FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
Details of The Epping Small Business Loans
Tell me how you are able to avail the Epping Small Business Loans
Epping unsecured loans offers amounts between $5,000 and $100,000. The terms range between 3 and 24 month and cash flow-friendly repayments, which are either daily or weekly.
What makes what makes the Unsecured Loan different from an traditional company loan?
You can apply for this Small Business Loan in under 10 minutes via the internet or over the phone. You’ll get a same day response and funds may be available in just 24 hours. Traditional business loans refer to an interest rate per annum together with additional fees and charges. Our company loan is an upfront priced loan and you’ll be aware of the total amount payable including any fees, charges or charges. Then, it is divided into weekly or daily amount to be paid back.
What could the Small Business Loan be used for?
It is a Small Business Loan can be used for almost every business need, such as cash flow management, business improvements, advertising for purchasing inventory or new equipment, to fund general working capital and so much more. The loan cannot be used for personal reasons.
About Larger Epping Business Loans
What is the Larger Epping Business Loan?
The Larger Business Loan is a larger amount of loan to help business expansion opportunities. The loan ranges from $100,000 to $500,000 with a term fixed up to 36 months. The repayments are made weekly or fortnightly to work with the flow of cash.
How is the Origination Fee determined?
A Larger Business Loan has an Origination Fee, determined 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 business needs to have been 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 and have a New Zealand business (with a valid NZBN/IRD) and be able of proving at the least 12 months of operating.
What can I use the funding for?
A Business Loan of a larger size can be used to fund almost every company use, including business renovations, purchase of inventory or new equipment, as general working capital and much more. The loan cannot be used for personal purposes.
Is the Larger Business Loan one that requires security?
Asset security is necessary to obtain funding above $150,000. This is in the form of a charge against assets, and may include registering this with the PPSR or registering a caveat.
A personal or director’s guarantee is a commitment to repay a loan which is general in nature, rather than stating the security of a specific asset. The person signing the ensure is personally liable if the company lender is not able 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 lists security interests that are which are registered with respect to personal property (including objects or assets). The PPSR gives priority over personal property to be granted according to the date a security interest was registered.
An affidavit is an official document that is filed to provide notice of a legal claim on a property.
What is a pre-approval minus Credit Check?
If you’re applying for larger business loans that exceeds $250K it’s possible to offer a preliminary pre-approval to help ease the process. We might be able to apply for this without a credit verification 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 well-being checks. This is not an offer of credit or guarantee of funds. The approval of a conditional loan is subject to an extensive credit evaluation and any offer that you might receive could be on different terms.
The application process
Are I eligible for funding?
You are eligible to apply for an business loan if you
- are a New Zealand Citizen (or Permanent Resident)
- are 18 years or older, own a New Zealand company (with a valid NZBN/IRD)
- must show at least six months’ worth of transactions (for for the unsecured loan $5K – $100K) or three years of trade (for the Larger Business Loan $100K - $500K)
How do I apply?
The application process is simple and simple. Just fill out the online application within a few minutes and a dedicated company expert in lending will contact you to help you.
To apply for up $100,000 you’ll require the right identification documents (valid Driver’s License) and an active 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 bank statements, IRD statement (if loan above $150K).
$250K – $500K: Information on the application including credit consent as well as 12 months of bank records, IRD statement as well as the two most recent years’ financial statements, as well as interim financials for the current financial year as well as Aged Payables and Receivables summary.
How quickly will I receive an answer?
For an unsecured loan ($5K and up) we typically offer an answer within one hour if you apply at quality company times and allow us to use the advanced bank verification system link to instantly verify your bank details online. If you choose to upload copies of your banking statements , we are able to offer the decision within just the span of one company day.
For Larger Business Loans ($100K or more) we might be capable of offer you with pre-approval conditional to your application within six hours. Once you have signed the pre-approval, the turnaround time is about 2-3 days for final approval. However, this can be quicker based on the circumstances of each application. Some agreements have been approved within less than 24 hours.
