FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
About The Braybrook Small Business Loans
Let me know more about Braybrook Small Business Loans
Braybrook unsecured loans provides amounts of between $5,000 and $100,000 with terms between 3 and 24 months and cash flow friendly repayments, which are either daily or weekly.
What is what makes the Unsecured Loan different from the traditional business loan?
It is possible to apply to get the Small Business Loan in under 10 minutes online or over the phone, receive an immediate response, and the money could be on your account within 24 hours. Traditional business loans have an annual rate of interest plus other fees and charges. We offer a company loan is an upfront priced loan therefore you’ll be aware in advance of the total amount payable including any fees, charges or charges. This is then divided into a daily or weekly payment amount.
What could be the Small Business Loan be used for?
A Small Business Loan can be used for virtually every business need, such as control of cash flow company remodeling, marketing to purchase inventory, new equipment, to fund general working capital and so much more. The loan is not available for personal reasons.
About larger Braybrook Business Loans
What is the Larger Braybrook Business Loan?
The Larger Business Loan is a larger amount of loan to help business expansion opportunities. Loans range from $100,000 to $500,000 with a term fixed up to 36 months. The repayments are made weekly or fortnightly, depending on you cashflow.
How is the Origination Fee calculated?
A Larger Business Loan has an Origination Fee which is determined at 2.5 percentage of the amount of the loan.
Can I get the Larger Business Loan?
To be eligible for a loan that is this large, your business needs to be trading for at least 3 years and have an annual turnover of $700,000. You must be a New Zealand Citizen (or Permanent Resident) over 18 years, own a New Zealand business (with a valid NZBN/IRD) and be able demonstrate at the least 12 months of operating.
How can the funding be used for?
A large business loan is a great option for almost every company need, including company remodeling, buying equipment or inventory as well as for general working capital and so much more. The loan cannot be used for personal use.
Is the Larger Business Loan one that is secured?
Asset security is needed to access funding over $150,000. This can be done in the form of a charge over assets, which could also include registering this through the PPSR or registering as a caveat.
A personal or director’s guarantee is a commitment to repay credit that is general in nature rather than stating security over a particular asset. The person who is signing the guarantee is personally responsible if the company creditor is unable to repay the debt.
The Personal Property Securities Register (PPSR) is a central, national online register that is operated by the New Zealand Government. It records security interests that have been registered in respect of personal property (including items or assets). The PPSR gives preference over private property assigned according to the date the registration of a security interest.
An affidavit is an official form of document to offer the legal claim to a property.
What exactly is a preapproval without Credit Check?
If you’re seeking a Larger Business Loan that exceeds $250,000, we may offer an initial pre-approval to simplify the process. It is possible to do this 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 checks. It is neither an offer nor a guarantee of financing. The approval of a conditional loan is subject to an extensive credit evaluation and any offer that you receive could be on different terms.
The application process
Do I qualify for funds?
You may apply 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)
- must show at least six months worth of trade (for the unsecured loan $5K – $100K) or three years of trade (for the Larger Business Loan $100K up to $500K)
How do I apply?
The application process is quick and simple. Just fill out the online application within a couple minutes, and an experienced business credit specialist will call you to assist you.
To apply for up to $100,000, you’ll require identification details (valid Driver’s License), an active NZBN/IRD, and at least 6 months of bank statements.
Otherwise, for larger loan sizes, you’ll also need:
$100K-$250K: Details of application, including credit consent, 6 – 12 months of IRD statements, bank statements (if loan above $150K).
$250K-$500K: Details of the application, including credit consent, 12 months of bank statements, IRD statements as well as the two most recent years’ financial statements, in addition to interim current financial year financials including Aged Payables, Aged Receivables summaries.
What speed will I be able to get an answer?
For an unsecured loan ($5K or more) we usually provide a response in one hour if you apply in standard company time and you allow us to make use of the advanced bank verification system to instantly verify your bank details online. If you want to upload copies of your bank statement, we’ll provide the decision within just the span of one company day.
For Larger Business Loans ($100K or more) we may be capable of offer the conditional pre-approval within about six hours. After you’ve signed the pre-approval document, you will need to wait about 2-3 days for final approval, however this may be quicker depending upon the circumstances for each application. Certain transactions have received approval within the space of 24 hours.
