FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
About The Manning Small Business Loans
Tell me what you think of the Manning Small Business Loans
Manning unsecured loans provides amounts between $5,000 and $100,000 with terms between 3 and 24 months. They also offer cash flow friendly repayments which can be made daily or weekly.
What is the Unsecured Loan different from an ordinary company loan?
The application to this Small Business Loan in under 10 minutes online or over the phone. You’ll get an immediate response, and the funds could be in your account in 24 hours. Traditional business loans refer to an annual rate of interest as well as other fees and charges. This business loan is an upfront priced loan so you will be aware in advance of the amount you will have to pay, including any fees, charges or charges. This is then divided into weekly or daily payment amount.
What can the Small Business Loan be used for?
The Small Business Loan can be used for virtually any business need, such as the management of cash flow, business remodels and marketing to purchase inventory or new equipment, as general working capital and so much more. The loan cannot be used for personal purposes.
Concerning Larger Manning Business Loans
What is the Larger Manning Business Loan?
The Larger Business Loan is a larger loan size to support company growth opportunities. Loans range between $100,000 and $500,000 over a fixed term up to 36 months. The repayments are made weekly or fortnightly in order to accommodate your cash flow.
How’s the Origination Fee determined?
It is important to note that the Larger Business Loan has an Origination Fee, determined at 2.5 percentage of the amount of the loan.
Am I eligible for the Larger Business Loan?
To be eligible for a credit that is this large, your company needs to have been in operation for at least 3 years with an annual turnover of $700K. The applicant must also 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 demonstrate at minimum 12 months of business.
How can the funds be utilised?
A Larger Business Loan can be used for nearly every business reason, such as company renovations, purchase of inventory or new equipment as well as for general working capital and much more. The loan cannot be used for personal reasons.
Is the Larger Business Loan a secured loan?
Asset security is needed for accessing funds over $150,000. This is by way of charge against assets, and could include the registration of this with the PPSR or filing a caveat.
A personal or director’s guarantee is a commitment to repay credit that is general in nature, rather than stipulating the security for a particular asset. The person who is signing the ensure is personally liable if the company creditor is unable to make the repayment.
The Personal Property Securities Register (PPSR) is a central, national online register run by the New Zealand Government. It contains security interests which are registered with respect to personal property (including goods or assets). The PPSR grants the priority of personal property assigned in accordance with the date on which a security interest was registered.
A caveat is a legal document filed to offer an official notice of a claim to a property.
What is a pre-approval that does not require Credit Check?
If you’re seeking a Larger Business Loan that exceeds $250K it is possible to offer a preliminary pre-approval to help smooth out the process. It is possible to do this without a credit check and within 6 hours of the initial application. This pre-approval is based on an initial assessment that includes answering a couple of financial well-being questions. It is not an offer of credit or guarantee of financing. Unconditional approval is subject to an extensive credit evaluation and any offer you receive could be based on different conditions.
The application process
Do I qualify for funds?
You may apply for an company 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 the unsecured loan $5K – $100K) or three years of trade (for the Larger Business Loan $100K to $500K)
How do I apply?
The process for applying is fast and simple. Simply complete the online form within a couple minutes, and an experienced business credit specialist will contact you to guide you through the process.
To be eligible for up to $100,000 you’ll need ID details (valid Driver’s Licence), an active NZBN/IRD, and at least six months worth of bank statements.
Otherwise, for larger loan sizes, you’ll need:
$100K-$250K: Details of application, including credit consent, 6-12 months of bank statements, IRD statement (if credit is over $150K).
$250K-$500K: Details of the application, including credit consent, 12 months bank statement, an IRD statement as well as the two most recent years’ financial statements, and interim financial statements for the current year as well as Aged Payables and Receivables summary.
How fast will I get an answer?
For an unsecured loan ($5K to $100K) we usually provide an answer within one hour – as long as you apply at standard business timings and you allow us to utilise the advanced bank verification system to instantly verify your bank details online. If you choose to submit copies of your bank statement, we’ll offer an answer in just one company day.
For Larger Business Loans ($100K or more) we could be likely to provide the conditional pre-approval in about 6 hours. After you’ve signed the pre-approval, the turnaround time is about 2-3 days for final approval. However, this could be shorter based on the particular circumstances of each application. Certain transactions have received approval within the space of 24 hours.
