FAQ: business lending & business loans for business owners
Business Loans Frequently Ask Questions
More about the Vista Small Business Loans
Let me know more about Vista Small Business Loans
Vista unsecured loans offers amounts between $5,000 and $100,000. The terms range between 3 and 24 months. They also offer cash flow-friendly repayments which can be made daily or weekly.
What is this Unsecured Loan different from an ordinary company loan?
Apply to get your Small Business Loan in under 10 minutes over the phone. You’ll get an immediate response, and the money could be available in just 24 hours. Traditional company loans reference an annual rate of interest plus other fees and charges. We offer a business loan is an upfront priced loan and you’ll know in advance the total amount due, which includes any fees, charges or charges. This is then divided into weekly or daily amount to be paid back.
What could you use the Small Business Loan be used for?
A Small Business Loan can be used for nearly every company need, such as control of cash flow company improvements, advertising, to purchase inventory or new equipment, for general working capital, and much more. The loan is not available for personal purposes.
About larger Vista Business Loans
What is the Larger Vista Business Loan?
The Larger Business Loan is a larger size loan to aid in business expansion opportunities. The loan ranges from $100,000 to $500,000 with a fixed-term up to 36 months. Repayments are either weekly or fortnightly depending on your situation.
How’s the Origination Fee determined?
The Larger Business Loan has an Origination Fee, which is determined at 2.5 percent of the loan amount.
Am I eligible for the Larger Business Loan?
To qualify for a loan of this size, your company needs to be trading for at least 3 years with an annual turnover of $700,000. It is necessary to be a New Zealand Citizen (or Permanent Resident) with a minimum age of 18 years old or have a New Zealand company (with a valid NZBN/IRD) and be able to demonstrate at minimum 12 months of business.
How can the funds be utilised?
A Business Loan of a larger size is a great option for almost any business reason, such as company renovations, to purchase equipment or inventory as well as for general working capital, and much more. The loan cannot be used for personal purposes.
Is the Larger Business Loan a secured loan?
Asset security is necessary for funding of more than $150,000. It is usually by taking a charge over assets, which could also include registering this with the PPSR or filing as a caveat.
A director’s or personal guarantee is a promise to repay credit that is general in nature rather than specifying security over a particular asset. The person who is signing the guarantee is personally responsible if the business the borrower fails to pay back the debt.
The Personal Property Securities Register (PPSR) is a central, national online registry run by the New Zealand Government. It records security interests that have been that are registered for personal property (including the assets or goods). The PPSR allows prioritisation over property that is personal to be granted according to the date the security interest has been registered.
A caveat is a legal document that is filed to provide an official notice of a claim to a property.
What is a pre-approval minus Credit Check?
If you’re applying for the Larger Business Loan of $250,000 or more we may be able to provide a preliminary pre-approval to help make the process. We may be able to do this without a credit check and within six hours of your initial application. The pre-approval process is based on an initial assessment, which involves answering a couple of financial health checks. It is not an offer of credit or guarantee of credit. The approval of a conditional loan is subject to a full credit assessment and any offer you receive could be based on different terms.
The application process
Do I qualify for funds?
You may be eligible for a business loan if you;
- are a New Zealand Citizen (or Permanent Resident)
- are 18 years or older, have a New Zealand business (with a valid NZBN/IRD)
- you must prove at least 6 months of business (for a unsecured loan $5K – $100K) or three years of trading (for the Larger Business Loan $100K or $500K)
How do I apply?
The application process is simple and simple. Complete the online form in just a few minutes, and a dedicated business credit specialist will be in touch to guide you through the process.
To be eligible for up to $100,000 you’ll require ID details (valid Driver’s Licence) and an NZBN/IRD that is valid and at least 6 months of bank statements.
If you’re looking for loans with larger sizes, you’ll also need:
$100K – $250K: Application details including credit consent, 6 – 12 months of IRD statements, bank statements (if credit is over $150K).
$250K to $500K: Application details including credit consent twelve months of bank records, IRD statement, last 2 years finalised financial statements, as well as interim financial statements for the current year as well as Aged Payables and Receivables summaries.
How soon will I hear a decision?
For an unsecured loan ($5K or more) we typically offer a response in one hour if you apply during quality company hours and let us use the advanced bank verification system link to instantly verify your bank information online. If you choose to upload copies of your banking statements we can provide a decision within just 1 company day.
