FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
Details of The Everard Park Small Business Loans
Tell me about the Everard Park Small Business Loans
Everard Park unsecured loans offers amounts of between $5,000 and $100,000. Terms range from 3 and 24 months and cash flow-friendly repayments that are either daily or weekly.
What makes the Unsecured Loan different from the traditional business loan?
Apply to your Small Business Loan in under 10 minutes online or by phone. You will receive an instant response and have the funds in your account within 24 hours. Traditional business loans have an interest rate per annum along with other charges and fees. Our company loan is a loan that is priced upfront and you’ll be aware of the total amount to be paid, including any interest, fees or charges. Then, it is broken down into a daily or weekly repayment figure.
What can be the Small Business Loan be used for?
It is a Small Business Loan can be used for almost any company purpose including control of cash flow business renovations, marketing to purchase inventory or new equipment, or as general working capital and so much more. The loan is not available for personal reasons.
About larger Everard Park Business Loans
What is the Larger Everard Park Business Loan?
The Larger Business Loan is a larger amount of loan to help company expansion opportunities. Loans range from $100,000 to $500,000 with a fixed-term up to 36 months. Repayments are scheduled weekly or fortnightly to work with your cash flow.
How is the Origination Fee determined?
The Larger Business Loan has an Origination Fee that is calculated at 2.5 percentage of the loan amount.
Do I qualify for the Larger Business Loan?
To be eligible for a loan that is this large, your business needs to be in operation for at least 3 years and have an annual turnover of $700,000. It is necessary to be a New Zealand Citizen (or Permanent Resident) over 18 years or have a New Zealand business (with a valid NZBN/IRD) and be able demonstrate at least 12 months of trading.
What can the funding be used for?
A Larger Business Loan can be used for almost every company purpose including company improvements, purchasing inventory or new equipment as well as for general working capital and so much more. The loan cannot be used for personal reasons.
Is the Larger Business Loan a secured loan?
Asset security is needed to obtain funding above $150,000. This can be done by taking a charge over assets, which could also include registering this on the PPSR or filing a caveat.
A personal or director’s ensure is a promise to repay a loan which is general in nature, rather than stipulating security over an asset. The person signing the guarantee is personally responsible if the business borrower 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 contains security interests that are registered for personal property (including items or assets). The PPSR grants the priority of personal property assigned according to the date a security interest was registered.
Caveats are legal document that is filed to offer notice of a legal claim against a property.
What is a pre-approval without Credit Check?
If you’re applying for larger company loans of $250,000 or more we may be able to provide a preliminary pre-approval to help make the process. It is possible to do this without a credit check and within six hours of your initial application. The pre-approval process is based on an initial assessment that includes you answering a few financial well-being checks. It is neither an offer nor a guarantee of financing. Acceptance without condition is subject to an exhaustive credit evaluation, and any offer you receive could have different terms.
The application process
Can I be eligible for funding?
You may apply for an company loan if you:
- are a New Zealand Citizen (or Permanent Resident)
- are over the age of 18 and have a New Zealand business (with a valid NZBN/IRD)
- can demonstrate at least 6 months of business (for for the unsecured loan $5K – $100K) or three years of trade (for the Larger Business Loan $100K or $500K)
How do I apply?
The application process is simple and easy. Complete the online form in few minutes and a dedicated business lending specialist will contact you to guide you through the process.
For a loan of up to $100,000 you’ll need proof of identity (valid Driver’s License) along with an active NZBN/IRD, and at least six months of bank statements.
If you’re looking for loans with larger sizes, you’ll also require:
$100K-$250K: Information about the application including credit consent, 6-12 months of IRD statements, bank statements (if the loan is greater than $150K).
$250K-$500K: Information on the application including credit consent, 12 months of bank records, IRD statement, last 2 years finalised financial statements, and interim current financial year financials, Aged Payables and Aged Receivables summaries.
How soon will I hear a decision?
For an unsecured loan ($5K up to $100,000) we typically offer an answer within an hour, provided you make your application at quality business hours and allow us to use 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 provide the decision within the span of one business day.
For Larger Business Loans ($100K to $500K) we may be able to provide you with a conditional pre-approval in around 6 hours. After you’ve signed your pre-approval document, you will need to wait around 2-3 days for final approval. However, this can be quicker based on the specifics of each application. Some agreements have been approved within the space of 24 hours.
