you’re struggling to pay back the loan then the asset might be transferred to the lender. In essence, it is a way of securing new financing by making use of the value of what you already own.
Are I need security to get an company loan?
Up to $150,000 in loans it is not necessary to secure assets in advance to gain access to the funds However, we require a personal guarantee. require the personal guarantee. In the event that you fulfill the loan terms (as specified in the loan contract) and you are able to meet your obligations, asset security will never be needed. For loans of over $150,000 typically, you will need a personal ensure and security is provided in the form of an asset charge.