New light doc loan released.
70% Light Doc !!!! (with no mortgage insurance)
Suitable for either:
• New business’ – established for minimum 12 months
• Business’ where the last 12 months financials are significantly improved over previous years figures (so “averaging” won’t affect the serviceability)
• Situations were the last 12 months (official) financials are not available
Requirements:
• 12 months profit and loss statements (P&L) taken from management accounts with end date no more than 6 months prior to application date, must be signed by all applicants / guarantors
• Business Activity statements (BAS) covering all four quarters of the P&L above.
• All Business Activity Statements (BAS) covering the period from the end of the P & L to the present (if required)
• Group Certificates for all wages paid to Directors for these amounts to be added back
Maximum Loan:
• 70% LVR of all security properties offered (where those properties are less that $3.0m in value)
• Cash out available etc
An example: A company commenced business on 1/1/10 (or the more profitable months were from this date), you would supply:
• Signed Profit and Loss Accounts done from the Management Accounts (MYOB or the like) of the Business, (note no Accountants input needed) from 1/1/10 – 31/12/10. This is a 12 month period covering two financial years, but we just want any consecutive 12 period
• BAS for the same period as the P&L reflects
• Group Certificate for Directors issued as at 30/6/10
The net profit from the P&L + wages paid to Directors as the servicing amount.
Up to 70% of the residential property offered as security.
Other key points to note:-
- There is No Lenders Mortgage Insurance (NO LMI) applicable to this product.
- The last date on the Profit and Loss presented must be no more than 6 months old. BAS is required from the last date to present (if applicable)
- The Profit and Loss does not have to coincide with a financial year. Just require a 12 month profit and loss for any 12 month period
If your business has been going for at least 12 months then please call us.
