Small Business Bank Loans

Small business bank loans

Small business bank loans are used to help small business owners support their cash flow, generate capital for business growth, finance business expenses, and invest in things like new equipment. A small business bank loan can give business owners the confidence to run their operations smoothly in uncertain times.

Why small business bank loans are valuable

When you borrow money, it is essential to understand your options as you can secure a small business bank loan that’s tailored to suit your business needs. Traditional banks can often be slow to provide small business bank loans. This can be because they look for a certain amount of equity, and often don’t take the time to understand how small businesses operate. Having a business loan provider such as Prospa at your side can make financing your cash flow simpler and can help budgeting with cash flow-friendly repayments.

Small business loans from Prospa

Like you, we believe that small businesses make a big difference in our local communities. That’s the reason why we try hard to support small business owners with offering flexible small business loans. What differs from small business bank loans is that our online application process takes as little as 10 minutes, which means you can spend less time applying for credit and more time realising your dreams. With our flexible and personalised business lending solutions, we have already helped thousands of businesses like yours across Australia, and we take a lot of pride in that.

Feel free to look online or call one of our friendly business lending specialists on 1300 653 742 to find out if you’re eligible for our lending service. If we approve your application, the funds can be in your account within 24 hours with no hidden fees or charges.

Find out more about our small business loans HERE

Aussie small businesses trust Prospa to provide funds that help them keep moving. That’s why we’ve received more than 6,000 excellent reviews on Trustpilot from small business owners who recognised us in the non-bank financial services category as the #1 ranked online small business lender in Australia and New Zealand.

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Our small business loan features

When we provide our small business loans to business owners like you, we work closely with you to understand your business model, how you operate in your market, and how we can provide business loan features and rates that work with your business. Our dedicated team of loan specialists will ensure that you are well informed about our criteria to apply. Our terms include:

  • A lump sum between $5,000 and $300,000
  • No asset security required upfront to access up to $150,000 of Prospa funding
  • Fixed loan term from 3 to 36 months
  • Easy application process with funding possible in 24 hours
  • Interest rate based on your business circumstances
  • Fixed daily or weekly repayments

How to use Prospa small business loans

When you apply for a small business loan with Prospa, if approved, you can use the funds for almost any business purpose. Use the funds for business growth, a business opportunity, or to support your cash flow. You are in control of the process. Plus, we lend to a range of different industries. Have a look at our list below for a few options to consider when using our small business loan funds:

  • Buy new equipment / upgrade old machinery
  • Grow or expand your business by adding a new product or service
  • Upgrade your IT infrastructure
  • Renovate your office or retail store
  • Run monthly ad campaigns to boost business
  • Build your website or get it a facelift
  • Add new touches to your business property
  • Employ casual staff during peak periods
  • Buy stock in bulk to save money

What’s necessary to qualify for a small business loan

To be eligible to apply for our small business loans, you must fulfil a few requirements:

  • Be an Australian Citizen (or permanent resident)
  • Be over the age of 18 years
  • Own an Australian business with a valid ABN/ACN
  • Demonstrate 6 months of trading for a new business (or three months if you have purchased an existing business)

What you need to apply for a small business loan

If you apply for funds of $250,000 or less, you need your driver licence number, your ABN and your BSB and account number. For loans over $$250,000, you need some basic financial documents, like a P&L and cash flow.

FAQs

Frequently asked questions

The way small business loans work is usually that a lender will provide a lump sum to a small business owner for things like supporting business growth or bolstering cash flow to cover increased costs and invoice gaps. Once approved, funds are released to the business owner’s account and with Prospa can be available in 24 hours. Over a fixed period of time, the business owner will then pay back the total amount (including any interest, fees or charges) on a daily or weekly basis.

Currently, we offer small business loans between $5,000 and $300,000. The exact amount you can borrow depends on the unique situation of your business. We will go through a range of factors with you to determine the health of your business and based on this assessment, we may provide our recommended funding amount up to the maximum of $300,000.

We do a thorough assessment of your business to check the health of your business. If you borrow less than $150,000 in Prospa funding, there is no asset security required upfront to access your loan. And if you continually meet your contractual obligations towards us, Prospa will never require any asset security. However, if you access Prospa funding greater than $150,000, we will take security in the form of a charge over assets. Talk to one of our business lending specialists for more information on security.

To get a small business bank loan with a traditional bank, you may be asked to provide collateral such as equipment, vehicles, property or inventory. However, Prospa doesn’t require any upfront asset security to access Prospa funding up to $150,000.

Other questions? Talk to a specialist