The quickest way to apply would be to ensure you apply during standard company hours, and allow us to use the advance bank verification link to instantly verify your bank information online. If you choose to send us copies of your bank statements , it may take a bit longer.
How soon will I receive the money?
For the Small Business Loan ($5K to $100K) We can usually offer an answer within an hour – provided you apply within normal business times and let us utilise the advanced bank verification system to instantly verify your bank information online. If you want to send us copies of your bank statements, we’ll be able to provide the decision in just 1 business day.
If you are applying for Larger Business Loans ($100K or more) We may be able to provide you with a conditional pre-approval within about six hours. After you’ve signed the pre-approval, the turnaround time is between 2 and 3 days for the final approval, however this can be faster depending on the specifics of each application. Certain deals have been approved in 24 hours.
The fastest method can be ensure you apply during standard business hours. You can also let us use the modern bank verification link to check your bank’s information online. If you decide to send us documents from your account statements it takes a bit longer.
How much can I borrow?
We provide loans that range from $5,000 to $500,000. If you apply for a particular amount, we look at a variety of variables for determining the health of your company and the amount of the repayments your company will be able to support. The amount you receive from your loan will depend on the specifics of your company.
When you apply for a set amount, we will consider a number of elements to determine your well-being for your company and the amount of payments your business can support. The total amount of your loan will depend on the particulars the company.
Fees & repayments
How do you charge for a company loan?
If you decide to request business loans with us company loan, we will assess the risk assessment for your business and offer you with a tailored offer including the amount of loan, the term and the interest rates. It is a business loan is an upfront cost loan therefore you will be aware of the total amount you will have to pay, including costs, fees, or interest rates.
What is the basis for the rate I’m charged?
Interest rates for business loans rates depend on several factors like the amount of money of money borrowed, the company assets the money will be used for and the sector the company operates in, the long the business has been operating for, whether the business has enough cash flow to cover the loan, and also the general well-being as well as creditworthiness business.
What are the cost?
There are no hidden costs with our business loans, and you’ll know precisely what you need to pay, and at what time, from the first day. There’s no compounding interest and the loan comes with no additional fees (as as you make your payments punctually).
We do not charge an application fee. You can request a credit loan with with no upfront cost or obligation to proceed.
The Origination Fee covers the expenses involved in establishing and managing the loan. It is only charged for this fee if you decide to take the loan. Our Origination Fee is 2.5 percentage of the loan amount.
Can I repay the loan early?
You can decide to repay the total amount of your loan at any point in time.
If you do decide to pursue this option, please contact our helpful company credit experts. The experts will provide you with details for repayment along with an early payout estimate. This will be calculated as the total of the principal remaining and the accrued interest up to the time of the early payout plus 1.5 percent of the principal balance and any outstanding fees.
What are the repayment methods?
To make sure you do not miss payment dates and to align with your cash flow standard, we offer repayments that are either weekly or daily. These are automatically withdrawn from the nominated business account.
Security & privacy
Will my data be secure?
The security of your personal information, as well as making it clear the ways we gather the information we collect, use, share and protect your information, is vital and a vital part of our relationship you.
Is it safe to link my bank account to the platform?
Yes. We use industry recognised encryption standards to protect your sensitive, personal as well as financial data. Our funders are ISO 27001 qualified for our commitment to protecting the security of clients and security. We use an advanced bank verification system that allows you to instantly verify your bank account details online, allowing us to offer quick responses.
About business loans
What is asset-based borrowing (a secured loan)?
Asset-based borrowing occurs when a business owner uses an asset they own to secure the loan. The asset can be an individual property, such as the family home or it could be a company property like a truck or piece of equipment.
The vast majority of the lenders even the big banks, tend to guarantee loans against an asset. If you’re struggling to pay back the loan, then the asset could be offered for sale by the lender. In essence it’s the process of securing additional financing making use of the value of what you already have.
What do I need security to get an company loan?
For loans up to $150,000 there is no requirement for asset security before you can access the money however, we require a personal guarantee. need an individual guarantee. If you adhere to your loan commitments (as detailed in your loan contract), asset security is not required. For loans of over $150,000 generally there is an individual guarantee and security is provided in the form of an asset charge.