FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
About The Hamersley Small Business Loans
Tell me what you think of the Hamersley Small Business Loans
Hamersley unsecured loans provides amounts between $5,000 and $100,000. Terms range from 3 and 24 months, cash flow-friendly repayments, which are either daily or weekly.
What is what makes the Unsecured Loan different from an ordinary company loan?
You can apply to get this Small Business Loan in under 10 minutes on the phone. You’ll receive an immediate response, and funds may be in your account within 24 hours. Traditional business loans have an annual interest rate as well as other fees and charges. We offer a business loan is a pre-paid loan which means you be aware of the total amount to be paid, including any interest, fees or charges. Then, it is broken down into either weekly or daily installment amount.
What could be the Small Business Loan be used for?
A Small Business Loan can be used for nearly any company use, including managing cash flows, business renovations, marketing to purchase inventory, new equipment, or as general working capital and so much more. The loan cannot be used to fund personal expenses.
About Larger Hamersley Business Loans
What is the Larger Hamersley Business Loan?
The Larger Business Loan is a larger size of loan that can be used to fund company growth opportunities. Loans range from $100,000 to $500,000 for a fixed period of that can last up to 36 months. Repayments are either weekly or fortnightly to work with you cashflow.
How’s the Origination Fee determined?
It is important to note that the Larger Business Loan has an Origination Fee, determined at 2.5% of the loan amount.
Am I eligible for the Larger Business Loan?
To be eligible for a credit of this size the business needs to be in operation for at least 3 years and generate an annual revenue of $700,000. It is necessary to 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 of proving at least 12 months of trading.
How can the funds be used for?
A Business Loan of a larger size can be used to fund almost all company purpose including company improvements, purchasing equipment or inventory, as general working capital and much more. The loan is not available to fund personal expenses.
Is the Larger Business Loan one that requires security?
Asset security is required for funding of more than $150,000. It is usually by taking a charge over assets, which could also include registering this through the PPSR or filing a caveat.
A director’s or personal guarantee is a guarantee to repay credit that is generally based rather than stipulating the security for a particular asset. The person who signs the ensure is personally responsible if the company borrower is unable to re-pay the debt.
The Personal Property Securities Register (PPSR) is a central, national online register run by the New Zealand Government. It lists security interests that are which are registered with respect to personal property (including goods or assets). The PPSR permits priority over personal property to be granted according to the date the security interest that is registered.
A caveat is a legal document lodged to offer the legal claim to a property.
What is a pre-approval that does not require Credit Check?
If you’re applying for larger company loans that exceeds $250,000 it is possible to offer an initial pre-approval in order to smooth out the process. We might be able to do this without a credit verification and within 6 hours of your initial application. This pre-approval is made based on an initial evaluation that involves you answering some financial well-being checks. This is not an offer of credit or guarantee of funds. A conditional approval is subject an extensive credit evaluation and any offer you may receive may be on different conditions.
The application process
Can I be eligible for funding?
You may be eligible for an business loan if you:
- are a New Zealand Citizen (or Permanent Resident)
- are at least 18 years old, have a New Zealand company (with a valid NZBN/IRD)
- can demonstrate at least 6 months of business (for the unsecured loan $5K – $100K) or 3 years of continuous trading (for the Larger Business Loan $100K or $500K)
How do I apply?
The application process is fast and simple. Simply complete the online form in few minutes and a dedicated business credit specialist will contact you to assist you.
To apply for up $100,000 you’ll require ID details (valid Driver’s License), a valid NZBN/IRD and at least six months worth of bank statements.
Otherwise, for larger loan sizes, you’ll require:
$100K to $250K: Information about the application including credit consent, 6 – 12 months of IRD statements, bank statements (if loan above $150K).
$250K to $500K: Application details including credit consent, 12 months of bank statements, IRD statement, last 2 years finalised financial statements, in addition to interim financials from the current financial year including Aged Payables, Aged Receivables summaries.
How soon will I hear an answer?
For an unsecured loan ($5K or more) we usually provide an answer within an hour, provided you submit your request in standard business timings and allow us to utilise the bank verification system link to instantly verify your bank information online. If you opt to upload copies of your banking statements , we are able to provide a decision in just the span of one business day.
