Prospa Review: Best Small Business Finance, Credit Lines 2023

This Prospa review focuses on Prospa’s small business loans and credit line for short-term financing. Business loans of up to $500,000 are available, and if you require flexibility, a $150,000 credit line with multiple drawdowns may be ideal.

Prospa’s online-first approach makes it an excellent business loan lender for business owners who can access short-term working capital quickly and manage their application process online.

Prospa New Zealand launched in 2019 and has become a leading business lending provider. Today, they have provided more than $137m¹ in funding to New Zealand-owned small businesses and sole traders.

Pros & Cons


  • Funding granted within 24h
  • Clear Terms, Conditions and Repayments
  • Unsecured business loans
  • Startup-friendly; accepts borrowers with a minimum of six months in business.


  • Security is required for loans over $150,000
  • No options for startups with less than six months trading
  • Early repayment fee
  • Daily or weekly repayments
  • Higher interest rates

Prospa is best for borrowers who:

  • Need cash fast: You can apply for a Prospa business loan in just a few minutes, and you’ll get a response the same day and funds may become available in a few hours.
  • Prefer a quick repayment plan: Prospa offers business loans with repayment terms of three to 36 months.

Where Prospa stands out

Quick Access To Funding

If you need quick cash, Prospa is a good solution.

You can apply quickly online by providing basic information about yourself and your business, connecting your business bank account or uploading financial statements.

After you submit your application, Prospa may be able to provide you with a business loan, with funds available in as little as 24 hours.

Flexible eligibility requirements

Other online and traditional lenders have stricter requirements than Prospa. The lender determines the interest rate for each customer based on a risk-based pricing algorithm that considers many variables. Such as the industry in which a company operates and the number of years the company has been in operation.

Because banks have particular qualification standards that many small businesses will not meet, they may have to pay higher fees and interest with an online lender than they would with a bank, sometimes because a bank would not have helped them in the first place.

Prospa will consider borrowers who have been in business for six months or more, making it an excellent alternative for startup business financing.

This lender is interested in your company’s existing and future cash flow, so you must connect your business bank account — or supply bank statements — as part of your application.

Where Prospa falls short

Can be expensive

Prospa’s business line of credit has annual percentage rates as high as 34.99%, making them more expensive than most conventional business lending options.

However, customers seem to have no problem with Prospa’s prices, considering them reasonable in light of the quick and easy application process and top-notch support it provides for small businesses, judging by the overwhelmingly positive reviews posted online.

Frequent repayments

The shorter repayment durations of Prospa’s business loans and lines of credit — up to 36 months and 12 months, respectively — result in higher payment amounts. Loans for businesses are repaid daily or weekly, whereas lines of credit are repaid weekly.

This high frequency of payments might be challenging for companies with inconsistent cash flow.

What kind of small business loans are available from Prospa?

Prospa makes it easy for small businesses to get loans by using a smart proprietary technology platform and a simple online application process. It has already given loans to thousands of small businesses in New Zealand.

Small business owners can get business loans, as well as a line of credit.

Small business loans can range from $5,000 to $500,000 (up from $300,000 in 2023), and lines of credit can range from $2,000 to $150,000. The business loan will give the borrower a lump sum that they can pay back over time, while the line of credit can be used and re-used over the course of the 24 month term, with the option to review.

Here’s an overview of the finance options offered:

Prospa Small Business Loans, unsecure

Quick access to $5K – $150K to cover unexpected expenses or one-off purchases.

Interest Rates: 9.9% – 26.5%

Origination Fee: 2.5%

Loan Term: Terms from 3 to 24 months

Response Time: Within 24h

Requirements for a Prospa Unsecured Business Loan

Lender Requirements:

  • Minimum six months of trading to apply,
  • Consent to a credit check,
  • NZ Citizen or Resident,
  • 6-12 months of bank statements

Prospa Plus Business Loans, secure

Larger loans of $100K – $500K to invest in business growth opportunities.

Interest Rates: 9.9% – 26.5%

Origination Fee: 2.5%

Loan Term: Term up to 36 months

Requirements for a Prospa Secured Loan

Lender Requirements:

  • Minimum 3 years of trading to apply,
  • financial statements,
  • P&L, and
  • cash flow + asset security,
  • Consent to a credit check,
  • NZ Citizen or Resident
Prospa New Zealand offers faster business lending

Prospa Business Line of Credit

Ongoing access to up to $150K to cover gaps in working capital and access funds 24/7 with the Customer Online Portal.

Loan Term: 24 month term with option to renew

Response Time: Fast decision and funding possible in 24 hours

Interest Rates: Only pay interest on what you use – 19.99% – 34.99% APR

How to apply for a loan from Prospa

You can apply for a Prospa loan or line of credit online. First, you’ll need to create and log in to your Kabbage account. Then, you will connect your business checking account and any additional accounts to the Kabbage platform.

  • How much are you after?
  • How do you plan to use the funds?
  • Why do you need the funds?
  • Do you hold New Zealand citizenship or permanent residency?
  • Are you the director or owner of the business?
  • How much are your average monthly sales?
  • Search for your NZBN
  • How long have you been actively trading?
  • What industry is your business in?

Prospa vs. Banks

In my experience, banks are hesitant to lend. They make the process cumbersome and want security, typically on the property and cash flow forecasts, including P & L. 

The time and effort in getting a bank approval vs Prospa’s quick, efficient process. 

Who is Prospa New Zealand?

Prospa New Zealand, often named “Prospa Lending” or “Prospa Funding”, launched in March 2019 with an office in Takapuna, Auckland offering Small Business Loans, Business Growth Loans and Business Lines of Credit funding.

Their online application process is streamlined, and their response and funding time are 24 hours or less. So most of the time, borrowers get the money the same day.

Prospa New Zealand, the small business loans specialist, is a wholly owned subsidiary of Prospa Group Ltd, PGL (ASX), founded in December 2011 by Beau Bertoli and Gregory Moshal, with the company headquartered in Sydney, Australia.

Both of them had been business owners, so they knew how hard it was to get bank funding.

The whole application process took about 4-6 weeks, and most of the time, they were turned down.

Prospa was started because it was clear that the loan options for small businesses weren’t good enough.

Beau and Gregory, the two co-founders, are still involved in the company as executive directors.

Prospa New Zealand Reviews and Recognition

Prospa is popular among business owners. This is their key point of difference and one of the reasons customers consistently rate the company so high.

Here are some reviews that have been collected from all over the web:

Prospa New Zealand, small business loans


Recognition & Awards

Including winner of the Finnies Awards for Excellence in Business Lending, 2021, and the number one spot in the Financial Times 1000 High Growth Companies in 2018 for Asia Pacific. 

Prospa has grown to a business of over 200 employees, hiring some of the best tech talent in Australia. 

It is regularly awarded for being an excellent company to work for, winning a ‘Great Place to Work Australia’ in 2021. 

And reaching the final of the Australian HR Awards for Best Workplace Diversity & Inclusion Program in 2020.

Prospa Customer Success Stories


What can a Prospa Small Business Loan be used for?

A Prospa Business Loan can be used for almost any business purpose, such as making improvements, buying inventory or new equipment, or just as general working capital. However, the loan can’t be used for personal reasons, which is made clear by the company.

How long does the approval decision take?

Usually, an approval decision is available within 24 hours and can be as quick as one hour. The quickest way is to make sure you apply during regular business hours and let Prospa use the advanced bank verification system to check your bank information online right away. It will take a little longer if you upload copies of your bank statements. 

When will I have the money?

As soon as your application is approved and funds are released, you may see the money in your bank account the same evening. As was our experience.