What is a Short Term Caveat Loan?

A Short Term Business Loan is also called a Caveat Loan or Second Mortgage. Caveat Loans are fast settling short term loans which are generally for a period of between 6 to 12 Months. Caveat loans are simply asset lend type of loans and are secured against real estate (usually a house, commercial property or residential or industrial land) This facility is available to clients who wish to retain their existing 1st mortgage but require a short term line of funding beyond their current credit provider’s capacity. A Second Mortgage is a loan secured against a property that already has a First Mortgage attached to it. You will still have your original lender on the title of your property and the second mortgage ranks after this.

How Quickly can I receive Funding ?

Funding can be as quick as 5 business days but is dependent on how quickly all supporting documentation and information is provided when requested.

Do I have to Provide Security for the Loan ?

YES, Short Term Caveat Loans or Second Mortgages are simply asset lend type of loans and are secured against real estate (usually residential or commercial property or land)

What is the Application Process?

We understand time can be a significant constraint for small business owners, therefore we have made our application process as simple as possible. First step will be completing our Express Enquiry Form , we will then check your eligibility and provide you with an Indicative Quote. At this point we will look to organise a Valuation of your property and once a loan is Fully Approved we will send the Letter Of Offer. Once this is signed and returned the funds can be deposited into your business bank account.

What is the Typical Loan Size ?

Loan amounts tend to vary but can start at $20,000 up to $5,000,000.

What is the Maximum LVR and Loan Term Available ?

The Maximum Lvr is Usually 75% but on a case to case basis we will consider 80% Lvr. The loan term is usually 6-12 months.

What are the Typical Uses for Short Term Business Loans ?

Business Expansion
Fund Business Growth
Business Cash Flow Crisis
Purchase Stock and Equipment
General Working Capital