Kiwi advisers gain tool for seasonal SME cashflow gaps
Bizcap's new Line of Credit (LOC) Ultra has been rolled out globally, giving small and medium-sized enterprises (SMEs) in New Zealand access to credit limits of up to $500,000.
The facility is designed to provide quick and flexible finance, with approvals available within 24 hours and repayment rates starting at 1.25% per week for the first four weeks.
Advisers are being encouraged to use the new product for clients with frequent cashflow needs who draw down and repay facilities regularly.
The launch comes as Bizcap lifts its NZ loan cap to $4m and Australia’s to AUD$7.5m, responding to rising demand for larger, more flexible funding. It follows strong uptake of its Business Line of Credit, now 41% of NZ deals, and the launch of Prime Loans offering lower-rate, long-term options alongside short-term products.
Alternative to invoice finance
LOC Ultra offers SMEs a way to avoid waiting weeks or months for customers to pay invoices. By using outstanding invoices as collateral, businesses can unlock upfront cash and manage cashflow in real time.
“The positioning of the LOC Ultra product is truly exciting – it’s a game-changer because it allows us to step into a part of the non-bank lending market that’s traditionally been dominated by debtor and invoice finance,” said Rebecca del Rio (pictured left), Bizcap’s chief revenue officer.
Helping with seasonal gaps and growth
Executives said LOC Ultra would help Kiwi businesses cover short-term funding gaps, manage payroll during seasonal lulls, and support growth opportunities.
“Business owners are often frustrated by rigid credit models that ignore the realities of running an SME. With LOC Ultra, we’ve created a breakthrough solution – our credit decisioning is out of the box, factoring in the qualitative data and context that business owners and their advisers provide. That pragmatic approach is what sets us apart,” said Tony Truong (pictured right), Bizcap’s chief credit officer.
“With its rapid turnaround time and fast repayment period, Line of Credit Ultra is designed for businesses that need to move quickly,” said Adam Szental, Bizcap’s chief operating officer. “Whether it’s taking advantage of seasonal demand, covering a gap in working capital, or funding a short-term project, our solution ensures SMEs have the capital they need, exactly when they need it.”
Key features for NZ advisers
- Draw limit: $50,000 –$500,000
- Access funds within 24 hours
- Lower repayment rates in the first four weeks
- Tick ‘n’ Flick option for advisers, where the lending team manages the process while brokers still earn commission
Adviser opportunity
The lender has funded more than $1.9 billion in SME loans since its 2019 inception and recently joined a major aggregator panel.
With the number of small businesses in New Zealand continuing to rise, advisers are being urged to consider non-bank lending options as part of their toolkit for clients with fast-moving cashflow needs.
Advisers interested in connecting clients with LOC Ultra can contact the provider directly or visit its website for more details.
Get the hottest and freshest broker news delivered right into your inbox. Subscribe now to our FREE daily newsletter.
