Category: Business Insights

Navigating Options: How a Business Loan Broker Simplifies the Lending Process

Posted on by TWG

Cashflow is the lifeblood of any business. Whether you’re a new startup or a booming business with years of experience, you need capital to run your company. However, securing the financing to start, run or grow your business can be a challenge. How can you get a good, suitable loan? Consider working with a business loan broker to help guide you to success.

When you begin looking at your lending options, you may be surprised at just how complex the world of financial lending can be. With so many lenders, loan types and more to consider, finding the right deal for you may seem like an impossible task. A loan broker can simplify the process, working through the challenges with you to streamline your application and connect you with the right NZ lenders.

What Does A Business Loan Broker Do?

What exactly do loan brokers do? Essentially, a loan broker is a financial specialist who helps individuals such as yourself find the right lending options for them. They act as intermediaries, connecting you with potential New Zealand lenders that they know will be a good fit for your particular needs.

Every business is unique, and yours is no exception. Your particular needs, limitations, financial situation, and goals will differ from those of your neighbour, so you need help that considers your qualities. Great loan brokers will carefully analyse your situation with you. After they better understand the nuances of your company, they can then recommend loan types and lenders that they think would be best.

All in all, professional lending specialists can offer you many advantages during the lending process. Here are just a few ways in which your lending specialist can help streamline the process:

  • Concisely Comparing Loan Options. What do you do if you have several different loan options and you don’t know which would work best for you? Rather than struggle with heaps of different choices yourself, consider talking to your loan broker. With your business loan broker, you can carefully go through all of your available options to weigh out the pros and cons of each one. Then, you can make an informed, confident decision.
  • Efficiently And Successfully Applying For Your Loan. It’s extremely important that you properly apply for your loan. Mistakes can lead to rejection, and then you would need to seek out additional loan opportunities. Your loan broker can review your loan application with you, helping you understand exactly what you need to do and what’s expected of you from the deal.
  • Clearing Up Confusion. Lending terms can be confusing, especially if this is your first time applying for a business loan. If you’re confused about anything, they can explain things to you clearly and effectively so you can have all of the information you need.  It’s important to be well-informed whenever you’re working with finances.
  • Negotiating Favourable Terms. Experienced brokers have worked hard to build positive working relationships with NZ lenders. Using their experience and connections, they may be able to negotiate better loan terms for you. This may result in lower interest rates or more flexible repayment terms, potentially saving you money.
  • Access To More Lenders. Using their professional connections and reputation, your broker can access a wide network of lenders. This will give you a larger range of options and more diverse choices to pick from. Rather than having to settle for a deal you’re not very happy with, you can continue to work with your broker to find one you’re confident about.
  • Saving Time. As they say, in the business world, time is money – and you certainly don’t want to spend more time than you need to to find a suitable loan for your business. An expert business loan broker can streamline the process so that you get things done on time, securing a loan efficiently so that you can get back to your bustling company. They can help you identify the best type of loan for your situation, how much money you should ask for based on your needs, the lenders that would be a good match for you and so on – all within a fraction of the time it would take you to do on your own.
  • Saving Money. Overall, working with an NZ business loan broker can save you money in the long run. They can identify the right loans for your company, negotiate better terms and save time, helping you get back to your company with more funds to work with.

Efficiently Securing A Loan For Your New Zealand Business

How would you use your loan to better your business? At Spinach, we strive to help our clients secure business loans that are right for them. We know that every business is different, and we look forward to learning all about what makes your company unique so that we can identify the right path for you.

If you’d like to get in touch with one of our lending specialists, you can call us on 0800 SPINACH or use our contact page.

Grow your business with a proper loan and a healthy helping of Spinach.

Strategies for Success: Navigating the Landscape of Commercial Loans

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The right commercial loan can do wonders for any NZ business. For small and medium-sized businesses, it can be the key to jumpstarting your company and growing your revenue and brand fast – allowing you to repay your loan in no time. As every business person knows, proper funding is a must if you want to keep your business afloat, but it’s not always easy to get the money you need when you need it.

A loan can provide you with the capital you need to make game-changing decisions for your NZ business. However, you should never apply for a loan without thoroughly considering your options and preparing yourself.

