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How to Obtain a Huge Private Funding

Are you looking for ways to get private funding for your research or business venture? Here are ways to start, nurture and grow relationships with private funding resources.

Know what your donors need

A private foundation can give away billions of pesos in a snap if it meets their interests, regardless of your needs and wants. The secret is in finding the right match. Your need must match your donor’s needs. That is why it is important to conduct as research on the mission and vision of a company, its patterns of giving, legal and geographic limitations and most of all, its interests.

Significant research may be needed to understand what private investor look for in a proposal. This will; help you evaluate the different approaches you may have.

Your presentation must match their business goals and the company’s passion. You also need to be able to assess how much impact your project could do to the company’s image.

You need to be aware of the different programs of the investor, and the roles they play in maintaining the company’s reputation. For example, it makes sense to apply for private funding for your recycled materials business from a company with advocacy on solid waste management.

Prepare an impressive proposal 

Write down the needs statement that lays down the problems. What problem does your project intend to address? Offer concrete proof of the program’s needs, such as statistics and results of the most recent research or government data. There’s nothing wrong in arming you proposal with factual documentation.

Describe the solution and show that you are qualified to do it. Make sure that your proposal best represents the program you are proposing to your private funder. Don’t give any allowance for spelling errors, or other ‘grey’ areas that would leave a bad impression. The proposal must be accurate and specific. The paper must be crunchy clean. Be specific when it comes to asking for money. Make it persuasive, convincing and indicate a solid promise that you can deliver exactly what you promise. On top of it all, present a concrete plan. One that you can substantiate with figures or at least reliable proof that it is something ‘doable’.

Let the funder know who you are and what you represent

Trust is one of the most important issues in getting a private fund. Give your funder a concise overview of the whole organization or company you represent. Make a good introduction about your organization, your objectives and strategies, as well as your methods of addressing your problems. If you can give them a background of your agency or organization, some endorsements from other agencies and the qualifications you may have that show them why you qualify to handle such project—give it to them. It pays to let the funder know that you exerted efforts in letting them know you, before they part with their money. It is not enough that you let them know what you intend to do with the money. The most important question is, ‘why do you need funding?”

On another note, it is important to convince the investors that you have a good idea of what you do and you know exactly what you are doing. BY presenting a good business plan, you are demonstrating that you can use the financing really well and that you will have enough money to repay them in return.

Create a realistic budget

Write down the realistic estimate of the costs you may incur in conducting the project. It is costly to implement and operate a project—so brace yourself for expenses such as rent, salaries, supplies and other daily operational expenses on top of the required capital to get started with your project. Make a clear outline with a breakdown of expenses—such as how you plan to allocate the money you receive from the private funding resource and other sources to support your project.

If you’re looking for private funding, but you’re not sure how you can get approved—you might want to try applying for alternative funding options.  Second mortgage, business loans and other small business loan products available at Australian Lending Centre are practical alternatives to intricate private funding options. 

A solid budget is indispensable in managing your working capital.

You may be able to reduce the costs of your daily operations as well as meeting financing needs and debt relief. It is also important to implement cost-cutting measures such as limiting the credit to your old customers and chasing up overdue debts. Using a point of sale system to track the cash coming in and going out on a daily basis could also improve your cash flow.  If you have many collectibles, it may be time to reduce the collection period by at least 7 days. It could at least increase your cash flow at times when suppliers are most likely to collect payments from you.

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Top Methods of Getting Personal Loans from Private Lenders

Every individual or family may need personal loans from time to time. It may be for various reasons: the car broke down, the house needs some renovations, or their daughter is planning to get married in Spring. Regardless of the reason, money is needed as fast as possible.

The problem is that options such as credit card debt or bank loans aren’t always available. Once more, reasons may vary. It may be because you built up too much bad credit or you have no collateral to attach to the loan.

In these cases, a personal loan from a private lender may look like a very good option. They are fast, easy to access, and may overall improve your financial situation. And this article will tell you the top methods of getting a personal loan from a private lender.

