FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
More about the Swan View Small Business Loans
Let me know how you can avail the Swan View Small Business Loans
Swan View unsecured loans provides amounts between $5,000 and $100,000, with terms ranging from 3 and 24 month and cash flow-friendly repayments that are either daily or weekly.
What is what makes the Unsecured Loan different from a traditional business loan?
The application to get your Small Business Loan in under 10 minutes online or over the phone, receive an instant response and the money could be in your account in 24 hours. Traditional company loans reference an annual rate of interest as well as other fees and charges. Our business loan is an upfront priced loan therefore you’ll be aware in advance of the total amount to be paid, including any fees, charges or charges. This is then broken down into either a daily or weekly repayment figure.
What can the Small Business Loan be used for?
The Small Business Loan can be used for nearly every company purpose including cash flow management, company remodels and marketing to purchase inventory or new equipment, to fund general working capital, and much more. The loan cannot be used for personal purposes.
Concerning Larger Swan View Business Loans
What is the Larger Swan View Business Loan?
The Larger Business Loan is a larger loan size to support business growth opportunities. Loans are between $100,000 and $500,000 with a fixed-term that can last up to 36 months. The repayments are made weekly or fortnightly depending on your cash flow.
How’s the Origination Fee calculated?
This Larger Business Loan has an Origination Fee that is calculated at 2.5% of the amount of the loan.
Am I eligible for the Larger Business Loan?
To be eligible for a loan of this size, your company needs to have been operating for at least three years with an annual turnover of $700K. It is necessary to be a New Zealand Citizen (or Permanent Resident) over 18 years and have a New Zealand company (with a valid NZBN/IRD) and be able of proving at minimum 12 months of continuous trading.
What can I use the funds for?
A larger company loan is a great option for almost any business need, including company remodeling, buying equipment or inventory, as general working capital, and much more. The loan is not available for personal reasons.
Is the Larger Business Loan one that requires security?
Asset security is necessary for accessing funds over $150,000. This can be done as a result of an charge over assets, and could include registering this on the PPSR or filing as a caveat.
A personal or director’s ensure is a promise to repay credit that is generally based rather than defining the security for a particular asset. The person who signs the guarantee is personally liable in the event that the company the borrower fails to repay the debt.
The Personal Property Securities Register (PPSR) is a central, national online registry run by the New Zealand Government. It reflects security interests which are registered with respect to personal property (including items or assets). The PPSR grants the priority of personal property assigned according to the date the security interest has been registered.
An affidavit is an official form of document to offer the legal claim on a property.
What exactly is a preapproval without Credit Check?
If you’re seeking an enterprise loan of more than $250K we can offer an initial pre-approval in order to simplify the process. It is possible to apply for this without a credit check, and within six hours of your initial application. This pre-approval is based on an initial assessment that includes answering a couple of financial health questions. It is not an offer of credit or guarantee of financing. A conditional approval is subject an extensive credit evaluation and any offer that you receive could be on different terms.
The application process
Can I be eligible for funding?
You can apply 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 trading (for for the unsecured loan $5K – $100K) or three years of trading (for the Larger Business Loan $100K or $500K)
How do I apply?
The application process is simple and easy. Complete the online form in just a few minutes, and an experienced business credit specialist will call you to help you.
To apply for up $100,000, you’ll need identification details (valid Driver’s Licence) and an active NZBN/IRD, and at least six months of bank statements.
In addition, for larger loan sizes, you’ll also need:
$100K to $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: Information on the application including credit consent as well as 12 months of bank statements, IRD statements, last 2 years finalised financial statements, and interim current financial year financials such as age-related payables and aged Receivables summary.
How soon will I hear an answer?
For an unsecured loan ($5K and up) we typically offer an answer in just one hour, provided you submit your request in quality company times and permit us to utilise the advanced bank verification system to immediately verify your bank account information online. If you decide to send us copies of your bank statements , we are able to offer a decision in just one business day.
For Larger Business Loans ($100K and up) we might be in a position to offer you with conditional pre-approval within 6 hours. Once you’ve signed the pre-approval document, you will need to wait around 2-3 days for final approval, however this may be quicker depending upon the circumstances for each application. Some deals have been approved in the space of 24 hours.
