Taking that first step to launch or advance your business is an exciting yet uncertain time. Let Wolfe Financial support you through this period by finding the right business loan for you. With so many lending products available on todays market we make it our duty to remove any confusion you may have and find you the most suitable loan. We will find you a range of business loans that can be tailored to your individual needs, from low interest and monthly fees to quick quotes and fast funding. As a Canberra businesses ourselves we feel honoured to be able to assist other local Canberra businesses to invest in their own success.
Call us today and one of our friendly advisors will help you and your business take the next step.
A bank term loan generally requires a lot of paper work to be completed, finical statements to be provided and sometimes a business plan.
A business line of credit means you get approved to borrow an agreed amount of money but you only pay interest on what you use. For example if you are approved for 100,000 but only use $50,000 you only pay interest for $50,000. It’s a great option for those who require more flexibility. Generally business lines of credit usually start at a minimum of $50,000 so if you are needing a small loan this may not be the best option for you.
Business overdraft is a line of credit that allows you to go into negative credit in your regular business transaction account. For example if your approved overdraft limit is $5000, you can have negative account balance up to that amount. If you only use $2500 of that $5000 approved limit you only have to pay interest on $2500 as you have a maximum credit amount and only pay interest on what you borrow, like a a line of credit. Business overdraft is a great loan if you have a long term project that you only get paid at the end, you business is seasonal to you have business start up costs.
A business equity loan can be in the form of a loan or line of credit which is secured against residential or commercial property. Several advantages of a business equity loan are that you can borrow up to 100% of the value of a property used as security for the loan and get a competitive interest rate. This is a high risk loan for you and your business. If you are unable to repay to loan your property is at risk of being repossessed by the lender.
Low-doc or No-doc Business Loan
If you are unable to provide proof of income of finical statements to secure a loan a low-doc or no-doc business loan may be right fo you. These loans are typically backed by residential properties. Since these are high risk loans for lenders they are usually subject to higher interest rates.
Unsecured business loans have a quick application process resulting in you receiving your loan fast. Unsecured loans mean that there is no collateral on the money borrowed. This is a high risk for the lender which usually means the types of loans are subject to higher fees and rates.