Online Business Loans
Posted: Sat Feb 08, 2025 4:19 am
Online business lenders exist to help small businesses get financing when they need it, with some promising same day approvals and funding. They are especially popular for businesses that don’t qualify for a traditional bank loan or line of credit. But they can come at a price. For example:
Funding Amount & Term: Typically $5,000 – $500,000 with 3-36 month terms.
Rate & Repayment: APRs range from 9% – 99% depending on the provider and your credit profile. Repayment schedules are either daily, weekly, or monthly auto-debits.
Pros:
Simple, online application processes that typically take 10 minutes to complete
Minimal to no paperwork required
Decisions and funding in as fast as 24 hours
They don’t put a lot of emphasis on personal credit, with kenya phone data minimum FICO requirements as low as 500.
Cons:
Higher interest rates
Short term
Daily auto-debit repayments can disrupt cash flow for some businesses
Right for you if: You need a loan quickly, have poor personal credit, and have enough cash in-flows to keep up with fixed daily payments.
4. Invite-Only Financing Programs
As an online retailer, you might be eligible for certain invite-only financing programs, like Amazon Lending, Shopify Capital, or Stripe Capital, to name a few. Typically, these programs are affiliated with an eCommerce site or payment processing company and they use your sales history on their respective platform to determine eligibility. Here’s more about how they work:
Funding Amount & Term: Typically $5,000 – $500,000 with 3-36 month terms.
Rate & Repayment: APRs range from 9% – 99% depending on the provider and your credit profile. Repayment schedules are either daily, weekly, or monthly auto-debits.
Pros:
Simple, online application processes that typically take 10 minutes to complete
Minimal to no paperwork required
Decisions and funding in as fast as 24 hours
They don’t put a lot of emphasis on personal credit, with kenya phone data minimum FICO requirements as low as 500.
Cons:
Higher interest rates
Short term
Daily auto-debit repayments can disrupt cash flow for some businesses
Right for you if: You need a loan quickly, have poor personal credit, and have enough cash in-flows to keep up with fixed daily payments.
4. Invite-Only Financing Programs
As an online retailer, you might be eligible for certain invite-only financing programs, like Amazon Lending, Shopify Capital, or Stripe Capital, to name a few. Typically, these programs are affiliated with an eCommerce site or payment processing company and they use your sales history on their respective platform to determine eligibility. Here’s more about how they work: