FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
Details of The Holland Park Small Business Loans
Let me know how you are able to avail the Holland Park Small Business Loans
Holland Park unsecured loans offers amounts of between $5,000 and $100,000 with terms between 3 and 24 months. They also offer cash flow friendly repayments which can be made daily or weekly.
What is what makes the Unsecured Loan different from the traditional company loan?
The application to get the Small Business Loan in under 10 minutes on the internet or on the phone. You’ll receive an immediate response, and the funds could be available in just 24 hours. Traditional company loans refer to an annual rate of interest as well as other fees and charges. This business loan is an upfront priced loan which means you know in advance the amount you will have to pay, including the interest, fees and charges. This is then broken down into either weekly or daily payment amount.
What can be the Small Business Loan be used for?
It is a Small Business Loan can be used for almost any business reason, such as cash flow management, business renovations, marketing to purchase inventory or new equipment, or as general working capital, and much more. The loan is not available for personal reasons.
About larger Holland Park Business Loans
What is the Larger Holland Park Business Loan?
The Larger Business Loan is a larger loan size to support business expansion opportunities. Loans range between $100,000 and $500,000 with a fixed-term for up to 36 months. Repayments are weekly or fortnightly in order to accommodate your situation.
How’s the Origination Fee calculated?
The Larger Business Loan has an Origination Fee, determined at 2.5 percentage of the amount of the loan.
Do I qualify for the Larger Business Loan?
In order to be eligible for a loan that is this large, your business needs to have been operating for a minimum of 3 years with an annual turnover of $700,000. You must 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 of proving at least 12 months of trading.
How can the funds be utilised?
A Larger Business Loan can be used to fund almost every business use, including business remodeling, buying new equipment or inventory, as general working capital and much more. The loan cannot be used for personal reasons.
Is the Larger Business Loan one that is secured?
Asset security is needed to obtain funding above $150,000. This is in the form of a charge on assets and can include the registration of this with the PPSR or filing a caveat.
A director’s or personal ensure is a commitment to pay off a credit line that is general in nature rather than stating the security for a particular asset. The person who is signing the guarantee is personally liable in the event that the company lender is not able to pay back 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 registered in respect of personal property (including items or assets). The PPSR allows the priority of personal property granted depending on the date that a registration of a security interest.
A caveat is a legal document that is filed to offer notice of a legal claim to a property.
What is a pre-approval without Credit Check?
When you’re applying for larger company loans that is greater than $250,000, we may offer a preliminary pre-approval to help make the process. It is possible to make this decision without credit checks and within 6 hours of your initial application. The pre-approval process is based on an initial evaluation that involves you answering a few financial health questions. It is not an offer or guarantee of credit. A conditional approval is subject an exhaustive credit evaluation, and any offer that you might receive could be based on different conditions.
Application process
Can I be eligible for funding?
You may be eligible for an company loan if you;
- are a New Zealand Citizen (or Permanent Resident)
- are over the age of 18 and own a New Zealand business (with a valid NZBN/IRD)
- you must prove at least 6 months of trading (for a unsecured loan $5K – $100K) or 3 years of trading (for the Larger Business Loan $100K or $500K)
How do I apply?
The application process is fast and simple. Just complete the online application in few minutes and an experienced company lending specialist will be in touch to guide you.
For a loan of up to $100,000, you’ll require proof of identity (valid Driver’s License) and a valid NZBN/IRD and at least 6 months’ worth of bank statements.
In addition, for larger loan sizes, you’ll need:
$100K-$250K: Information about the application including credit consent, 6-12 months of bank statements, IRD statement (if credit is over $150K).
$250K – $500K: Application details including credit consent as well as 12 months of bank records, IRD statements and the last two years’ finalised financial statements, and interim financials from the current financial year as well as Aged Payables and Receivables Summary.
How soon will I hear a decision?
For an unsecured loan ($5K up to $100,000) we usually provide an answer within an hour – as long as you apply at standard business timings 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 are able to offer an answer in just 1 company day.
For the Larger Business Loan ($100K and up) we might be capable of provide the conditional pre-approval within 6 hours. Once you’ve signed the pre-approval, the turnaround time is approximately 2-3 days to receive final approval, however this can be quicker based on the specifics of each application. Some offers have been approved in just 24 hours.