#1: Figure Out If a Private Personal Loan is Your Best Option

Before going for personal loans, you need to learn the difference between public lenders and private ones. For one, private lenders aren’t banks, credit unions or financial institutions. They are simply individuals (or companies) with no attachments to a certain institution that lends money to other people. Those who receive a loan from a private lender usually have a certain relationship based on trust.

A personal loan taken from a private lender is different from other types of private loans, in the sense that you don’t need to specify why you need a loan. On the other hand, public lenders will categorise the loan based on your needs: student loans, car loans, mortgage loans, etc.

Keep in mind that personal loans are very different from payday loans. A payday loan will have to be paid very fast – usually within the first two weeks – and they carry a very high interest rate. A private personal loan will have a longer time frame and a lower interest rate – but will still be higher than the one offered by a bank.

There are also risks to personal loans from private lenders, such as shorter payback periods or costly fees. Most will require collateral to secure the loan. If by any chance, you find yourself unable to pay the loan, the lender will be entitled to sell that property to get his money back.

#2: Consider the Alternatives

The most important part of getting a personal loan from a private lender is knowing that there are other options aside from them. If the return of your purchase makes your loan worthwhile, then getting personal loans from a private lender might not be such a bad idea.

Still, before going for a personal loan, you may want to check whether you can use cash to fund that purchase or not (or at least some of it). This may reduce the costs in interest, resulting in a much smaller loan.

You may also want to evaluate all your alternatives. Consider opening a line of credit, or getting a public student loan. If the interest rate is more beneficial for you, there’s no reason for you to take out personal loans. Only do so once you’ve burned out all the other options and know for sure this is your best opportunity.

#3: Access Your Options for Personal Loans

When opting for personal loans from a private lender, you need to do your research on the options that they provide. You may want to focus on lenders that are accredited or have been approved by the government.

You can go for individual lenders or companies. Browse through your options, and see which one is a better way to start. After learning of all the options, you may settle on the one you believe is more convenient for you.

You should also try contacting your family, friends, or business acquaintances. They may be able to offer you a personal loan quickly, with a smaller interest rate. Still, you may want to make sure that there is also a written agreement next to your verbal one. And you should keep in mind that failure to repay this loan can result in damaging your relationship with your lender.

Once you have explored all of your options, collect all the documentation that you need. You need to appear as creditworthy as you can. Show your income sources, your savings, or any physical assets that you use to secure your debt.

Final Thoughts

Personal loans from private lenders can be tricky to deal with – but they are also convenient if bank loans are not an option for you. All you need to do is research your options and come up with a convenient provider. Contact us for a free assessment that has no effect on your credit file and get one step closer to a suitable personal loan.

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Private Lenders: An Alternative Source of Financing

Whenever Aussies need a loan to finance a new car or house they go to the bank. Still, they seem to forget that there are also alternative sources of financing in the form of private lending. But what are private lenders and why should someone consider these alternative sources of financing when there are plenty of banks?

Sometimes, traditional banks don’t always approve your loan application due to many different reasons, so people have to look for alternative sources. With a private lender, maybe you will finally get that new car you have always wanted.

What Are Private Lenders?

They can be either an organisation or a private individual. Unlike traditional funding sources, like banks, private lenders don’t have traditional qualifying systems, meaning that getting access to a loan is much easier.

However, because of its “different” nature of funding, lenders come with higher risks for both the borrower and the lender.

What Are the Benefits?

To begin with, private lenders can easily approve your request for a loan. In other words, if you have bad credit or are self-employed or cannot provide proof of your income, a private lender may be more accessible when it comes to requirements. So, no matter your income and your credit score, a private lender will get you the loan you need.

Another reason for applying for private funding is due to the straightforward process they have. Unlike traditional lenders, the private ones will accept your request very fast. Not only that, but your loan could be available right after your application is approved. This can bring a lot of advantages if you are on a tight schedule.


Drawbacks of Using Private Lenders

It almost sounds too good to be true, but private lenders do come with a set of drawbacks that can make them inaccessible to some Aussies.

The first thing to know is that their rates are typically higher than those of traditional lenders. This is how they compensate for the increased risk and they will have high interest rates for those with bad credit.

Some lenders may feature high fees, from the start until the finish of the loan term. In any case, be sure that you know what you are paying for.

