Startup funding for pre-revenue and early-stage NZ businesses.

In most cases no, not on the company balance sheet alone. Major NZ banks commonly require 6 to 12 months of trading and GST returns before lending unsecured to a business. Pre-revenue founders typically borrow personally (home-loan top-up, personal facility) and extend the funds to the company as a director loan, subject to the accountant's confirmation on the structure.

NZ Growth Capital Partners (formerly NZVIF) is a Crown-owned investment firm that co-invests through the Aspire NZ Seed Fund alongside accredited angel networks. The capital is equity, not debt: there is no interest, no repayment schedule, but the founder gives up shares. NZGCP typically follows the lead angel investor at seed stage.

Callaghan Innovation administers Getting Started Grants (up to around $5,000 for first-time applicants), Project Grants (typically 40% co-funding of approved R&D spend), and joint administration of the R&D Tax Incentive (RDTI) with IRD. Grants reimburse against milestones; RDTI returns 15% of qualifying R&D spend as a tax credit.

The accredited NZ angel networks include Ice Angels (Auckland), Enterprise Angels (Tauranga), AngelHQ (Wellington), Flying Kiwi Angels, and Angel Investors Marlborough. Round sizes commonly run $200,000 to $1.5 million per round, with NZGCP co-investing alongside.

Yes, home-loan top-ups are one of the most common founder funding pathways in NZ where the founder has equity in the property. The borrowing sits on the personal mortgage rather than the company, and CCCFA applies to the personal-lending share. The interest treatment when onlent to the company runs through the accountant.

There is no single startup-loan rate band because the funding mix varies. Indicative reference points include personal home-loan top-ups at 6% to 8%, bank-PG facilities at 8% to 14%, alternative-lender post-revenue facilities at 15% to 25%, and grant or equity capital at 0% effective interest. The accountant conversation typically maps the blended cost.

NZ does not currently operate a general government-backed startup loan scheme equivalent to the UK Start Up Loans Company. The closest equivalents are NZGCP equity co-investment and Callaghan R&D grants. Provincial Growth Fund and regional development agencies operate sector-specific or region-specific schemes from time to time.

NZ seed rounds commonly involve 15% to 25% dilution per round indicative, depending on round size, founder bargaining position, and lead-investor terms. After Series A and Series B, retained founder equity commonly sits at 40% to 55% before option-pool adjustments.

Interest on borrowing used wholly for business purposes is generally deductible against business income in New Zealand. Personal-mortgage interest onlent to a company can be deductible if the structure is arranged appropriately, subject to the accountant's confirmation on the specific position.

A convertible note is a debt instrument that converts to equity at a future round, typically at a discount to the next round's share price. NZ founders commonly use convertibles for bridge rounds between MVP and seed where pricing the equity is premature. SAFE (Simple Agreement for Future Equity) variants are also used.

A sole trader can borrow personally and treat the borrowing as business-purpose where the funds are used wholly in the business. CCCFA applies where the borrowing is wholly or predominantly for personal use. Most NZ alternative lenders accept sole-trader applications once 6 to 12 months of trading are visible.

For grant and equity applications: pitch deck, business plan, founder CVs, financial model with assumptions, technical R&D scope (for Callaghan), market analysis. For specialist debt applications: NZBN, founder ID, last 6 months of business bank statements, P&L if available, GST returns where lodged, and details of the loan purpose and repayment source.