Finding the right small business funding solution can be challenging. Some options are complicated and hard to navigate, and most traditional lending options require excellent credit and several years in business.
Online lenders like Fundible aim to simplify the process and provide access to business funding for companies that can’t qualify for traditional business loans. The lender uses a hybrid approach of offering in-house financing and working with a partner network to expand access to small business loans.
However, the lender might not be the best fit for every small business owner. While it offers generous loan amounts, the company can be vague regarding loan and repayment terms.
This review explores what you should know about Fundible, including the benefits, drawbacks, and application process, to help you decide if it’s the right lender for your business. Specifically, we’ll address these questions and more:
Fundible is a financing solution for small businesses founded in 2017. This company helps businesses that often struggle to get loans from traditional financial institutions like banks and credit unions. Many small business owners face rejection from banks due to strict lending criteria. Fundible aims to change that.
The lending platform offers various loan types, including term loans and lines of credit. It provides direct loans to eligible businesses. It also partners with a network of other lenders. This partnership expands the options available for business loans. Through this network, Fundible connects borrowers with lenders who can meet their specific needs.
Fundible is headquartered in Great Neck, NY. It services most industries and offers business loan options nationwide.
Fundible helps businesses by using in-house financing and a network of partners. This method allows them to provide loans quickly and efficiently. When companies apply, Fundible assesses its business needs and qualifications to match them with the right lender and loan option.
The lender offers diverse business financing options, including bad credit loans.
Fundible offers a flexible business line of credit that allows businesses to access funds up to a specific limit, similar to a business credit card. Small businesses can use the line of credit for various business expenses, such as purchasing inventory, covering payroll, or investing in growth opportunities.
Businesses can draw funds from the credit line as needed and only pay interest on the amount they use, making it a cost-effective financing option. Fundible’s business line of credit typically requires a quick application process and allows businesses to access funds when needed, helping them manage cash flow effectively.
Fundible’s business term loan is a financing option designed to help businesses access a lump sum of capital repaid over a set period, typically with a fixed interest rate. This type of loan is ideal for businesses looking to make significant investments, such as purchasing equipment or expanding operations.
Fundible offers equipment financing solutions to help businesses acquire the tools and machinery they need to operate efficiently. Through Fundible, companies can secure loans specifically designed for purchasing equipment, whether it’s for manufacturing, construction, or any other industry.
The process typically involves applying for financing, providing information about the purchased equipment, and agreeing on repayment terms. Fundible works with businesses to tailor financing options that fit their needs and budget, making it easier for them to invest in the equipment necessary for growth and success.
Fundible offers a bridge loan as short-term financing to cover urgent cash flow challenges. Small business owners can use the bridge loan for expenses like payroll, purchasing inventory or materials, or balancing cash flow.
The bridge loan features flexible payment options. Businesses can potentially receive a discount for an early payoff.
Fundible offers invoice factoring as a way for businesses to improve cash flow. With this service, businesses can sell their outstanding invoices to Fundible at a discounted rate in exchange for immediate cash.
Fundible then collects the full amount from the customers on behalf of the business. This can help businesses access much-needed funds quickly without waiting for customers to pay their invoices. It’s a convenient way to manage cash flow and keep operations running smoothly.
SBA loans provide long-term financing with large loan amounts and low interest rates. The US Small Business Administration (SBA) partially guarantees these loans. With backing from the federal government, lenders can typically offer more generous loan amounts than traditional small business loan options.
However, SBA loans typically require extensive documentation and have long approval and funding times. Additionally, the eligibility criteria are typically more stringent than those for the company’s other alternative business loans. Microloans and community advantage loans are more accessible than other SBA loan programs.
Fundible provides minimum qualifications for its loan products. However, meeting these qualifications doesn’t guarantee approval. Also, qualifying for Fundible’s in-house financing may be more challenging than qualifying for funding from one of its lender partners.
The listed minimum qualifications are:
However, eligibility can vary depending on the specific lending opportunity. Some loan options may have stricter qualifications and require more documentation. For example, equipment financing often requires an invoice for the equipment. SBA loans may require personal credit scores of 650+ and typically require personal and business tax returns, more bank statements, and even a business plan.
Potential borrowers should be cautious. Information from company representatives might differ from what is online. Always verify details through multiple sources. This ensures you have accurate data before making decisions.
Part of the reason for reports of conflicting information is the company’s lending structure. It acts as a direct alternative lender but also has elements of a small business loan marketplace, where it connects borrowers with its network of online business lenders. These fintech lenders can typically still provide quick decisions and fast funding, but the terms vary between business loan products.
Loan requirements can vary greatly. Each applicant’s situation affects their terms and interest rates. Factors like personal credit score, annual revenue, and the type of business idea play a crucial role. The minimum credit score requirement for one product can vary significantly from another. A strong credit score can lead to better offers.
Some reports suggest that the qualifications for in-house financing from the online lender can be much higher than those of the small business lenders in the network. One review claimed a representative from the company stated that borrowers need a personal credit score of 680.
Signing up for Fundible requires agreeing to allow the company to use your information for marketing purposes. The company advertises that you can apply without a hard credit check, but some of its partners might conduct a hard credit inquiry during underwriting. However, the company will notify you and request consent before pulling your credit report.
Fundible offers a business loan affiliate program. ISOs, business loan brokers, and other professionals can apply to become partners and offer their clients the company’s financing products.
The application process is quick and easy. Here are the steps to apply for a Fundible business loan.