The most efficient method would be to ensure you apply during normal business hours. Also, allow us to use our advanced bank verification system link to verify your bank information online. If you opt to upload copies of your bank statement, it will take a little longer.
How quickly will I receive the cash?
For the Small Business Loan ($5K up to $100,000) we can often offer a response in one hour if you make your application in normal business times and allow us to utilise the advanced bank verification system to instantly verify your bank details online. If you want to send us copies of your bank statements we can provide the decision within one business day.
If you are applying for Larger Business Loans ($100K up to $500,000) we could be likely to offer you with conditional pre-approval in about 6 hours. After you’ve signed the pre-approval document, you will require to wait around 2-3 days for final approval. However, this could be shorter based on the particular circumstances of each application. Some transactions have received approval in 24 hours.
The fastest method can be make sure you apply during standard business hours. Also, allow us to use the advanced bank verification system to verify your bank account information online. If you send us the copies of bank accounts, it takes a bit longer.
How much can I borrow?
We offer loans that range from $5,000 to $500,000. When you submit an application for a certain amount we look at a variety of factors in order to assess how much we can lend you well-being for your business and the level of payments your company can support. The amount you receive from your loan will be contingent on the specifics the business.
When you submit an application for a set amount, we consider a variety of variables to determine your well-being for your company and the extent of repayments that your company is able to afford. The total amount of your loan will be contingent on the specific circumstances the business.
Fees & repayments
How much should you charge for a business loan?
If you decide to apply for one of our business loan, we will assess the risk profile the company and provide you with a customised offer, including the loan amount, the terms and interest rates. This company loan is an upfront priced loan so you will know in advance the total amount due, which includes any interest rates, fees or charges.
What is the basis for the rate I will be charged?
The interest rates on business loans rates depend on a variety of factors like the amount of money that is borrowed, what company assets the funds are used to purchase as well as the field the business is operating in, how long the business is in operation, whether the company has sufficient cash flow to support the loan, and also the overall health or financial standing of the business.
What are the cost?
There aren’t any hidden charges for our company loans, and you’ll know exactly how much you’ll be required to pay, and when, right from the very first day. There’s not any compounding interest and no extra fees (as as long as you pay your payments punctually).
We do not charge an Application Fee. You can apply for a loan with without any upfront costs or obligation to proceed.
The Origination Fee includes the expenses associated with establishing and managing the loan. The only way to pay this fee if you decide to take the loan. Our Origination Fee is 2.5 percentage of the amount of the loan.
Can I repay the loan in advance?
You can repay the total amount of your advance loan at any time.
If you choose to do this please talk to one of our helpful company lending professionals. They will offer you with repayment details and an early payout figure. It will be calculated using the total of the principal remaining plus any accrued interest as of the time of early payout in addition to 1.5 percent of the principal balance as well as any outstanding fees.
How do you make repayments work?
To help you avoid missing payments and to work your cash flow cycle we offer repayments that are either daily or weekly. These are automatically withdrawn from your nominated business account.
Security & privacy
Will my information be protected?
Making sure that your information is secure, and being clear about the ways we gather information, use it, and exchange it, as well as secure your information, is of paramount importance and an integral 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 protect your personal, sensitive and financial data and our funders are ISO 27001 certified for our dedication to the security of our clients as well as their security. We employ a highly sophisticated banking verification system to instantly verify your bank account details online to provide an immediate response.
About business loans
What’s an asset-based borrow (a secured loan)?
The term "asset-based" refers to borrowing where a company owner utilises an asset that they own to secure the funds for a loan. The asset can be either a personal asset like the family home or it could be a company asset such as a truck or piece or equipment.
The vast majority of lending institutions, not just the banks with the biggest size, prefer to guarantee loans against an asset. If you are having difficulty paying back the loan, the asset might be transferred to the lender. In essence it is a way of securing new financing by taking advantage of the value of what you already own.
Should I require security to get a 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 require a personal guarantee. require the personal guarantee. As long as you follow the loan terms (as detailed in the loan contract), asset security will never be required. For loans of over $150,000 generally there is the option of a personal guarantee and security in the form of a charge over assets.