In the current environment, even with many businesses carrying ATO balances, business owners have more credit options from more different providers than ever before – particularly in the unsecured loan market.
However many business owners who were lured in by the speed to settlement and ease of application are now having a tough time with collections teams from some of these lenders who are squeezing cashflow as they’re trying to make up deferred payments.
Unsecured lenders will certainly refinance another lender’s loan so this is one option for those feeling the pinch and needing to renegotiate terms. That said, the short terms create a strain at a time cashflow is tight for many.
The best solution is to run business with low levels of debt but that’s not always possible. Another option; private lenders offer a no doc solution for those with property with payments deferred for 12 months. The benefit of this is that can provide a business owner breathing room while they work on strengthening revenues, improving the ATO position and not have the cash flow pain from an unsecured loan.
P.S. Here’s a list of some of the solutions we’re doing for clients at the moment.
- $2.4M low doc loan with no repayments for 12 months to pay out tax debt and prevent adverse action by the ATO against the director and their personal assets
- $4M 4-on-1 townhouse development for a property developer in Brisbane
- $2.8M low doc loan with repayments against farm land while a rezoning application is processed
- $130k car finance to a credit impaired director
- $2M invoice finance facility to a wholesaler supplying national retailers
Get in touch to talk through your situation.