The 6 Best Startup Business Loans (2021 Reviews)

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Lendio CEO Brock Blake initially started a loan company called FundingUtah in 2006, which later became FundingUniverse. In 2011, he decided to start over and launched Lendio. Today, this online marketplace offers several excellent financing options for startups, has a network of over 75 lenders, and has funded over 300,000 loans.

Loan Features

Typically, loans for new businesses range from $ 9,000 to $ 20,000 with interest rates of up to 28%. Lendio, on the other hand, takes a different approach. It connects you with lenders who offer loans for amounts as low as $ 500 and up to $ 750,000 with interest rates as low as 17%.

Since you will have a number of start-up loans to choose from, you will also come across a number of durations. The options range from one year to 25 years.

Perhaps the best part about using Lendio to get business capital is that it’s free. But while Lendio doesn’t charge a filing fee, many individual lenders do, so make sure you’re familiar with these expenses before you start the paperwork.

Application process and speed of funding

As a Lendio client, you won’t have to go through a long application process – finding the right new business loan is stressful enough.

All you need to do is create an account and fill out a unique online form, after which Lendio will perform a smooth credit check, which will not impact your credit score. The whole process should not take more than 15 minutes.

You will likely start receiving offers within 72 hours, and once your decision is made it will take approximately two to four weeks for the funds to be credited to your account.

Qualification requirements

Thanks to Lendio, you can acquire a secured or unsecured business loan for your startup. The one you get depends on your level of creditworthiness.

The majority of Lendio’s partners have a credit score requirement of 680, which unfortunately might be too high for some. On the positive side, you only need to be in business for six months to qualify. Some lenders will also want to know if you already have experience in setting up or running a startup.

Additional services

Lendio specializes in offering clients a wide selection of financial products, but instead of listing them all, we would like to draw your attention to a loan similar to business start-up loans.

If your startup is in need of new software, cooking appliances, vehicles, or other supplies, you should consider an equipment finance loan. While you can use a start-up loan to purchase these things, equipment financing has its own advantages.

In just 24 hours, you can have between $ 5,000 and $ 5,000,000. The loan term ranges from one to five years and your loan rate can be as low as 7.5%. Overall, you’ll be hard pressed to find better equipment finance for startups elsewhere.

Reasons to choose Lendio:

  • Free service
  • Soft credit check
  • Many types of loans


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