Capitec Business loan requirements depend on the product. The Business Term Loan requires a Capitec Business account and at least 2 years operating as a business. Pay As You Trade requires a Capitec Business account and at least 3 months of card transaction history, with no security. Vehicle and asset finance also needs 2 years or more.
Capitec decides every application at its discretion, so meeting these minimums does not guarantee approval. Capitec’s business credit page publishes some limits: Pay As You Trade goes up to R1 000 000, a Business Term Loan runs for up to 60 months, and both the term loan and the overdraft carry interest linked to the prime lending rate. Other loan sizes and the actual rates are not published.
Eligibility Requirements at a Glance
- Business Term Loan: a Capitec Business account and a minimum of 2 years operating as a business
- Pay As You Trade: a Capitec Business account and at least 3 months of card transaction history
- Vehicle and asset finance: a Capitec Business account and at least 2 years operating, subject to credit assessment
If your business is younger than 2 years, the card-based Pay As You Trade loan is the product with the shortest history requirement. Capitec’s business overdraft page also asks for a Business Banking Account and a minimum of 2 years operating, and for the latest 6-month bank statement if you do not bank with Capitec or have banked with it for less than 6 months.
Income and Affordability Requirements
For Pay As You Trade, Capitec bases the amount on your card transactions and repayment history rather than on financial statements. For the Business Term Loan it asks for financial statements and management accounts (listed below). Minimum turnover and affordability thresholds are not published; ask Capitec Business.
Credit and Financial Requirements
Vehicle and asset finance is subject to a credit assessment. For the Business Term Loan, Capitec lists security that can include personal suretyships of the principals, bonds over property, investments and other collateral. Pay As You Trade needs no security.
Capitec does not say on the pages we checked whether the National Credit Act applies to its business loans. Ask Capitec to confirm in writing before you sign.
Documents and Verification Required
For the Business Term Loan, Capitec lists:
- Latest signed annual financial statements
- Management accounts not older than 3 months
- Statement of personal assets and liabilities
- Statement of personal income and expenditure
- 6 months of bank statements for new clients
Capitec adds that it may need some or all of these depending on the size of the loan, and that collateral depends on the amount and the nature of the deal. For Pay As You Trade, Capitec bases the qualifying amount on your card transaction history and previous credit repayment performance. Documents for the other products, and whether SARS tax or CIPC documents are required, are not listed on the Capitec pages we opened. Confirm with Capitec Business.
How to Apply and Improve Approval Readiness
Start from Capitec’s business credit page, choose the product that fits your business, and confirm the documents with Capitec Business before you apply. Practical steps:
- Prepare current financial statements and management accounts
- Keep the business account in good order, since all three products rely on a Capitec Business account
- Build 3 months of card history if Pay As You Trade is your target
- Ask for the total cost, including fees, not only the rate
Frequently Asked Questions
Do I need to bank with Capitec Business?
Yes. All three products listed above require a Capitec Business account.
How long must the business have traded?
It depends on the product: at least 2 years for the Business Term Loan and for vehicle and asset finance, and at least 3 months of card transaction history for Pay As You Trade.
Will I sign personal surety?
For the Business Term Loan, Capitec lists personal suretyships of the principals among possible security, alongside bonds, investments and other collateral. Pay As You Trade needs no security.
Is the loan covered by the National Credit Act?
Capitec does not say. Ask the bank to confirm in writing whether your agreement is regulated.
How much can a business borrow from Capitec?
Capitec’s Pay As You Trade loan goes up to R1 000 000, repaid through a fixed percentage of your daily card transactions over a 12 or 36 month term, and you can qualify for a re-advance once 50% of the loan has been repaid. Capitec does not publish a maximum for the Business Term Loan, which is tailored to the business and its budget.
How long can I repay a Capitec business loan?
The Business Term Loan can be repaid over up to 60 months. Capitec’s overdraft is a short-term facility of up to 12 months that is reviewed annually, and Pay As You Trade has a 12 or 36 month term.
Does Capitec offer a business overdraft?
Yes. It needs a Business Banking Account and at least 2 years operating. Capitec says no security is needed, the limit is available for 12 months, and a R69 monthly fee applies once you use it, on top of the R50 account fee.
See loan requirements and browse all finance and funding requirements. Confirm current terms with Capitec Business.