Navigating The World Of Commercial Loans In NZ

Financial matters are serious for both the business person applying for the loan and the lender, so it’s extremely important that you do your research and talk things through with your trusted lending specialist before you submit any applications or choose a lender.

Where do you start? Here are a few tips that every NZ business person should think about:

Work With A Qualified Loan Broker. Undoubtedly, the best thing you can do when applying for a commercial loan is to discuss your needs and your circumstances with a qualified lending specialist. Although you may understand your needs and situation better than anyone else, they’ll have the skills, experience and industry knowledge needed to provide you with top-tier advice that fits your unique needs.

In particular, you’ll want to work with a specialist who has experience with the kind of loan you’re interested in and is familiar with your industry. Make sure they’ve helped with business loans before, and ask if they’ve helped people who manage businesses similar to yours. If they have, they’ll understand your situation better, and then you can discuss the specific obstacles, goals and considerations for your company.

Understanding the world of NZ business loans on your own can be time-consuming and confusing. Instead, skip that frustration and consider working with a business loan broker who genuinely cares about each individual they help. Be sure to research your lending specialists before you work with them, and ask any questions that are important to you.

Understand Your Business’s Specific Needs. Even compared to your competitors and other businesses similar to yours, your company still has unique needs, challenges and goals. Always take time to analyse your business’s strengths, weaknesses and other important factors so that you understand how you can improve. This will allow you to determine the best way to use your loan to enhance your business and your profits, letting you make the most of the money you receive.

Consider options such as equipment you can purchase, staff you can hire and so on, and think about the amount of money you’ll need to accomplish those helpful goals. Having a strong plan will show your lending specialist and your lenders that you’re taking things seriously and will instil more confidence.

Research Lending Options. Once you have a clear understanding of your business needs, it’s time to research the lending options available to you. In New Zealand, various financial institutions, including banks, credit unions and alternative lenders, offer commercial loans. Discuss each option with your lending specialist, comparing the pros and cons of each according to your needs.

Prepare A Compelling Loan Proposal. Before you approach any lender, prepare a thorough, compelling proposal. Work closely with your thoughtful lending specialist to develop a comprehensive proposal that outlines your business history, financial performance, repayment plan and other important details.

Your business loan broker will help you ensure everything is in order, understandable and accurate, and they’ll inform you of the important documents you need to gather before you approach your chosen lenders.

Review Loan Terms Carefully. Always read through your loan terms before you agree to anything. Carefully review the loan terms and conditions with your lending specialist, and ask any questions or address any concerns you have. While it may be tempting to say yes to a deal that seems almost right to secure the money, your broker may be able to negotiate better terms that you’re more comfortable with.

Monitor Your Business Performance. After you secure your commercial loan, your work doesn’t end there – Carefully monitor your business performance and ensure that the funds you receive are used effectively according to your plan. Stay on track, stick to your particular outline and make changes to improve if you need to.

Apply For A Business Loan That Works For You

Business loans can be intimidating, but at Spinach, we want to help you streamline the process to find success. Our team of experienced lending specialists takes great care to understand each and every one of our client’s needs so that we can find solutions that are just right.

To learn more about NZ business loans, please visit our website for details or call us on 0800 SPINACH. Or, you can use our contact page to reach us.

Spinach: Grow your business and march towards success with our assistance.

Beyond Cash: Unlocking Opportunities with Asset Finance for Your Business

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In the business world, you need more than just ambition and passion to succeed – you also need the right tools. The specific equipment you’ll need will depend on the type of company you run, but regardless of what you need, you undoubtedly want high-quality and dependable equipment. Equipment might be expensive, but there’s a way for hopeful business people to acquire the tools they want – asset finance.

One issue that many business people face, particularly those who are just starting out, is the inability to get good equipment for their operations. Often, this is because equipment is expensive, and it isn’t easy to gather enough funds if you’re already using your capital for other important parts of your business. This is where this kind of financial help comes into play because it can allow you to get the essential assets you need to grow your business steadily.

What Is Asset Finance?

This is a type of lending that allows businesses to purchase, replace or refinance important assets while using the assets themselves as security for the loan. This financing is often used to get high-value, high-quality items like vehicles, machinery and important equipment. Even if your business is still small, it can allow you to get the latest technology for your operations.

