Online Lender Checklist: The Best Loan for Your Small Business

Online Lender Checklist: The Best Loan for Your Small Business

The FUNDamentals Blog

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Small business cash gap

P2Binvestor | The FUNDamentals Blog

• Access to capital for small business owners is predicted to become even more scarce in 2016. Luckily, fintech companies have stepped in to help entrepreneurs close the cash gap since big banks seem to be less than willing. Small business owners looking to scale or simply maintain operations and mitigate cash flow challenges should check out these online lenders. Use the checklists to determine which lender is best for your business.

http://www.entrepreneur.com/article/254370

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Prosper

• Prosper is a leader in the peer-to-peer lending space. They are a great solution for small businesses who: Need financing from $2,000 up to $35,000 Are individual borrowers looking for a business loan based on a

their personal credit score Want three or five year loan repayment terms Can handle origination fees ranging from 1% to 5% assessed

once the loan is funded and APR from 5.99% to 32%• Prosper is best for small business owners who don’t mind

using their personal credit history to apply for a loan and need smaller financing


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Lending Club


• Lending Club is the largest peer-to-peer lender available online. They’ve offered business loans since the beginning of 2014 to small businesses who: Need $15,000 up to $300,000 in working capital. Want flexible repayment terms from one year up to five years Can handle interest rates from 5.90% to 29.90% and origination

fees between 1% and 6% based on loan size and repayment term Have an established operating history and are cash flow positive

• Lending club rates small business loans on annual revenue which must be greater than $75,000 & time in operation. It is best for established businesses that want flexible repayment terms and larger credit lines.

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Kabbage

• Kabbage has a unique niche in the online lending space. They are great for: Online merchants who can link their ecommerce business accounts such

as Etsy, Amazon, PayPay, Zero and eBay Are looking for a line of credit from $2,000 to $100,000 Need access to a line of credit quickly and want to draw from their line as

often as once per day Can handle interest rates ranging from 1% up to 12% and six month

repayment terms • Kabbage is ideal for small businesses who operate solely online and

need access to capital quickly


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• Our lines of credit are funded by a crowd of accredited investors. They are perfect for small businesses who: Are a receivables or recurring revenue based B2B business operating

within the U.S Need a revolving line of credit to cover operating costs while they wait

on slow payors Need $500,000 – $5,000,000 in working capital Want a daily a daily non-compounding rate based on their outstanding

balance• P2Binvestor’s loans are idea for small businesses who are

projecting growth, are on path to profitability, and need a revolving line of credit to help them scale their business

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OnDeck

• OnDeck is a direct lender that also provides small business loans. Loans are based on the overall health of the business and is great for those who: Have been in operation at least one year and have a minimum of

$100,000 in annual revenue Can handle a higher APR (between 9% and 98%) and a term loan of up to

36 months Need funding from $5,000 up to $500,000 Can pay an origination fee of 2.50% on their first loan

• OnDeck is best for small business who have an established operating history, need a loan fast, and can pay it back quickly



Bond Street

• Bond Street lends to B2B and B2C business including those who don’t exactly have stellar credit scores. Their loans are best for business owners who: Need loans from $50,000 – $500,000 Have two or more years of operating history and are currently

generating $200,000 in annual revenue Are able to sign a personal guarantee Can handle repayment terms between 1-3 years, interest rates

between 6% up to 20%, and APR from 8$ up to 25%


BlueVine

• BlueVine is an accounts receivables lender who pays up to 80% of the value on an invoice. They are ideal for small businesses who: Are B2B and have $70,000 in annual revenue Can provide a personal guarantee Need a loan between $5,000 and $250,000 Can handle between 23% - 60% APR and loan terms of

1-12 weeks• BlueVine is ideal for small businesses who need to cover

operating costs while they wait on slow payors.

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Banks, schmanks. We’ve built a better business loan.

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Online Lender Checklist: The Best Loan for Your Small Business

Small Business & Entrepreneurship

Transcript of Online Lender Checklist: The Best Loan for Your Small Business