.: Is The Web Lender a lender?
The Web Lender is an international business loan broker.
.: How do I apply for a business loan?
Complete the online business loan application.
.: What is the minimum and maximum business loan amount brokered by The Web Lender?
The minimum is $1,000,000. Smaller loans can be brokered. There is no maximum.
.: Does The Web Lender charge upfront broker fees?
The Web Lender does not charge upfront broker fees however a small due diligence deposit is required to commence work.
.: Do lenders require collateral for a business loan?
It depends on the type of loan.
.: What is collateral?
Collateral is the security given to commercial lenders to protect them when a borrower defaults on a business loan.
.: Does The Web Lender assist borrowers in acquiring collateral for a business loan?
The Web Lender assists borrowers obtain collateral for business loans when/where necessary.
.: What qualifies as a business loan?
A business loan requires a minimum of 12 months in business with an average of gross sales of $150,000 or higher.
.: Is cash flow or adjusted net income important?
Lenders tend to look positive cash flow or adjusted net income. Revenue and cash trends over the previous three years are highly scrutinized by lenders.
.: Is there a penalty for paying off my loan early?
Usually yes, but this is a question for a lender.
.: How long does it usually take to obtain a business loan?
It depends on how quickly you provide the documentation required by the lender.
.: Does The Web Lender invest and/or set business loan terms?
The Web Lender does not make investments. Business loan terms are set by lending institutions.
.: What is a BG (Bank Guarantee)?
Banks guarantees, *not sold in the USA, are written obligations of the issuing bank to pay a sum to a beneficiary on behalf of their customer in the event that the customer himself does not pay the beneficiary. It is important to note that these bank guarantees apply only whenever the issuing bank’s guarantee is not contingent on the existence, validity and enforceability of it’s customer’s obligation; this is called an “abstract” guarantee (i.e. the bank’s obligation is to pay regardless of any disputes between its customer and the beneficiary).
The issuance of bank guarantees is a private transaction and does not result in the issuance of any publicly tradable instruments. Lenders in our network accept bank guarantees issued by either HSBC, London or Deutsche Bank, Berlin as collateral for business loans.
There are two types of bank guarantee.
(*) Direct bank guarantees that have the issuing bank guarantee one’s of its customer’s (called “Obligor”) obligations to a third party. (called “beneficiary)
(*) Indirect bank guarantees that are issued in favor of a second bank which has issued a guarantee on behalf of their client of the original’s bank’s customer. With an indirect guarantee, a second bank (usually a foreign bank with head office in the beneficiary’s country of domicile) is involved. This is also known as a Leased BG (Bank Guarantee)
.: What is an SBLC (Stand By Letter of Credit)?
A Stand By Letter of Credit may be used as collateral for a business loan. A Stand By Letter of Credit is a purchased bank instrument and sold in the USA.
The Stand By Letter of Credit assures the beneficiary of the performance of the customer’s obligation. The bank is obligated to make payment if the documents presented comply with the terms of the Stand By Letter of Credit.
Stand By Letters of Credit are issued by banks to stand behind monetary obligations, to insure the refund of advance payment, to support performance and bid obligations, and to insure the completion of a contract. The credit has an expiration date.