Any business person will tell you that high-quality equipment can be rather expensive. While this equipment can greatly benefit your company, your daily operations and your team, spending too much of your company’s money can deprive other parts of your company of the funding they need, leading to issues down the track. This is why asset finance remains to be a popular choice for New Zealand business owners – it allows you to acquire the essential tools you need without disrupting the rest of your company.

How Your NZ Business Can Benefit From This Financing

You can probably already imagine quite a few advantages that come with this kind of financial help, such as:

  • Maintaining Cash Flow. Cash flow is the lifeblood of any business, so it’s extremely vital for savvy business people to properly maintain their cash flow to keep their business running. With asset finance, companies can avoid spending large upfront costs, keeping more cash available for other operational needs.
  • Access To High-Quality Equipment And Assets. This kind of financial lending enables NZ companies to get modern equipment and machinery that might otherwise be out of reach or otherwise difficult to get ahold of. This high-value equipment can help you grow your company faster, improving your operations and attracting more customers while maintaining cash flow.
  • Flexible Options. Many kinds of financing offer flexible repayment terms that can be tailored to match your particular circumstances. Every business is unique, and you should take steps to find financing that specifically meets your needs.
  • Better Financial Planning. Businesses can better forecast and manage their financial obligations by spreading out payments over time. Loan repayments are predictable, allowing you to budget accordingly without unpleasant surprises.
  • Reduced Risk. Asset financing involves using the assets themselves as collateral, strongly reducing the need to put personal or business assets at risk.

Why You Should Seek Help When Getting Any Kind Of Business Loan

Money is a very important part of the business world. So, when borrowing money from lenders, it’s absolutely paramount that you take the right steps and work with the right lending specialists. Although applying for a loan may seem simple at first, one wrong move can lead to higher costs and potential rejection, so it’s best to maximise your opportunity by working with experts who know what they’re doing.

So, we at Spinach are here to help. We understand the needs of New Zealand businesses, and we’re thrilled to work with our clients to find the specific solutions that work for them. We know your business is one-of-a-kind, and we want to find the asset finance solution that perfectly fits your needs.

How can we help?

  • Personalised Assistance. We don’t just offer you advice that you could find anywhere; we offer you advice that takes into account your business’s specific situation. We will discuss your goals, your current circumstances and any other important factors that could affect your finances.
  • Industry Expertise. Our specialists have decades of experience helping all kinds of business people, and we understand the diverse needs of various industries across Aotearoa. While we will, of course, look at your business as a unique entity, we can also draw from our past experiences to determine what will work for you.
  • Minimising Loan Costs. Our top goal is to help you achieve your goals while maintaining strong financial health. We’ll seek out great loan opportunities to minimise risk and costs while maximising potential.

Securing The Assets You Need With Spinach

Are you interested in a particular piece of equipment that would really help your NZ business? Speak to us at Spinach, and we’ll discuss potential asset financing solutions to meet your needs.

Getting in touch is easy, just call us on 0800 774 622 or use our contact page.

Grow your business and find success – let us at Spinach help!

Fueling Ambition: The Comprehensive Guide to Different Types of Business Loans

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You’ll need heaps of different traits and resources if you want to succeed in the business world. Passion, solid goals and a strong work ethic can all help you grow your company, but there’s one thing that everyone needs to really get their dream started: funds. One way you can secure the funds you need early on is through business loans.

Whenever you’re doing anything with money, it’s vital that you know exactly what you’re getting into. With a multitude of loan options available, understanding the types of loans is crucial for making informed decisions that meet your needs and align with your goals.

No worries; our friendly team of lending specialists here at Spinach are here to help. We know that every business is different, and we specialise in helping owners find the best choices for their specific circumstances.

Understanding The Different Types Of Business Loans Available

Not all financial situations or business goals are the same, so it’s vital that you find a loan with terms that are ideal for your circumstances. Plenty of different types of loans are available, and if you choose the wrong kind, you might not get your desired results.

Before you apply for any loan, it’s important to take the right steps to understand your opportunities. For instance, you could use our easy-to-use business loan calculator to get an idea of what your loan could be like.

