Small Business Loans
Learn more about your small business financing options, APR, term length, qualifications and more.
Small Business Loans
Learn more about your small business financing options, APR, term length, qualifications and more.
QUALIFY FOR UP TO $250,000 IN
UNSECURED LINES OF CREDIT AT 0%
INTEREST FOR 12-18 MONTHS.
Can you answer YES to all 6 questions?
1 . Are you free of late payments in the previous 12 months?
2 . Are there 4 or fewer inquiries in the past 6 months?
3 . Are you free of any bankruptcy in the previous 10 years?
4 . Do you have a credit/store card that is over 1 year old with at least a $500 limit?
5 . Are you free of unpaid collections? (Medical collections are OK)
6 . Are you free of any Charged Off accounts less than 2 years old?
If you can answer YES to all 6 of the above questions, submit the form below and our review team will be contacting you about funding projection within 24 hours.
Types of Small Business Loans
Small business financing comes in a variety of forms. The options available to you are as unique as your business, so it's critical that you understand what's available and what works best for your cash flow.
SBA 7(a) Loans
The SBA's most popular loan program is the 7(a). The loan is partially guaranteed by the Small Business Administration, but the financing is provided by an SBA-approved lender. This way, you can borrow between $20,000 and $5 million over 10 years. Because of its low-interest rate, the SBA's 7(a) loan program is appealing to many small business owners. If you apply through Leo Funding Group's network of lending partners, you'll see that the current interest rate is Prime + 2.75 percent (currently 6 percent ). 1 Payment is made monthly, and there are no penalties for paying off the loan early. Your company must have been in operation for at least three years to qualify. Use the proceeds to fund working capital, debt refinancing, or capital expenditures.
Term Loans
One of the most popular types of small business loans is the term loan. If you've ever gotten a mortgage or financed a car, you're probably familiar with the concept of a term loan. Term loans are provided by a lender in the form of a lump sum of capital and are repaid in fixed installments according to a schedule until the principal plus any applicable interest is repaid (and any fees). Repayment terms can range from short term (12 months or less) to medium term (1 to 3 years) to long term (3 years or more). Term loans are typically secured by a lien on your business assets (the lender has the right to seize those assets if you default on the loan) and may necessitate a personal guarantee.
Merchant Cash Advance
MCAs (merchant cash advances) aren't the same as small business loans. They are, instead, a lump-sum cash advance against your future credit card revenue. The amount advanced, which can range between $2,500 and $400,000, is determined by the issuer and is based on your average monthly credit card sales. This amount, for example, is between $5,000 and $500,000 through Leo Funding Group's network of lending partners. Because the cash advance is repaid as a percentage of your daily credit card revenue, repayment can take anywhere between 90 days and two and a half years. One of the major risks of MCAs is piling on too many of them, which can completely deplete your cash flow. You should also be aware of the fact that interest rates (often expressed as a factor rate) can be extremely high, ranging from 40% to 350%. Find out how to apply for a merchant cash advance through Leo Funding Group.
Working Capital Loans
A working capital loan is a short-term loan meant to help a business cover its everyday operations needs. It can be directed toward expenses such as making payroll, paying rent, or making debt payments. A working capital loan is not meant to buy long-term assets or investments. You can apply for a working capital loan through Leo Funding Group and receive a decision in as little as 24 hours.2 The speed of approval is one of the best aspects of this small business loan. Learn more about applying through Leo Funding Group.
Line of Credit
A line of credit is a flexible form of short-term financing. You have a set amount of available credit which you can access as you need. With a business line of credit, you do not make any payments or pay any interest until you actually use the funds. A line of credit is ideal for unexpected expenses so that you don’t have to rely on cash flow when emergencies arise. For instance, having to replace a major piece of equipment or offsetting a seasonal decline in revenue. A line of credit could be in the range of $5,000 to $500,000 or more. When you apply through Leo Funding Group’s network of lending partners, this range is $6,000 to $250,000. With a line of credit, you’ll only pay interest on the funds you draw. However, there may be other fees attached to lines of credit like monthly maintenance fees, draw fees, and late payment fees. Learn more about applying for a line of credit through Leo Funding Group.
