FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
Information About The Oldbury Small Business Loans
Let me know how you are able to avail the Oldbury Small Business Loans
Oldbury unsecured loans provides amounts of between $5,000 and $100,000 with terms between 3 and 24 months, cash flow-friendly repayments that are either per day or weekly.
What makes this Unsecured Loan different from an ordinary business loan?
It is possible to apply to get your Small Business Loan in under 10 minutes online or on the phone. You’ll receive an immediate response, and funds may be available in just 24 hours. Traditional company loans refer to an interest rate per annum plus other fees and charges. Our company loan is a cash-based loan and you’ll be aware of the total amount to be paid, including any interest, fees or charges. Then, it is divided into weekly or daily installment amount.
What can the Small Business Loan be used for?
The Small Business Loan can be used for virtually any company reason, such as control of cash flow business remodels and marketing to purchase inventory or new equipment, as general working capital and much more. The loan cannot be used for personal reasons.
About larger Oldbury Business Loans
What is the Larger Oldbury Business Loan?
The Larger Business Loan is a larger amount of loan to help business growth opportunities. Loans range between $100,000 and $500,000 with a fixed-term up to 36 months. Repayments are either weekly or fortnightly, depending on your cash flow.
How’s the Origination Fee determined?
This Larger Business Loan has an Origination Fee, which is determined at 2.5 percent of the amount of the loan.
Do I qualify for the Larger Business Loan?
In order to be eligible for a loan that is this large, your business needs to have been operating for a minimum of 3 years with an annual turnover of $700,000. Your business must belong to a New Zealand Citizen (or Permanent Resident) at least 18 years old as well as own a New Zealand business (with a valid NZBN/IRD) and be able demonstrate at minimum 12 months of continuous trading.
What can the funding be used for?
A Business Loan of a larger size can be used for nearly every business need, including business renovations, purchase of new equipment or inventory or as general working capital, and much more. The loan cannot be used for personal use.
Is the Larger Business Loan a secured loan?
Asset security is required to access funding over $150,000. This is by way of charge over assets, and could include the registration of this through the PPSR or registering a caveat.
A director’s or personal guarantee is a promise to repay credit that is generally in nature rather than stipulating security over a particular asset. The person who is signing the guarantee is personally responsible if the company the borrower fails to make the repayment.
The Personal Property Securities Register (PPSR) is a central, national online register run by the New Zealand Government. It contains security interests which are registered with respect to personal property (including goods or assets). The PPSR permits preference over private property granted according to the date a security interest has been registered.
The caveat can be described as a formal document that is filed to provide the legal claim to property.
What is a pre-approval without Credit Check?
When you’re applying for the Larger Business Loan of $250,000 or more, we may offer an initial pre-approval to simplify the process. It is possible to do this without a credit verification and within 6 hours of the initial application. This pre-approval is based on an initial evaluation that involves you answering a few financial health questions. This is neither an offer nor a guarantee of financing. The approval of a conditional loan is subject to an extensive credit evaluation and any offer that you may receive may be subject to different conditions.
Application process
Do I have the right to receive funds?
You may apply for an business loan if you;
- are a New Zealand Citizen (or Permanent Resident)
- are 18 years or older, have a New Zealand company (with a valid NZBN/IRD)
- must show at least six months of trading (for you to qualify for unsecured loan $5K – $100K) or three years of trade (for the Larger Business Loan $100K to $500K)
How do I apply?
The application process is fast and simple. Simply complete the online form in few minutes and an experienced business expert in lending will contact you to guide you through the process.
To be eligible for up to $100,000, you’ll need identification details (valid Driver’s Licence), a valid NZBN/IRD as well as at least six months of bank statements.
In addition, for larger loan sizes, you’ll need:
$100K – $250K: Information about the application including credit consent, 6 – 12 months of IRD statements, bank statements (if the loan is greater than $150K).
$250K – $500K: Information on the application including credit consent as well as 12 month bank accounts, the IRD statement Last 2 years’ finalised financial statements, plus interim current financial year financials including Aged Payables, Aged Receivables summary.
What speed will I be able to get an answer?
For an unsecured loan ($5K to $100K) we usually offer an answer within one hour, provided you make your application at quality business times and permit us to utilise the advanced bank verification system to instantly verify your bank’s information online. If you opt to submit copies of your bank statement, we’ll offer an answer in just an company day.
