Source: BNZ Statements
Small businesses can now access unsecured finance of up to $50,000 with BNZ’s new Merchant Flexi Loan, with approval in as little as three minutes. It offers eligible businesses a simple way to manage cash flow and fuel growth, with no interest and just a one-off fee.
Karna Luke, BNZ Executive for Customer Products and Services, says it delivers the speed and flexibility small businesses need to grow.
“Our Flexi Loans give small businesses fast access to capital, without the need to provide paperwork like financial statements or business plans. Instead, we use actual card sales data from the past 12 months to determine loan eligibility and calculate a personalised loan offer.
“Businesses can see their personalised offer, choose their preferred repayment rate and get a decision in minutes. Once accepted, funds are available within two business days.”
Repayments are set at a rate chosen by the business, between 10% and 30% of daily card sales, and are automatically deducted.
“This means repayments are higher when sales are strong and lower when business is quieter, helping owners stay focused on operations with cash flow under control,” Luke says.
Christchurch institution Waffle Haus takes advantage to expand business
The benefits of this flexible approach are already being realised BNZ customers like Jamie Stewart. He already had a successful Waffle Haus café in Akaroa when he expanded to Christchurch, opening on New Regent Street in December 2020. Now, with both locations thriving, he’s using BNZ’s Merchant Flexi Loan to fund expansion into a third branch, set to open next month at The Colombo shopping centre.
“A lot of prep goes into opening a new location – it takes about a year to get everything in place,” says Jamie. “When the Merchant Flexi Loan became available, the timing was perfect because I was looking at a significant equipment investment for the new café and wanted to preserve working capital for other business needs.”
For Jamie, whose capital is invested in growing his business rather than property assets that could be used as security, the merchant sales-based approach offers a compelling alternative to traditional secured lending. Instead of needing collateral, the loan is based on his proven sales performance.
The flat fee structure also appealed to Jamie: “The fee worked out at about 2.5% of the loan amount, which is really good value and substantially cheaper than a traditional business loan.”
With trading patterns that vary over time – busy evenings year-round, peak weekends and school holidays, plus seasonal fluctuations – Jamie appreciates having repayments that adjust accordingly.
“The winter period is slightly quieter for us than the summer and school holiday peaks,” he says. “Having repayments that flex with our natural business rhythms makes financial planning much easier.”
Fast funding when opportunities arise
Karna Luke says timing is critical when business opportunities emerge, which is why the BNZ team has worked hard to make the process of applying for a Merchant Flexi Loan as fast and simple as possible.
“Our customers tell us they need to move fast to stay competitive and grow, whether that’s securing new equipment, expanding their premises, or taking advantage of seasonal demand. By streamlining the application process and using data we already have, we can help them seize those opportunities without delay.
“It’s about bringing together speed, simplicity and flexibility to make it easier to move quickly when opportunity knocks. We’re proud to be the first New Zealand bank to offer a lending solution like this.”
To find out how Merchant Flexi Loan can help your business manage cash flow and growth, visit bnz.co.nz/business-banking/loans-and-finance/merchant-flexi-loans
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