Commercial Loans

A commercial loan is a debt-based funding arrangement between a business and a financial institution, typically used to fund major capital expenditures and or cover operational costs that the company may otherwise be unable to afford.

Expensive upfront costs and regulatory hurdles often prevent small businesses from having direct access to debt and equity markets for financing. Similar to consumer credit, smaller businesses must rely on other lending products, such as a line of credit, unsecured loans or term loans.

Commercial property loans in Brisbane and Southeast Queensland are subject to constant changes in lender appetite and policy. A lender who was enthusiastic about your property type last month may have tightened their criteria this month. At Sokudo Finance, we stay across these changes daily — so you don’t have to.

Commercial loans are granted to a variety of business entities, usually to assist with short-term funding needs for operational costs or for the purchase of equipment to facilitate the operating process. In some instances, the loan may be extended to help the business meet more basic operational needs, such as funding for payroll or to purchase smaller supplies that are used in the production and manufacturing process.

While a commercial loan is most often thought of as a short-term source of funds for a business, there are some banks or other financial institutions that offer a renewable loan. This allows the business to get the funds it needs to maintain operations and to repay the loan within its specified time period. After this, the loan may then be rolled into an additional or “renewed” loan period. A business most often seeks a renewable commercial loan when it must obtain the resources it needs to handle large seasonal orders from certain customers while still being able to provide goods to additional clients.

Sokudo Finance can help you match the right lending to your business needs. With a background in Credit specialising in Commercial lending, Shane Harder has been helping Brisbane investors and business owners secure the best mortgage deal for over 15 years. He has the expertise to assist you in finding the right lending facility for your needs.

Commercial finance is not always as simple as applying for a home loan with payslips from your employer. At Sokudo Finance, we understand every Commercial application is unique and there are instances when you are not going to be ready for a bank application when you need finance. Sokudo Finance can assist when:

• Tax returns or Financial Statements are not available
• When the only source of income is from the Commercial Property being purchased
• You don’t have time to wait for a bank to be ready for an urgent settlement
• Not long been in business and you don’t meet the banks minimum credit criteria
• Property being purchased is unique and doesn’t meet banks appetite as security
• Your current lender is forcing debt be repaid