The versatile loan that lets you draw down funds throughout the year for maximum business flexibility.
Looking for straightforward small business financing that’s easy to apply for, competitively priced and has a convenient draw down facility? The businessloan.com.au Flexible Business Loan is a versatile financing option that lets you borrow from $5,000 to $500,000 for any business purpose. Applications are 100% online, so once you’re approved, the money can be in your account the same business day.
|Product Name||businessloans.com.au Flexible Business Loan|
|Min Loan Amount||$5,000|
|Maximum Loan Amount||500000|
|Loan Term||6-12 months|
|Application Fee||1.5% Initial draw down fee|
How does the Flexible Business Loan work?
You can use the Flexible Business Loan for any business purpose, and it can provide an ideal source of working capital for your day-to-day trading operations.
The amount you can borrow is based on your business turnover and with a competitive interest rate and convenient redraw facility, it provides an invaluable source of funds that’s available whenever you need it.
Features of the Flexible Business Loan
Features offered with this loan include the following:
- A range of loan amounts. You can apply for a loan between $5,000 and $500,000, making it useful for a variety of business purposes.
- Flexible loan purposes. You can use the loan for any business purpose ranging from purchasing equipment and inventory to hiring staff or renovating.
- Flexible eligibility criteria. Your application is assessed according to a variety of factors, including your years in business, your turnover, your assets and your creditworthiness.
- Easy application and fast turnaround. You can apply online in minutes and once approved, your funds can be in your account the same business day.
- Convenient redraw option. Allows you to draw down money at any time during the year for any business purpose.
- No security required. This type of loan is unsecured, so there is no security required for approval.
- Transparent pricing. The rates and fees are fully disclosed upfront.
- Straightforward product. A simple, declining balance loan where you pay interest only on the principal outstanding.
How much does the loan cost?
Once approved for your Flexible Business Loan, you’ll be sent a loan schedule which outlines all interest and fees charged. The following is a general outline of the costs you can expect to incur:
- Low interest rate. The interest rate is fixed at 1.1% per month.
- Minimum repayments. The minimum total repayments over 30 weeks on a $20,000 loan is $21,631.80, for an average APR of 24.93% (based on 4 years in business or 2 years for asset-backed directors, $20,000 in monthly sales, healthy credit and 100% business purpose).
- Drawdown fee. You will need to pay 1.5% of the drawdown amount at the time of loan funding.
- Direct debit fee. The direct debit fee is $3.85.
- Dishonour payment fee. In the event of a failed direct debit, you will need to pay a $45 fee.
- Daily default interest. The default interest is 0.0075% on the outstanding principal.
How to apply for the Flexible Business Loan
Applying for a Flexible Business Loan is easy and can be started by clicking “Go to Site” at the top of this page. General eligibility criteria to keep in mind include the following:
- Minimum two years in business for property-backed directors and four years for non-property owners
- A good credit rating
- Minimum $20,000 per month in sales
- Minimum loan amount $5,000
When you click on the Get Funded button on the businessloans.com.au website, you’ll need to complete a short application form and submit documents for loan processing. After you have completed this, your application will be assessed and a response provided within 24 hours. If approved, you can expect the funds to be wired to your account soon after that.
Term loans such as the Flexible Business Loan are useful for financing longer duration projects and assets, but some have high early repayment penalties, so be sure to select the duration of the loan wisely and shop around for the best deal for your business situation.