Founder Housing aims to fix lending barriers for startup leaders
Tech founders struggling to secure home loans despite leading high-growth ventures may find relief in BNZ’s new Founder Housing solution – a lending product designed for entrepreneurs whose personal income is often misrepresented by traditional loan assessments.
Many founders find their applications rejected because standard lending criteria don’t reflect the realities of startup growth models
“We kept hearing the same story from tech founders and entrepreneurs,” Tim Wixon (pictured), head of technology industries at BNZ, said in a media release.
“They’d built promising companies, secured investment, and were earning good salaries, but couldn’t buy homes because traditional lending criteria didn't recognise the way high-growth tech startups operate. It just didn’t make sense.”
‘I was rejected by eight banks’ – a founder’s story
Emily Blythe, founder and CEO of aerospace startup Pyper Vision, knows this challenge firsthand.
Despite leading a business backed by the Startmate accelerator, government funding and enterprise partnerships including Air New Zealand and British Airways CityFlyer, Blythe struggled to secure her first home loan.
“I had a stable salary and a consistent track record of Pyper Vision paying me, but that wasn’t recognised by most banks,” Blythe said.
“What was particularly frustrating was that two of my team had recently secured bank loans easily, but because they were employees rather than the founder, banks viewed their positions as more secure than mine.”
Over three months, Blythe was rejected by eight banks. She found others in the tech community were facing similar roadblocks.
“I spoke to other founders going through the same struggle who couldn’t find a solution,” she said. “They were having their partners buy houses instead or setting up complex trust structures – anything to work around the system.”
How BNZ’s approach is different
This issue isn’t unique to one founder – many early-stage entrepreneurs reinvest revenue into growth and pay themselves minimal salaries, making it difficult to meet standard serviceability thresholds.
Unlike traditional models that rely heavily on profit and loss, BNZ’s Founder Housing evaluates business potential and backing as part of its assessment. The solution takes into account institutional investment and adapts to the realities of startup economics.
“It's about applying the right approach and metrics for this type of business model,” Wixon said.
“A founder running an equity-backed company with strong growth metrics is often a very different proposition from what traditional lending criteria might suggest.”
For Blythe, BNZ’s process finally made sense.
“It wasn’t the standard black-and-white response of ‘you’re a founder, therefore we can’t approve this,’” she said.
“BNZ actually evaluated both the company’s financial position as a tech business and my personal circumstances together. It was a much more logical and rational approach.”
Now a homeowner in Christchurch, Blythe said the move has brought peace of mind.
“Having my own home gives me the freedom to travel for work, knowing I have a secure base to return to. It’s the first time I’ve felt properly grounded,” she said.
“I’d strongly recommend working with BNZ’s team. The traditional banking approach to founders is just ridiculous.”
Part of BNZ’s broader tech strategy
Founder Housing is the latest step in BNZ’s strategy to support New Zealand’s innovation sector. It follows a series of tailored finance solutions including Revenue Based Financing for SaaS companies and Contracted Receivables Financing for high-tech industries.
Last month, the bank also launched fast-approval unsecured business loans up to $50,000 with decisions in under three minutes.
“We’ve been working to rewrite the playbook for how banks can better support tech companies at every stage of their journey,” Wixon said.
“Founder Housing is the natural extension of that work – supporting the founders themselves, not just their businesses.”
Helping founders put down roots
The launch comes as policymakers and investors increasingly acknowledge the importance of innovation and founder retention for New Zealand’s economic growth.
“We’re proud to be the first major bank to turn this approach into a formal proposition,” Wixon said.
“By understanding the unique challenges these founders face, we can help them build personal assets while they continue growing their businesses here in New Zealand, helping to attract and retain talent in Aotearoa.”
