Zip Business, formerly Spotcap, is an online lender combining a tech savvy platform with a focus on helping Australian small businesses get the funding they need. Businesses can access unsecured loans from $10,000 to $500,000 for whatever business purpose or growth opportunity they have in mind.
If you need a line of credit loan for your business then Zip Business is a good place to start looking. Before you dive in though, you’ll need to know a bit about the features, fees, and eligibility criteria for the loan. We’ve pulled together some of the key information below so you can be in the know when apply for your company’s business loan.
2% to 3%
Various late payment fees may apply.
Line of Credit
Weekly, Fortnightly, Monthly
Principal & Interest
Instantly, once approved
Every business needs unique financing, not a generic off the shelf business loan. Zip Business gets this, so they tailor your loan in accordance to your current cash flows, the performance of your business and your credit history. This lets you get the best rate possible for your business.
Zip Business doesn’t have any exit, ongoing or early repayment fees, but there are a couple fees you should know about.
Firstly, there is an origination fee, which is 2-3%, and charged when you first drawdown on the funds. Each time you drawdown on the line of credit, you'll pay this fee again.
There's also a late payment fee, which changes on whether your repayment terms are weekly, fortnightly or monthly. If you're having trouble making repayments, once you're 3 business days overdue, you might enter a restructure agreement with Zip Business. If this happens you’ll need to pay a fee which is a percentage of the loan amount you still need to repay.
Zip Business has an easy, 10 minute online application process.
For applications under $150,000: You'll need to answer some questions about the business and its finances and connect your business trading account.
For applications over $150,000: Along with answering questions about your business and finances, and connecting your business account, you'll also need to provide a profit and loss sheet and balance sheets for the last 2 years as well as the last 4 quarters business activity statement.
Zip Business offers loans to businesses that are able to prove their status as an established company; meaning you’ll need to meet a number of requirements to be eligible.
- Your business will need to be registered in Australia
- You’ll need to have been operating for at least 18 months
- You’ll need at least $200,000 turnover in the last year
- You’ll need to be able to produce two years of financial reports
- You need to be connected to an Australian online bank