Business Loan Calculator FAQs

Before you apply for a business loan, check out these frequently asked questions...

What is a business loan?

A business loan is a loan against the capital and assets you have in your business. These loans allow business owners to grow, expand or finance a particular aspect of their business.

How much interest will I pay?

Interest rates on business loans are generally around seven to ten percent, which is higher than home loans (about six to seven percent), as they are less secure.

How is the loan structured?

Most business loans offer a range of interest rates, fixed or variable repayment terms, and fixed terms between one and 25 years. The minimum loan amount is usually between $5,000 and $10,000. There are commonly establishment, guaranteed rate and monthly account keeping fees.

What other financial benefits are available?

A Small Business Card features either credit or charge facilities and allows you to control and account for your expenditure more accurately.

How do I apply for a business loan?

The increased competition in the market has made the loan application process in Australia quite simple, and you can often submit an online application and support it with your financial statements and tax returns.

Who should I take a business loan with?

It is strongly suggested that you do thorough research on various lending institutions regarding their terms and conditions as well as your exact business needs. It may also be worth employing the services of a financial adviser.