Have a client wanting to pay out a business tax debt?
Nicholas has been running a successful landscaping business for over 10 years. He recently incurred a tax debt and wants to explore using the equity in his home to pay the debt out rather than dipping into his business cash flow.
Roadblock
Nicholas' current lender rejects his request. They won’t entertain paying out tax debt using property equity.
Solution
Nicholas approaches his mortgage broker, to explore possible options. The broker runs the scenario past RedZed and we provide a seamless solution. We refinance Nicholas’ current home loan and use the existing equity to pay out the ATO debt at settlement, which means Nicholas has peace of mind to continue running his business.
Sound familiar?
Do you have a client in a similar situation? Workshop the scenario or give our team a call!
Has your client recently been rejected due to a recent ABN?
After working in retail art stores for most of her career, Jasmine recently decided to say goodbye to her salaried role and open her own art store and gallery. After six months running the business, Jasmine wants to purchase a large shipment of stock in advance using the equity in her home. Jasmine owes $400,000 on her $900,000 property and is looking for $150,000 cash out to purchase the stock.
Roadblock
Jasmine’s current lender rejects her request because they require applicants to have had an ABN registered for at least one year.
Solution
Jasmine calls her mortgage broker for help, who speaks to RedZed. Problem solved! RedZed accepts applicants who have only had an ABN registered for six months if they have more than 2 years’ experience working in the industry. Cash out for business purposes is also no issue for RedZed and no additional documentation is required to verify the cash out based on the stated purpose.
Does this scenario sound like a deal on your desk?
If you have a client in a situation similar to Jasmine's, workshop the scenario or give our team a call!
Have a client who wants to roll business loans into their home loan?
Matt has been running a successful logistics business for 14 years. A couple of years ago, he took out unsecured business loans to purchase more trucks and hire more staff due to ongoing demand. Matt is struggling to keep up with all the repayments and wants to refinance his business loans into his home loan and access $100k cash out for working capital.
Roadblock
Matt’s current lender is unwilling to consolidate the business loans or provide him with the funds he needs for working capital.
Solution
Matt’s broker approaches RedZed, given we allow for debt consolidation – including business debts. We are able to refinance the loan and provide cash out for business working capital. Matt is thrilled that he can finance his debt into one, easy-to-manage repayment. This reduces his overall repayment amount and means he has more cash flow to grow his business.
Can your clients relate?
If you have a client like Matt, workshop the scenario or give our team a call! We'd love to hear from you.
Do you have a client looking to access equity for an investment?
Jessica runs a successful interior design business and is also a savvy investor. She has not completed her recent tax returns and is hoping to release $1m in equity from her unencumbered investment property to invest in shares and purchase her next investment property. She has three residential investment properties and $2m in her existing share portfolio.
Roadblock
Jessica’s existing lender rejects her request as they require current tax returns to verify her income. Her existing lender also has policy constraints regarding the amount of cash out requested.
Solution
Jessica’s mortgage broker suggests they reach out to RedZed. Our alternative income verification option enables Jessica to self-declare her income, and she supports this declaration with her last two quarters of BAS from the ATO portal.
Does this scenario ring true for a client of yours?
If you have a similar deal on your desk that you can't quite place, workshop the scenario or give our team a call!
Looking for something other than home loans?
Take a moment to explore our commercial and SMSF loan scenarios and discover how we customise solutions to meet specific needs.