The process starts with completing Fundible’s online application. You’ll provide basic information about yourself and your business, such as financial records and business property information. You can also print and complete the paper application if you don’t want to apply online. After signing the application, applicants upload any required documentation.
Approved businesses may receive multiple funding offers. Carefully review all options to find the business loan program that best aligns with your goals and cash flow. Fundible’s customer service team will work with you to find the best option.
Carefully review the loan agreement before signing. Ensure you understand the terms, conditions, and repayment structure. Once you sign the agreement, you can potentially receive the funds within 24 hours, depending on the loan and lender.
Understanding repayment schedules is crucial after receiving funds from Fundible. Each loan comes with specific terms, which outline how and when you need to pay back the money. Missing a payment can lead to extra fees or issues with your credit score.
Fundible’s repayment terms can be vague, but the company states there are no prepayment penalties. Most loans list a monthly payment option but don’t specify other payment options. The bridge loan features an early payoff discount.
Invoice factoring is a transaction where a company sells its invoice at a discount. That discount is the payment for the service, meaning no other payments are required. Instead, Fundible recovers the funds when it collects customer invoice payments.
Fundible offers several advantages, making it a strong choice for many business owners. The company’s mission is to provide access to capital for businesses that struggle to qualify for traditional business loans, whether due to credit scores, time in business, or revenue.
The range of financing options is also impressive. Fundible tailors its offerings to fit different business needs. Whether a business requires a short-term loan or a line of credit, options are available. This flexibility allows entrepreneurs to choose what works best for them.
Speed is another critical advantage. The quick funding process can be crucial in urgent financial situations. Businesses can often receive funds within days of applying. This is especially helpful during emergencies or when unexpected expenses arise.
Fundible’s business loans also offer high loan amounts. While other alternative lenders have similar accessibility and funding speeds, many offer lower borrowing amounts.
Fundible offers some unique benefits, but it also has downsides. One major concern is the potential for higher interest rates. Compared to traditional lenders, borrowers might face significantly steeper costs, making loans more expensive over time.
Conflicting information can arise during the application process. Some users report unclear guidelines and varying requirements. This confusion can lead to frustration and delays in securing funds. Each applicant may receive different responses based on their situation. This inconsistency can be stressful for those seeking quick financial help.
Reliance on partner lenders introduces another layer of complexity. Fundible works with various lenders, which means experiences can differ greatly. One borrower may have a smooth experience while another faces challenges. The quality of service and terms can vary widely among these partners. This inconsistency makes it hard to predict what to expect.
It’s essential to consider all aspects before proceeding with a Fundible loan. Understanding these potential pitfalls helps individuals make informed decisions about their borrowing options.
Pros:
Cons:
Yes, Fundible is a legitimate business funding company. It’s Better Business Bureau (BBB) accredited with an A- rating on the watchdog site.
Fundible has excellent customer reviews. It has a 4.9 out of 5 on over 400 Trustpilot reviews, a 4.9 out of 5 on over 100 Google reviews, and an impressive 4.99 out of 5 on nearly 90 BBB reviews.
Positive reviews for Fundible business loans often highlight the quick and easy application process, competitive interest rates, and flexible repayment terms. Customers appreciate the personalized service and support Fundible’s team provides, which helps them navigate the loan process smoothly.
Additionally, many borrowers praise Fundible for transparent fees and clear communication throughout the loan approval process. Fundible’s business loans are well-received for their efficiency, affordability, and customer-centric approach.
Fundible has received a few negative reviews for its business loans, with some customers expressing dissatisfaction with the terms and conditions of the loans. In particular, some negative comments mentioned the high interest rates.
However, it is important to note that some negative reviews are from customers who confused Fundible with a different company, leading to misunderstandings. Fundible typically responds to negative complaints promptly and professionally, addressing concerns and offering solutions to improve the customer experience. Overall, Fundible strives to provide transparent and reliable financial solutions for businesses in need.
Fundible or its partners may decline your loan application for several reasons related to credit scores, time in business, bank statements, or revenue. Other issues could arise during underwriting as well.
If you were declined, the denial letter should explain why and include information about how to improve your application and when you can apply again. If not, or if you need more information, contact Fundible directly.
Fortunately, many small business lenders are worth considering if Fundible doesn’t work for your needs. You can find various lenders that offer similar business loans and fast funding times. This includes alternative funding products like revenue-based financing or a merchant cash advance.
You may be interested in one of the following small business funding options:
Fundible offers a unique funding solution that can help you navigate financial challenges. With its straightforward application process and clear qualifications, it’s designed to assist those who need support. While it has advantages like quick access to funds, be aware of potential downsides. Understanding both sides is crucial for making informed decisions.
The lender is best suited for small businesses struggling to qualify for traditional business financing due to a low credit score. Younger businesses with at least six months in operation could also benefit from Fundible’s lending products. It’s also a solid option for those seeking urgent funding.
Business owners with excellent credit and well-established companies can likely qualify for lower-cost business financing options. In addition, business owners who prefer an in-person loan executive likely won’t want to work with an online lender like Fundible.
Based on the available information, we rate Fundible as a 4.1 out of 5. It has excellent loan variety and user reviews but could offer greater transparency on qualifications and loan repayment terms.
Disclaimer: The Fundible trademark is owned by Streamline Funding LLC, and its use herein is for reference purposes only, and it does not indicate sponsorship or endorsement from Streamline Funding LLC.
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