FAQ
Frequently asked questions
The questions New Zealand owners ask us most, answered plainly.
Paperwork
What paperwork do I need for a business loan?
It depends on the loan. Full doc lending wants filed accounts and tax returns. Bank statement lending relies on six to twelve months of statements and current GST. Low doc uses a signed income declaration with GST returns. Property-backed loans lean on the property and an exit plan.
My accountant is behind. Can I still borrow?
Often, yes. Bank statement and low doc lending are built for this, and current GST returns help a lot. Property-backed lending can work even when returns are well behind.
Do I need to be GST registered?
Not for every loan, but many lenders use GST returns to confirm turnover. If your turnover means you should be registered, sort that out first.
What is a low doc income declaration?
A signed statement of your income, backed by bank statements, GST returns and sometimes an accountant's letter. Our guide explains how to prepare one.
Your business
Can sole traders borrow for business?
Yes. The loan is in your own name, so your personal credit file and IR3 returns matter, and a separate business bank account helps.
I've just moved from sole trader to company. Will I look new?
Not if you show the history. Keep the sole trader GST returns and statements and ask your accountant for a short letter confirming the business carried on.
Can a new business get a loan?
Sometimes. Equipment finance and property-backed loans are the most realistic options in the first year.
Do directors have to guarantee a company loan?
Usually, for small business lending. Read any guarantee carefully and get legal advice before signing.
Credit and IRD
Can I get a business loan with bad credit?
Often. Specialist lenders look at current trading and the story behind the marks. Property-backed loans and equipment finance are the most flexible.
How do I check my credit report?
Request it free from each of Centrix, Equifax and illion. They can hold different information, so check all three.
Should I borrow to pay IRD?
Compare an IRD instalment arrangement first. If that won't work, a loan, often property-backed, can clear the debt. File overdue returns before applying.
Why don't you publish interest rates?
Every business loan is priced on the borrower's situation, security and term, so a published figure would be wrong for most people. You'll see the full cost before you sign.
Enquiring
Does enquiring affect my credit file?
No. There's no credit check when you first enquire. A check only happens if you decide to go ahead with an application.
Will my details be sent to lots of lenders?
No. One person works on your enquiry and goes to the lender that fits your paperwork.
Why does filling in the form accurately matter?
Because it decides which paperwork level and lender we start with. Accurate answers avoid declines that didn't need to happen.
Is this for personal loans?
No. Everything we arrange is for business purposes only.
Still got a question? Ask us directly.
See what your business could qualify for
One short enquiry, no credit check when you first enquire, and a real person who calls you back with options that fit.
Asking won't mark your file
Not passed down a list
Read by a real person