For the Larger Business Loan ($100K or more) we may be likely to provide you with pre-approval conditional to your application in around 6 hours. Once you have signed the pre-approval document, you will require to wait about 2-3 days for final approval. However, this can be quicker based on the specifics of each application. Certain offers have been approved in 24 hours.
The quickest way to apply for you to apply is ensure you apply during normal business hours. You can also allow us to use the advanced bank verification system to instantly verify your bank account information online. If you decide to send us documents from your account statements , it will take a little longer.
What is the time frame to receive the cash?
For the Small Business Loan ($5K to $100K) We can usually offer an answer within one hour if you make your application within standard business timings and permit us to make use of the advanced bank verification system to instantly verify your bank’s information online. If you choose to send us copies of your bank statements we can offer a decision within 1 business day.
If you are applying for Larger Business Loans ($100K and up) we may be in a position to provide you with conditional pre-approval in about six hours. Once you have signed the pre-approval document, you will require to wait about 2-3 days for final approval. However, this could be shorter based on the circumstances of each application. Certain transactions have received approval in less than 24 hours.
The quickest method can be make sure you apply during normal business hours. Also, permit us to use the advanced bank verification system to instantly verify your bank account information online. If you choose to upload documents from your account statements, it will take a little longer.
How much can I borrow?
We offer loans that range from $5,000 to $500,000. When you make an application for a particular amount, we look at a variety of factors that determine what is the well-being of the company and the level of payments your company can afford. The amount you receive from your loan will depend on the specifics the business.
When you make an application for a set amount, we will consider a number of aspects to assess the health of the company and the level of repayments that your business will be able to support. The amount you receive from your loan will be contingent on the specific circumstances that are unique to your company.
Fees & repayments
How much should you charge for a company loan?
When you request our business financing, we’ll assess the risk assessment the company and offer you with a customised offer including the amount of loan, the term and interest rates. This company loan is an upfront-priced loan which means you know the exact amount to be paid, including any charges or interest.
What determines the amount I am charged?
Business loan interest rates depend on several factors including the amount that is borrowed, what company assets the money will be used for as well as the field the business is operating in, how long the company has been running for, whether the business has sufficient cash flow to support the loan, and overall well-being or financial standing of the business.
What are the fees?
There aren’t any hidden costs for our company loans. You’ll be aware of the amount you’ll be required to pay, and at what time, from the very first day. There’s not any compounding interest and the loan comes with no additional fees (as long as you make your payments in time).
We don’t charge an Application Fee. You can get a cash loan absolutely no upfront cost and no the obligation to take action.
The Origination Fee includes the expenses associated with setting up and managing the loan. You are only charged this fee if you choose to proceed with the loan. Our Origination Fee is 2.5 percent of the loan amount.
Do I have the option of paying off the loan in advance?
You may choose to pay back the entire amount of the advance loan at any time.
If you choose to pursue this option, please call our helpful business loan specialists. They’ll offer you with details for repayment as well as an early payout amount. This is calculated as the total of the principal balance and accrued interest to the date of early payout in addition to 1.5 percent of the principal amount remaining as well as any outstanding fees.
What are the repayment methods?
In order to help you avoid missing due dates and also to be in line with your cash flow cycle we provide payments that are either daily or weekly. They will be automatically deducted from the nominated business account.
Security & privacy
Will my information be protected?
Making sure that your information is secure, and being clear about how we collect, use, exchange and safeguard your data, is of huge importance and is an essential part of our relationship you.
Is it safe to link my bank account to the platform?
Yes. We employ industry-recognised encryption protocols to safeguard your personal, sensitive financial and other data. Our funders are ISO 27001 certified for our dedication to protecting the security of clients and security. We employ an exceptionally sophisticated bank verification system to immediately confirm your bank account information online to provide rapid response.
About business loans
What’s an asset-based borrow (a secured loan)?
The term "asset-based" refers to borrowing where a company owner makes use of the assets they have to obtain the funds for a loan. The asset can be either a personal asset like the family home, or a business property like a truck or other piece of machinery.
The vast majority of lenders, not just the banks with the biggest size, prefer to make loans secured by an asset. If you’re having trouble paying back the loan then your assets could be sold by the lender. In essence it is the process of securing additional financing making use of the value of what you already own.
Should I require security for an company loan?
For loans of up to $150K, the requirement for asset security is not required prior to the loan’s access However, we require a personal guarantee. need a personal guarantee. As long as you follow the loan terms (as specified in your loan contract) Asset security will never be needed. For loans over $150K generally there is the option of a personal ensure and security that is in the form charges on assets.