FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
Details of The North Tivoli Small Business Loans
Tell me what you think of the North Tivoli Small Business Loans
North Tivoli unsecured loans offers the range of $5,000 to $100,000, with terms ranging from 3 and 24 month and cash flow-friendly repayments that are either daily or weekly.
What is how is the Unsecured Loan different from the traditional company loan?
Apply to get your Small Business Loan in under 10 minutes over the phone. You’ll get an answer within the same day and the money could be in your account in 24 hours. Traditional business loans are based on an annual rate of interest plus other fees and charges. We offer a company loan is a cash-based loan which means you be aware of the total amount to be paid, including any interest, fees or charges. Then, it is divided into weekly or daily payment amount.
What can be the Small Business Loan be used for?
It is a Small Business Loan can be used to fulfill almost any company reason, such as managing cash flows, business remodels and marketing, to purchase inventory or new equipment, as general working capital and so much more. The loan is not available for personal purposes.
About the Larger North Tivoli Business Loans
What is the Larger North Tivoli Business Loan?
The Larger Business Loan is a larger loan size to support business growth opportunities. Loans range from $100,000 to $500,000 with a fixed-term with a maximum of 36 months. Repayments are scheduled weekly or fortnightly depending on you cashflow.
How is the Origination Fee determined?
This Larger Business Loan has an Origination Fee, calculated at 2.5% of the loan amount.
Can I get the Larger Business Loan?
To be eligible for a loan in this amount, your company needs to be operating for at least three years and have an annual turnover of $700,000. Your business must belong to a New Zealand Citizen (or Permanent Resident) over 18 years, own a New Zealand company (with a valid NZBN/IRD) and be able of proving at minimum 12 months of business.
What can I use the funds for?
A larger business loan can be used for almost any business use, including business renovations, purchase of equipment or inventory or as general working capital, and much more. The loan is not available for personal purposes.
Is the Larger Business Loan a secured loan?
Asset security is required for funding of more than $150,000. This is by way of charge on assets, which could also include registering this with the PPSR or filing a caveat.
A personal or director’s ensure is a promise to pay off a credit line that is general in nature rather than defining security over an asset. The person signing the guarantee is personally accountable if the business the borrower fails to make the repayment.
The Personal Property Securities Register (PPSR) is an online, central register that is operated by the New Zealand Government. It contains security interests registered in respect of personal property (including objects or assets). The PPSR permits priority over personal property to be granted depending on the date that a registration of a security interest.
Caveats are legal document lodged to offer notice of a legal claim against a property.
What exactly is a preapproval without Credit Check?
If you’re requesting the Larger Business Loan of more than $250,000 we may be able to provide an initial pre-approval to smooth out the process. We may be able to apply for this without a credit check and within 6 hours of the initial application. This pre-approval is made based on a preliminary assessment which includes you answering some financial well-being checks. It’s in no way an offer, nor is it a guarantee of financing. Unconditional approval is subject to an exhaustive credit evaluation, and any offer you are offered could be based on different terms.
Application process
Can I be eligible for funding?
You may apply for an business loan if you
- are a New Zealand Citizen (or Permanent Resident)
- are at least 18 years old, have a New Zealand business (with a valid NZBN/IRD)
- you must demonstrate at minimum 6 months worth of trade (for the unsecured loan $5K – $100K) or 3 years of trading (for the Larger Business Loan $100K - $500K)
How do I apply?
The application process is fast and simple. Just complete the online application within a couple minutes, and a dedicated business expert in lending will contact you to guide you through the process.
To apply for up $100,000, you’ll need proof of identity (valid Driver’s Licence), an NZBN/IRD that is valid and at least six months of bank statements.
In addition, for larger loan sizes, you’ll need:
$100K – $250K: Application details including credit consent, 6 – 12 months of IRD statements, bank statements (if credit is over $150K).
$250K – $500K: Details of the application, including credit consent as well as 12 months bank statement, an IRD statement as well as the two most recent years’ financial statements, and interim current financial year financials as well as Aged Payables and Receivables summary.
How soon will I hear an answer?
For an unsecured loan ($5K and up) we typically provide a response in one hour, provided you submit your request during 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 choose to upload copies of your bank statements , we are able to provide an answer in just an business day.
