Whether you are funding your day-to-day operations or a purchase of machinery or property, you need to obtain the right type of loan and the best terms for your company's circumstances.
Short-term loans
Short-term loans are normally used for general corporate purposes. You can draw fixed interest rate advances over periods from as short as overnight to up to 12 months, with longer periods available by agreement. Interest is based on interbank rates or another standard rate and is charged at an agreed margin over the rate for the loan period. Interest is payable at the end of the period. You can also obtain short-term facilities on an "until further notice" basis. This enables you to repay advances and draw down further amounts later depending on your cash flow.
Medium-term loans
Medium-term loans are used mainly for financing investments in fixed assets (property, machinery, etc.) or acquisitions. They can also establish longer-term funding on your balance sheet to provide a sound base for your company's financing.
Flexibility and convenience
At Danske Bank we offer flexible facilities that can be structured to suit your company's particular needs. You can make drawdowns over a period of time, such as during the construction of a building when you are making instalment payments, and then consolidate them into one amount on a specified date, after which a repayment schedule takes effect. You can take out loans with or without repayment schedules, make repayments annually or semi-annually, or make full repayment at the final maturity.