Posted on December 23, 2019 at 10:45 AM
Online business loans: Click the Request a loan button now
We at https://oakparkfinancial.com/ has expanded our business area and is now also offering loans for small and medium-sized companies. Before the upper limit for private loans for entrepreneurs was 50,000 USD, it has now moved up to 7,500,000 USD.
For loans of up to $ 750,000, you can make a non-binding loan request for your corporate financing:
At Creditend, only legal entities such as a GmbH, KG, GbR or AG receive a commercial loan.
Self-employed or freelancers can only take up a maximum loan amount of 50,000 USD from the platform of private money lenders.
What is the difference to bank loans?
Creditend has tailored its new offering to the needs of small and medium-sized businesses. The focus is on quick, unbureaucratic and simple corporate financing using a completely digital application process.
Shortly after the loan request, you will receive reliable information in real time. Small and medium-sized companies often face high hurdles when it comes to lending. Generally, banks are reluctant to lend to companies in this area at all.
The credit request takes a long time, and numerous documents have to be submitted. Typically, your request goes through multiple decision-makers until a decision is made for or against lending.
In addition to the interest, there are also processing and administration fees. With Creditend, you as the borrower only pay the interest on the annuity loan, there are no other costs.
For the evaluation, you simply submit the annual financial statements, including BWA (business evaluation) and P&L in digital form. In most cases, there are no further disclosure requirements. A partner liability and/or additional security is not to be provided.
The three times faster loan disbursement is due to a newly developed scoring process that Creditend developed specially to make it much easier and faster to assess the creditworthiness of companies than credit institutions with their traditional methods.
Another advantage is that you can reach many private and institutional investors with your online presentation and choose the offer that suits you the most. So you are not only dependent on a lender and can compare the offers.
In contrast to a bank loan, which can be used for different needs, for example for household purchases, a car or property purchase or simply for general consumption purposes, Creditend corporate finance focuses solely on the long-term liquidity and working capital financing of the borrowers.
Commercial loans protect the day-to-day business from bottlenecks and/or raise capital for new investments, for example for business expansion, the purchase of new vehicles for the fleet or the purchase of new machines.
However, Creditend commercial loans are not only suitable for new investments. The company creates some freedom that has a positive impact on its reputation.
You can grant your customers extended payment areas, settle delivery obligations faster and take advantage of discounts, finance marketing measures and service other liabilities in the areas of rent, personnel, and advice. With the purchase of raw materials and inventories, the inventory is secured and financed.
What should entrepreneurs look for in a loan?
The credit requirement is at the top of the priority list because all other conditions such as effective annual interest rate, fixed interest rates, the amount of the repayment rates and any processing fees depend on the amount.
All credit institutions and other lenders require high levels of security before lending is possible. Such collateral may include shareholder liability, sureties, overwrites, assignments, mortgages and other charges in favor of the lender on land and/or real estate.
Effective interest rate
The annual percentage rate must be taken into account in every loan comparison because the amount also decides whether a loan offer is eligible or not. In this area, in particular, the numerous offers from just as many providers are quite different. The annual percentage rate is calculated from the nominal interest rate and the ancillary costs of the loan agreement.
fixed interest rate
The contracting parties can agree on a fixed or a variable interest rate. Which of the two variants is cheaper for your company depends on the situation on the financial markets. If interest rates rise, you benefit from a fixed interest rate, because this will not be adjusted upwards. You save higher interest costs.
A variable interest rate is advisable in times of a falling interest rate level because in this case the interest rate is corrected downwards, in this case too you save financing costs for the loan.
The repayment schedule determines how high the monthly payment installments will be. At the beginning of the repayment period, these rates are usually higher, while the amount is usually adjusted downwards as the interest component falls.
However, the financing option is always in the foreground. Higher installments mean a shorter repayment period, but also a higher financial burden. Lower rates are associated with longer funding times but are less of a burden on the company.
Credit institutions always charge the prepayment penalty if the borrower repays his loan early, i.e. before the contractually agreed term ends. In this case, the bank misses planned interest income, which it compensates with the prepayment penalty.
Early loan repayment is possible if unscheduled funds are available, for example through an inheritance or an unexpectedly high profit.
What are the requirements for receiving a corporate loan from Creditend?
The requirements for an Creditend corporate loan are very simple. You register on the platform and present your loan requirements in a well-founded manner. With this online presentation, the request reaches all private and institutional investors registered with Creditend.
This type of corporate finance is also known as crowdinvesting. As a rule, borrowers and lenders come together within a short time. For legal reasons, however, the lending is processed via SWK Universalbank, which is approved under the German Banking Act.
The decisive prerequisite for the payment of a company loan is a successfully passed credit check. According to its own statement, Creditend develops with its customers and continuously adapts its offer to these needs. The company uses competitive advantages in the areas of digital technologies and scoring. You receive loan offers and loan commitments in real-time.
Important Creditend corporate loan requirements
• Crefo score better than 300
• Company age> 2 years
• Turnover at least $ 500,000
What is the procedure from the application to the payment of the entrepreneur loan?
Creditend was able to win Solarisbank as a partner for the loan payments. It is not only the lending partner bank but also the most important investor in the corporate banking segment.
For the non-binding loan request, Creditend requires general information about your company, for example, the legal form and the details of the contact person. On this basis, Creditend creates an individual first offer.
A personal advisor will contact you by phone to discuss further questions and the procedure. Alternatively, contact via email is also possible. If you are interested in the offer, it is necessary to submit additional documents that provide an overview of the creditworthiness.
If an Creditend corporate loan is granted, the transaction is carried out entirely online. A signature under the contract is not required. However, this does not mean that Creditend waives all forms of security.
Your online identification takes place via video chat. You will then receive the written loan agreement as a PDF document by email. After a successful credit check and online identification, Creditend instructs the payment of the loan amount.
The business loan is usually paid out within seven working days from the time the loan request is made. Depending on the loan amount, the annual percentage rate is 2.7 to 11.9 percent.
There are no further costs for registration, the consultation, creditworthiness information and changes to the installment dates. Provided that the creditworthiness is appropriate, you can take out several corporate loans in parallel or in succession until the maximum amount of $ 750,000 is reached. The term is between six and 60 months. All you have to do is start a new loan request.
Creditend does not require a shareholder guarantee for the business loan, as is the case with lending by traditional credit institutions. The decision as to whether the requested loan is paid or not is made solely on the basis of the credit check.
What information is required for the application?
For the first request
- Legal form and general information of the company
- Contact details of the potential borrower
- Under “Purpose of Use” you can choose the following options for the non-binding loan request:
– property purchase
– debt restructuring
– Financing goods
– machine financing
– growth financing
What documents are required for the loan application and conclusion?
- the last annual financial statements in the form of a balance sheet with P&L
- BWA and total balance list, not older than three months
- current credit overview with signature