FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
About The Panmure Small Business Loans
Tell me what you think of the Panmure Small Business Loans
Panmure unsecured loans offers the range of $5,000 to $100,000. Terms range from 3 and 24 months, cash flow friendly repayments, which are either daily or weekly.
What makes this Unsecured Loan different from the traditional company loan?
The application for your Small Business Loan in under 10 minutes online or over the phone, receive a same day response and the funds could be available in just 24 hours. Traditional business loans refer to an annual rate of interest as well as other fees and charges. The company loan is a pre-paid loan which means you be aware of the total amount payable including any fees, charges or charges. This is then broken down into either a daily or weekly amount to be paid back.
What can the Small Business Loan be used for?
A Small Business Loan can be used to fulfill almost any company purpose including cash flow management, business renovations, marketing for purchasing inventory or new equipment, to fund general working capital and so much more. The loan is not available to fund personal expenses.
About larger Panmure Business Loans
What is the Larger Panmure Business Loan?
The Larger Business Loan is a larger loan size to support company expansion opportunities. Loans range between $100,000 and $500,000 over a fixed term with a maximum of 36 months. Repayments are scheduled weekly or fortnightly in order to accommodate your situation.
How’s the Origination Fee determined?
This Larger Business Loan has an Origination Fee, determined at 2.5 percentage of the amount of the loan.
Do I qualify for the Larger Business Loan?
To qualify for a loan in this amount the business needs to have been in operation for at least 3 years, and have an annual income of $700K. The applicant must also 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 demonstrate at minimum 12 months of continuous trading.
How can the funds be utilised?
A Larger Business Loan can be used for nearly any company purpose including company remodeling, buying new equipment or inventory as well as for general working capital and much more. The loan is not available for personal use.
Is the Larger Business Loan a secured loan?
Asset security is needed to access funding over $150,000. It is usually as a result of an charge on assets and can include registering this through the PPSR or making as a caveat.
A director’s or personal ensure is a commitment to pay back a loan that is general in nature rather than defining security over an asset. The person signing the ensure is personally liable if the company the borrower fails to pay back the debt.
The Personal Property Securities Register (PPSR) is an online, central register that is operated by the New Zealand Government. It contains security interests granted to individuals who own personal property (including the assets or goods). The PPSR gives the priority of personal property assigned in accordance with the date on which a security interest has been registered.
The caveat can be described as a formal form of document to offer an official notice of a claim on a property.
What is a pre-approval minus Credit Check?
If you’re applying for a Larger Business Loan that is greater than $250,000 we can offer an initial pre-approval to ease the process. We could be able to apply for this without credit checks and within six hours of your initial application. The pre-approval is based upon an initial assessment that includes you answering some financial health questions. It is not an offer or guarantee of credit. Acceptance without condition is subject to a full credit assessment and any offer that you might receive could be subject to different terms.
Are I eligible for funding?
You may apply for a company loan if you
- are a New Zealand Citizen (or Permanent Resident)
- are over the age of 18 and have a New Zealand company (with a valid NZBN/IRD)
- can demonstrate at least 6 months of business (for you to qualify for unsecured loan $5K – $100K) or 3 years of continuous trading (for the Larger Business Loan $100K to $500K)
How do I apply?
The application process is simple and easy. Just complete the online application within a couple minutes, and a dedicated business loan specialist will contact you to help you.
To be eligible for up to $100,000 you’ll need the right identification documents (valid Driver’s Licence) as well as a valid NZBN/IRD as well as at least 6 months’ worth of bank statements.
In addition, for larger loan sizes, you’ll need:
$100K to $250K: Details of application, including credit approval, 6-12 months of bank statements, IRD statement (if you have a loan of more than $150K).
$250K-$500K: Application details including credit consent, 12 months bank statement, an IRD statement and the last two years’ finalised financial statements, as well as interim current financial year financials such as age-related payables and aged Receivables summaries.
How quickly will I receive an answer?
For an unsecured loan ($5K to $100K) we usually provide an answer in just one hour, provided you submit your request during standard company timings and allow us to utilise the advanced bank verification system link to immediately verify your bank account information online. If you choose to upload copies of your banking statements we can offer an answer within just an business day.
