FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
About The Glandore Small Business Loans
Let me know more about Glandore Small Business Loans
Glandore unsecured loans offers amounts of between $5,000 and $100,000. Terms range from 3 and 24 months, cash flow-friendly repayments, which are either daily or weekly.
How is this Unsecured Loan different from an ordinary business loan?
The application to the Small Business Loan in under 10 minutes online or on the phone. You’ll receive an instant response and funds may be in your account within 24 hours. Traditional business loans refer to an annual rate of interest as well as other fees and charges. The business loan is a cash-based loan which means you be aware in advance of the amount you will have to pay, including any fees, interest or charges. This is then broken down into either weekly or daily payment amount.
What can you use the Small Business Loan be used for?
It is a Small Business Loan can be used to fulfill almost every business reason, such as the management of cash flow, business improvements, advertising to purchase inventory or new equipment, for general working capital, and much more. The loan cannot be used for personal reasons.
Concerning Larger Glandore Business Loans
What is the Larger Glandore Business Loan?
The Larger Business Loan is a larger loan size to support company growth opportunities. Loans are between $100,000 and $500,000 with a term fixed for up to 36 months. The repayments are made weekly or fortnightly, depending on you cashflow.
How is the Origination Fee determined?
It is crucial to note that the Larger Business Loan has an Origination Fee that is calculated at 2.5 percent of the loan amount.
Am I eligible for the Larger Business Loan?
To be eligible for a credit in this amount, your business needs to be operating for at least three 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 as well as own a New Zealand business (with a valid NZBN/IRD) and be able to prove at the least 12 months of operating.
What can I use the funds for?
A large company loan can be used to fund almost every company purpose including company improvements, purchasing new equipment or inventory or as general working capital and much more. The loan cannot be used for personal reasons.
Is the Larger Business Loan a secured loan?
Asset security is needed for funding of more than $150,000. It’s by taking a charge on assets, which could also be registered on the PPSR or the registration of a caveat.
A personal or director’s guarantee is a promise to pay back a loan that is general in nature rather than stating the security of a specific asset. The person signing the ensure is personally responsible if the company the borrower fails to re-pay the debt.
The Personal Property Securities Register (PPSR) is an online central register that is operated by the New Zealand Government. It reflects security interests that are registered for personal property (including the assets or goods). The PPSR grants the priority of personal property assigned depending on the date that a registration of a security interest.
An affidavit is an official form of document to provide the legal claim against a property.
What is a pre-approval that does not require Credit Check?
If you’re requesting a Larger Business Loan of $250K or more it is possible to offer an initial pre-approval that will help smooth out the process. We could be able to do this without a credit verification and within 6 hours of your initial application. This pre-approval is made based on an initial evaluation that involves answering a couple of financial health checks. It is in no way an offer, nor is it a guarantee of finance. A conditional approval is subject an assessment of your creditworthiness and any offer you are offered could be based on different terms.
The application process
Are I eligible for funding?
You can apply for a business 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)
- can demonstrate at least 6 months’ worth of transactions (for for the unsecured loan $5K – $100K) or three years of trade (for the Larger Business Loan $100K up to $500K)
How do I apply?
The application process is simple and simple. Simply complete the online form in few minutes and a dedicated company lending specialist will contact you to assist you.
For a loan of up to $100,000 you’ll require proof of identity (valid Driver’s Licence) along with an NZBN/IRD that is valid and at least six months of bank statements.
For larger loan sizes, you’ll also require:
$100K – $250K: Information about the application including credit consent, 6 – 12 months of bank statements, IRD statement (if the loan is greater than $150K).
$250K-$500K: Details for application including credit consent, 12 month bank accounts, the IRD statements as well as the two most recent years’ financial statements, and interim financial statements for the current year as well as Aged Payables and Receivables summary.
How fast will I get an answer?
For an unsecured loan ($5K to $100K) We can usually offer an answer within an hour if you make your application within standard company time and permit us to use the advanced bank verification system to instantly verify your bank’s information online. If you choose to submit copies of your bank statements , we’ll be able to offer the decision within just 1 company day.
For the Larger Business Loan ($100K and up) we may be in a position to provide you with pre-approval conditional to your application within 6 hours. Once you’ve signed the pre-approval document, you will need to wait around 2-3 days for final approval. However, this could be shorter based on the specifics of each application. Some transactions have received approval within the space of 24 hours.
