Secured Business Loans – versatile, cost-effective solutions

Yes. Sole traders can apply for secured commercial funding with all applications subject to lender approval. In some instances, sole traders may provide personal assets as security where suitable assets owned by the operation are not available or accepted.

Secured commercial funding can be used to acquire a wide range of goods and property. These include cars and motor vehicles, plant, machinery and equipment and property. The goods would need to be eligible under ATO rulings for commercial assets. The property may be an ongoing venture or physical property such as buildings, offices, premises and others.

Chattel Mortgage and Commercial Hire Purchase are considered secured funding products. The goods being purchased are accepted by the lender as security against the funds. A Secured Commercial Loan product is also available for non-asset purpose. With this product the security may be assets or property which are not the subject of the financing.

Collateral for secured funding may take the form of goods/assets or property. The collateral may be the goods which are being secured or other goods owned by the operation or the owner. Physical real estate and built-assets property may be used as collateral. All collateral is subject to lender approval.

Yes. Buying an enterprise is a recognised purpose for secured funding. The enterprise being acquired may form the security against the funds. The operation being acquired may be the enterprise only or the enterprise and the premises in which the enterprise trades.

Interest rates offered on secured funding will vary depending on:- assessment of the credit profile and financials of the applying operation; the amount being requested; the condition of the goods being acquired (new or used); and in some cases with equipment, the industry sector. Credit providers will typically advertised their best rates for new goods and for applicants with a good credit rating and full documentation. These rates should be used as a guide only.

All security or guarantees offered for secured funding are subject to lender approval. In the case of ABN holders, as small operators, it can be common practice for the personal financial position of the operator to form part of the application. ABN holders may offer personal assets which are unencumbered, as security.

No deposit funding is available for secured financing, subject to approval. The approval may take into consideration:- the condition of the goods in reference to the total amount requested without a deposit; the ability of the operator to furnish the full purchase price in a secured credit product; and other factors.

Many providers of secured commercial funding to provide online application processes. Many will offer complete online or remote processing of applications so no interviews at branches or offices are required. Applications can be submitted by online forms and would then be assessed by the credit officer or broker for that organisation. Interest rates are determined by individual application assessment so completely automated application and approval processes are less widely available.

To apply for secured commercial funding, operators will be required to submit:- ABN, ID, financials for the operation which may include tax returns, annual accounts, bank statements and similar. Details of the goods or purpose for the funding is required. The amount required for the funding will be required. Where all the documentation is not available, operators may seek the assistance of a broker to source low doc options.