The Current Situation
Access to finance is a key concern for small business owners in New Zealand. Did you know it’s twice as common for a small business to have its application for a loan rejected than a medium-sized business? Or that 20 percent of small businesses that need finance don’t apply for a loan, because the process is too difficult?
This all needs to change…
Enter Spotcap – an alternative lending platform that believes in a fair-go for small business. So much so that we’ve built our business model around that idea. Unlike traditional lenders, our online application process is fast and flexible. Rather than a backward-looking credit score, we make decisions based on evaluating real-life business and cash flow data. This means faster more efficient access to finance for small businesses when they really need it.
In the past few months, we have helped several small businesses realise their potential. One of our clients based in Whakatane operates a helicopter business. The high-cost nature and unpredictable environment of the business meant that funds were difficult to attain on demand. Because of the banks’ tight regulations, they weren’t able to provide the funds in the time frame required. In our approval process, we considered where the business is right now and where it can go in the future. We were able to provide the finance in a matter of days. The business used the credit line as working capital to continue exploring the skies and discover new heights.
Access to finance is just one of the ways we support a fair-go for small business. In the coming weeks and months, we will also use this blog to share practical advice, insights and learnings from our team of experts.
The Spotcap team.
Originally published April 18 2017 , updated May 8 2019