FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
Details of The Sailsbury Small Business Loans
Tell me what you think of the Sailsbury Small Business Loans
Sailsbury unsecured loans provides amounts of between $5,000 and $100,000, with terms ranging from 3 and 24 month and cash flow-friendly repayments that are either daily or weekly.
How is this Unsecured Loan different from an ordinary company loan?
You can apply for the Small Business Loan in under 10 minutes via the internet or on the phone. You’ll receive a same day response and have the funds on your account within 24 hours. Traditional company loans reference an interest rate per annum together with additional fees and charges. We offer a company loan is a loan that is priced upfront which means you know ahead of time the total amount to be paid, including any fees, interest or charges. This is then divided into weekly or daily repayment figure.
What can be the Small Business Loan be used for?
The Small Business Loan can be used for nearly any business purpose including control of cash flow business remodeling, marketing to purchase inventory or new equipment, to fund general working capital, and much more. The loan cannot be used for personal reasons.
About the Larger Sailsbury Business Loans
What is the Larger Sailsbury Business Loan?
The Larger Business Loan is a larger size loan to aid in company expansion opportunities. Loans range from $100,000 to $500,000 for a fixed period of for up to 36 months. Repayments are weekly or fortnightly to work with the flow of cash.
How’s the Origination Fee determined?
It is important to note that the Larger Business Loan has an Origination Fee which is calculated at 2.5 percentage of the amount of the loan.
Am I eligible for the Larger Business Loan?
In order to be eligible for a loan in this amount the business needs to be operating for a minimum of 3 years, and have an annual income of $700,000. Your company must belong to a New Zealand Citizen (or Permanent Resident) over 18 years or have a New Zealand business (with a valid NZBN/IRD) and be able of proving at minimum 12 months of business.
What can I use the funding for?
A larger business loan is a great option for almost any business use, including company remodeling, buying equipment or inventory or as general working capital, and much more. The loan cannot be used for personal use.
Is the Larger Business Loan a secured loan?
Asset security is required for funding of more than $150,000. It’s by way of charge over assets, which could also include the registration of this through the PPSR or making a caveat.
A director’s or personal ensure is a commitment to repay a loan which is generally based rather than stipulating security over a particular asset. The person who signs the guarantee is personally responsible if the company the borrower fails to pay back the debt.
The Personal Property Securities Register (PPSR) is an online, central register that is operated by the New Zealand Government. It lists security interests that are that are registered for personal property (including objects or assets). The PPSR permits priority over personal property to be granted according to the date the registration of a security interest.
Caveats are legal form of document to offer the legal claim on a property.
What exactly is a preapproval without Credit Check?
When you’re applying for larger business loans of $250,000 or more we may be able to provide an initial pre-approval to make the process. We may be able to make this decision without credit checks and within 6 hours of your initial application. The pre-approval process is based on an initial assessment that includes the answer to a series of financial health questions. This is not an offer of credit or guarantee of financing. Unconditional approval is subject to an assessment of your creditworthiness and any offer that you are offered could be based on different terms.
Application process
Can I be eligible for funding?
You may be eligible for a company loan if you;
- are a New Zealand Citizen (or Permanent Resident)
- are at least 18 years old, own a New Zealand company (with a valid NZBN/IRD)
- you must prove at least 6 months worth of trade (for you to qualify for unsecured loan $5K – $100K) or 3 years of trading (for the Larger Business Loan $100K up to $500K)
How do I apply?
The application process is fast and easy. Just fill out the online application within a few minutes and a dedicated company credit specialist will call you to guide you through the process.
To apply for up $100,000 you’ll need identification details (valid Driver’s Licence), a valid NZBN/IRD and at least 6 months of bank statements.
In addition, for larger loan sizes, you’ll also need:
$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: Details for application including credit consent as well as 12 months bank statement, an IRD statement Last 2 years’ finalised financial statements, as well as interim financials from the current financial year including Aged Payables, Aged Receivables reports.
How soon will I hear a decision?
For an unsecured loan ($5K up to $100,000) we can often provide an answer within one hour if you apply within standard company times and allow us to use the advanced bank verification system to instantly verify your bank information online. If you choose to upload copies of your banking statements , we’ll be able to offer the decision within 1 business day.
