Private Lender for Childcare and Early Learning Centres

Yes. The company is the borrower and the director's home secures the loan. Loans start from $250,000, and six months sits inside our 1 to 24 month terms. The exit needs to be set out at the start: the centres' income once the payments catch up with the wages, with a refinance or a property sale behind it.

• →Urgent short term loans for payroll

Yes. 70% of $3,200,000 is $2,240,000, so after the bank's $1,400,000 there is room for up to $840,000 on a second mortgage over the centre property, behind the bank's loan. We lend a single amount at settlement and do not make progress payments to a builder, so get a fixed quote for the works first. The usual exit is a refinance once the works are complete.

It can. We value the freehold centre property on a going-concern basis, so lower occupancy affects the valuation and the amount we lend rather than whether we lend. Bring the occupancy figures by month and the enrolments booked for next term. The exit is usually a refinance to a bank once occupancy has recovered, or the sale of the centre.

Yes. We can still lend after a director penalty notice has arrived, and a tax debt on its own is not a reason we decline. The loan funds are paid to the company, which pays the ATO. Check the date on the notice with your accountant, because the time left decides how quickly the loan needs to settle.

• →Director penalty notice loans

Partly. 70% of $1,900,000 is $1,330,000, so after the $600,000 owing there is room for up to $730,000 secured by the home. The remaining $370,000 needs to come from the company's own funds or from another property added as security. Your company is the borrower. Ask your lawyer which approvals the sale needs before you commit to a settlement date.

Yes, where the centre property has equity inside the 70% limit. We lend a single amount at settlement, not progress payments to a builder, so the extension budget is paid to your company in one sum. The usual exit is a refinance once the extension is finished and the higher rent is being paid.

They can, where the two centre properties have enough equity inside the 70% limit. If they are worth $7,000,000 together with $2,500,000 owing, 70% is $4,900,000, which leaves room for up to $2,400,000. Ask your lawyer to document the share transfer and the payment date, so the loan settles before the date you have agreed with her.

• →Business partner buyout loans

It can, where the sale is expected to complete inside the loan term, which runs up to 24 months. An offer that is not yet a signed contract has no fixed date, so we also need a refinance or the sale of another property behind it. We lend a single amount at settlement for the refurbishment.

Yes. The company is the borrower, and a second mortgage over each home can sit behind the existing home loans where there is equity inside the 70% limit. The exit is usually the subsidy and parent payments once the new services are running, with a refinance or a property sale behind them.

Yes. Together the two properties are worth $6,600,000, and 70% of that is $4,620,000. After the $800,000 owing there is room for up to $3,820,000, which covers most of the $3,900,000 price, with the balance and the purchase costs from your own funds. The sale of the current centre is the exit, and any remaining balance moves to a long-term loan on the new building.

• →Bridging loans

No. Our loans are secured by real property: the centre freehold property, or a home or investment property owned by a director or the company. The loan funds can still be used for payroll and running costs.

Many operators lease their centres, so the security is usually a director's home or investment property, or other property the company owns. A second mortgage can sit behind an existing home loan, within a combined loan-to-value ratio of 70%.

The borrower is always a company, including a company acting as trustee. The company receives the funds and repays the loan through a defined exit, such as a refinance or a property sale. We do not lend to individuals.

Our loans start from $250,000, with larger loans assessed case by case, up to a 70% loan-to-value ratio across all mortgages on the property. Terms run from 1 to 24 months, and most borrowers repay within 3 to 6 months.

We decide in hours, and settlement within 24 hours is possible once the letter of offer is signed and the title is clear. We lend our own funds and our own valuers assess the property, which is why the timeline is short.

This is not a problem for us on its own. We assess the property and how the loan will be repaid. A year in which wages ran ahead of income is something we look at in context, not an automatic decline.

Yes. Our childcare centre purchase page explains how a loan on the freehold property can settle on the contract date while the service approval transfer runs alongside it.

• →Urgent short term loans to buy a freehold childcare centre