04 Mar How To Access Business Loans To Pay Out Tax Debts

You know that sinking feeling you get every time you think about paying your tax? Luckily we have direct access to business loans to get tax debts paid, fast.

We all get it, whether it’s tax on profits, PAYG or BAS, at some point there may come a time when you let it build up and the stress from finding a way to pay it out can consume everything you’re doing.

For some business owners, it’s never a problem however, some of us have seasonal peaks in trading, growth spikes or unexpected expenses that need to be taken care of before paying tax liabilities. Quite simply you end up taking care of your employees wages or paying suppliers to keep things moving forward before paying the tax man.

There are some pretty serious consequences for not keeping your tax up-to-date, running a company today in Australia and getting behind, can leave director’s personally liable for the debts if they are not taken care of. You can enter into payment arrangements with the ATO, which can help, however, nothing ensures a good night sleep like paying it out in full if you have the resources to.

It’s better to act early, plan or at least know your options if you need to access funding to make a payment or keep your payment arrangement intact.

Use these popular options when you need rapid funding:

Invoice Factoring / Debtor Finance

You’d be very surprised at how quickly these facilities can be setup. Funders in the Loandesk network are able to act quickly as they are only assessing the quality of your invoice/s. If you have any outstanding invoices, you can access 80% of the value with funds deposited directly to your account. Paperwork is issued within 24 hours and funding literally within 24-48 hours of signing agreements. Loan amounts $10,000 – $5,000,000.

Unsecured Business Loans

These are fixed term loans with repayment periods of 6-12 months. It usually doesn’t matter what other credit lines/loans you currently have. If you have regular deposits, you can get an approval the same day. Lenders in the network will work directly over the phone to give you pricing and approvals. Funds deposited within 72 hours. Loan amounts $10,000 – $500,000.

Property Secured Business Loans

Again we have lenders in the network with time to funds in your account within 24 hours. The quicker you can move the faster they can fund you. These lenders purely assess the strength of your property assets. Usually in the form of a first or second mortgage. Most lenders who fund very quickly on a second mortgage use a security term called a caveat protecting a second mortgage. This enables them to settle very quickly instead of the lengthy process of full registration of a second mortgage. Loan amounts $50,000 – $4,000,000.

Business Equipment Finance

Within Australia there a handful of specialist funders that make loans against existing equipment. If you own your equipment outright or have paid down substantial amounts of currently leased equipment, funders will provide working capital loans directly on agreed value. Loan amounts $10,000 – $1,500,000.

The above are the most popular rapid types of financing products you can access to get you funding in a hurry. Be very wary of anyone that asks you for large upfront payments to “assess” your application. Unfortunately, there are people out there that like to take advantage of business owners who show any signs of desperation.

It’s best to use Loandesk’s free service to put you in direct contact with lenders to save any unnecessary costs.

About Leigh Dunsford

I am a small business finance & lending columnist at Loandesk, teaching entrepreneurs what loan options are available to them in Australia, explaining the differences between each loan type & how to position themselves for the best chance of getting approved for their perfect loan. My thoughts have been published on Startupsmart, CEO Magazine, Smartcompany & more...

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