Business Loans

NBS Home Loans

Looking For A Business Loan?

NBS Home Loans has a business loan solution for YOU!

What unique perspectives and leverages does NBS Home Loans bring to Business Loans?

  • We have access to over 70 lenders 
  • We have 10 years of business lending experience
  • We have relationships with experts at major business lenders and we work hand in hand with them from idea to settlement to ensure a smooth process for all our clients

What kind of business loans are there?

  • Because there are many different types of businesses with varying needs, there are also many different types of business loans
  • For example, business loans may take the form of mortgages, lending overdrafts, chattel mortgages, lease doc loans… and the list goes on!
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Why should I business consider a loan?

  • There are many different reasons you may consider a business loan
  • Reasons may include growing or expanding your business, investing in the future, product development, covering manufacturing costs, securing premises for trading so you are not paying rent, and so on.

What kinds of documentation do I need to seek a Business Loan with NBS Home Loans?

  • Most lenders will need tax returns, financial data, including cash flow analysis, financial forecasting, and ATO portal data a minimum.
  • Startups require a sound business plan that includes cash flow analysis, cash flow forecasts, and feasibility forecasts in some cases.  There must be an evident and sound business case to secure a business loan for a startup or new business.

NBS Home Loans can help you find the right type of business loan for your individual needs and circumstances!

Marty Walmsley

CEO, NBS Home Loans

 

What We Offer In Business Loans, Advice And Support

The Answers You Need To Decide A Business Loan Is Right For You

What is a Business Loan?

  • A Business Loan is a loan that is used for commercial purposes.

Are business loans difficult to be approved with banks?

  • Every business is unique, and business loans tend to have varied purposes, so it really depends on the circumstances
  • In some cases, it may be difficult to seek finding, while in other cases approval may be quite straightforward.
  • Most business loans have a shorter loan term than other sorts of loans (e.g. 15 years vs a home loan which would typically have a 30-year loan term), as well as a higher interest rate.  This means repayment are generally higher, so businesses need to have sufficient cash flows to meet their repayment obligations.

Is a business loan a better solution than a bank overdraft and why?

  • Bank overdrafts tend to start at anywhere to 8-20% for interest rates.
  • Business loans start from a round a 4% interest rate, meaning a business loan may often be more cost-effective.
  • Business loans attract a 4% + interest rate, which is much lower
  • Business loans run for a set term and have an expiry date, whereas overdrafts are a line of credit; there is potentially no end to the debt as it is usually a permanent facility.
  • Overdrafts are generally used to manage cash flow and should be discussed with a financial planner or an account, not a finance broker.

Are there different tiers of business loans?

  • Different on their size, purpose and the type of industry, business loans are generally managed by different specialist at each lender.
  • NBS Home Loans has relationships with a range of specialists across many lenders and can help place your loan with the most appropriate specialist at the right lender for your needs and circumstances.
  • Taking ANZ, for an example, loans of up to $300k are managed by one type of specialist, loans of $300k-$1million by another specialist, and lans over $1million by another specialists.
  • Banks also have business sector specialists.  Loans for childcare centres, for example, may be managed by a different specialist to loans for medical professionals or loans for manufacturing, and so on.
  • Banks also have business sector specialists – childcare, for example, goes through a different specialist as opposed to doctors who are referred to another dept, manufacturing to another specialist. and so on.  This is to ensure clients deal with an appropriately qualified specialist who best understands the client’s business.
  • When lending exceeds a million dollars, loans are usually subject to annual reviews by the lender.

What kinds of securities and guarantees are required for business loans?

  • As a general rule, lderns like to see bricks and mortar security.
  • Assets such as a car or equipment may also be used a security in some cases.
  • In almost all cases you require a “Directors Guarantee”, which is a guarantee that the Directors will be liable for any debt the business cannot repay.
  • In some cases, the valuation of a business asset, for example, a fit out, may be used to secure finance.
  • Businesses with guaranteed cash flow, such as accountancy and financial planning businesses, may be able to use their ‘books’ as an asset.  Examples are an accounts book, financial planning books, loan books, commission trails, etc.  Lenders will consider the income level in determining if this is sufficient security in these sorts of cases.

