Starting a transport business but don't have the two years of trading history most banks ask for? You're not out of options. New transport businesses in NZ regularly get their first truck financed using a signed contract or letter of intent as evidence of future income — a structure specialist lenders use every day, even if your bank has never mentioned it.
This guide walks through exactly how that works, what a lender needs to see, and how to put it together before you apply.
Why banks decline new transport businesses
Most banks want to see 2+ years of trading history and consistent financial statements before they'll lend against a truck. It's not personal — it's how their credit models are built. A brand new transport business, even one with a genuine opportunity lined up, simply doesn't have the historical numbers a bank's standard process is designed to assess.
The result: plenty of capable operators with real work lined up get declined, not because the opportunity is weak, but because the bank's process has no way to evaluate something that hasn't happened yet.
The "contract trick" — using a signed agreement as income proof
Specialist non-bank lenders — the kind an asset finance broker can get you in front of — take a different approach. Instead of relying solely on historical trading figures, they'll accept a signed contract, cartage agreement, or letter of intent from a principal contractor, freight company, or client as genuine evidence of anticipated income — because it demonstrates real, committed work rather than a hope or a plan.
This isn't a loophole — it's a recognised way of assessing a new business that specialist lenders use precisely because standard bank criteria don't fit every legitimate operator. A few things make a contract or letter of intent strong enough to use this way:
- It's signed, not verbal. A written commitment from the contractor or client, even a simple one-page letter of intent, carries far more weight than "I've been told I'll get the work."
- It specifies the work and rough volume. A contract that says "cartage work, approximately 3 days per week at $X per day" is more useful to a lender than a vague statement of intent.
- It comes from a credible source. A letter from an established quarry, logistics company, or builder's merchant carries more weight than one from an unregistered or unfamiliar entity.
Important: the contract needs to reflect a genuine commitment. Lenders will occasionally follow up directly with the contractor to confirm the arrangement is real — don't overstate the volume or certainty of the work.
Building a simple cash flow forecast
Alongside the contract, lenders want to see that the numbers actually work — that the income from the contract genuinely covers your running costs and the loan repayment, with a reasonable margin. This doesn't need to be a formal business plan; a simple monthly forecast is usually enough.
| Line item | Example (monthly) |
|---|---|
| Revenue from contract | $14,000 |
| Fuel, maintenance, insurance, compliance | -$6,500 |
| Truck finance repayment | -$3,200 |
| Net surplus | $4,300 |
A forecast like this does two things: it proves to the lender that the deal is serviceable, and it forces you to actually check the numbers work before committing — which is worth doing regardless of whether a lender asks for it. If cash flow is genuinely tight in the early months, it's also worth understanding how working capital finance could bridge the gap separately from the truck loan itself.
What lenders actually want to see
Once you've got the pieces above, the actual truck finance application itself is straightforward. Here's the checklist lenders work through:
A realistic timeline — first call to keys
- 01
Initial conversation
Tell Nick about the truck, the contract, and your situation. No forms, no credit impact.
- 02
Pull together the contract and forecast
Usually the fastest-moving part is on your end — getting the letter of intent signed and the forecast built, often within a day or two.
- 03
Submit to the right lender
Nick matches your deal to a lender genuinely set up for new-business truck finance, rather than one that will decline on trading history alone.
- 04
Decision and settlement
Most applications with a strong contract and forecast in hand get a decision within 24-48 hours, with settlement to follow once documents are signed.
Got a contract but no trading history?
Tell Nick what work you've got lined up and he'll tell you honestly whether it's enough to get your first truck financed. No cost, no obligation, no credit impact to enquire.
Common questions
Talk to Nick.
Starting a transport business and got work lined up but no trading history? Get a straight read on your options. No forms. No credit impact. Most decisions within 24-48 hours.