All Topics / Finance / borrowing for business

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  • Profile photo of PosEnterprisesPosEnterprises
    Member
    @posenterprises
    Join Date: 2006
    Post Count: 290

    Can someone advise if someone can borrow a small amount say $25k from bank with Lo or No doc for business expenses.

    Would the banks allow it?

    Thanks

    Profile photo of Tysonboss1Tysonboss1
    Participant
    @tysonboss1
    Join Date: 2007
    Post Count: 306

    Yes, you can either do it as a personal loan ( high Interest ), or if you have property or shares you can lend against these assets.

    Most banks will feel comfortable lending up to $50,000 to a business without security,

    Profile photo of gibbo1gibbo1
    Participant
    @gibbo1
    Join Date: 2008
    Post Count: 152

    For a personal loan the banks will want to see some proof of income.  If you have a property to use as security then the lo doc or no doc options are possible.  You will pay higher interest and need a lower LVR

    Profile photo of TerrywTerryw
    Participant
    @terryw
    Join Date: 2001
    Post Count: 16,213

    Most banks would no lend on a low doc basis – none on a no doc. There may be a few fringe lenders out there who offer Low Doc personal loans – but expect rates high – maybe around 26%. A cheaper option may be a credit card – many banks treat these as low docs – some don't even require proof of income.

    Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
    https://terryw.com.au/
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://Terryw.com.au/

    Profile photo of Scott No MatesScott No Mates
    Participant
    @scott-no-mates
    Join Date: 2005
    Post Count: 3,856
    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,024

    SNM – Same again would need to be secured on lodoc basis.

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
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    100% Investment Finance now available on selected properties. Email us for further information.

Viewing 6 posts - 1 through 6 (of 6 total)

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