A variety of business type loans are available, including property loans, unsecured loans, commercial and more.
BUSINESS TERM LOANS
Set and forget i.e. for a fixed TERM. Terms can vary depending on product chosen. Generally property secured, and/or secured against the business assets (applicable in some cases where it is a mature.business with a good track record. Suits property purchases or even long term working capital which is envisaged to stay, or continue as a hardcore debt for a period.
COMMERCIAL/BANK BILL FACILITIES
An agreement to borrow a bill from the bank which has a set date for repayment in full. Funds are drawn at each rollover date and a net consideration amount paid. Face Value of Bills will be due upon maturity i.e. interest generally paid upfront. Cheaper option when compared to a Term Debt Facility as it is a Market based Product, and Interest Rates and Margins could be more attractive. Secured by Business Assets, or Property.
UNSECURED BUSINESS LOANS
As the name suggests. This type of product or facility is reliant purely on the cashflow of the business, or a clear exit strategy. Suited to businesses in need of short term funding for e.g. GST payment which will be recoverable within 3 months, and paid back.
SMALL BUSINESS LOANS
Funding for either commercial owner occupied or investment properties. Working capital arrangements, cashout for business acquisitions, etc.. Usually secured by property, or owner’s guarantee.