For Larger Business Loans ($100K and up) we may be able to offer you with pre-approval conditional to your application within 6 hours. Once you’ve signed the pre-approval, the turnaround time is between 2 and 3 days for the final approval. However, this may be quicker depending upon the circumstances for each application. Some transactions have received approval within just 24 hours.
The fastest way can be ensure you apply during normal company hours and permit us to use the advance bank verification to instantly verify your bank account information online. If you upload duplicates of your banking accounts, it may take a bit longer.
How soon will I receive the funds?
For the Small Business Loan ($5K or more) we typically offer an answer in just one hour, provided you make your application at normal business timings and permit us to utilise the advanced bank verification system link to immediately verify your bank account information online. If you opt to upload copies of your bank statements, we will be able to provide an answer in just 1 business day.
For Larger Business Loans ($100K and up) we may be able to offer you with conditional pre-approval in around 6 hours. After you’ve signed the pre-approval document, you will require to wait approximately 2-3 days to receive final approval. However, it could be faster based on the circumstances of each application. Certain deals have been approved within just 24 hours.
The quickest method for you to apply is make sure you apply during standard business hours, and allow us to use our advance bank verification link to verify your bank account information online. If you decide to send us copies of your bank statements, it can take a bit longer.
How much can I borrow?
We provide loans ranging from $5,000 and $500,000. When you make an application for a specific amount we look at a variety of aspects that determine your health of the company and the amount of payments your company can support. The total amount of your loan will depend on the specifics the business.
When you make an application for a specific amount we take into consideration a variety of aspects to determine the health that is your business and the extent of the repayments your business can afford. The amount you receive from your loan will be determined by the particular circumstances the business.
Fees & repayments
What is the cost for the cost of a company loan?
When you apply for our business loans, we’ll assess the risk profile that you have for your company and provide you with a tailored offer including the loan amount, the terms and interest rates. A company loan is a loan that is priced upfront which means you be aware of the total amount to be paid, including any charges or interest.
What is the factor that determines the price I am charged?
Interest rates for business loans rates depend on a variety of factors like the amount of money borrowed, what business assets the money will be used for and the sector the company is operating in, how long the company has been operating and what percentage of the business has enough cash flow to fund the loan, as well as the general well-being or financial standing of the business.
What are the charges?
There aren’t any hidden charges with our business loans. You’ll know precisely what you be required to pay, and when, starting from day one. There’s not any compounding interest and the loan comes with no additional fees (as long as you are able to make your payments in time).
We do not charge an Application Fee. You can apply for a loan with without any upfront costs or obligation to proceed.
The Origination Fee covers the costs associated with the setting up and management of the loan. You are only charged this fee if you proceed with the loan. Our Origination Fee is 2.5 percent of the loan amount.
Do I have the option of paying off the loan in advance?
You may choose to pay back the entire amount of the loan early at any time.
If you do decide to do this please contact our helpful business lending specialists. The professionals will provide you with the details of your repayment along with an early payout estimate. The figure will be calculated as the total of the remaining principal amount and accrued interest to the date of early payout, plus 1.5% of the principal remaining as well as any outstanding fees.
What is the process for repayments?
In order to help you avoid missing repayments and to fit in with your cash flow cycle we provide payments that are either daily or weekly. They are automatically deducted from your company account.
Security & privacy
Will my data be protected?
Protecting your information, and making it clear how we collect, use, exchange and secure your information, is crucial and is a crucial element of our relationship with you.
Is it safe to link my bank account to the platform?
Yes. We use industry recognised encryption standards to secure your sensitive, personal and financial data and our funders are ISO 27001 qualified for our dedication to protecting the security of clients and security. We make use of an advanced bank verification system that allows you to immediately verify your bank account details online to offer a fast response.
About business loans
What’s an asset-based borrow (a secured loan)?
The term "asset-based" refers to borrowing where a company owner makes use of assets they own to secure the funding. The asset can be an individual property, such as the family home, or it could be a company property like a truck as well as a piece of machine.
The majority of the lenders including the big banks, tend to secure loans against an asset. If you’re struggling to pay back the loan then your assets could be taken over by the lender. In essence, it is means of securing new funding using the value of what you already own.
What do I require security to get an company loan?
For loans of up to $150K, there is no requirement for asset security before you can access the money however, we require a personal guarantee. need a personal guarantee. In the event that you fulfill the loan terms (as stated in your loan contract document) and you are able to meet your obligations, asset security will never be required. For loans over $150K generally, you can get the option of a personal guarantee and security is provided in the form of an asset charge.