Updated on 27th May 2025
If you’re a New Zealand-based business seeking funding but unsure where to start, you’re in the right place.
In this essential guide, we’ll take you step by step through everything you need to know to access business funding, programs, grants and more in NZ.
Business Funding NZ – A Guide
1. Find the right professional advice
The first step should always be to find the right professionals to provide expert advice. Many people skip this step or ignore it because, unfortunately, it comes at a cost.
However, professional advisors should be viewed more as an investment than a cost. With an expert accountant or experienced broker, you can benefit significantly from the strategic advice offered as well as the network connections of lenders and other sources of business funding. Ultimately, you’re likely to save money in the long run.
If you’re looking for an accountant, make sure to ask what industries they specialise in, what qualifications and experience they have, and how they approach ensuring business profitability.
If you’re looking for a broker, ask what types of businesses they have experience assisting, what industries they operate in, which lenders they use, and what fees they charge on top of commission.
2. Prepare your finances
Get your books in order
The more precise and well-organised you are with your personal and business finances, the easier it will be to apply for funding. Here’s a starting list to help you get your books in order:
- Check your tax records (at least 2 financial years’ worth)
- Create a list of financial commitments (such as debt etc.)
- Compile a list of bank statements (6 months’ worth should be fine)
Review your business plan
Business plans are essential for outlining the roadmap to success for your business. They also allow providers of business funding to understand your goals, achievements, and strategy.
Make sure your business plan includes the following financial components:
- Profit and loss statement
- Balance sheet
- Budget
- Cash flow forecast
Assess your creditworthiness
Part of the business funding NZ process with lenders is a creditworthiness check. Multiple applications can have a negative impact on your business’s credit rating so it’s important you take the time to check your personal and credit rating ahead of time.
You can find out more information about checking your credit rating and record here.
Consider your business funding needs
Business funding can be critical for sustainable growth and long-term success. But it’s important to answer some key questions before seeking funding or loans.
- What are your business’s needs?
- What level of debt can you service?
- What sort of loan, i.e., secured or unsecured, suits your requirements?
3. Explore your business funding options
You’re now ready to explore the funding options for your business. Your business advisor or consultant can guide you, or you can reach out to the ScotPac New Zealand team to better understand the choices available.
In summary, there are two main types of business funding:
- Debt – this is money borrowed from a financial provider that is repaid over time. You can also borrow money from friends and family, but it is crucial to have clear arrangements due to the risks involved.
- Equity – this is a secure investment in your business by partners who then hold equity in your company.
Within both categories, there are several options. Debt can be secured or unsecured, while equity can be obtained through investors, crowdfunding, peer-to-peer platforms, or venture capital firms.
If traditional bank loans and outside investors are not the right sources of funding for your business, a customised financial solution could be the smart way for your business to access the funds it needs to expand.
Financial solutions can take the stress out of searching for funding. By leveraging the expertise of lending specialists and access to a wide range of business funding products, your business can be best positioned for sustainable, successful growth.
Funding Options for Small Businesses
When it comes to funding options for small businesses, there are several avenues to explore. Each option offers unique benefits and can be tailored to suit your business’s specific needs.
Government Grants and Programs: In New Zealand, there are numerous government-funded grants and programs designed to support small businesses. These grants and programs provide direct funding for various business activities, such as innovation, expansion, and sustainability. Utilising these resources can significantly reduce the financial burden on your business and help you achieve your goals.
Angel Investors: Angel investors provide capital to startups and small businesses in exchange for equity or convertible debt. These private investors often bring valuable expertise and mentorship to the table, in addition to financial support. Engaging with angel investors can be a strategic move for businesses looking to leverage both funding and industry knowledge.
Bank Loans and Credit Lines: Traditional bank loans and credit lines remain popular funding options for small businesses. These financial products offer the necessary capital to support day-to-day operations and long-term projects. It’s important to have a strong credit history and a well-prepared business plan to increase your chances of securing a loan with favourable terms.
Alternative Lenders: For small businesses that may not qualify for traditional bank loans, alternative lenders provide a viable solution. They offer various financial products, such as business loans and invoice financing. Alternative lending can be a flexible, accessible option for businesses with unique funding needs.
Crowdfunding Platforms: Crowdfunding has gained popularity as a way for small businesses to raise funds from a large number of people. By creating a compelling campaign on a crowdfunding platform, businesses can attract contributions from individuals who believe in their vision. This method not only provides funding but also helps build a loyal customer base.
By exploring these funding options, small businesses can find the right financial support to drive their growth and success. Whether through government grants, private investors, or alternative lending solutions, there are numerous opportunities to secure the necessary capital for your business.
Finding the right cash flow solutions
At ScotPac, we understand just how vital NZ business funding is for ensuring your business can maintain its cash flow and fuel its growth.
That’s why our lending specialists consult directly with clients to provide tailor-made working capital solutions and custom support services.
How do we help small businesses?
Invoice Finance
Invoice Finance unlocks the value in the invoices that you are owed by your clients.
This funding solution lets you access the money you’re owed sooner – helping you manage operations, take advantage of growth opportunities in the market, or invest in research and development.
Trade Finance
Trade Finance helps businesses in New Zealand looking to import or export with international partners to boost their purchasing power. With a customised Trade Finance, the risks in international trade can be mitigated.
Business Loans
Business Loans for small businesses are now available in New Zealand.
A customised business loan tailored to your needs can be the ideal working capital solution to support your future success. Our specialist lenders have extensive experience in providing tailored business loans to help businesses grow.
