- They are available up to $250,000 depending on the size and need of the business.
- Loans can only be used for working capital, not refinancing existing debt or capital expenditure. Other measures have been put in place for Equipment purchases with generous depreciation write downs available.
- They are free from Establishment Fees and Account fees
- No repayments are required for the first six months. Interest is deferred and capitalized, that is added to the loan amount on a monthly basis. After the six months initial period principal and interest payments will be required. Each bank will have their own requirements for rates etc
- Pricing will be advised by the banks in due course but likely based on usual risk assessments.
- Usual credit assessment criteria will of course apply, with the government providing a temporary exemption from some lending measures for lenders providing credit to existing small business clients to help get access to funds quickly and efficiently.
- It is the intent of the Government and lenders to have access to funds by early April.
Below are links to the various major banks Covid 19 sites for both home loan and business loans:
As always we remain here to support you so please don’t hesitate to call us to talk through what you need us to do to assist, remember those around you that are there to support your business, your accountant, solicitor, financial planners and brokers.
Best contacts for us are:
Liz Wilson – Broker and Business Owner – 0414798760
Chris Tracey – Commercial Finance – 0467999230
Geoff Lisle – Equipment Finance – 0488366131
George Root – Financial Planner – 0499992130