# Prospa

> Prospa is an online lender offering small business loans in New Zealand. Find out how much you can borrow, how its rates and fees work and what to look for before signing.

By Jason Dark, last checked 2026-11-05. Part of [Lenders](https://smallbusinessloan.co.nz/lenders) on Skipper.

## The short version

- Prospa's Small Business Loan lends $5,000 to $150,000, over terms of up to 3 years with weekly repayments.
- Each business gets its own fixed interest rate, plus an establishment fee of 3% to 4%.
- If you borrow $150,000 or less from Prospa in total, it won't ask for security.
- If you repay early after the 14-day change-of-mind period, you might pay 1.5% of the principal still owing.

## What Prospa lends

Prospa is an online lender for small businesses. Its Small Business Loan offers $5,000 to $150,000, with terms up to 3 years and weekly repayments. If you need a larger amount, its Business Loan Plus offers $150,000 to $500,000 over up to 5 years, but has stricter criteria and requires security.

## How it prices loans

Prospa assesses your application and then sets a fixed interest rate for your business. Prospa doesn't publish a standard rate, so you'll only know your rate when you get an offer.

On top of the interest there's an establishment fee of 3% to 4% of the loan. Prospa says this is generally the only fee, as long as you keep up the repayments.

## Security

If you borrow $150,000 or less from Prospa in total and stick to your loan agreement, Prospa says it won't ask for security. For loans over $150,000, it registers a general security interest over your business on the PPSR until you pay off the loan, and may also register a caveat or mortgage over your property. Check if your offer requires a [personal guarantee](https://smallbusinessloan.co.nz/glossary/personal-guarantee) from the directors, and read it carefully before signing.

## Paying it off early

You can pay off your loan early. Once the 14-day change-of-mind period ends, the payout figure can include a fee of 1.5% of what you still owe. Ask for the payout figure in writing before you decide.

## Working out the true cost

The [true cost calculator](https://smallbusinessloan.co.nz/tools/true-cost) works from a factor rate, so convert the offer first. Add up all the repayments and divide by the amount that lands in your account. That's your equivalent factor rate, and it already counts the establishment fee. Enter it with the term, leave the fee at $0, and the calculator shows the [true annual rate](https://smallbusinessloan.co.nz/glossary/true-annual-rate).

These details come from [Prospa's New Zealand website](https://www.prospa.co.nz) in November 2026.

## Sources

- [Prospa: Small business loans](https://www.prospa.co.nz/small-business-loan)
- [Prospa: Frequently asked questions](https://www.prospa.co.nz/frequently-asked-questions)