Another drawback is that some loans are offered for shorter terms in comparison to what traditional lenders offer. This happens especially when it comes to mortgages. When conventional mortgages have a twenty-five to thirty year terms, private lenders offer smaller mortgages that just fill the gap until securing more traditional finance.

The private mortgages can also be used to cover needs like the construction of a house. They can also cover for the period between purchasing a house and selling one. The term on these mortgages is one or two years, which means that you will have to move fast to pay the loan back.

Another thing you should know about private lenders and their services is that some of them do not offer the same features as traditional lenders do. In other words, some loans may lack features such as redraw facilities or offset accounts. So, if you were hoping for these types of features, you might have a problem.

How Can Private Lenders Help Me?

Private lenders can offer you a lot of options when it comes to loans. Here are a couple of them:

  • Caveat loans are fast-settling loans secured against a property. These loans are short, last sixty to ninety days and settle very quickly.
  • Bad credit loans are the ones you need if you have a low credit score. Be careful though; these loans come with high interest rates, so use the money wisely and make sure you pay back the loan fast.
  • Bridging loans can be offered by private lenders and can be used by the customer to build or purchase a new home before the sale of their old home. These loans have a term of twelve months, and they are paid back when the old property is sold, making them quite useful in the long run.
  • Second mortgages are also offered by private lenders. These loans are available for those who already have a mortgage on a property who are in need of extra funds for multiple reasons. Depending on the lender and the loan terms, these loans could have high interest rates and extra fees. With all these factors in mind, any client should think twice before applying for this kind of service. So be very careful if you do.


Private lenders are here to stay, whether you like it or not. They have a lot of advantages in comparison to traditional lending systems, but they also have some drawbacks. At Australian Lending Centre, we offer second mortgages at competitive rates and flexible repayment terms that can be catered to your specific needs. Contact us today for a free assessment via our enquiry form now!


How To Choose The Best Private Funding (Or Private Lender)

How to choose the best private funding or private lender is not a piece of cake. There is no such thing as one-creditor fits all when it comes to loan options. But, asking the right questions can help you find the best financing company with loan products that best fit your credit situation.

Is private funding the best option for me?

Understand the difference between bank and nonbank lenders. Private are non-institutional lenders lending money to others.

What is the difference between private funding from other types of loans?

The private lender often asks where you will spend the money on, while public lenders such as banks and credit unions categorized loans according to their use. Most of the loans are either secured by a deed of trust or a note.

Private money lenders are there when banks turn down your applications because of poor credit rating, insufficient income or paperwork.  So, while you try to lock up deals for an investment, or while you wait for your next income, private lending can help you get through.

What are the benefits of getting private funding?

If you have a poor credit score, you may find it difficult to obtain a traditional bank loan. But, private lenders like Australian Lending Centre can offer you the following benefits:

  • Quick and easy loan approval for borrowers with  poor credit score
  • More affordable interest rates than credit cards
  • Flexible loan terms

Special caution

Some private lenders make up for the risk of not being repaid by high-risk borrowers with higher interest rates. Some of them issue loans with steep penalties. So, if you pay late or if you choose to prepay your loan, the overall cost of the loan may be more expensive than traditional loans from banks.

Choose a private lender that helps you build your credit rating

If you have a history of late payments on car financing or you always spend over your credit card limits, you’re most likely to have a low credit report rating. As a result, you’ll find it hard to get car financing with lower interest rates and it would become virtually impossible to get a new credit card. Aside from the fact that you will have to pay around 15 per cent higher than the interest rates for the same loan offered to people with excellent credit, many private lenders may also turn down your loan application.

A bad credit report limits your chances of getting private funding. Private lenders are cautious of borrowers with low credit scores and records that indicate poor financial management. But, it doesn’t have to stay that way. There are ways to boost your credit score and fix its negative effects on almost every aspect of your life. In order to achieve this, it is important to choose the right lender who will give you the best private funding.

Australian Lending Centre offers several loan products that can help you gain control of your finances and build your credit score. Their programs are designed to help you get back on your financial track while they help you obtain the money you need for your emergent needs, at a very low cost.

Apply for private funding today!