Business Lending
Find the right finance to fuel growth.
Asset and Equipment Finance products and services (AEF products and services) help you manage the process of purchasing assets using cash-flow financing instead of more expensive upfront or front-loaded financing options. AEF products and services include a broad range of loan structures tailored specifically to government agencies, including general obligation bond financing, grant assistance, leasing programs, grant reimbursement, direct payment program for grantees, and small self-liquidating grant assistance.
Asset and equipment finance is the answer when you need cash payments for vehicles or machinery, but don’t want or can’t use traditional sources of credit.
- Motor vehicles
- Commercial vehicles
- Plant and machinery
- Agricultural equipment
- Solar power equipment
- Computers, photocopiers and phone systems
- Medical and dental equipment
- Office equipment
- General business equipment
Terms loans are commonly used to buy commercial real estate, or to buy an existing business or franchise.
If you’re familiar with home loans, you’ll understand the principles of how a term loan works. Generally speaking, this type of loan can be used for two purposes – business or property.
Business purposes includes buying a trading business or franchise, a new business start-up or the expansion of an existing business.
The types of commercial real estate purchased encompasses a very broad spectrum. The types of real estate include established, vacant or to be developed land; owner occupied or investment; and zoned from retail, industrial, office, warehouse, factory unit, to specialised property such as aged care facilities, or hotels and taverns.
Working Capital Finance is business funding that can help you take care of your immediate and day-to-day costs.
Like the name suggests, having this type of financing means you have the capital to cover vital operating costs like paying suppliers, covering wages or adding inventory to make the most of busier business periods.
Importantly, it also means you can have funds at hand when you need them to create growth and make the most of any opportunities when they happe
Sometimes called Invoice Finance, Debtor Finance or Accounts Receivable Finance, this is like a cash advance based on the sales you’ve already made to your customers, without having to wait for the traditional 30, 60 or even 90 day payment periods.
In simple terms, a lender considers the invoices or monies you have owing as an asset. They’ll lend you a percentage of the money that’s owed to you, then pay you the remaining balance once they’ve collected the invoice, less a small percentage.
This type of financing is a relatively quick and flexible way for your business to maintain cash flow, and can have many benefits when compared to other bank loans or lines of credit.
Have you considered using the funds in your Self Managed Super Fund to invest in property?
The savings you’ve built up in your Superannuation Fund can be used to make investments in a range of asset classes. By transferring your super to a new or established Self Managed Superannuation Fund (SMSF) the opportunity to use gearing to purchase property may become available.
Using your SMSF funds as a deposit, some lenders will approve loans starting at just $100,000 to purchase property, and the income generated from the rental can help meet your repayments.
With commercial property, it may be possible for your SMSF to purchase a property that will be occupied by your business, as long as the rent is at market rates. Essentially this type of finance is a Term Loan with features such as flexible terms up to 30 years, the choice of principal and interest or interest only repayment, and the options of fixed or variable rates, or a combination of both.
There are many rules and regulations governing your SMSF so it’s important you get the advice of a financial professional, like your accountant or financial planner to assist you to make the right choice
