What is a Business Loan?
A loan is generally borrowed for two purposes, either for personal use or for business use. The loan borrowed for business use is known as a business loan.
Business use could be any business-related expenses like buying stock/inventory, paying wages, rent, marketing expense, renovations/fit outs, purchasing equipment, expansion or other day to day working capital needs. Unlike loans for personal use, you would mandatorily require an active ABN to apply for a business loan.
However, there are few secured business loan products where you don’t require to be trading for a minimum period or be generating any revenue.
In case you are a start-up business or planning to start/buy a business without any trading history or revenue stream, please contact us to discuss your scenario and best suited business loan product for you.
Unsecured Business loans up to $500,000
Choose from 90+ Lenders
Competitive Interest rates
Choose from a range of business loan options
Approval possible in as low as 24 hrs
What makes me eligible for a business loan?
As the name suggests, Secured Business Loans are loans backed by a security in any form. Secured Business Loans are mostly popular among new businesses which are yet to start operations or start-up businesses with minimal or no cash flows.
Business loans backed by security can help small businesses get their ideal loan amounts with favourable terms because they are seen as lower risk by lenders.
What makes me eligible for a Secured business loan?
Generally, to be eligible for a secured business loan, you need to
Have an active ABN
Must be trading for at least 6 months
Average monthly income to be >$5k
Have an asset to offer as security
However, there are few secured business loan products where you don’t require to be trading for a minimum period or generating any revenue. In case you are a start-up business or planning to start/buy a business without any trading history or revenue stream, please contact us to discuss your scenario and find the best suited business loan product for you.
Unsecured business loans
An unsecured business loan can be obtained without the need of pledging any asset as a security.
No security needed
Hassle free approval
Less required documentation
Loan term 3-36 months
Borrowing limits
$5k – $500k
Interest rate from
7.99%
Term
3 – 36mths
Turnaround times
24 – 48hrs
Small business loans
Financing option that provides a lump sum of cash in exchange for future repayment of the principal and interest.
Quick approval
Funding possible within 24 hrs
Less required documentation
Loan term 3-60 months
Borrowing limits
$5k – $1m
Interest rate from
7.99%
Term
3 – 60mths
Turnaround times
24 – 48hrs
Secured business loans
Secured business loans are backed by security in any form and get more ideal terms because they are considered less risky.
Security required
Start-up/New businesses accepted
Flexible repayments
Loan term 3-60 months
Borrowing limits
>20k
Interest rate from
5.99%
Term
25 yrs+
Turnaround times
3 – 7 days
Business line of credit
Like a credit card, the lender sets up a certain fund limit for business use. Your business can draw and repay the loan when needed.
No security needed
Hassle free process
Less required documentation
Loan term 3-60 months
Borrowing limits
$5k – $500k
Interest rate from
7.99%
Term
upto 5 yrs
Turnaround times
24 – 48hrs
Invoice finance
This loan allows you to access funds in advance according to your invoices. Draw funds within a set limit and pay it off when the invoice is paid.
Similar to business line of credit
Up to 95% of invoice value
Either disclosed or undisclosed facility
Up to $150m
Borrowing limits
$10k – $150m
Interest rate from
9.99%
Term
Ongoing
Turnaround times
24 – 72hrs
Debtors finance
Similar to invoice financing – the lender provides a limit against the accounts receivables ledger of the business to draw funds.
Similar to business line of credit
Up to 80-85% of receivables ledger
Up to $150m
Borrowing limits
$10k – $150m
Interest rate from
9.99%
Term
Ongoing
Turnaround times
24 – 72hrs