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Private Funding Loans Explained!

Private funding loans are a specialist form of finance in Australia. They are provided by the private lending market. They are also known as private loans, private mortgages, or non-bank loans.  In this feature article we will explain exactly what they are and who can benefit from this type of finance.

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What are private funding loans?

Private funding loans are provided to businesses or individuals by private individuals or other private, non-traditional lenders. In other words, it’s finance that isn’t provided by a bank, credit union, building society or other financial institution.

Who are private funding loans designed for?

They are ideal for business owners who may not be able to meet the strict approval criteria of traditional lenders or simply need funds short term.

Typically the borrowers for private lending are;

  • Property developers/investors.
  • Builders.
  • Business people who need access to working capital.
  • Entrepreneurs who need access to quick capital to exploit an opportunity.

As you can see, they can be used for a range of business purposes. They also have some key differences and benefits over traditional loans in Australia.

The key differences between private funding loans and traditional loans

There are key differences between private funding loans and the traditional loans offered by banks, building societies and credit unions.

  • Faster approval and funding than traditional lenders.
  • Available for shorter timeframes.

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Contact the team today to discuss borrowing funds or becoming a referral partner;


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  • Available for any worthwhile business purpose, such as developments, projects, nearly complete constructions, new investment opportunities and more.
  • Less stringent criteria and based on the security and repayment method

How do private funding loans work?

Private funding loans require you to provide your property as collateral security for the loan, normally via a 2nd Mortgage or Caveat over the security property. 

Private funding loans are legal contracts just like loans from traditional lenders are. That means both you and your lender have contractual rights and obligations.

Private funding loans can also be principal and interest loans or interest-only loans, just like traditional loans can. Different private lenders will have different maximum loan-to-value ratios (LVRs) that they are prepared to accept. An LVR is the value of your loan expressed as a value of the property that secures it. For example, most private lenders may be prepared to lend you up to 75% of the value of your property.

Need more information?

The most suitable private funding loan for you will depend on your individual circumstances as well as your business goals. Due to this it is best to speak to us at Secured Finance Group to discuss your requirements and give you the best advice based on your individual circumstances. 

Private Lending Explained

Do you have client’s that require Private Finding Options? Click to become a referrer in less than 30 seconds

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Complete our superfast application form

It takes just 30-seconds to complete our superfast application.

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We will review your information

We will review your application, purpose of funds and the security offered

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We often provide funds within 24 hours

Once approved Loan Agreements are executed and your funds are advanced!

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Complete our superfast application form

It takes just 30-seconds to complete our superfast application.

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We will review your information

We will review your application, purpose of funds and the security offered

Test 3

We often provide funds within 24 hours

Once approved Loan Agreements are executed and your funds are advanced!

01

First Mortgage

A first mortgage allows you to access equity in your real estate property for any worthwhile business purpose. At Secured Finance Group we don’t have minimum or maximum cash out restrictions. First Mortgage Loans are also at lower rates and longer terms.

02

ATO Debts

We can assist you to refinance ATO Tax Debt, ATO liabilities or ATO Garnishee notices.

03

2nd Mortgage

A second mortgage allows you to access the balance of equity you may have on your property up to a maximum of 75% in total including the existing first mortgage. Second mortgages are generally top up loans or bridging loan for a short term.

04

Loan Structures

Structuring transactions and finding the right loan product and the most suitable Investor to the loan, our team is guided by working on growth opportunities for businesses where the major lenders cannot assist.

05

Bridging Loan

Bridging finance is commonly used to finance the purchase of new property or assets while your current assets are being sold or are awaiting refinance.

01

First Mortgage

A first mortgage allows you to access equity in your real estate property for any worthwhile business purpose. At Secured Finance Group we don’t have minimum or maximum cash out restrictions. First Mortgage Loans are also at lower rates and longer terms.

02

ATO Debts

We can assist you to refinance ATO Tax Debt, ATO liabilities or ATO Garnishee notices.

03

2nd Mortgage

A second mortgage allows you to access the balance of equity you may have on your property up to a maximum of 75% in total including the existing first mortgage. Second mortgages are generally top up loans or bridging loan for a short term.

04

Loan Structures

Structuring transactions and finding the right loan product and the most suitable Investor to the loan, our team is guided by working on growth opportunities for businesses where the major lenders cannot assist.

05

Bridging Loan

Bridging finance is commonly used to finance the purchase of new property or assets while your current assets are being sold or are awaiting refinance.

How it works

1

Online Enquiry

 Complete an online in enquiry by clicking the button below.

2

Review Application

We will review your application and the security offered.

3

Loan Approved

Once approved, Loan Agreements are executed and funds are advanced!

How it works

1

Online Enquiry

 Complete an online in enquiry by clicking the button below.

2

Review Application

We will review your application and the security offered.

3

Loan Approved

Once approved, Loan Agreements are executed and funds are advanced!

Latest articles

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Private debt market’s bumper year

The Australian private debt market grew 21 per cent last year and now makes up more than 10 per cent of the overall corporate and business loan market, according to a new report. 

Take advantage of this for your client’s with a referral partnership with Secured Finance Group. 

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Greater options for Borrowers in Australia

With the rise of Private Funding options for client’s within Australia it means clients that previously had only the traditional options for borrowing now have access to private funds for First and Second Mortgage security facilities. 

At Secured Finance Group we have options for all types of borrowers, including ATO Liabilities, Cash Flow funding, Asset Finance and Bridging loans. 

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Referral Partners now open for Secured Finance Group

With access to private funds for first and second mortgage options for your client’s outside of the traditional lending space we can assist your client’s.

Find out more about becoming a referral partner with Secured Finance Group today. Our superfast accreditation takes just 30 seconds to complete and we manage the client from start to finish.

Have questions?

  • How fast will I get a decision?

    Under normal circumstances, we can often provide a response in one hour – as long as you apply during standard business hours and allow us to use the advanced bank verification system link to instantly verify your bank information online. If you choose to upload copies of your bank statements we can provide a decision in as little as one business day.

    How fast will I get the money?

    Under normal circumstances, if you apply before 4pm on a business day and your application is approved, it is possible to have money in your account the next business day.

    How much can I borrow?

    The total amount of your loan will depend on the specific circumstances of your business. Our lending partners consider a variety of factors to determine the health of your business and based on this information, We may be able to provide you with funding. 

Ready to get a new loan?

Ready to get a new loan?

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About Us

No more compromising or missed opportunities with us by your side. With hassle-free application, this time tomorrow you could have access to funds for growth and cash flow support. It’s just what we do.

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175 Collins Street, Melbourne Vic 3000
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About Us

No more compromising or missed opportunities with usa by your side. With hassle-free application, this time tomorrow you could have access to funds for growth and cash flow support. It’s just what we do.

Contact Us

Important legal stuff

 
The information provided on this site is on the understanding that it is for illustrative and discussion purposes only. Whilst all care and attention is taken in its preparation any party seeking to rely on its content or otherwise should make their own enquiries and research to ensure its relevance to your specific personal and business requirements and circumstances. Terms, conditions, fees and charges may apply. Normal lending criteria apply. Rates subject to change. Approved applicants only.
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