Debt consolidation business loans are a great way to combine all your business loans and debts, even business tax debts, into one easy repayment loan. The beauty of a debt consolidation business loan is that all your debts are in one place under one loan and only one interest rate, which is generally lower than your paying interest rates. It also takes the pressure off you as you pay off all your creditors and nasty harassing phone calls and are left to focus on your business.

If you have tax debts, supplier debts or owe your staff money such as superannuation or holiday pay, then a business debt consolidation loan is perfect. You don’t have to juggle separate payment schedules.

Having one business debt consolidation loan in most cases outweighs the benefits of having lots of little loans.

• It will save you money in the long term by having lower interest rates and most likely fewer fees to pay in one loan vs fees that may be charged across multiple loans.
• One business consolidation loan is much easier to manage than multiple loans – just one monthly repayment. Plus, you can manage cash flows easier as all loans are in one place.
• Setting up a repayment schedule is easy as you only have one loan and not multiple loans with many people you have to deal with.
• One easy-to-manage loan will help you improve your credit rating if you repay this loan on time, rather than worrying about multiple repayment dates and potential defaults that can make a mark on your credit history.

You can borrow between $200,000 and $2,500,000. When you submit your application, we’ll let you know how much we’re able to lend you based on your business financial figures and position.

A massive difference between Sparrow Loans and other private lenders is that we don’t charge any hidden fees whatsoever. We are known for keeping our pricing 100% transparent, so you know exactly how much our business consolidation loans cost. We don’t charge upfront application or commitment fees, or hefty exit fees.

We are super fast and can have your debt consolidation business loan approved within 2 business days, where a bank may take anywhere between 6 to 8 weeks. Plus, they might not approve your loan. So you’ve waited all that time without approval which adds to stress and anxiety. With a traditional loan, you have so much more paperwork, hidden fees and waiting times. You know how banks can be; frustrating and bureaucratic. With Sparrow Loans, you know what’s happening every step of the way and know exactly where you stand. We are here to help you grow your business, and if for some reason we cannot help we will always let you know straightaway.

Business debt loan consolidation has both the potential to help your credit score and hurt it at the same time depending on the timing of your cash flow. The extent to which it affects your credit score will depend on how proactive you are at maintaining your interest repayments once you have consolidated the loans. It will help with your credit score if you are diligent, but if you start slacking off and missing repayments, this will have a larger opposite effect. But most people don’t get a debt consolidation loan to help with their credit score; it’s usually a by-product benefit of this as it simplifies your repayments. Most businesses opt for a consolidated debt to help reduce hefty interest fees from using a credit card or other loan facilities and minimise the number of loan facilities, terms and conditions that they need to monitor.

Also read: 10 easy ways to boost your credit rating

It’s prudent to consolidate your business debts if you are feeling overwhelmed by the various loans you currently have; all with varying interest rates and monthly instalments falling due on different dates. For peace of mind consolidating all your loans into one loan package is easier to manage in terms of cash flows.

If you are at a stage where you are refinancing or purchasing a property, refinancing some expensive cash flow loans into your property loan settlement might also be an attractive option to minimise the cost of interest. Sparrow Loans can help you with this!

You can consolidate your business debts as many times as you like. Once you establish a decent repayment schedule with your private lender and you can show that you are able to repay your monthly interest fees off your loans, you can apply for more money. Remember all Sparrow Loans debt consolidation business loans are secured and are property backed.