If you think traditional lenders are the only way to source a medium or long term loan for your small business, you might want to think again. Non-bank lending was once a financing outlier.
Not anymore. Offering the kind of flexibility a modern small business needs, non-bank lenders now hold approximately 7 percent of all debt financing in Australia.
Granted, that’s not all commercial loan debt, but with a 2021 AUSTRA report noting the sector’s projected overall growth between 2019 and 2024 is 9.6 percent, it’s easy to see why non-bank lenders are quickly becoming the preferred lenders for savvy small business owners. The AUSTRAC report continues ‘analysis from 2020 indicates the sector’s share of the commercial debt market is expected to rise over the next three years to more than $50 billion by 2024’.These billion-dollar stats beg the question, why are non-bank lenders’ business loans better for business?
Let’s face it, a few weeks is a long time in the modern business world. Heck, a few days is a long time! Especially in a world dealing with sky-rocketing interest rates and soaring inflation. When the perfect deal or opportunity comes along, there’s no time to waste. And with some traditional lenders still taking many weeks to process loan applications – in mid-2021, the Australian Financial Review (AFR) reported business owners being forced to wait months for loan approval – that sort of timing could see your dream evaporate before your eyes.
Only need the money for one week? No problem. Or perhaps a year? Can do. What about 36 months? We got you.
Whether you need a $15,000 line of credit to ease a temporary cash flow issue or $3M to buy into a development with the potential to put your brand on the map, Strive will match your business with the ideal loan and loan term.
Whether you’re a creative, entrepreneurial type with a vision, or you run an established business needing the occasional cash injection, the dreaded words ‘you don’t have the right paperwork’ will strike fear into the heart of even the sturdiest of small business owners. Strive will only ever ask for what they need to get the loan approved and the money into your bank account. Just like you, we’re big-picture people too.
Not sure how much you want to borrow or how long you’ll need to repay? Using Strive’s easy-to-use loan builder and calculator, you’ll know within minutes what sort of loan will work best for you.
Strive has, and always will, support the brokers who chose to work with us. That’s why we let brokers set their own commission. Strive Financial doesn’t have clawback provisions in any of our loan offerings because, when you empower brokers to make their own choices, you’re enabling them to make the best choice for their clients.
$770,000 is a lot of money in anyone’s language. Now just imagine being the client who, through no fault of their own, was suddenly looking at the very real possibility of losing this much money just days before Christmas. Yes this story does have a happy ending and yes Strive Financial did step in to save the day. But we’re getting ahead of ourselves…
There is a lot of stigma attached to short term lending. And with good reason in some cases. But, the reality is that almost every business at some stage will need access to finance – and that’s not something to be ashamed of. Short term finance can help businesses react to changing situations or take advantage of new opportunities.