The new facility emphasizes speed, with term sheets provided within 24 hours and loan terms ranging from 3 to 36 months on an interest-only basis. Loan-to-value ratios (LVRs) are set at up to 70% for residential properties and 65% for commercial properties, with interest rates starting from 8.99% per annum. Eligible securities include houses, strata units, warehouses, factories, offices, retail spaces, light industrial properties, and metro vacant land.
Renown Lending's founder, Kalpi Prasad, highlighted the company's commitment to ethical lending, emphasizing transparent pricing and responsible structures tied to real assets. This approach aims to allow business owners to focus on their operations and growth without undue financial strain.
For SMEs, especially those facing challenges in securing traditional bank financing, this partnership offers a valuable alternative. The focus on asset-backed loans provides a pragmatic solution for businesses seeking to bridge timing gaps and access necessary funds for various needs, including purchasing stock, hiring staff, or investing in productivity-enhancing technology.
As the financial landscape continues to evolve, such initiatives play a crucial role in supporting the growth and resilience of Australian SMEs, ensuring they have the resources needed to thrive in a competitive market.