For Larger Business Loans ($100K to $500K) we may be able to provide you with pre-approval conditional to your application within six hours. Once you have signed the pre-approval, the turnaround time is approximately 2-3 days to receive final approval. However, this could be shorter based on the specifics of each application. Certain transactions have received approval in the space of 24 hours.
The most effective method can be ensure you apply during standard company hours. Also, allow us to use our modern bank verification link to verify your bank account information online. If you choose to upload documents from your account statements , it can take a bit longer.
What is the time frame to receive the money?
For the Small Business Loan ($5K to $100K) we typically provide an answer in just one hour – as long as you apply in standard business timings and allow us to make use of the advanced bank verification system to instantly verify your bank details online. If you opt to upload copies of your bank statements we can provide a decision in as little as one business day.
For the Larger Business Loans ($100K to $500K) we could be likely to provide the conditional pre-approval within about 6 hours. After you’ve signed the pre-approval, the turnaround time is between 2 and 3 days for the final approval, however this can be faster depending on the circumstances of each application. Some agreements have been approved in 24 hours.
The fastest way for you to apply is make sure you apply during normal business hours. You can also allow us to use our modern bank verification link to verify your bank information online. If you decide to send us copies of your bank statement, it will take a little longer.
How much can I borrow?
We provide the loan amount between $5,000 to $500,000. When you make an application for a specific amount we will consider a number of variables to determine the health for your company as well as the amount of the repayments your business can afford. The amount you receive from your loan will be contingent on the specifics of your business.
When you submit an application for a specific amount we take into consideration a variety of variables to determine your well-being for your business and the level of repayments that your business can afford. The total amount of the loan will be determined by the specific circumstances that are unique to your business.
Fees & repayments
What is the cost for an business loan?
When you apply for the company financing, we’ll assess the risk assessment for your business and provide you with a customised offer that includes the amount of loan, the term and the interest rates. This company loan is an upfront-priced loan which means you know the exact amount due, which includes any interest rates, fees or charges.
What determines the amount I’m charged?
The interest rates on business loans rates vary due to factors like the amount of money borrowed, the business assets the funds will be used for as well as the field the company is in, how long the company has been running and in the event that the business has sufficient cash flow to cover the loan, and also the overall well-being as well as creditworthiness business.
What are the fees?
There are no hidden costs for our business loans, and you’ll know precisely how much you be required to pay, and at what time, from day one. There’s no compounding interest, and no additional fees (as long as you make your payments on time).
We don’t charge an application fee. You are able to make an application for loans with absolutely no upfront cost and no any obligation to sign up.
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. The Origination Fee for us is 2.5% of the amount of loan.
Can I repay the loan in advance?
You can repay the total amount of your advance loan at any time.
If you choose to take this route, please talk to one of our helpful company loan experts. They’ll provide you with details on repayment and an early payment figure. This is calculated as the total of the principal balance plus any accrued interest as of the time of the early payout and 1.5 percent of the principal balance and any outstanding fees.
What are the repayment methods?
To ensure that you don’t miss payment dates and to align with your cash flow general, we offer repayments that are either daily or weekly. These are automatically withdrawn from your business account.
Security & privacy
Will my data be protected?
The security of your personal information, as well as making it clear how we collect the information we collect, use, share and protect your information, is crucial and an integral element of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We utilise industry-recognised encryption techniques to protect your sensitive, personal financial and other data. Our funders are ISO 27001 certified for our commitment to security for our customers and privacy. We make use of an advanced bank verification system that allows you to immediately verify the bank account details online to provide an immediate response.
About business loans
How do you define asset-based lending (a secured loan)?
The term “asset-based” refers to borrowing where a business owner borrows from an asset that they own to get the loan. The asset can be an asset belonging to the personal, like the family home, or a business asset such as a vehicle or piece or equipment.
The vast majority of the lenders including the major banks, prefer to guarantee loans against assets. If you’re having trouble paying back the loan then the asset could be sold by the lender. In essence it’s an opportunity to secure new funding making use of the value of what you already have.
Should I require security to secure an business loan?
For loans of up to $150,000, the requirement for asset security is not required before you can access the money, however we do require a personal guarantee. If you adhere to the loan terms (as stipulated in your loan contract document), asset security will never be needed. For loans of over $150K typically, you will need an individual ensure and security is provided in the form of a charge over assets.