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Secured business finance for SMEs

Our team understand the highs and lows of business

Choosing the right finance option for your business can be tricky. With so many lenders, finding the best loan can be difficult and time-consuming.

Whether you are starting a business or wanting to expand, let us find the ideal solution for you, without committing to complex terms or high-interest rates.

Loans and options

Guiding you through the myriad of options is our specialty

Business overdraft

These facilities have a defined credit limit with interest only charged on the funds drawn, and no set principal repayments. An overdraft can assist with cash flow fluctuations such as seasonal impacts, buying new stock lines, short-term increase in production, or funding to pay an overdue creditor. There are no restrictions on how you utilise these funds.

Business line of credit

This facility has an approved credit limit. The Line of Credit allows you to borrow and repay, and borrow again. Interest is charged on the loan balance, and balance must be kept under the limit. Funds can be utilised as you wish and payments are also flexible.

Working capital loans

These loans have a set loan term, generally as long as your lease terms. Interest rates are based on the loan term, security offered and risk. The interest rate can be fixed, variable or a mixture of both.
These loans are generally utilised for buying or building a commercial premise, refinancing existing business debt, purchasing a franchise or long-term working capital

How is your application assessed and what are banks looking for?

Behind the scenes, all bank assessment teams have guidelines, ratios and formulas to assess your application and required paperwork.
Banks consider the 4 'C's of Credit. These are briefly explained below:

Character

Character refers to your credit track record for repaying debts. This information is extracted from credit reports such as Equifax and Veda. With Comprehensive Credit Reporting (CCR) the banks can obtain an up-to-date report which details a complete picture of your credit profile. Most banks have a minimum credit score requirement, and if this is not achieved, the loan will likely be declined.

Capacity

Capacity measures your ability to repay the loan by comparing future and current debt obligations against income. This is referred to as ‘Debt to Income Ratio’. The lower the debt to income ratio the better. Banks prefer the DTI to be less than 40%.
E.g. Debt commitments of $18,667 a month, with an average gross monthly income of $68,667 = DTI of 27.2%

Capital

This is the amount of ‘hurt money’ you are willing to invest. Whether it be cash or collateral, this is your commitment to the success of your business. Each lender will apply their own Loan to Value ratio (LVR). An LVR is calculated by dividing the amount of your loan into the value of the security. Generally, banks like to have an LVR under 80%. However, this is dependent upon the loan purpose.
E.g. Security of a residential property valued at $800,000, loan requested $500,000 then the LVR would be 62.5%.

Conditions

Conditions of the loan refers to the loan purpose. This is basically how you intend to use the funds. Banks are more likely to approve loans for a specific purpose, than to provide funds that can be utilised in any way. Other factors to be considered are interest rates, amount of the loan, the term and how the funds will increase profitability or advantage the business. Additionally, banks will consider conditions that are outside of the borrower’s control, such as the state of the economy, legislative changes and effects of Covid-19.

Qualification and documentation

There is a skill to compiling a successful application, lucky for you, we know our stuff.

It is imperative that we get to know your business thoroughly. The more understanding and knowledge we have of your business the more we can help. A well-presented application is the key, this is where we excel.

So let’s make it happen! All you need is...

Get in touch

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Why Us?

Assisting you is a privilege, a privilege we don’t take lightly

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Approachable

We are easy to talk to and easier to connect with. Ideas, scenarios and information, we’re ready to listen. We strive to understand your vision whether it be for family lifestyle or business growth.

Professional

Experience does count and we have it, awards too. We are experts in financial solutions. Let us search through the maze of lenders to provide you with the right solution.

Dependable

Our team are reliable, trustworthy and can be counted on. Our objective is for long and enriching relationships. We are with you now, and into the future.

Approachable

We are easy to talk to and easier to connect with. Ideas, scenarios and information, we’re ready to listen. We strive to understand your vision whether it be for family lifestyle or business growth.

Professional

Experience does count and we have it, awards too. We are experts in financial solutions. Let us search through the maze of lenders to provide you with the right solution.

Dependable

Our team are reliable, trustworthy and can be counted on. Our objective is for long and enriching relationships. We are with you now, and into the future.