Formerly known as Spotcap, Our Zip Business review looks at the business term loan and line of credit hybrid this SME lender offers. Your credit line can be $10,000 to $500,000 with a payment period of 1 to 36 months, that you can draw down when you need. With interest only on drawn amounts, Zip Business is perfect if you may need one or more loans and you wish to maintain flexibility with how much you loan.
Merchant Cash Advance
|Funding Amount||$5,000 to $300,000|
|Loan Terms||3 to 12 Months|
|Min. Trading Period||6 Months|
|Min. Trading Turnover||$10,000 a month|
|Funding Speed||Same day approval
24 hours funding
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|Loan Products||Line of credit / business loan hybrid|
|Loan Terms & Funding Size|
|💰 Loan Amount||$10,000 to $500,000|
|⏳ Loan Length||1 to 36 months|
|📆Payment schedule||Weekly, Fortnightly, Monthly|
|💳 Line of Credit Option?||✔️|
|💸Fees (excl. interest)||2-3% Origination Fee|
|﹪Interest Rate Type||Interest only on drawdown
Pay principal and interest over the loan term (pay same each period)
Total Interest Percentage/cost (TIP) and Annualised Percentage Rate (APR) is quoted
|🔓 Unsecured Loans?||✔️|
|👍 Early Repayment||✔️ (No cost/penalty)|
|🎓 Qualification Basics||Australian based business
|🛍️ Min. Trading Qualification||18 Months|
|📅 Min. Turnover Qualification||$200,000 per annum|
|🗎 Low Doc Loans||✔️ Under $150,000|
|😕 Bad Credit OK?||Min. credit score of 300
(400 for construction)
|Approval & Funding Speed|
|🏍 Fast Online Application||✔️ Approval within 24 hours|
|💨 Funding Speed||Funding within 24 hours of approval if you provide your bank details|
Zip Business Pros and Cons
Zip Business Products – What is a line of credit?
What is line of credit
Zip Business line of credit eligibility / qualification
Minimum Time Business
Min. 18 months
Min. $200,000 per annum
Min. credit score of 300
(400 for construction)
Previous default OK
Valid ABN or ACN
Australia bank account
No existing unsecured loan
(with other lenders)
Zip Business funding size and loan terms
$10,000 – $500,000
1 – 36 months
Weekly, Fortnightly, Monthly
Unlimited drawdowns during months 1-3
Min. for each drawdown is $500
Pay interest only on drawdowns
Short-term loan costs and fees
2-3% on the amount you drawdown
Total Interest Percentage (TIP)
Annualised % Rate (APR)
No Hidden fees
Early Payment Permitted
Zip Business ease application and application process
The application process comprises 4 steps.
- Eligibility Check
- Create an account
- Basic information (when do you need funds, loan duration, product type – SME government-guaranteed or Zip Business standard, business information (entity name, ABN, industry, personal information))
- Financials (upload Income Tax Returns, Annual account final for last 2 years, Business activity statements for last 4 quarters, latest integrated client account from ATO or connect accounting software)
- Bank Account (bank account number, BSB, account holder)
Accounting softwares we are integrated with
Zip Business funding speed
Within 24 hours
(with correct details)
Within 24 hours of approval
Online application with Zip Business can take as little as 5 minutes. If Zip Business has the correct information, they will advise of their decision within 24 hours.
When you apply for a credit line with Zip Business, you will need to provide your bank account. If you do this, then Zip can provide funds into your account the next working day.
What can you use the loan for?
Let your business benefit from Zip Business unsecured lending
- Choice of Weekly, fortnightly and monthly repayment instalments
- No charges or penalties for early repayment
- Credit line can be extended
You repay each drawdown on a weekly, fortnight and monthly basis. The amount you pay each period is the same.
If you wish to extend your credit line then you can do this if there is less than 50% of the loan balance owing or after 3 months of repayment for a 12-month loan and 6 months of repayments for loans longer than 12 months.
Zip Business Review – Customer Support
Zip Business Review – Customer Reviews – Trustpilot
Zip Business Review Bottom line – Conclusions about Zip Business
Our Zip Business review found the lender offers an excellent product for small business. While the lenders’ financial services target clients that need a line of credit, there is no reason one cannot use the credit line as a short term business loan.
With credit lines as little as $10,000 and as high as $500,000 and a repayment period of up to 3 years, this Fintech has a lending product that is literally flexible enough to suit all SME’s but those that will need exceptionally large loans. You can make multiple drawdowns (up to you credit limit), use your entire credit limit at once and even choose not to use the loan, and you will bear no costs.