Advancing your business means partnering with a funding source that gets commercial enterprise. Cairns Business Loans, by name and by nature is dedicated to ensuring that your business has it’s cashflow requirements met.
Cairns Business Loans cater for:
- Small Business
- Equipment Finance
- Commercial Property
- Premium Funding
Business finance options
To cope with fluctuations in cash flow your business may need access to an alternate source of funding.
Set up costs:
- Rent or lease in advance, security deposit or bond.
- Fit-out of premises, including furnishings, signage, etc.
- Telephone, fax, internet, power, water and gas.
- Equipment, such as computers, motor vehicles, etc.
- Stock and/or raw materials.
- Advertising and promotion.
- Licences, trademarks, registrations and permits.
- Insurance: building, contents/tools of trade, workers´ compensation, motor vehicle, public liability, professional indemnity, etc.
- Wages and salaries including superannuation, holidays and sick leave.
- Taxation provisions to cover wages, GST and others.
- Staff Uniforms & personal protective equipment.
- Wages, salaries and Sub-contractor or contractors’ fees.
- Workers´ compensation insurance. Staff amenities including parking. Taxes on wages, provision for GST payable.
- Rent, rates, taxes on premises or mortgage interest. Bank interest and merchant-related fees.
- Repairs and maintenance of premises. Upkeep of staff uniforms, protective equipment, plant, tools, etc.
- Security. Stock and/or raw materials. Bank fees, interest on loans. Leasing or hire purchase costs.
- Advertising, promotion, market research.
- Telecommunications including internet.
- Office supplies, printing and postage.
- Consultants, including accountant, solicitors and other professional fees.
- Packaging materials, delivery and freight. Professional memberships.
- Staff Training Inspections, registrations, licensing and permits.
An overdraft facility can be attached to your business account with an agreed overdraft limit. Security is usually required together with a credit assessment of the business viability.
The purpose of an overdraft facility is to provide working capital for the business before income is received. It should not be used for capital purchases or long term financing needs. Overdrafts can be secured or unsecured and their fees depend on the credit limit.
A line of credit or equity loan can provide access to funds by allowing the borrower to draw on an account balance up to an approved limit. As long as the balance does not exceed the approved limit, funds can be drawn at any time.
These loans are usually secured by a registered mortgage over a property. You are usually required to make payments to at least cover the interest and fees on the loan.
The main advantage of a line of credit is it’s flexible – like an overdraft it can be drawn as the need arises. It can be used to access funds for working capital requirements. As this type of loan is usually secured against property, interest rates tend to be lower than for overdrafts. However, if you fail to make your payments you can put your property at risk.
A fully drawn advance provides access to funds upfront and is used for funding long term investments such as a new business or equipment that expands the capacity of the business. It is not the same as a short term loan that you would use to help with cash flow and fund the day to day running of the business.
A fully drawn advance is a term loan with a scheduled principal and interest repayment program. These loans are usually secured by a registered mortgage over a residential or commercial property or business asset.
The advantage of using a fully drawn advance for business investment is the interest rate may be fixed for a period, providing certainty and stability for repayments.