The quickest way to apply for you to apply is make sure you apply during normal business hours, and permit us to use the advance bank verification link to verify your bank account information online. If you opt to upload the copies of bank statement, it can take a bit longer.
How quickly will I receive the funds?
For the Small Business Loan ($5K or more) we typically offer an answer within an hour – provided you make your application within standard business times and let us utilise the advanced bank verification system to instantly verify your bank information online. If you want to submit copies of your bank statement, we’ll offer a decision in as little as 1 business day.
If you are applying for Larger Business Loans ($100K or more) we might be in a position to provide the conditional pre-approval within 6 hours. After you’ve signed the pre-approval, the turnaround time is around 2-3 days for final approval. However, it could be faster based on the circumstances of each application. Certain deals have been approved within 24 hours.
The fastest method for you to apply is ensure you apply during normal business hours, and permit us to use the modern bank verification to verify your bank information online. If you decide to send us documents from your account statements it will take a little longer.
What is the maximum amount I can borrow?
We provide loans ranging from $5,000 to $500,000. When you submit an application for a specific amount we look at a variety of elements for determining what is the well-being that is your business and the amount of repayments that your company can support. The total amount of the loan will be determined by the specific circumstances for your business.
When you submit an application for a set amount, we take into consideration a variety of elements to determine the health that is your business and the level of the repayments your business will be able to support. The total amount of your loan will depend on the particulars for your business.
Fees & repayments
How do you charge for the cost of a business loan?
When you request the company financing, we will assess the risk profile that you have for your company and offer an individualised offer that includes the amount of loan, the term and the interest rates. It is a business loan is an upfront-priced loan which means you be aware of the total amount due, which includes any costs, fees, or interest rates.
What is the basis for the rate I am charged?
Business loan interest rates depend on several factors like the amount of money of money borrowed, the business assets the money will be used for in addition to the industry that the business operates in, how long the company has been operating, in the event that the business has enough cash flow to support the loan, and general well-being or creditworthiness of the business.
What are the cost?
There are no hidden fees for our company loans. You’ll know precisely how much you need to pay, and at what time, from day one. There’s not any compounding interest and no additional fees (as as you make your payments punctually).
We don’t charge an application fee. You are able to request a credit loan with absolutely no upfront cost and no obligation to proceed.
The Origination Fee covers the costs associated with setting up and managing the loan. This is only a fee if you decide to take the loan. The Origination Fee for us is 2.5 percent of the amount of loan.
Can I repay the loan in advance?
You can repay all of your loan at any point in time.
If you decide to do this please call our helpful company loans professionals. We will provide you with repayment details 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, plus 1.5% of the remaining principal as well as any outstanding fees.
What is the process for repayments?
To ensure that you don’t miss due dates and also to be in line your cash flow cycle we provide repayments either weekly or daily. These are automatically deducted from your designated company account.
Security & privacy
Will my information be protected?
Making sure that your information is secure, and being clear about the ways we gather data, process, exchange and secure your information, is crucial and an integral part of our relationship you.
Is it safe to link my bank account to the platform?
Yes. We utilise industry-recognised encryption standards to secure your personal, sensitive and financial data and our funders are ISO 27001 certified for our dedication to customer security and privacy. We utilise a sophisticated bank verification system to immediately verify your bank account information online, allowing us to provide rapid response.
About business loans
What’s an asset-based borrow (a secured loan)?
An asset-based loan is when the company owner uses an asset that they own to obtain the funds for a loan. The asset could be an individual property, such as the family home or it could be a company asset such as a truck as well as a piece of machine.
The majority of the lenders not just the largest banks, are inclined to make loans secured by an asset. If you are having difficulty paying back the loan then your assets could be taken over by the lender. In essence, it’s a way of securing new financing making use of the value of what you already have.
Do I need security for an business loan?
Up to $150K in loans no asset security is required prior to the loan’s access, however we require a personal guarantee. require a personal guarantee. As long as you follow the terms of your loan (as stipulated in your loan contract) Asset security will never be required. For loans of over $150K generally, there is an individual ensure and security is provided in the form of charges on assets.