When you are looking for loans there is an abundance of choices available. If are someone is not experienced with this process. Then this whole process can feel overwhelming to you. There are banks and credit unions that we like to call traditional lenders. Banks and Credit Unions have been giving business loans for a long time. There are options for you to get a loan even online. Online loans have a much lower requirement than traditional lenders.
Also, there are different types of loans where you can choose your loan term, what should be your line of credit, and multitudes of things. All this option may end up making this process more messy than easy. To help you go through this process as smoothly as possible we have come up with some of the best small business loans on there. Carry on reading to find out which small business loan is for you.
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Best Ways to Get Loans for Small Business
Lendio is one of the best loan companies currently. Think of Lendio more like Tinder but for loans. This is great for people looking for loans as all you only need to do is fill out an application. The process of filling out information on the online application takes about 10 – 15 minutes. With the information provided in your application, Lendio will find out some of the best loans that are for you.
There are 72 hours within which Lendio will send you a list of loans that you are eligible for. So, from there you can decide which loan or lender you want to go with. There are more than 75 lenders who partnered up with Lendio. The Lenders on Lendio offer all types of loans. So, the probability of you getting a loan or a lender from Lendio is very high.
- The process is swift.
- Finds loans with the best chances to win.
- Some loans have very high-interest rates.
Three different types of funding are available in BlueVine. They are Term loans, lines of credit and Invoice Factoring. You can choose any one of these funding choices available. But the one BlueVine is famous for is invoice financing. See some companies offer a credit line to their customers. Because of these credit lines, these companies might even run into trouble even though their business is booming.
Now, comes invoice financing, it is a system that lets these companies get paid whenever they issue an invoice. Invoice financing is a lifesaver for small businesses that do not have back up funds to fall back on. So, with BlueVine you can use your invoices to get an invoice financing loan which will allow you to keep running your business smoothly.
The application process for BlueVine is also very smooth. The requirements for a loan from BlueVine are for you to be in business for about 3 months, you have to have annual revenue of $100,000 and a credit score of 530.
- The process is very simple and fast.
- Offers loans to people with a low credit score.
- The loan availability in some states is limited.
Fundbox is a great option for you if you are someone who is looking for a loan but have a low credit score. There is no application process for Fundbox. There is an automatic algorithm that will connect with your bank account or accounting software. Based on the analysis by the Algorithm, Fundbox will decide whether you will get a loan or not.
- Automatic application process.
- Higher chances of funding.
- Low credit score requirement.
- Has a higher annual percentage rate.
Kabbage also offers an automatic application process. There is no application form that you need to submit for you to qualify for a loan. All you need to do is allow Kabbage to access your bank account. Because of this process, you do not need to provide any type of documentation.
Kabbage will decide automatically whether you qualify for a loan of credit or not. Kabbage offers funding only as lines of credit. When you are approved, you can access your line of credit via PayPal, a bank account or a card. The most convenient is PayPal as with its help you can access your funds instantly.
- Very Convenient.
- Fast application process.
- Has a higher interest rate.
The Funding Circle is a platform that connects you with people who are willing to lend their money and connect borrowers to investors. The funding circle acts as middlemen. As a person who is borrowing money, it all will look the same to you as you will be paying your payments through the funding circle. The requirements to borrow a loan on the funding circle are a bit stricter as you will need to be in business for two years.
- Low-interest rates.
- Can make payments monthly.
- Very strict requirements.
If you are looking for a loan that offers both term loans and lines of credit than OnDeck can be of your help. The requirement for you to be eligible for an OnDeck loan is you need to be in business for one year. Your annual revenue needs to be of a minimum of $100000, your credit score needs to be at least 600.
- Has an A+ BBB rating.
- Offers loan amounts from $5000 to 500000
- To be eligible you need to be in business for about a year.
A business loan can be a lifeline that saves your business or it can be like a thorn that is stuck in your throat. To help you choose the right business loan we have come up with the aforementioned list of the best small business loans.