If you are applying for a Larger Business Loan ($100K to $500K) we might be capable of provide the conditional pre-approval within six hours. Once you’ve signed the pre-approval, turnaround times are between 2 and 3 days for the final approval. However, this can be quicker based on the circumstances of each application. Certain agreements have been approved within the space of 24 hours.
The most efficient method can be make sure you apply during standard business hours. You can also let us use the advanced bank verification system link to instantly confirm your bank details online. If you opt to send us copies of your bank statements it will take a little longer.
What is the time frame to receive the funds?
For the Small Business Loan ($5K to $100K) we typically offer an answer in just one hour if you make your application at normal business timings 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 will be able to provide an answer in as little as an business day.
For Larger Business Loans ($100K to $500K) we might be in a position to provide the conditional pre-approval in about 6 hours. After you’ve signed the pre-approval form, it will take between 2 and 3 days for the final approval. However, this can be faster depending on the particular circumstances of each application. Certain offers have been approved within less than 24 hours.
The quickest method can be ensure you apply during normal business hours and allow us to use our modern bank verification to instantly check your bank’s information online. If you decide to upload documents from your account statements, it can take a bit longer.
What’s the minimum amount I can borrow?
We provide loans that range 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 health for your company and the level of repayments that your business will be able to support. The total amount of your loan will be contingent on the particular circumstances of your company.
When you apply for a specific amount we look at a range of elements to determine the well-being of your business and the level of the repayments your business can support. The amount you receive from your loan will depend on the specific circumstances the business.
Fees & repayments
How do you charge for a company loan?
If you decide to request our company loan, we’ll assess the risk profile of your company and provide you with a customised offer that includes the amount of the loan, the duration and interest rates. A company loan is a loan that is priced upfront therefore you will be aware of the total amount you will have to pay, including charges or interest.
What is the factor that determines the price I’m charged?
Interest rates for company loans rates differ based on various factors like the amount of money borrowed, the business assets the money are used to purchase and the sector the company is operating in, how long the business has been operating for, whether the company has enough cash flow to fund the loan, as well as the general health and creditworthiness of the business.
What are the cost?
There aren’t any hidden charges with our business loans, and you’ll know precisely how much you’ll need to pay and at what time, from day one. There’s no compounding and no extra fees (as long as you make your payments in time).
We do not charge an application fee. You can apply for a loan no cost upfront or obligation to proceed.
The Origination Fee covers the expenses involved in establishing and managing the loan. You are only charged this fee if you proceed with the loan. The Origination Fee for us is 2.5 percentage of the amount of loan.
Do I have the option of paying off the loan in advance?
You may choose to pay back all of your advance loan at any time.
If you do decide to do this please talk to one of our helpful company loans professionals. The experts will offer you with the details of your 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 payout in addition to 1.5% of the remaining principal plus any outstanding fees.
What are the repayment methods?
To ensure you do not miss due dates and also to be in line with your cash flow standard, we provide repayments either daily or weekly. These are automatically withdrawn from your company account.
Security & privacy
Will my data be protected?
Security of your data, and making it clear the ways we gather information, use it, and exchange it, as well as secure your information, is vital and is a crucial part of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We utilise industry-recognised encryption standards to secure your sensitive, personal as well as financial data. Our funders are ISO 27001 qualified for our commitment to the security of our customers as well as their security. We make use of an advanced bank verification system to immediately verify your bank account details online. This allows us to offer quick responses.
About business loans
What’s an asset-based borrow (a secured loan)?
An asset-based loan is when an company owner utilises an asset that they own to get the loan. The asset may be an asset belonging to the personal, like the family home or a business property like a truck or piece or equipment.
The vast majority of banks, including the largest banks, are inclined to secure loans against an asset. If you’re struggling to pay back the loan, the asset might be taken over by the lender. In essence, it’s the process of securing new financing by taking advantage of the value of what you already have.
Should I require security to secure an company loan?
For loans that exceed $150K, there is no requirement for asset security before you can access the money however, we do require an individual guarantee. So long as you comply with the loan terms (as stated in your loan contract) and you are able to meet your obligations, asset security will never be needed. For loans of over $150,000 generally, there is an individual guarantee and security that is in the form an asset charge.