FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
About The Waiau Pa Small Business Loans
Tell me how you are able to avail the Waiau Pa Small Business Loans
Waiau Pa unsecured loans provides amounts of between $5,000 and $100,000, with terms ranging from 3 and 24 months. They also offer cash flow friendly repayments that are either daily or weekly.
What is what makes the Unsecured Loan different from the traditional company loan?
Apply to this Small Business Loan in under 10 minutes on the phone. You’ll receive an immediate response, and the funds could be in your account within 24 hours. Traditional company loans have an interest rate per annum together with additional fees and charges. This business loan is a pre-paid loan therefore you’ll know in advance the total amount payable including any fees, interest or charges. Then, it is divided into weekly or daily payment amount.
What could be the Small Business Loan be used for?
The Small Business Loan can be used for nearly any business need, such as managing cash flows, business renovations, marketing to purchase inventory, new equipment, for general working capital, and much more. The loan cannot be used for personal purposes.
About Larger Waiau Pa Business Loans
What is the Larger Waiau Pa Business Loan?
The Larger Business Loan is a larger size of loan that can be used to fund company expansion opportunities. Loans range from $100,000 to $500,000 with a term fixed up to 36 months. Repayments are scheduled weekly or fortnightly to work with the flow of cash.
How’s the Origination Fee calculated?
The Larger Business Loan has an Origination Fee, which is determined at 2.5 percent of the loan amount.
Am I eligible for the Larger Business Loan?
To be eligible for a credit of this size, your company needs to have been operating for a minimum of 3 years and have an annual turnover of $700K. Your company must belong to a New Zealand Citizen (or Permanent Resident) who is over the age of 18, own a New Zealand business (with a valid NZBN/IRD) and be able to prove at the least 12 months of operating.
How can the funds be utilised?
A Larger Business Loan can be used for nearly all company use, including business renovations, purchase of equipment or inventory for general working capital and much more. The loan cannot be used for personal purposes.
Is the Larger Business Loan one that requires security?
Asset security is required for accessing funds over $150,000. This is in the form of a charge against assets, which could also include the registration of this with the PPSR or filing a caveat.
A director’s or personal guarantee is a commitment to pay off a credit line that is general in nature, rather than stipulating security over a particular asset. The person who is signing the guarantee is personally liable in the event that the business lender is not able to re-pay the debt.
The Personal Property Securities Register (PPSR) is an online central register run by the New Zealand Government. It contains security interests registered in respect of personal property (including items or assets). The PPSR permits priority over personal property to be granted according to the date the security interest was registered.
Caveats are legal form of document to offer the legal claim to a property.
What is a pre-approval minus Credit Check?
If you’re seeking an enterprise loan that exceeds $250,000 we may be able to provide an initial pre-approval in order to simplify the process. We could be able to get this done without credit checks and within 6 hours of the initial application. This pre-approval is made based on a preliminary assessment which includes answering a couple of financial health questions. It is neither an offer nor a guarantee of funds. Unconditional approval is subject to an extensive credit evaluation and any offer you may receive may have different terms.
Do I qualify for funds?
You may apply for an company loan if you:
- are a New Zealand Citizen (or Permanent Resident)
- are over the age of 18 and own a New Zealand company (with a valid NZBN/IRD)
- can demonstrate at least 6 months of trading (for the unsecured loan $5K – $100K) or 3 years of trading (for the Larger Business Loan $100K up to $500K)
How do I apply?
The application process is fast and simple. Just complete the online application in few minutes and a dedicated business expert in lending will contact you to assist you.
To apply for up $100,000 you’ll need ID details (valid Driver’s License) as well as an active NZBN/IRD, and at least six months of bank statements.
If you’re looking for loans with larger sizes, you’ll also need:
$100K-$250K: Information about the application including credit approval, 6-12 months of IRD statements, bank statements (if the loan is greater than $150K).
$250K – $500K: Details for application including credit consent, 12 month bank accounts, the IRD statements, last 2 years finalised financial statements, in addition to interim financials for the current financial year as well as Aged Payables and Receivables Summary.
What speed will I be able to get an answer?
For an unsecured loan ($5K up to $100,000) we can often provide an answer in just one hour, provided you submit your request at quality company times and let us make use of the advanced bank verification system to immediately verify your bank account information online. If you opt to upload copies of your banking statements , we’ll be able to offer the decision in just one company day.