The fastest way is to ensure you apply during standard company hours, and allow us to use our advanced bank verification system to verify your bank information online. If you choose to send us copies of your bank accounts, it may take a bit longer.
How quickly will I receive the cash?
For the Small Business Loan ($5K to $100K) We can usually offer a response in one hour, provided you submit your request during standard business hours and permit us to make use of the advanced bank verification system to instantly verify your bank’s information online. If you want to upload copies of your bank statement, we’ll offer a decision in just 1 business day.
For the Larger Business Loans ($100K to $500K) we might be in a position to provide you with conditional pre-approval within six hours. Once you have signed the pre-approval document, you will require to wait approximately 2-3 days to receive final approval. However, this can be faster depending upon the circumstances for each application. Some agreements have been approved in the space of 24 hours.
The fastest method would be to make sure you apply during standard business hours. Also, let us use the sophisticated bank verification to confirm your bank details online. If you choose to send us the copies of bank statements, it can take a bit longer.
How much can I borrow?
We offer loan amounts between $5,000 to $500,000. When you make an application for a specific amount we take into consideration a range of elements to determine the well-being of the business as well as the amount of repayments that your business is able to afford. The total amount of the loan will be determined by the particular circumstances for your company.
If you apply for a set amount, we take into consideration a variety of factors to assess how much we can lend you such as well-being of your company as well as the amount of repayments your business can support. The amount you receive from your loan will depend on the specific circumstances for your business.
Fees & repayments
How do you charge for a company loan?
If you decide to make an application for the business credit, we’ll assess the risk assessment for your company and offer an individualised offer including loan amount, term and interest rates. A business loan is an upfront-priced loan and you’ll know the exact amount to be paid, including any costs, fees, or interest rates.
What is the basis for the rate I am charged?
Business loan interest rates depend on a variety of variables like the amount to be that is borrowed, what company assets the funds are used to purchase, the industry the business is in, how long the business is in operation, what percentage of the company has enough cash flow to fund the loan, as well as the overall well-being and creditworthiness of the business.
What are the costs?
There are no hidden fees for our business loans. You’ll know precisely what you be required to pay and at what time, from the very first day. There’s no compounding interest and no extra fees (as long as you are able to make your payments in time).
We do not charge an Application Fee. You are able to request a credit loan without any upfront costs or the obligation to take action.
The Origination Fee covers the expenses involved with establishing and managing the loan. The only way to pay this fee if you proceed with the loan. Our Origination Fee is 2.5 percent of the loan amount.
Can I repay the loan in advance?
You can repay all of your loan early at any time.
If you decide to pursue this option, please contact our helpful company loan specialists. We will offer you with repayment details and an early payment figure. The figure will be calculated as the sum of the principal amount remaining and accrued interest to the time of early payment plus 1.5% of the principal amount remaining plus any outstanding fees.
How do repayments work?
To ensure that you don’t miss payments and to work your cash flow cycle we provide repayments either weekly or daily. They are automatically deducted from the nominated company account.
Security & privacy
Will my data be secure?
The security of your personal information, as well as making it clear how we collect information, use it, and exchange it, as well as protect your information, is vital and a vital part of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We make use of industry-standard encryption protocols to safeguard your personal, sensitive 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 link to immediately verify the bank account details online, allowing us to provide a fast response.
About business loans
What’s an asset-based borrow (a secured loan)?
The term "asset-based" refers to borrowing where the business owner uses assets they own to make the funding. The asset can be either an individual asset, such as the family home or an business property like a truck or piece or equipment.
The majority of lenders, even the major banks, prefer to guarantee loans against assets. If you’re having trouble paying back the loan, your assets could be transferred to the lender. In essence, it is the process of securing new financing taking advantage of the value of what you already have.
What do I need security for an company loan?
For loans up to $150,000 no asset security is required prior to the loan’s access but we do require a personal guarantee. As long as you follow your loan obligations (as detailed in your loan contract document), asset security is not needed. If you take out loans in excess of $150K generally there is personal guarantee and security is provided in the form of an asset charge.