What kind of fees are involved with NBS Home Loans for Business Loans?

  • Fee structures charged by lenders can be as varied and complex as the product options themselves.
  • NBS Home Loans will give you an indication of the type and range of fees that may apply in your particular circumstances.
  • NBS Home Loans may also charge a fee depending on the complexity of the business loan; this will be disclosed to you before proceeding.

Business Loans For Small And Medium Businesses In Australia

Are you growing and ready for the next step?

A business loan may be the solution you need.

Business Loans For Small And Medium Businesses In Australia

Are you growing and ready for the next step?

A business loan may be the solution you need.

Business Loans for Small Business

Are you growing, ready for the next step?

Business Loans For Premises

Need to expand to accommodate staff?

Business Loans For Assets

Need machinery or products to grow in market?

Business Loans For Cash Flow And Business Growth

Job Rich, Cash Poor?

What are the complaints people have about dealing with banks for business loans?

  • Excessive fees and charges
  • Difficult assessment criteria
  • Ruthless Annual Reviews

What kind of Credit Score can you work with to secure a Business Loan for a client and how do you qualify for a business loan?

  • Credit scoring assigns you a value between – and 1200 based on your credit history.  Most lenders like a credit score of at least 600.  However, credit scores do not influence the outcome of business loans as much as they influence the outcome of consumer loans (such as home or personal loans).
  • Circumstances such as your age can affect your credit score.  When scoring for younger people, we don’t expect such a high score as your credit history will be generally shorter.  In these sorts of cases, usually anything over 400 we can worth with.

Which loans are the best?
There is no one right answer.  Finding the right type of loan for your circumstances and needs is always done on a case by case basis.  The type of loan needed, as well as the options available, are unique to each client’s circumstances.

Loans For New Business

New to business and need financing?  We can help.

Are You Growing and Expanding in Market?

Whether it is product development, equipment, a new premises, we have a business loan to fit.

Requirements And Facts About Business Loans

NBS Home Loans, Your Business Partner, Working Together With You To Help You Grow

Business Loans And Cash Flow Issues

Are business loans the best solution for cash flow issues in small and medium business (even large business)?

  • Generally no.  The answer is always unique to the business and there are some exceptions (e.g. where invoice finance may assist with cash flow), but in most cases, business loans are generally not an appropriate solution for cash flow issues.
  • Assets such as car or equipment
  • In the case of cash flow issues, you should always consult a financial planner or accountant.

Business Loans And Cash Flow Issues

Are business loans the best solution for cash flow issues in small and medium business (even large business)?

  • Again no.  The answer is always unique to the business but not recommended.
  • Again, you should always consult a good and professional, recommended financial planner or accountant

Two (2) Business Loans Categories

Business loans have two main categories, secured and unsecured, please explain these and the pros and cons.

1. Secured

  • These types of loans tend to use bricks and mortar or business equipment as security, although as previously mentioned there are situations when other types of security may be used.  Secured loans usually attract lower interest rates and setup costs.

2. Unsecured 

  • These usually attract high-interest rates and setup costs.

Achieving Business Growth With A Business Loan

How does a business achieve growth with business loans?

  • Business owners can use borrowed funds to invest in the business; this may allow them to offer more services or products, offer greater reach, hire staff to generate more income, or secure additional equipment or locations.
  • Income-generating aspects of the business may be expanded to generate additional income.
  • A business loan can increase capability for profit and growth.

Buying Stock And Inventory With A Business Loan

Are business loans used for stock and inventory acquisition for business growth?

  • They can be.  For example, a shop may sell stock faster than stock shelves can be replenished.  Small unsecured loans can allow you to keep more stock in reserve allowing you to make more sales.
  • Business loans can also be used to procure additional staff to optimise workloads, bring in more efficient processes, convert leads to sales, and assist with data processing and fielding enquiries..
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Who Are Business Loans For?

Images of young Australians for all different cultural backgrounds, male and female - representing NBS Home Loans Business Loan clients - business loans for All Australians

What sort of businesses take out Business Loans?