Here are a few of the kinds of loans we deal with at Spinach, and what you should know about them:

Working Capital Loans. A working capital loan serves as a lifeline for businesses by providing a lump sum of funds to maintain day-to-day operations and manage cash flow fluctuations. These loans are designed to bridge the gap between outgoing and incoming payments, ensuring that businesses can cover expenses such as payroll, inventory and overhead costs. If you’re unable to cover these costs, you may not be able to continue your operations, so this loan can really help you keep things running smoothly.

Working capital business loans may take the form of a line of credit or an overdraft facility, offering flexibility and convenience in accessing funds as needed. It’s important to borrow no more than 5 or 10% of your turnover to avoid excessive debt and ensure affordability. If you borrow more than that amount, you may have trouble repaying it, and it will be much more expensive. While it may be tempting to borrow more now so you have more money to work with, doing so can cause you trouble down the track.

Asset Finance. Asset finance is a type of loan that’s meant to help companies get the business assets they need to continue, change or grow their operations. These business assets can refer to company vehicles, equipment, machinery and more. Whether you’re interested in upgrading the assets you already own or you want to expand your fleet of vehicles, asset finance could be the right solution for you.

These loans are secured against the assets you buy, so you should be able to get good loan terms and rates when you choose this type of business loan.

Secured And Unsecured Business Loans. Naturally, all loans require a personal guarantee from the person getting the loan that they’ll pay it back. However, these loans can be either secured or unsecured, and it’s important to understand the difference between these two before you apply for any loan:

  • Secured Loans. These loans are secured against your property or business assets, such as your vehicles or equipment. This allows lenders to offer longer terms, lower interest rates and larger loan amounts, because these loans are less risky to the lenders themselves.
  • Unsecured Loans. Conversely, unsecured loans aren’t secured against any property or business assets. Instead, these loans come with only a personal guarantee from the one borrowing the money. These loans are riskier for the lender, so they may offer shorter terms and higher interest rates.

Bridging Loans. As its name implies, these business loans are meant to ‘bridge the gap’ in your finances. These serve as temporary financing solutions to help you complete purchases or transactions. It’s common for people to use these loans when purchasing or upgrading a new asset while waiting for another one to sell or be repaired.

Term Loans. Unlike working capital loans, where you get a lump sum of money and can repay it when needed, term loans give you a lump sum of money but you have to repay it incrementally over the loan’s term, like how you would with a home mortgage or a car loan.

Getting The Right Funding For Your New Zealand Business

Business loans are a fantastic opportunity for any kind of business, regardless of whether you’re starting your first business venture or you’re growing your existing company. Of course, every smart business person knows you should think through any big business moves, which is why we at Spinach are here to help.

Do you need a small business loan to boost your business? Then come and see how our lending specialists can help you. To get started, you can call us on 0800 774 622.

Give your business a healthy financial boost with Spinach!

Your Financial Ally: The Role and Benefits of a Business Loan Broker

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From securing capital to managing cash flow, the financial world can be rather intimidating, especially for those new to business ownership. Among all of the difficult financial decisions you’ll need to make, one invaluable ally stands out: the business loan broker.

As a business owner, you may find yourself grappling with strange financial terminology that you’re not quite familiar with. Unfortunately, one wrong move can land you in hot water, even if it was due to a simple misunderstanding. Luckily, loan brokers are here to make the process simple and easy to understand. They can use their skills, experience, and knowledge to help you fully comprehend even the most complicated financial terms, helping you make informed decisions that benefit your business.

If you’re a business person who’s considering getting a commercial loan, we encourage you to keep reading to learn more about how a professional business loan broker can help you secure a fantastic deal.

Understanding The Role Of A Loan Broker

Expert loan brokers serve as intermediaries between business owners and lenders, using their expertise to match businesses with the most suitable loan options. These professionals possess in-depth knowledge of the lending landscape, allowing them to explore various loan products and lender requirements.

When you work with one of these asset finance specialists, you can have peace of mind knowing that you’re partnering with someone who knows exactly what they’re doing. Whether you’re seeking capital to fund your business’s growth, purchase equipment or manage cash flow, a lending specialist can help you take advantage of your best opportunities.

Naturally, it’s important to find a business loan broker that meets your needs. Search for a professional that you get along with, who communicates well and who has a genuine interest in helping you. Before you begin working with anyone, make sure you ask them any questions you have so that you can gauge if they’re a good fit for you.

