FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
About The Seventeen Mile Rocks Small Business Loans
Let me know what you think of the Seventeen Mile Rocks Small Business Loans
Seventeen Mile Rocks unsecured loans provides amounts between $5,000 and $100,000 with terms between 3 and 24 months and cash flow-friendly repayments which can be made daily or weekly.
What is how is the Unsecured Loan different from a traditional business loan?
You can apply to the Small Business Loan in under 10 minutes via the internet or by phone. You will receive an immediate response, and the money could be available in just 24 hours. Traditional business loans refer to an annual interest rate plus other fees and charges. The company loan is a cash-based loan therefore you’ll be aware of the total amount to be paid, including any interest, fees or charges. This is then broken down into a daily or weekly amount to be paid back.
What could you use the Small Business Loan be used for?
A Small Business Loan can be used for nearly every company need, such as managing cash flows, company remodels and marketing for purchasing inventory or new equipment, for general working capital, and much more. The loan is not available for personal purposes.
Concerning Larger Seventeen Mile Rocks Business Loans
What is the Larger Seventeen Mile Rocks Business Loan?
The Larger Business Loan is a larger loan size to support company expansion opportunities. Loans are between $100,000 and $500,000 over a fixed term that can last up to 36 months. Repayments are either weekly or fortnightly to work with your cash flow.
How is the Origination Fee calculated?
This Larger Business Loan has an Origination Fee, which is calculated at 2.5 percent of the loan amount.
Am I eligible for the Larger Business Loan?
In order to be eligible for a loan of this size, your company needs to be operating for at least three years and have an annual turnover of $700K. You must be a New Zealand Citizen (or Permanent Resident) at least 18 years old and have a New Zealand business (with a valid NZBN/IRD) and be able to demonstrate at least 12 months of trading.
What can I use the funds for?
A large company loan can be used for almost any business purpose including company remodeling, buying equipment or inventory as well as for general working capital, and much more. The loan cannot be used for personal reasons.
Is the Larger Business Loan one that requires security?
Asset security is required for accessing funds over $150,000. This is as a result of an charge over assets, and could include registration on the PPSR or the registration of a caveat.
A director’s or personal ensure is a guarantee to pay back a loan that is generally based rather than stipulating security over a particular asset. The person signing the guarantee is personally accountable if the company borrower is unable to pay back the debt.
The Personal Property Securities Register (PPSR) is an online, central register run by the New Zealand Government. It contains security interests which are registered with respect to personal property (including items or assets). The PPSR allows prioritisation over property that is personal to be granted according to the date a security interest has been registered.
An affidavit is an official document lodged to offer the legal claim against a property.
What exactly is a preapproval without Credit Check?
When you’re applying for larger company loans that exceeds $250,000 we may be able to provide an initial pre-approval that will help make the process. We may be able to get this done without a credit check and within 6 hours of the initial application. The pre-approval process is based on an initial assessment, which involves you answering a few financial well-being questions. It is in no way an offer, nor is it a guarantee of finance. A conditional approval is subject an extensive credit evaluation and any offer you receive could have different terms.
The application process
Do I have the right to receive funds?
You are eligible to apply for a company loan if you:
- are a New Zealand Citizen (or Permanent Resident)
- are over the age of 18 and own a New Zealand company (with a valid NZBN/IRD)
- must show at least six months of trading (for you to qualify for 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 fast and easy. Just fill out the online application within a couple minutes, and a dedicated company loan specialist will be in touch to guide you.
For a loan of up to $100,000 you’ll require ID details (valid Driver’s License) as well as a valid NZBN/IRD as well as at least six months of bank statements.
If you’re looking for loans with larger sizes, you’ll require:
$100K – $250K: Information about the application including credit consent, 6 – 12 months of IRD statements, bank statements (if you have a loan of more than $150K).
$250K-$500K: Details of the application, including credit consent twelve months of bank statements, IRD statements Last 2 years’ finalised financial statements, as well as interim financial statements for the current year, Aged Payables and Aged Receivables reports.
How quickly will I receive an answer?
For an unsecured loan ($5K and up) We can usually provide a response in one hour if you apply in quality company hours and allow us to use the advanced bank verification system to instantly verify your bank details online. If you choose to submit copies of your bank statements , we will be able to offer an answer in just 1 business day.
