Are you looking for business finance?
At Probroker we can arrange a finance solution for all your business needs – from cash flow loans to commercial property finance.
With access to a broad range of lenders and financiers we will analyse your requirements and find the right solution for your business.
We specialise in:
- Commercial Finance
- Plant and Equipment Finance
- Motor Vehicle Finance and Leases
- Franchise Finance
- SMSF Property Loans
We know that as your business grows, consumer demands increase and commercial properties may have to be replaced more frequently.
Do you need more passenger cars for your taxi business? A major capital expenditure? Trucks for your construction company? Or a larger commercial space to keep up with your growth?
Your business will need money to maintain your growth and to compete in your industry without falling behind.
Don’t let your competition pull ahead, speak to our commercial lending experts to ensure your business goals are met.
What is the commercial lending process?
1. Paperwork and documentation
Information about your financial history, income, existing debt, and purpose of the loan are critical in the commercial lending process.
If you need funding for an existing business, you may have to provide some background information about the company and a business plan for the future. Personal financial statements, tax returns dating back to 2 years ago, and a list of assets and liabilities may also be required.
Once the relevant paperwork has been submitted, the available collateral, credit history, and income may be reviewed.
In most cases you will need to provide some sort of collateral/security. This usually involves property, plant and equipment and/or goodwill. This is critical in assuring the lender that they can recover the money even if your business strategy fails to go as expected.
Based on the information provided, your loan may be approved or denied.
If approved, you will have to sign a document regarding the total amount to be financed, the terms of the loan, the terms of repayment, and the type of collateral applied to the loan. After the final approval, the remaining paperwork can be filed, completed, and closed.
You can obtain finance for commercial vehicles or other items and assume full ownership of the vehicles or items at the end of the loan’s term. Probroker can link you to equipment financing with flexible repayment options and term lengths that meet the specific needs of your business.
Benefits of using Probroker for your commercial lending
Expertise in commercial finance
Ability to negotiate
The step by step process to commercial lending
STEP 1 – Application
Our mobile service can come to your home or office, after hours or on weekends, to discuss the finance options available for your business. We can help you understand the commercial lending fundamentals to give you confidence as your business grows and moves to the next level.
STEP 2 – Interview
We can schedule an interview where you get a chance to elaborate on your credit needs.
STEP 3 – Prospective customer evaluation
We can plan a site visit to examine the location of the business and ask questions to understand your new project better. We will provide answers and support throughout the process.
STEP 4 – Assessment of the customer’s financial condition
You may be required to submit certain documents to your chosen lender. This may include complete financial statements or a board of directors’ resolution to authorise negotiations.
STEP 5 – Assessing loan collateral and signing the agreement
Your chosen lender will check your designated collateral to ensure that they have immediate access to it, in the case of defaulted business payments. If they are satisfied with the soundness of the collateral the loan agreement is prepared and signed by both you and the lender.
STEP 6 – Compliance monitoring
Your chosen lender may occasionally monitor your adherence to the terms of the loan. They may also visit your business’ premises occasionally to check out your business progress. Throughout the life of the loan, you can always reach out to Empowered Finance for advice.
Why should I use Probroker when commercial lending?
We don’t work for the banks
Our lending panels are reviewed frequently to ensure that the lenders have a competitive edge. As your business needs change, Probroker can ensure that your loan remains as competitive as possible.
The fundamentals of commercial lending
While commercial lending is less regulated, the underwriting process is more detailed and rigorous. Depending on the complexity of the deal, a commercial loan may take up to 90 days before settlement.
Cash flow factors
Lenders evaluate the ability of your business or property to generate income and repay the loan as agreed. They may work out the ratio of operating income and collateral debt to find the loan to value ratio (LVR) and debt service coverage ratio (DSR).
Commercial loans are often agreed for five years or less. The interest rates are often determined by the business’ financial condition and the type of business. The business owner may be asked as a guarantor to pay if the business fails to meet its obligations.
The borrower may be required to meet the lender occasionally after the loan closes. The agreement may include supplying audited financial statements quarterly or annually and maintaining proper insurance levels.
Specialty lenders, credit unions, major and local banks can provide your business with commercial loans. However, at Empowered Finance we specialise in helping you navigate the entire process. Our expertise and the established relationship with various lenders enables us to find the right solution for your business’ financial needs.