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COVID-19 support: Government Business Finance Guarantee Scheme

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Who is this available for?

The Government Business Finance Guarantee Scheme is designed to assist eligible New Zealand based businesses with an annual revenue up to $80 million deal with the disruption caused by COVID-19. Funds are limited and specific eligibility criteria and loan exclusions apply (see below).

Key information

  • Through the scheme, eligible businesses will be able to apply for liquidity or bridging finance while they deal with the disruption caused by COVID-19.
  • Each loan can be for up to $500,000.
  • The loan is for a maximum of 3 years and must be repaid over this time period.
  • Please note this is a loan and will add to the costs of running your business. As with any other loan, you remain responsible for repaying 100% of the loan and interest. You should not apply for an amount that you cannot afford to repay.
  • We will require usual security arrangements - please ask us for further details.

Industry exclusions

We are not permitted to make Business Finance Guarantee Scheme Loans available to:

  • a local authority, a council-controlled organisation or a council organisation for the purposes of the Local Government Act 2002; or
  • anyone who is classified by us in the follow categories: residential property investor or developer and commercial property investor or developer.

In addition, we are not permitted to make Business Finance Guarantee Scheme Loans available to anyone involved in:

  • The manufacture or distribution of recreational cannabis
  • The processing of whale meat
  • The manufacture of cluster munitions, anti-personnel mines, tobacco, and civilian automatic and semi-automatic firearms, magazines or parts
  • The manufacture or testing of nuclear explosive devices
  • Any activity which is illegal in New Zealand

In addition, loans can not be used for:

  • Financing capital assets or projects (other than business as usual expenditure which does not exceed 5% of the principal amount of the loan)
  • Distribution of dividends or on-lending outside the customer's guaranteeing group
  • Refinancing certain existing debt (except if the relevant loan already meets the scheme criteria, was advanced on or after 16 March 2020 and has a term of no more than 180 days)

Options if you're not eligible

Find out more about the number of ways we're supporting our business customers.