Mortgage tips for small business owners
As a small business owner, you understand the earnings potential of your business. Unfortunately, not all lenders see the earnings potential of your business in the same way that you do. This can make accessing finance to buy a home or to grow your business challenging.
Adding to the complexity of accessing finance is the fact that many small business owners use legitimate structures like companies and trusts to minimise their tax liabilities. While using these structures can have many benefits, they can also have a direct impact on your ability to access funds from lenders.
With this in mind, your next question may be how do I make sure lenders assess my situation fairly? And this is where Bizally can help. We can work with you to ensure you are well prepared and well informed before and during the loan application process.
Navigating the mortgage minefield with Bizally
Every step you make in seeking a mortgage becomes common knowledge to all lenders, which is why it's essential not to make any missteps. Bizally is well versed in helping you navigate the tricky and every-changing finance environment, ensuring you never taking a wrong step by assisting with the following:
- Explaining how your financial situation will be assessed by lenders so that you have a thorough understanding of the process
- Helping you to be proactive. If you plan on applying for finance in the future, Bizally can help strategize with you now to ensure future applications are successful
- We can review your current budget with you - this will involve identifying opportunities where you may be able to save more or pay current debt off faster
- We can give you access to our recommended mortgage broker who specialises in small business finance
Why should you use a mortgage broker?
It's important to seek advice from professionals such as Bizally. It's also valuable to use a mortgage broker who understands small business finance. A mortgage broker can provide a great deal of information to you before you submit a loan application. They can also give you access to a wide range of lenders, based on your specific needs and financial situation. This means you will have access to lenders you might not know about, be able to access the lowest interest rates available, minimise your fees, be able to borrow more and ensure that your loan has the features that you require (i.e. offset account or redraw facilities).
Reviewing your current mortgage
Even if you have an existing mortgage, Bizally may be able to work with you to identify ways that you can pay it off faster. We start by reviewing your current mortgage and checking that it's the right fit for your circumstances. We can discuss your current interest rates, loan fees, borrowing capacity and loan features, and identify if your current loan still suits your financial situation. We recommend you review your mortgage every few years to ensure you are paying off your loan as fast possible.
When it comes to small business lending, Bizally's goal is always to make sure our clients have all the knowledge they need to make smart decisions about their mortgage choices.