Suncorp SME Recovery Loan

Suncorp is proud to be partnering with the Australian Government to help support your SME business and cash flow requirements through this period of economic recovery.

Find out if your business may be eligible for the SME Recovery Loan.

Has your business been adversely impacted by COVID-19?

Yes

Are the funds intended to be used for business purposes only?

Yes

What’s on offer?*

Term Loan of up to $5,000,000 (secured lending) or up to $2,000,000 (unsecured lending)
Maximum loan term of up to 10 years (for secured and unsecured lending)
Repayment deferral of up to 12 months¹
Interest rates from 1.99% p.a. (secured lending) and 4.69% p.a. (unsecured lending)²
No establishment or monthly account keeping fees
Progressive draw is available
No early payout fees

What are the eligibility requirements?

Whether or not you’re already a Suncorp Bank business customer, your business needs to meet the following eligibility criteria:

Registered with an ABN and is based and operates within Australia.
Annual turnover of less than $250 million in the 2019-20 financial year and expected 2020-21 financial year turnover of less than $250 million.
Your business has been adversely impacted by COVID-19.
The purpose of the loan funds can be for:
- working capital requirements
- purchase of non-residential property
- acquisition of another business
- refinance of any existing loan facilities (including existing SME Guarantee Phase 1 and 2 Loans).*
You are unable to obtain funding to:
- acquire residential property or a financial product
- provide a loan to an associated entity
- lease, rent, hire or hire purchase an existing asset which is more than halfway into its effective life.
The loan is unconditionally approved by 30 June 2022.

Things you should know

* Existing loan facilities to be refinanced must meet the above purpose requirements and not be 30 days or more in arrears at the time of application.

1. Repayment deferrals for a further 12 months (i.e. 24 months in total) will be considered on a case by case basis.

2. The interest rate is increased by 0.30% p.a. where a repayment holiday is sought. An additional risk margin may be applied if the lending is not fully secured.

Business Lending Products are issued by Suncorp-Metway Ltd ABN 66 010 831 722 Australian Credit Licence number 229882 (“Suncorp Bank”). To approved applicants only. Fees, charges, terms and conditions apply and are available on request.

What are the next steps?

Does your business meet the above criteria?

Yes

Do you wish to register your interest for the SME Recovery Loan?

Yes

Customers can also contact us to discuss the SME Recovery Loan via:

Our help line on 13 11 55
Your Relationship Manager (where applicable) or
Your broker who currently assists with your lending requirements (where applicable).

Unfortunately it appears you are not eligible for the SME Recovery Loan. However, there are other financing options that you may wish to consider such as business term loans, business overdrafts or vehicle and equipment loans. Click here to find out more about these alternate options.

Customers can also contact us to discuss these options with you further via:

Our help line on 13 11 55
Your Relationship Manager (where applicable) or
Your broker who currently assists with your lending requirements (where applicable).

Frequently asked questions

Do I need to have been affected by COVID-19 to be eligible for the SME Recovery Loan?

Yes, you do need to have been affected by COVID-19 to be eligible. You will need to sign a SME Declaration which confirms this.

Can I still qualify for the SME Recovery Loan if I have already accessed a loan under the Coronavirus SME Guarantee Scheme (either phase 1 or 2)?

Yes, you may still be eligible to access the SME Recovery Loan, subject to the eligibility requirements of the Scheme and providing you meet the Bank’s standard lending critieria.

How much can I borrow from Suncorp under the SME Recovery Loan Scheme?

Critiera	Fully Secured	Partially Secured	Unsecured
Maximum Loan Amount	$5,000,000	$2,000,000	$2,000,000

Notes:

Maximum limits apply:
- per borrowing entity or Aggregated Group
- includes SME Recovery Loan Scheme loans provided by Suncorp or any other participating lender
- includes any capitalised fees or interest
Minimum loan amount is $20,000

What is the difference between fully secured, partially secured and unsecured lending?

Fully secured lending is supported by collateral over real estate or other acceptable security and where the amount advanced is within the Bank’s normal Loan to Valuation Ratio (“LVR”) parameters. Partially secured lending may be supported by collateral over real estate or other acceptable security and where the amount advanced is above the Bank’s normal LVR parameters. Unsecured lending does not involve collateral in any form being provided as security.

Can I choose a repayment deferral and does the loan attract interest during the deferral period?

A deferral of all principal and interest is available for a continuous period of up to 12 months (“Deferral Period”).A Deferral Period is not mandatory and you may elect to not defer any payments under this loan. A further deferral of 12 months (i.e. maximum 24 months) may be considered subject to lending criteria. It is important to note that interest will continue to accrue during the Deferral Period and will be added to your loan balance.

What loan instalment types are available?

Fully Secured Loans

Principle & interest repayments, which can be fully or partially amortised over the loan term. Any residual balance must be paid in full at the end of the loan term.
Interest only instalments may be considered for a maximum period of 5 years, however this term will be reduced by any Deferral Period sought. For example, a loan may have a maximum 4 year interest only period where a 12 month Deferral Period is sought.

Partially and Unsecured Loans

Only fully amortising principle & interest loan repayments will be considered i.e. no balloon installment is available.

Is the SME Recovery Loan a Fixed or Variable rate product?

The SME Recovery Loan is a variable interest rate product only, therefore your interest rate may be subject to change from time to time.

What fees and charges are payable for the SME Recovery Loan?

There are no upfront or ongoing bank fees payable. The only fees that the loan will attract will be third party fees (e.g. government fees or valuation costs) where applicable.