We rounded up the best online fintech small business loan lenders in 2022 that can help you get the capital that your business needs to operate successfully.
Small business loans can help you get access to cash for starting, expanding or keeping your business up and running. There are several types of small business loans that support a variety of needs, such as starting a franchise, purchasing property or getting cash when you have a stack of unpaid invoices.
With so many choices and so many types of businesses out there, there’s no one-size-fits-all answer to the best financing option. In order to help you find the best loan for your needs, Select reviewed five different types of loans: term loans, equipment loans, commercial real estate loans, microloans and franchise loans.
We evaluated each small business lender on a range of features, including: minimum and maximum loan amounts, time period to repay loan, personal credit score needed, Better Business Bureau rating and business requirements to apply.
The list consists of private lenders that are not tied to a specific bank or credit union.
Here are fintech small business loan lenders that can help you get the money you need to start or expand your business.
- National Business Capital – Marketplace with multiple loan options
- Rok Financial – Marketplace with multiple loan options
- Janover Ventures – Multiple loan options
- BankBreezy – Cash Advance same day funding
- David Allen Capital – Merchant working capital cash advance and business essentials
To determine which fintech small business loan lenders offer the best financing terms, we analyzed a dozen U.S. loans offered by both online and brick-and-mortar lenders. We narrowed down our rankings by only considering traditional loans, including term loans, equipment loans, commercial real estate loans, microloans and franchise loans. For this roundup, we didn’t evaluate SBA loans, business lines of credit, invoice factoring/financing, merchant cash advances since they either have a long application process (like SBA loans) or act differently than a traditional term loan, which gives you a lump sum that you pay back over a fixed time period.
We compared each fintech small business loan lender on a range of features, including:
- Minimum and maximum loan amounts
- Length of term
- Credit score needed
- Application requirements
- Streamlined application process
- Fund disbursement
- Customer support
- Better Business Bureau rating
- Customer reviews, when available
After reviewing the above features, we organized our recommendations by best for overall financing needs, same-day funding, no prepayment fees and microloans.
The rates and fee structures for small business loans are subject to change without notice, and they often fluctuate in accordance with the prime rate. However, once you accept your loan agreement, a fixed-rate APR will guarantee that the interest rate and monthly payment will remain consistent throughout the entire term of the loan. Your APR, monthly payment and loan amount depend on your credit history and creditworthiness.
To take out a small business loan, lenders will conduct a hard or soft credit inquiry and request a full application, which could require both personal and business proof of income, identity verification, proof of address and more. You’ll likely also need to put up collateral if seeking an asset based loan, which can include business equipment, real estate or personal assets.