The most efficient method would be to make sure you apply during normal business hours, and allow us to use the modern bank verification to confirm your bank details online. If you opt to send us the copies of bank statements it takes a bit longer.
How quickly will I receive the cash?
For the Small Business Loan ($5K or more) we can often provide an answer within an hour if you make your application at standard business hours and permit us to make use of the advanced bank verification system link to instantly verify your bank information online. If you opt to upload copies of your bank statements we can offer an answer in as little as one business day.
For Larger Business Loans ($100K and up) We may be able to provide you with conditional pre-approval within about 6 hours. Once you have signed the pre-approval, the turnaround time is around 2-3 days for final approval. However, this may be quicker depending on the circumstances of each application. Some offers have been approved in the space of 24 hours.
The most efficient method can be make sure you apply during standard business hours. Also, let us use the advance bank verification to instantly verify your bank account information online. If you send us copies of your bank accounts, it takes a bit longer.
How much can I borrow?
We provide loans ranging from $5,000 and $500,000. If you apply for a particular amount, we look at a variety of aspects to determine what is the well-being of your business and the level of the repayments your business can afford. The total amount of your loan will depend on the specific circumstances the company.
If you apply for a set amount, we take into consideration a variety of elements to determine the health of the company and the level of repayments your business will be able to support. The total amount of the loan will be determined by the particular circumstances for your company.
Fees & repayments
How much should you charge for an company loan?
If you decide to apply for one of our business loan, we’ll assess the risk profile of your business and offer you with a customised offer, including the amount of the loan, the duration and interest rates. A company loan is an upfront priced loan which means you be aware of the total amount due, which includes any interest rates, fees or charges.
What determines the rate that I’m charged?
Interest rates for company loans rates differ based on various factors including the amount borrowed, the business assets the money are used to purchase in addition to the industry that the company is in, how long the company is in operation as well as in the event that the company has enough cash flow to fund the loan, and also the general health as well as creditworthiness business.
What are the cost?
There aren’t any hidden costs for our business loans, and you’ll know exactly how much you be required to pay, and when, right from the first day. There’s no compounding interest, and there are no additional charges (as long as you are able to make your payments punctually).
We don’t charge an Application Fee. You are able to get a cash loan no cost upfront or commitment to apply.
The Origination Fee covers the expenses involved with establishing and managing the loan. It is only charged for this fee if you choose to proceed with the loan. Our Origination Fee is 2.5 percentage of the amount of the loan.
Do I have the option of paying off the loan earlier?
You can repay all of your loan in full at any time.
If you do decide to take this route, please talk to one of our helpful company loan specialists. They’ll offer you with details on repayment along with an early payout estimate. This will be calculated as the sum of the remaining principal amount and any accrued interest at the date of early payout in addition to 1.5 percent of the principal balance and any fees that remain unpaid.
How do repayments work?
To make sure that you don’t miss payment dates and to align with your cash flow routine, we offer repayments that are either weekly or daily. They will be automatically deducted from the nominated business account.
Security & privacy
Will my data be secure?
Security of your data, and being transparent about the ways we gather data, process, exchange and protect your information, is of paramount importance and is a crucial aspect of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We use industry recognised encryption standards to secure your personal, sensitive financial and other data. Our funders are ISO 27001 qualified for our dedication to protecting the security of clients and privacy. We use an advanced bank verification system to instantly verify the bank account details online so we can offer a fast response.
About business loans
What’s an asset-based borrow (a secured loan)?
An asset-based loan is when a company owner makes use of the assets they have to get the loan. The asset could be an individual asset, such as the family home, or a company asset like a truck or piece of equipment.
The majority of banks, not just the big banks, tend to make loans secured by assets. If you’re struggling to pay back the loan, then your assets could be taken over by the lender. In essence, it is a way of securing additional financing using the worth of the asset you already have.
Should I require security to get an company loan?
For loans that exceed $150,000, no asset security is required prior to the loan’s access, however we do require an individual guarantee. As long as you follow your loan commitments (as stipulated in your loan contract) the security of assets will never be needed. For loans of over $150K generally there is a personal guarantee and security in the form the charge of assets.