If you are applying for a Larger Business Loan ($100K to $500K) we may be likely to provide the conditional pre-approval within 6 hours. After you’ve signed the pre-approval form, it will take between 2 and 3 days for the final approval. However, this may be quicker depending on the circumstances of each application. Certain deals have been approved in the space of 24 hours.
The quickest method for you to apply is make sure you apply during normal business hours. Also, let us use the advance bank verification link to check your bank’s information online. If you decide to upload documents from your account statements , it takes a bit longer.
How fast will I get the money?
For the Small Business Loan ($5K to $100K) We can usually offer a response in one hour – provided you apply during standard business timings and allow us to make use of the advanced bank verification system link to instantly verify your bank information online. If you decide to submit copies of your bank statements, we will be able to offer an answer in as little as an business day.
If you are applying for Larger Business Loans ($100K up to $500,000) we might be in a position to provide you with conditional pre-approval within about 6 hours. Once you’ve signed the pre-approval form, it will take approximately 2-3 days to receive final approval. However, this can be faster depending upon the circumstances for each application. Certain offers have been approved within less than 24 hours.
The fastest way can be ensure you apply during standard business hours. Also, let us use the advance bank verification to instantly check your bank’s information online. If you send us copies of your bank accounts, it may take a bit longer.
How much can I borrow?
We provide loan amounts between $5,000 to $500,000. When you make an application for a specific amount we will consider a number of elements that determine your well-being that is your business as well as the amount of repayments that your business can support. The amount you receive from the loan will be determined by the specifics of your company.
When you submit an application for a certain amount, we consider a variety of elements to determine the well-being for your company and the extent of the repayments your business can afford. The amount you receive from your loan will be contingent on the specific circumstances for your business.
Fees & repayments
What is the cost for a business loan?
When you request business loans with us company loans, we’ll assess the risk assessment for your business and provide an individualised offer including the loan amount, the terms and interest rates. The business loan is a loan that is priced upfront and you’ll be aware of the total amount due, which includes any interest rates, fees or charges.
What is the basis for the rate I pay?
The interest rates on business loans rates vary due to variables like the amount to be borrowed, the business assets the funds will be used for in addition to the industry that the company operates in, how long the business has been operating, how long the company has enough cash flow to pay for the loan, and the general well-being or financial standing of the company.
What are the cost?
There are no hidden fees for our business loans. You’ll know precisely how much you’ll be required to pay, and when, from the first day. There’s no compounding interest and the loan comes with no additional fees (as as you make your payments in time).
We don’t charge an application fee. You can get a cash loan without any upfront costs or the obligation to take action.
The Origination Fee covers the expenses involved with establishing and managing the loan. This is only a fee if you decide to take the loan. The Origination Fee for us is 2.5% of the amount of the loan.
Can I repay the loan earlier?
You can decide to repay the entire amount of your loan early at any time.
If you choose to pursue this option, please talk to one of our helpful company lending experts. We will provide you with details for repayment and an early payment figure. The figure will be calculated as the sum of the principal balance and any accrued interest at the date of early payout plus 1.5 percent of the principal amount remaining as well as any outstanding fees.
What is the process for repayments?
In order to help you avoid missing repayments and to fit in with your cash flow standard, we offer repayments either daily or weekly. These are automatically withdrawn from the nominated company account.
Security & privacy
Will my data be secure?
Security of your data, and being clear about the ways we gather the information we collect, use, share and secure your information, is of huge importance and is a crucial aspect 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 and financial data and our funders are ISO 27001 qualified for our dedication to the security of our customers as well as their security. We make use of an advanced bank verification system that allows you to instantly verify the bank account details online, allowing us to provide quick responses.
About business loans
What is asset-based borrowing (a secured loan)?
An asset-based loan is when the business owner borrows from an asset that they own to get the loan. The asset can be an individual asset, such as the family home or it could be a business asset such as a truck or piece or equipment.
The vast majority of lending institutions, not just the major banks, prefer to make loans secured by an asset. If you are having difficulty paying back the loan, then the asset might be sold by the lender. In essence it’s a way of securing additional financing using the value of what you already own.
Do I need security for a company loan?
Up to $150,000 in loans the requirement for asset security is not required before you are able to access the money however, we do need the personal guarantee. If you adhere to the terms of your loan (as detailed in your loan contract document) Asset security is not needed. For loans over $150K generally, you can get an individual guarantee and security is provided in the form of an asset charge.