For the Larger Business Loan ($100K or more) we could be likely to provide you with a conditional pre-approval in about 6 hours. Once you’ve signed the pre-approval, turnaround times are around 2-3 days for final approval, however this could be shorter based upon the circumstances for each application. Some offers have been approved in less than 24 hours.
The fastest way is to make sure you apply during normal company hours. You can also let us use the advance bank verification link to instantly confirm your bank details online. If you choose to send us duplicates of your banking statement, it will take a little longer.
How fast will I get the cash?
For the Small Business Loan ($5K or more) We can usually offer an answer within one hour if you submit your request at standard business timings and you allow us to utilise the advanced bank verification system link to instantly verify your bank information online. If you decide to upload copies of your bank statements we can offer the decision within one business day.
If you are applying for Larger Business Loans ($100K or more) We may be able to provide you with pre-approval conditional to your application within six hours. After you’ve signed the pre-approval, the turnaround time is about 2-3 days for final approval, however this can be faster depending on the circumstances of each application. Certain transactions have received approval within just 24 hours.
The fastest method for you to apply is make sure you apply during normal business hours, and permit us to use the sophisticated bank verification to instantly verify your bank information online. If you decide to upload copies of your bank statements, it will take a little longer.
How much can I borrow?
We offer the loan amount between $5,000 and $500,000. When you make an application for a certain amount, we consider a variety of variables in order to assess what is the health that is your company and the extent of the repayments your company can support. The amount you receive from the loan will be determined by the specific circumstances that are unique to your company.
If you apply for a particular amount, we look at a range of variables to assess your health for your business and the level of payments your company can afford. The total amount of the loan will be determined by the specifics that are unique to your business.
Fees & repayments
What is the cost for a business loan?
If you decide to make an application for our company loans, we’ll assess the risk assessment the company and offer you with a customised offer including the loan amount, the terms and interest rates. It is a company loan is an upfront-priced loan and you’ll know in advance the total amount due, which includes any charges or interest.
What determines the rate that I pay?
The interest rates on business loans rates differ based on various factors like the amount of money that is borrowed, what company assets the money will be used for and the sector the business operates in, the long the company is in operation and what percentage of the business has enough cash flow to support the loan, as well as the general well-being and creditworthiness of the company.
What are the costs?
There are no hidden costs for our business loans. You’ll know precisely how much you need to pay and when, starting from the first day. There’s no compounding interest and the loan comes with no additional fees (as long as you are able to make your payments in time).
We do not charge an application fee. You are able to make an application for loans with no cost upfront or commitment to apply.
The Origination Fee is the cost associated with the setting up and management of the loan. You are only charged this fee if you decide to take the loan. Our Origination Fee is 2.5 percent of the amount of loan.
Do I have the option of paying off the loan earlier?
You can repay all of your loan early at any time.
If you do decide to do this please contact our helpful company loans specialists. They’ll offer you with details for repayment along with an early payout estimate. It will be calculated using the sum of the principal balance and accrued interest to the date of early payout in addition to 1.5% of the principal amount remaining plus any outstanding fees.
What are the repayment methods?
To make sure that you don’t miss payment dates and to align your cash flow cycle we offer repayments that are either daily or weekly. They are automatically deducted from your company account.
Security & privacy
Will my information be protected?
Security of your data, and being clear about the ways we gather data, process, exchange and protect 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 techniques to protect your sensitive, personal and financial data and our funders are ISO 27001 qualified for our dedication to customer security and privacy. We utilise a sophisticated bank verification system that allows you to immediately confirm your bank account information online so we can offer a fast response.
About business loans
What exactly is an asset-based loan (a secured loan)?
The term "asset-based" refers to borrowing where a company owner borrows from assets they own to obtain the funding. The asset can be an individual property, such as the family home, or a company asset like a truck or piece or equipment.
The vast majority of lenders, not just the banks with the biggest size, prefer to guarantee loans against an asset. If you’re struggling to pay back the loan, your asset may be sold by the lender. In essence it’s a way of securing new funding taking advantage of the value of what you already have.
Are I require security for a business loan?
For loans up to $150K there is no requirement for asset security in advance to gain access to the funds but we require a personal guarantee. require the personal guarantee. In the event that you fulfill your loan commitments (as detailed in the loan contract) the security of assets will never be required. For loans of over $150,000 generally, you are able to get an individual guarantee and security in the form of an asset charge.