With so many business loan providers today, it can be difficult for business owners to determine which loan is best for them. Business News Daily (BND) has made it easier to choose the best loan provider for you as you enter 2016.
BND researched dozens of alternative small business loan providers, and came up with twenty of the best loan providers in five different categories, which included Snapcap. Lenders were analyzed on the following factors:
- Application & approval process
- Qualification requirements
- Time it takes to receive loan
- Loan amount
- Loan terms
- Repayment process
- Customer service
- Online reviews
- BBB ratings & complaints
After BND settled on 14 of the top alternative lenders, they then investigated the types of loans offered and considered general term rates and also contacted the customer service departments of all considered lenders.
It's important to note that the best picks were not selected based on the likelihood of approval because lenders evaluates businesses differently, and have a different financial makeup. Additionally, specific loan interest rates were not examined as those are determined on an individual business basis; however, average rates were considered.
BND Top Picks
Not everyone will agree with the top picks selected by BND. Below is a list of the top picks by BND with a brief explanation of their requirements.
- Best Startup Loans: Accion –For businesses with less than six months in business and must secure loans with collateral.
- Best Lines of Credit: Kabbage –Must be in business 1 year or more, bring in $4,200/mo in revenue, and be able to link your business checking account to their system.
- Best Merchant Cash Advance: RapidAdvance –Must be in business three months or more, loans based off of monthly credit card volume, and loans are repaid by giving RapidAdvance a fixed percentage of future card receipts until loan is paid off.
- Best Working Capital Loans: Fundation -Must be in business for 2+ years and have 3+ employees.
- Best Bad Credit Loans: Ondeck –Must be in business one year or more, have annual revenue of at least $100k, and only secured loans are available.
Snapcap was a runner up for the category of Best Bad Credit Business Loans.