  • A range of business types, from new start-ups to entrepreneurs to large established businesses.
  • Any business with a legitimate and legal purpose may consider taking out a business loan.

Examples of people who need a business loan:

  • Established businessmen and entrepreneurs
  • A young kid from the UFC gym
  • A young lady who bakes from her own kitchen industrial oven
  • A client that makes protein balls to sell B2B and B2C
  • A Strata management company
  • Builders
  • Lawyers
  • Accountants
  • Young entrepreneurs and seasoned veterans close to retirement
  • An 80 year old who manufactures and sells makes blinds

The list goes on…

New Business Loans

Do new businesses qualify for business loans and should they use them to commence trading?

  • With the right projections, forecasts and business plan, and security; yes.
  • In considering a business loan for a new business, lenders will look forward to forecast a probable outcome (especially if there is no trading history or financial yet).

What are the impacts on bank-speak and do people constantly sign loans they do not understand and get into trouble?

  • More Borrowers frequently misunderstand what they are signing up for  which can lead to all sorts of difficulties.  They may be locked in to a product which is not the right product for their needs, or end up paying too much for a product because they were bamboozled by a ‘good’ introductory rate or did not consider the fees and charges applicable.
  • They In NBS Home Loans will take the time to help you understand your options and find one that will fit your business now and as it grows and develops in the future.

YOUR BUSINESS LOAN CONSULTATION IS FREE

We have a team of expert finance brokers all focussed on finding you the right business size, appetite, circumstances and needs.  We’re here for the long run.  We will partner with you to help grow your business into your future.

Managing Your Business Loan And What Is Possible

NBS Home Loans, Your Business Partner, Working Together With You To Help You Grow

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Can I Renegotiate My Existing Business Loan?

  • Loans can sometimes be renegotiated.  Once the loan term has expired this cannot be done and a new loan would need to be written, however, if there is a period of time left on the loan term before it ends some lenders will consider renegotiating it.  As a general rule, banks are reluctant to renew terms when a business is in trouble.

Paying Another Business Loan With A New Business Loan

Is it possible to use a business loan to pay another business loan and is this recommended?

  • This is often done as debt consolidation, and often takes the form of combining all debts into one loan.
  • It should only occur if it has a clear benefit to the client, such as a lower interest rate or lower monthly repayment cost.

Achieving Business Growth With A Business Loan

How does a business achieve growth with business loans?

  • By using the funds to invest in the business to offer more services or to offer greater reach or hire staff to generate more income.
  • Income-generating aspects should be heavy in consideration in regards to business loans; they should generate and increase income and also generate income previously unavailable because the business was lacking the capability.
  • A business loan can increase capability for profit and growth.

Flexible Business Loans

Are there any flexible business loans to allow me to repay more when my business is profiting more, and repay less, when business is quiet?

  • Yes, most business loans allow for additional payments, although some impose limits on the extra amount that can be paid without penalty. However, it’s important to note that there is usually a minimum contractual repayment that is required and non-negotiable.
  • If flexibility is important to you, NBS Home Loans will help find a loan that is suitable for your requirements.

Business Loans And Financial Difficulties

What happens if I can’t meet my repayment schedules for my business loan?

  • Talk to the broker and bank as soon as possible to put arrangements in place.  It’s important not to miss or reduce any repayments without a formal arrangement in place with the lender.

The Most Common Issues With Business Loans

What are the common issues people encounter with business loans in your experience?

  • Asking for the loan when they are in trouble rather than at the planning stage.
  • By the time your business is already in trouble, many lenders will be reluctant to assist.

Secure Your FREE Consultation NOW

We can visit you at a time convenient for YOU.  After hours?  Yep!  Sure!!!

Secure Your FREE Consultation NOW

We can visit you at a time convenient for YOU. After hours?  Yep!  Sure!!!

Request A Call-Back

We’re Here To Help You At The Time Convenient To YOU.

Arrange a meeting with one of our loans specialists.  We can see you after hours and even at night.  AND it’s free for us to consult you.

 

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