As you can imagine, there are plenty of incredible advantages to working with an exceptional loan broker who has your best interests in mind. A handful of these benefits include:

Access To Many Lending Options. Expert loan brokers maintain relationships with an extensive network of lenders, including banks, credit unions and other lending institutions. This broad network allows them to present you with a diverse array of lending options that are specifically tailored to your business requirements.

Expert Guidance And Advice. Exploring the world of business lending can be very overwhelming, especially for those unfamiliar with the process. Business loan brokers offer expert guidance and advice, helping you understand the nuances of different loan products, terms and interest rates. With their assistance, you can make smart, informed decisions that perfectly align with your goals and financial status. If you ever get confused, don’t hesitate to ask questions, and your loan broker should be able to clear things up for you in an easy-to-understand way.

Streamlined Application Process. Securing a business loan often involves a lengthy and complex application process. Professional loan brokers streamline this process by gathering necessary documentation, preparing loan applications and liaising with lenders on your behalf. Their expertise ensures that your application is presented in the best possible light, increasing your chances of approval.

Negotiation And Advocacy. Business loan brokers are skilled negotiators who advocate on your behalf to secure great loan terms and conditions. From negotiating interest rates to going for flexible repayment schedules, they work tirelessly to ensure that you receive the most advantageous deal available.

When you work with someone who cares about what they do, rather than someone who just sees you as any other client, you can have confidence in them and know that they’ll do whatever they can to help you.

Time And Cost Savings. By working with a skilled business loan broker who’s done this many times before, you can save heaps of time and money. Rather than dedicating countless, stressful hours to researching lenders and going over paperwork yourself, you can trust your lending specialists to lend you a much-needed helping hand.

Furthermore, professional loan brokers can help to identify deals that are better for you, potentially leading to cost savings through better interest rates.

Securing Your Business Loan With Confidence

In the ever-evolving landscape of business lending, having a trusted, knowledgeable ally by your side can make all the difference. Lending specialists are pivotal in simplifying the lending process and empowering New Zealand business owners to make informed financial decisions.

Are you seeking financial advice regarding business loans? If so, our expert team of experienced asset finance specialists are here to help. At Spinach, we specialise in helping people boost their businesses with expertly negotiated business loans.

To learn even more, visit our website for details. We also have useful and easy-to-use tools available to help you understand your options, such as our business loan calculator.

Are you ready to get the process started? Feel free to contact our team on 0800 774 622 to get in touch.

Grow your business like never before with Spinach.

Unlocking Growth: A Guide to Securing Your Commercial Loan Successfully

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Starting or expanding a New Zealand business often requires financial support, and understanding the various types of commercial loans available is essential for success. With the right funds and help from an experienced lending specialist, you can watch as your business grows and thrives.

In this comprehensive guide, we’ll delve into the world of financing to help you understand the different kinds of loans offered and how you can significantly better your chances of acquiring the funding you need.

The Many Different Types of Business Loans

Commercial loans are loans that are granted to businesses, rather than individuals – but did you know that there are different types of business loans? To maximise your chances of success, it’s vital that you choose the right type of loan for your business.

The types of business loans that you could consider are:

Working Capital Loan. This type of loan is a lump sum of money that helps to keep your cash flow moving. The amount of money can actually change within the month to bridge the gap between outgoing and incoming payments. We recommend keeping a loan of this type to no more than 5-10% of your turnover for optimal payment. Any more, and you could have trouble repaying it.

Asset Finance. This type of loan involves funds allocated for business assets, such as vehicles and equipment. This can help you acquire the right equipment and assets you need to grow your business and improve your profits.

Secured And Unsecured Business Loans. While all loans require a personal guarantee from the business or individual to the lender, these loans can be secured or unsecured. Secured loans involve the loan being secured against a property or business asset. However, with an unsecured loan, you are only offering a personal guarantee, and the loan is not secured against your property or assets.

Bridging Loans. These commercial loans assist with closing financial gaps in transactions, similar to home purchases. For example, you could use this type of loan to complete a transaction while another one concludes.

Term Loan. For this type of loan, you can borrow a sum of money upfront and then incrementally repay the loan over a set duration. This is a very versatile commercial loan option that can be tailored to different business needs.

