Via LoanStreet you can easily send your application to several financiers with 1 click. You can read more information about the financiers on LoanStreet, but you can also apply directly. During your application you will get insight into the chances of success per financier, but you will also get an insight into the expected interest and costs.
There is often a lot to look at when applying for and taking out a business loan. Everything you need to know is explained to you here, so that you can then easily, quickly and online apply via LoanStreet. You will then immediately see which financier you are eligible for a business loan. Moreover, you can easily compare the interest and other costs of the various financiers.
The term of a business financing is often linked to the purpose for which the money is needed. We often look at the depreciation, but also the amount of the amount. For example, the purchase value of a business building is often high and you can not just pay it back within a few years. That is why real estate often has a long term of 20 or 30 years. Machines, inventory and means of transport often have an average duration of around 5 years. As soon as it has been written off, the business loan is often repaid. This means that you can also take out new financing for the replacement purchase.
When you apply for a business loan, the interest rate per financier may vary considerably. In general, the banks are cheaper than the new, innovative financiers. It is also important to look at the closing costs. This is often a one-off amount that you have to pay as soon as you take out the loan and this can amount to 1% of the loan sum. The interest you pay can be fixed, but can also be flexible. However, a flexible interest rate is less common with a long-term business loan. This does occur with a current account. Finally, what guarantees you can offer. For example, a corporate mortgage often has lower interest rates because the bank can use the business premises as collateral. This means that if you do not pay, the bank will still get its money back because the business premises can be sold. Due to this lower risk, the interest rate can also be considerably lower. Certainty, in addition to how well you perform as a company, thus result in lower financing costs within your company.
In the redemption form there are actually 2 options: annuitary and linear. Sometimes you can choose yourself, but often a financier has a standard form of redemption. When it concerns an annuity loan, you pay the same amount to the financier every month. This amount, also called annuity, consists of interest and repayment. As time goes by, an increasing part of the annuity will be paid off. If the business loan has a linear character, you deduct the same amount every month. Because the principal sum is larger at the beginning of the term, you also pay more interest at the beginning. Many entrepreneurs have a preference for annuities, because the costs are the same throughout the term, and the costs at the beginning are often lower than with a linear loan.
Lately there are a lot of new financiers in the Dutch market for SME financing. These parties fall under the name fintech, an amalgamation of financial and technology. These new players are especially good at optimizing the process, so that making an application is often quicker and easier. The interest costs are often somewhat higher with these parties than with the bank. Via LoanStreet you easily get insight into your chances per financier and also an estimate of the interest costs and other financing costs. All major banks, Rabobank, ABN Amro and ING are affiliated with LoanStreet. For example, new players are Funding Circle and New10, which is a fintech startup that is part of ABN Amro.