The quickest method for you to apply is ensure you apply during standard company hours, and let us use the advance bank verification to check your bank’s information online. If you upload duplicates of your banking statements it can take a bit longer.
How fast will I get the cash?
For the Small Business Loan ($5K to $100K) We can usually provide an answer within an hour if you apply in normal business hours and let us use the bank verification system link to instantly verify your bank details online. If you want to send us copies of your bank statements, we’ll be able to offer a decision in as little as one business day.
For the Larger Business Loans ($100K or more) we could be in a position to provide you with pre-approval conditional to your application within about six hours. Once you have signed the pre-approval document, you will need to wait between 2 and 3 days for the final approval. However, this can be faster depending on the particular circumstances of each application. Certain transactions have received approval in the space of 24 hours.
The quickest method can be ensure you apply during standard business hours. You can also permit us to use the advance bank verification to instantly confirm your bank details online. If you send us the copies of bank accounts, it can take a bit longer.
How much can I borrow?
We offer the loan amount between $5,000 and $500,000. When you submit an application for a specific amount we look at a variety of factors that determine your well-being of your business and the level of repayments your business can afford. The amount you receive from your loan will depend on the particular circumstances of your company.
When you make an application for a certain amount, we look at a range of aspects to assess your well-being that is your business and the amount of repayments your company can support. The amount you receive from your loan will be determined by the specifics of your company.
Fees & repayments
How do you charge for an business loan?
When you make an application for the company loan, we will assess the risk assessment the business and provide 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 the exact amount you will have to pay, including charges, interest rates or fees.
What determines the rate that I’m charged?
Business loan interest rates differ based on various factors like the amount of money of money borrowed, the company assets the funds will be used for, the industry the business is operating in, how long the business has been operating for, whether the company has enough cash flow to pay for the loan, and the overall well-being or creditworthiness of the company.
What are the cost?
There are no hidden fees for our business loans. You’ll be aware of the amount it is that you need to pay and when, starting from the very first day. There’s no compounding and the loan comes with no additional fees (as as long as you pay your payments punctually).
We don’t charge an application fee. You can request a credit loan with absolutely no upfront cost and no commitment to apply.
The Origination Fee is the cost associated with establishing and managing the loan. This is only a cost if you take out the loan. The Origination Fee for us is 2.5% of the loan amount.
Can I repay the loan earlier?
You can decide to repay the entire amount of the loan at any point in time.
If you choose to do this please speak to our friendly business loan experts. They will offer you with details for repayment and an early payout figure. This will be calculated as the total of the remaining principal amount and any accrued interest at the time of the early payout, plus 1.5 percent of the principal remaining as well as any outstanding fees.
What are the repayment methods?
To make sure you do not miss repayments and to fit in your cash flow cycle we provide repayments either daily or weekly. They are automatically deducted from the nominated company account.
Security & privacy
Will my information be secure?
Protecting your information, and making it clear how we collect the information we collect, use, share and ensure the security of your information is of paramount importance and a vital aspect of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We employ industry-recognised encryption standards to secure your sensitive, personal financial information and our funders are ISO 27001 certified for our commitment to customer security and security. We make use of an advanced bank verification system to instantly verify your bank account details online. This allows us to provide a fast response.
About business loans
How do you define asset-based lending (a secured loan)?
Asset-based borrowing occurs when an business owner makes use of assets they own to secure the loan. The asset can be an individual asset, such as the family home or it could be a business asset like a truck or piece of equipment.
The majority of banks, even the largest banks, are inclined to secure loans against an asset. If you are having difficulty paying back the loan, your asset may be offered for sale by the lender. In essence, it’s the process of securing new funding using the value of what you already own.
Do I need security to secure a business loan?
For loans of up to $150K, the requirement for asset security is not required upfront to access the money but we require a personal guarantee. need an individual guarantee. So long as you comply with your loan obligations (as stated in your loan contract document) Asset security will never be required. For loans over $150K generally, there is a personal guarantee and security is provided in the form of an asset charge.