Tips For A Successful Business Loan Application

It’s vital that you take the right steps to improve your chances of securing a commercial loan. Keep these tips in mind as you apply for your loan:

Understand Your Needs And Create A Plan. First and foremost, make sure you understand exactly why you’re applying for a loan. Think about what you’ll use the money for and how much money you’ll need. Consider how you’ll use the money to contribute to your business’s growth in the future.

This will help your lender know what they’re funding and will show that you’re a proactive business person who plans for success. Understanding your exact needs will also help you choose the right type of loan so that your funding aligns with your plans.

Assess Your Credit Profile. Before submitting an application, review your personal and business credit scores. Good credit will show your potential lenders that you’re a reliable business person, and they’ll be more likely to trust you with a loan.

Gather The Right Documents. Compile any essential financial statements, tax returns and other important documents that you’ll need to present a good picture of your company’s financial health. Having the right documents will show your potential lenders that you’re organised and responsible.

Get Professional Help From An Experienced Business Loan Broker. Even if you’ve been running your business for a while, understanding the intricacies of commercial loans can be a challenge. One mistake can result in a denied application.

So, the best thing you can do to ensure your success is to work with a business loan broker with plenty of training, experience and drive.

A professional lending specialist will help you create a good plan, gather the right documents, address any issues that could prevent you from being granted a loan and help you find the right lender for your situation.

Growing Your New Zealand Business With The Right Commercial Loan

Securing a commercial loan doesn’t have to be an overwhelming challenge. With a clear understanding of your business needs, the right type of loan and careful preparation, you can navigate the financial world with ease and confidence.

Consider seeking guidance from professionals like us at Spinach, who specialise in unravelling the intricacies of business loans. Remember, a successful commercial loan application is not just about obtaining funds – it’s about unlocking the growth potential of your business.

If you’re ready to explore your business’s financing options, please don’t hesitate to message our Spinach team through our contact page or by calling us on 0800 774 622.

Get the right funding and move towards success with Spinach.

3 Things That Will Instantly Disqualify You from a Business Loan

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When preparing to borrow funds to invest in your business, you want to feel confident that the loan is likely to be approved.

We have prepared this list of 3 ways your loan will be instantly declined to help you overcome them before getting started. Once you can overcome these three issues, you’ve increased the likelihood of the ‘go-ahead’ you are hoping for.
1. You are not managing your monthly creditor obligations well.
This looks like:

  • dishonouring transactions in your bank statements,
  • unarranged overdrafts in your bank statements, and
  • late payment of bills

You can overcome this by:

  • preparing a monthly budget outlining due dates of creditor invoices and payments and making sure money is in place to pay your direct debit payments on time.
  • forecasting your cashflows with your accountant to predict when there will be a shortfall, so you don’t take too much out of the business too soon.
  • Negotiating better payment terms with both your creditors and debtors so your cashflow cycles are in synch.
  • Making sure there is sufficient working capital in the transaction accounts to allow for seasonal fluctuations in your business.

2. You don’t have a clear purpose for the loan funds.
Gone are the days where you can go to the bank and ask, ‘how much can I have?’ With responsible lending protocols in place, you need to have a simple explanation for the loan purpose.

You can overcome this by:

  • Preparing a forecast to show the outcome of the introduced working capital, such as the increased turnover of that new equipment or staff member.
  • Showing invoices, quotes, or website links for the equipment you want to buy.
  • Settlement statements for any loans you want to refinance.

3. There are a large number of credit enquiries in a short space of time.
It makes sense that when you are applying for credit without a broker you may apply to a couple of places and see what the best deal is, but if there are a large number of enquiries in a short space of time, lenders start to ask what might be going on and why no loan has been successful before now. It may also take points off your credit score each time an enquiry is made. So, be mindful with the number of enquiries you are making, or better yet, work with a broker like Spinach to save time and hassle.

At Spinach, we are business loan brokers who work with 26 financiers to find solutions for any business purpose. So, to have a confidential chat about your preparedness, or about the goal you are trying to fund, get in touch with Jemma on 021358433, or [email protected] or visit our website www.spinach.co.nz

*Note this is not personalised financial advice. Usual lending criteria, fees and interest rates apply.