Commercial Lending on the Gold Coast

Are you looking to purchase a commercial building?

Or do you need ​help getting a better deal?

Are you tired of having to present financials every 12 months and renegotiate your commercial loans?

We can help!​

Getting a loan for a commercial building is an exciting time. But how would you feel if a couple of years down the track your bank calls in your loan (meaning they give you 30 days to repay it in full) and you have never missed a payment?

Unfortunately I have seen all too often commercial borrowers being fed to the wolves as banks look to protect their balance sheet or simply profit from your demise.

Most business owners buying a commercial property have fairly similar expectations to that off purchasing a home. That is you sign up for a mortgage and your belief is that, as long as you maintain your repayments over the term of the loan than everything will work out ok.

Unfortunately small and medium business owners purchasing a commercial property are not afforded the same protections they receive under the National Credit Code when they purchase their home.

Did you know that you can be in default on your loan and never miss a payment!

That’s right you can be in default and never miss a payment!

I have found 3 things that catch most commercial borrowers out and in many cases they can be avoided.

  • Bankers work for the bank not "you"

When you first apply for a loan the banks make you jump through the hoops to ensure you can afford the repayments. Business is going great, you are in growth phase and the bank wants in.

But every business, just like the economy will go through tough patches. Profits might be down or dissapeared and out of no where the bank gives you a call for a review. The banks managers job is to protect the bank balance sheet and after seeing your financials the bank might decide that you can no longer afford the existing loan. You meanwhile are working hard, never missing a payment, in fact your missing out, your doing without to make sure you never miss a payment. But if the bank manager decides that you are looking to much of a risk, that if they call in the debt now they have a great chance of getting everything owed. They might decide it is better to act now instead of waiting for things to get worse.

Unfortunately this is not a scare tactic. Take a look at the following article in the Sydney Morning Herald that putts a spotlight on engineered defaults by the banks. ​

As a business owner we all like to be in charge of our own destiny, if you are with a bank that conducts loan reviews, it is time to give us a call. We work for you, we can help you create a strategy to protect your assets and at the same time choose the right lender for you that puts you back in the drivers seat of your business.