You’d have to be living under a rock to NOT to know that current lending conditions are red hot – for both home and business borrowers.
Interest rates are at their lowest levels in my lifetime, with the cash rate holding out for the 14th month in a row at 2.50% as per the Reserve Bank of Australia’s meeting last week.
Banks are keener than ever for new business with interest rate discounts and various incentives being offered almost daily. One of the most recent offers that crossed my desk, specifically for business finance clients, includes the lender offering to pay all or part of the costs associated with switching banks, up to $40,000 in costs, depending on circumstances.
Whilst these deals are definitely worth reviewing it is important to know that getting a better deal on your business finance isn’t always about switching or swapping lenders as the costs associated with changing banks can often negate the benefits of switching in the first place.
These ‘switching costs’ include:
• Stamp Duty
• Property valuation fees
• Establishment fees
• Legal fees
• Documentation fees
It is however still important to consider other bank’s offerings to ensure you are maximising the benefits available in the marketplace – even if it is simply to provide you with a better platform for negotiation with your existing lender.
At Green Finance Group we have access to over 20 banks and lenders and know exactly who is offering what when it comes to specials and deals right here and now. If you’d like more information on how you could get a better deal on your own business finance give us a call today on 07 3899 2866.