Short Term Business Loans

What Documents Are Required For A Short-Term Business Loan?

Short-term business finance can be utilized to set up or expand a business. Irrespective of the size of the company, most business owners opt for short term business loans as it effectively serves overall business expenditures, such as buying new equipment and office space, recruiting staff, consolidating debt, and much more.

Aside from the above benefits, acquiring a short-term business loan is also convenient. As long as you have equity in property, a solid exit strategy and have all the necessary documents ready, you can easily get access to working capital within a few days.

Due to Short Term business loans being based on equity and a solid exit strategy the required documents are minimal and can generally be access instantly on your phone or computer.

So what will you need:

  • Identification

For obvious reasons a Private Business lender needs to ensure you are who you say you are. This requirement is generally cover by providing 100 points of Identification, which can be made up by supplying a copy of your Drivers License, Passport, birth certificate or Other photo ID. The requirement is in place to protect the client as much as the lender.

  • Mortgage Statement

If you have reached out to a private business lender for a 2nd mortgage or caveat loan, they will need to know how much your 1st registered mortgage is. So, a simple statement and transaction listing showing the balance and limit of you loan can be access by you Internet banking. In the even you do not have access to Internet banking you local branch will happily and quickly provide this upon request.

  • Australian Tax Office Portal Balance

In the last few year the Australian Tax officer ( ATO ) has made accessing information much easier. All individuals, businesses and companies have access to their Tax information online. A Private Business lender will need to see if you have any Tax Arrears in the business name. But di not worry if you do. Lenders like Equity Tap Australia will still lend to you if you have tax arrears. They will even use some of the loan fund to clear this debt making it easier to borrow in the future.

  • Rates Notice

Private business lender will require to see the rates notice for the property you are using as security in the application. This is a common request from all lenders. Rates notices are generally emailed or posted to you quarterly. If you do not have one handy, most councils have online services that a copy can be obtained. Or they will happily email it to you when requested over the phone.

  • Signed Term Sheet Or Loan Agreement

When entering into a short-term business loan the Private business lender will provide you with a copy of the loan agreement. It is important that you read the agreement carefully and sign all the relevant place. This term sheet will outline all the terms and conditions of the loan and is used so the lender is comfortable that you have a full understanding of the loan details and obligations.

Wrapping It Up

So, irrespective of whether you are applying for short-term business loans or any kind of business finance, you should gather all your documents ready so that you can be approved for business finance as quickly as possible.