Is Your Business Lending Holding You Back? 5 Signs It’s Time for a Review
When was the last time you reviewed your business lending?
If the answer is “I haven’t looked at it in years,” or “I wouldn’t even know where to start,” you’re not alone.
At Vesta Finance & Advisory, we often meet ambitious business owners across New Zealand who are growing their businesses but still operating with outdated finance structures.
While that might not seem urgent, your lending could quietly be costing your business thousands or limiting your future growth potential.
Here are five signs your current business lending might be due for a fresh look.
1. You’re Regularly Hitting the Overdraft
This is a common sign that your working capital is under pressure and your business loan structure may no longer match your cash flow cycle.
If you’re constantly topping up from the overdraft just to meet regular expenses, it might be time to explore more sustainable funding options – like a working capital facility or restructuring short-term debt.
2. Your Business Has Grown – But Your Lending Hasn’t
If you’ve hired new staff, purchased equipment, moved into a larger premises, or grown your revenue significantly, your finance structure should evolve alongside your business.
Think of lending like clothing – a tailored fit makes all the difference. Holding onto the same lending setup from when you first started can limit your flexibility and slow down your momentum.
3. You’re Still on High Interest Rates
Markets change, and so does your business performance. If your financial position has improved, your pricing should reflect that. Many businesses don’t realise they can have their business loan interest rates reviewed and restructured.
Don’t keep paying start-up rates when you’re no longer a start-up.
4. You’re Unsure of Your Loan Terms, Rates, or Covenants
Not knowing what you're paying or the conditions attached to your loans can create unnecessary stress – and sometimes, expensive surprises.
You could be carrying guarantees or security you no longer need, like having your family home tied into your business lending. Regular reviews ensure your lending terms still align with your goals and risk appetite.
5. Your Facilities Feel Disjointed or Complicated
Juggling multiple facilities that no longer fit can drain your time, headspace, and profitability. We often see clients with a mix of term loans, overdrafts, and asset finance that no longer serve their needs.
A simple but effective restructure can make a big difference – ensuring your lending is fit for purpose today, and flexible enough to support future plans.
Why a Lending Review Matters
Business lending is more than just interest rates – it's about ensuring your structure supports growth, preserves cash flow, and aligns with your broader financial goals.
At Vesta, we take a holistic approach. We'll look at the full picture: your personal and business goals, your current financial position, and your future plans.
We offer independent business lending advice that’s practical, tailored, and easy to understand – with no jargon or judgement.
Ready to Take Control of Your Business Lending?
If you're wondering whether your lending structure is still serving your business, let’s talk. We offer a free discovery call to help you explore your options and move forward with confidence.
Book in your your lending review today, start with a free discovery call.
This article is for educational purposes only and is not personalised financial advice. Speak to an adviser about your own position.