The most effective method for you to apply is ensure you apply during normal company hours, and allow us to use the advanced bank verification system to instantly verify your bank information online. If you choose to upload copies of your bank statement, it takes a bit longer.
What is the time frame to receive the funds?
For the Small Business Loan ($5K up to $100,000) we can often provide a response in one hour if you make your application during standard business times and let us make use of the advanced bank verification system to immediately verify your bank account information online. If you want to submit copies of your bank statements, we are able to provide an answer within the span of one business day.
If you are applying for Larger Business Loans ($100K and up) we may be in a position to provide the conditional pre-approval in about 6 hours. Once you’ve signed the pre-approval, the turnaround time is approximately 2-3 days to receive final approval. However, this may be quicker depending upon the circumstances for each application. Some deals have been approved in 24 hours.
The fastest method can be make sure you apply during standard business hours, and permit us to use the modern bank verification to verify your bank information online. If you choose to upload documents from your account statement, it can 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 take into consideration a range of elements that determine how much we can lend you health of the business as well as the amount of the repayments your business will be able to support. The total amount of the loan will be determined by the specifics the business.
If you apply for a set amount, we consider a variety of aspects to determine your health of the company as well as the amount of repayments that your business is able to afford. The total amount of your loan will be determined by the specific circumstances of your company.
Fees & repayments
What is the cost for an business loan?
If you decide to request the company financing, we’ll assess the risk assessment that you have for your company and offer an individualised proposal that includes loan amount, term and the interest rates. It is a company loan is an upfront cost loan therefore you will know in advance the total amount due, which includes any costs, fees, or interest rates.
What is the basis for the rate I’m charged?
Interest rates for business loans rates depend on a variety of variables like the amount to be borrowed, the company assets the funds will be used for as well as the field the business operates in, how long the business is in operation, whether the company has enough cash flow to fund the loan, and overall health or financial standing of the business.
What are the fees?
There aren’t any hidden costs with our company loans, and you’ll know exactly how much you’ll need to pay and when, starting from the day you sign up. There’s no compounding interest and no additional fees (as as long as you pay your payments punctually).
We don’t charge an Application Fee. You are able to request a credit loan no cost upfront or obligation to proceed.
The Origination Fee covers the expenses involved with the setting up and management of the loan. It is only charged for this fee if you decide to take the loan. The Origination Fee for us is 2.5 percentage of the amount of loan.
Can I repay the loan earlier?
You can repay the entire amount of the loan at any point in time.
If you are deciding to pursue this option, please speak to our friendly company credit specialists. They’ll provide you with the details of your repayment along with an early payout estimate. This is calculated as the total of the principal amount remaining and the accrued interest up to the time of the early payout, plus 1.5 percent of the principal amount remaining and any outstanding fees.
What is the process for repayments?
To make sure you do not miss due dates and also to be in line with your cash flow general, we provide payments that are either daily or weekly. They will be automatically deducted from your business account.
Security & privacy
Will my data be secure?
Protecting your information, and being transparent about how we collect information, use it, and exchange it, as well as ensure the security of your information is vital and a vital element of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We use industry recognised encryption standards to protect your personal, sensitive financial information and our funders are ISO 27001 certified for our commitment to protecting the security of customers and security. We use an advanced banking verification system to immediately confirm your bank account information online to provide a fast response.
About business loans
What is asset-based borrowing (a secured loan)?
An asset-based loan is when the business owner utilises assets they own to make the funds for a loan. The asset could be a personal asset like the family home or it could be a business property like a truck or piece of equipment.
The majority of lenders, including the largest banks, are inclined to secure loans against an asset. If you’re struggling to pay back the loan, the asset might be sold by the lender. In essence, it’s an opportunity to secure new funding using the worth of the asset you already have.
Should I need security to get an business loan?
Up to $150,000 in loans there is no requirement for asset security upfront to access the money however, we require a personal guarantee. need the personal guarantee. So long as you comply with the loan terms (as detailed in your loan contract document) Asset security is not needed. For loans that exceed $150,000, typically, you will need a personal guarantee and security in the form a charge over assets.