If you are applying for a Larger Business Loan ($100K and up) we may be in a position to offer the conditional pre-approval within 6 hours. Once you’ve signed the pre-approval form, it will take approximately 2-3 days to receive final approval, however it could be faster based upon the circumstances for each application. Some offers have been approved in the space of 24 hours.
The most efficient method would be to make sure you apply during normal business hours. Also, allow us to use our modern bank verification link to instantly check your bank’s information online. If you upload duplicates of your banking statement, it can take a bit longer.
How soon will I receive the money?
For the Small Business Loan ($5K up to $100,000) we can often offer a response in one hour, provided you apply in normal business hours and allow us to 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 will be able to provide an answer in just the span of one business day.
For Larger Business Loans ($100K up to $500,000) we could be in a position to provide you with pre-approval conditional to your application within six hours. Once you have signed the pre-approval, the turnaround time is around 2-3 days for final approval. However, this can be faster depending on the specifics of each application. Some offers have been approved in 24 hours.
The fastest way is to ensure you apply during normal business hours and let us use the sophisticated bank verification to instantly verify your bank information online. If you choose to upload duplicates of your banking accounts, it takes a bit longer.
What’s the minimum amount I can borrow?
We offer loan amounts between $5,000 and $500,000. When you make an application for a specific amount we will consider a number of factors for determining your health of the company and the level of repayments your business will be able to support. The amount you receive from your loan will depend on the specific circumstances the company.
When you submit an application for a certain amount, we consider a variety of variables to assess the health of your company and the level of repayments that your company can support. The amount you receive from the loan will be determined by the particular circumstances of your business.
Fees & repayments
How do you charge for the cost of a business loan?
When you make an application for our business credit, we’ll assess the risk profile that you have for your business and provide you with a customised offer, including the amount of loan, the term and the interest rates. It is a company loan is an upfront priced loan therefore you will know the exact amount payable including any costs, fees, or interest rates.
What determines the amount I am charged?
Business loan interest rates vary due to variables like the amount to be that is borrowed, what business assets the money are used to purchase and the sector the company operates in, the long the business has been operating for, in the event that the company has sufficient cash flow to support the loan, and general well-being or financial standing of the company.
What are the costs?
There aren’t any hidden costs with our business loans. You’ll know exactly how much you’ll be required to pay and at what time, from the very first day. There’s not any compounding interest and there are no additional charges (as as you make your payments punctually).
We don’t charge an Application Fee. You are able to apply for a loan absolutely no upfront cost and no commitment to apply.
The Origination Fee covers the costs associated in establishing and managing the loan. The only way to pay this fee if you choose to proceed with the loan. The Origination Fee for us is 2.5 percentage of the amount of the loan.
Can I pay off the loan early?
You may choose to pay back the entire amount of the advance loan at any time.
If you decide to pursue this option, please talk to one of our helpful business credit experts. They’ll provide you with repayment details and an early payment figure. It will be calculated using the sum of the principal remaining and the accrued interest up to the time of the early payout and 1.5 percent of the remaining principal and any fees that remain unpaid.
What is the process for repayments?
To help you avoid missing payments and to work your cash flow schedule, we offer repayments that are either weekly or daily. They will be automatically deducted from your nominated company account.
Security & privacy
Will my data be protected?
Security of your data, and being upfront about the ways we gather, use, exchange and ensure the security of your information is of huge importance and an integral aspect of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We make use of industry-standard encryption standards to secure your sensitive, personal as well as financial data. Our funders are ISO 27001 certified for our commitment to customer security and security. We employ a highly sophisticated bank verification system that allows you to immediately verify your bank account information online. This allows us to provide an immediate response.
About business loans
What exactly is an asset-based loan (a secured loan)?
Asset-based borrowing occurs when a business owner makes use of assets they own to make the funds for a loan. The asset may be an individual property, such as the family home, or an company property like a truck or piece or equipment.
The vast majority of lending institutions, not just the big banks, tend to make loans secured by an asset. If you’re struggling to pay back the loan then your assets could be transferred to the lender. In essence it is a way of securing new financing using the value of what you already own.
Are I need security for a business loan?
For loans that exceed $150K, it is not necessary to secure assets upfront to access the money however, we do require a personal guarantee. In the event that you fulfill your loan obligations (as stipulated in the loan contract) and you are able to meet your obligations, asset security is not required. For loans that exceed $150,000, generally there is an individual guarantee and security in the form charges on assets.