Best business loans proposals of 2018

Business loans can be critical to your success as a business owner. While you can still walk into a bank to fill out an application, other options may be faster and easier to apply for. But no matter where you start your search, you’ll need to know what kind of funding you’re after, the potential costs that come with a business loan and what you can expect from the application process.

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LendingClub business loan

Amount

up to $300 000

Intrest rate

5.99% to 29.99%

Term

1 to 5 year

Min credit score

640+

This peer-to-peer lender offers small business financing faster than a bank without the strict requirements. And with its wide range of loan amounts and terms, you could find the funds you need with monthly payments your business can afford.

OR

Kabbage Small Business Funding

Kabbage business loan

Amount

up to $250 000

APR

from 24%

Term

up to 18 month

Draw Fee

None

Kabbage offers small business funding for those who need money quick. You can get up to $250,000 transferred to your bank account within three business days if you qualify. Kabbage also offers a line of credit that you can obtain using a credit card.

OR

yalber

Yalber business loan

Amount

up to $500,000

Minimum Gross Revenue

$7,000 per month

Approval Criteria

business health

Min credit score

620+

Yalber business financing can help you get a royalty-based investment for your business. Royalty investments are different from other types of loans. They don't require collateral for a personal guarantee.

OR

national_funding

NationalFunding business loan

Amount

up to $500 000

APR

4% to 8%

Term

up to 5 years

Min credit score

620+

National Funding is an alternative small business lender that works with a wide range of credit types and industries — including cannabis. It’s a provider that partners with alternative lenders for high-risk borrowers it isn’t equipped to take on.

OR

You can also learn about Business Credit Cards that can grow and strengthen your business. 

Types of loans for small businesses

SBA

SBA loan program works with banks to offer low interest rates and long-term repayment. Only those with good personal credit, strong business finances and the flexibility to wait for funding should apply. Loan amounts: up to $5 million, APR range: 6.5% to 9%, Good for large one-time and longer-term investments, purchasing real estate or equipment, buying existing businesses and refinancing debt

BUSINESS LINE OF CREDIT

A business line of credit provides access to flexible cash. Lenders give you access to a specific amount of credit (say, $100,000), but you don’t make payments or get charged interest until you tap into the funds. Credit line range: $2,000 to $500,000, APR range: 8% to 99%, Good for managing cash flow, handling unexpected expenses and financing short-term business needs

BUSINESS TERM LOAN

Online lenders offer term loans of up to $500,000. For a short-term loan, the repayment period typically ranges from six to 12 months, while a long-term loan repayment can extend up to 10 years or longer in some cases. Business owners can also find financing that can be used for specific items, like equipment or inventory. Loan amounts: Up to $500,000, APR range: 6% to 99%, Good for large one-time investments

INVOICE FACTORING

Invoice factoring turns business owners unpaid invoices into immediate cash. You sell the invoices to a factoring company, which is paid when it collects from your customers. If you prefer to maintain control over your invoices, invoice financing is an alternative to factoring. Financing amounts: up to $500,000, APR range: 16% to 77%, Good for managing cash flow, short-term financing