For the Larger Business Loan ($100K and up) we may be capable of provide you with pre-approval conditional to your application in about six hours. After you’ve signed your pre-approval document, you will require to wait around 2-3 days for final approval. However, it could be faster based on the specifics of each application. Certain deals have been approved in the space of 24 hours.
The quickest method is to make sure you apply during standard company hours, and allow us to use our advance bank verification to confirm your bank details online. If you upload the copies of bank accounts, it may take a bit longer.
How fast will I get the cash?
For the Small Business Loan ($5K to $100K) we can often offer an answer within an hour if you submit your request within normal business timings and allow us to utilise the advanced bank verification system to instantly verify your bank’s information online. If you choose to submit copies of your bank statements, we’ll be able to offer a decision in as little as 1 business day.
For the Larger Business Loans ($100K and up) We may be in a position to offer you with conditional pre-approval in about 6 hours. Once you’ve signed the pre-approval form, it will take about 2-3 days for final approval, however it could be faster based upon the circumstances for each application. Certain offers have been approved in 24 hours.
The most efficient method for you to apply is ensure you apply during normal business hours. Also, allow us to use the advance bank verification link to confirm your bank details online. If you choose to send us copies of your bank statements, it will take a little longer.
How much can I borrow?
We offer loan amounts between $5,000 and $500,000. When you make an application for a certain amount, we consider a variety of aspects to determine what is the health for your business and the extent of repayments that your business can afford. The amount you receive from the loan will be determined by the specifics that are unique to your business.
When you make an application for a certain amount, we take into consideration a variety of factors to assess your well-being for your business and the extent of repayments your business can afford. The amount you receive from the loan will be determined by the particular circumstances of your business.
Fees & repayments
How much do you charge for an business loan?
When you make an application for business loans with us company loans, we will assess the risk assessment of your business and offer you with a customised offer, including the amount of loan, the term and interest rates. The company loan is an upfront cost loan therefore you will be aware of the total amount payable including any costs, fees, or interest rates.
What determines the rate that I am charged?
The interest rates on business loans rates depend on a variety of factors like the amount of money borrowed, the business assets the funds are used to purchase in addition to the industry that the business is operating in, how long the company is in operation as well as how long the business has sufficient cash flow to support the loan, and general well-being or creditworthiness of the company.
What are the fees?
There are no hidden fees for our business loans, and you’ll know precisely what you be required to pay and when, from the very first day. There’s no compounding interest and no extra fees (as long as you are able to make your payments on time).
We don’t charge an Application Fee. You can apply for a loan with absolutely no upfront cost and no commitment to apply.
The Origination Fee covers the costs associated with the setting up and management of the loan. This is only a fee if you choose to proceed with the loan. The Origination Fee for us is 2.5 percent of the amount of the loan.
Can I pay out the loan in advance?
You can repay the entire amount of the loan at any point in time.
If you choose to do this please call our helpful company credit experts. They’ll offer 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 accrued interest to the date of early payout, plus 1.5 percent of the principal remaining plus any outstanding fees.
How do repayments work?
In order to help you avoid missing payments and to work with your cash flow cycle we offer repayments either daily or weekly. They are automatically deducted from your business account.
Security & privacy
Will my information be protected?
The security of your personal information, as well as being transparent about the ways we gather data, process, exchange and safeguard your data, is crucial and an integral part of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We use industry recognised encryption techniques to protect your sensitive, personal and financial data and our funders are ISO 27001 qualified for our commitment to the security of our clients as well as their security. We employ a highly sophisticated bank verification system link to immediately verify your bank account information online. This allows us to offer rapid response.
About business loans
What exactly is an asset-based loan (a secured loan)?
An asset-based loan is when an business owner uses assets they own to obtain the funds for a loan. The asset can be either an individual property, such as the family home, or a business asset such as a vehicle or piece or equipment.
The vast majority of lenders, including the major banks, prefer to guarantee loans against an asset. If you’re having trouble paying back the loan then your asset may be transferred to the lender. In essence, it’s a way of securing new financing making use of the value of what you already have.
What do I require 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. require a personal guarantee. So long as you comply with your loan commitments (as stipulated in your loan contract document) Asset security is not needed. For loans over $150,000 typically, you will need personal ensure and security is provided in the form of an asset charge.