Invoice Factoring
Invoice factoring is more similar to an MCA than it is to a business loan. Invoice Factoring works by selling your accounts receivables to an invoice factoring company (also called a ‘factor’) at a discounted rate in exchange for two lump-sum payments. The first payment is the advance (which represents the discounted invoices) - an upfront payment of 70-90% of the factored invoices, and the second payment is for the remaining balance (minus any fees) once your customers pay the invoices in full. The first lump-sum through Leo Funding Group’s network of lending partners is between 85-90%. Invoice factoring is best for businesses that need to cover inventory costs or upfront expenses but have delayed payment terms with their customers. The benefit of invoice factoring is that your account receivables are quickly turned into cash rather than having to wait months for customers to pay. Learn more about applying for invoice factoring through Leo Funding Group.
Can I qualify for financing?
Small business owners frequently believe they do not have good enough credit to qualify for small business financing, but you should not give up just because traditional banking institutions have rejected you. Because each lender evaluates qualifying factors differently, you have a good chance of being approved even if you've been turned down in the past.
There are certain financing options, like invoice factoring, that don’t consider your credit score but your clients’ ability to pay their invoices.
If you apply for a small business loan and can provide collateral, you can often get better interest rates because lenders see you as less of a risk. Borrowers with all types of credit and entrepreneurial histories are eligible for low-interest small business loans.
Popular Reasons for Small Business Financing
Some business owners use personal loans to fund their companies, but using dedicated small business loans and financing allow you to keep your personal finances separate from your business endeavors. We’ve helped thousands of established businesses in the US grow, create new jobs, and stimulate economic growth in their local communities with the best small business financing options for their needs.
Boost your cash flow
Cash flow is often one of the top challenges for growing businesses. Get small business financing to free up cash for immediate reinvestment in your company. You’ll have more flexibility in financial decisions and be able to prioritize expansion rather than worrying about day to day expenses.
Buy New Equipment
Buying equipment for a growing company can add up quickly, especially if you’re looking for the most advanced models. It’s important to find the most powerful tools in order to provide the best possible service to your clients. Never underestimate the value of good equipment. We can work with you to find the best small business finance option for the items you need.
Refurbish your premises
Renovating your company’s facilities can be a significant expense, especially if you’re still in the early stages of growth. You need a clean and modern work environment to succeed and attract talent, so think of this as an investment in the business. Get small business term loans or another type of small business financing to cover some or all of the costs involved in renovations.
Hire Extra Staff
Hiring the top talent puts your business ahead of the competition, but it can be hard for growing companies to put together enough money to bring on more staff. If you need to add someone to your team but don’t have the cash to do it, an option like a small business loan with competitive interest rates could be the way to get funding.
One-off Costs
It’s impossible to predict when a variety of one-off costs will come up for your business, and you don’t want to miss out on an opportunity just because you don’t have cash on hand. A small business loan or line of credit can help allow you to take advantage of any opportunities that come your way.
Grow Your Business
Every small business owner wants to grow their company, but you sometimes need an initial investment in order to achieve any worthwhile returns. Get funds that allow you to invest in your company without giving up equity or becoming responsible to shareholders. In addition to the costs above, you can get enough funding that can help you grow by paying for many other important additions.
Which type of financing should I take out?
Business owners can look for small business loans with shorter or longer terms based on their financial needs. The best one for you depends on a few factors. You should consider how you’ll use the money, how much you need, and how much you’ll pay in interest with each option.
If you’re not sure what kind of financing option (loan, line of credit, or anything else) you want, consider talking to a financial expert (like your accountant) about your situation. They’ll be able to talk you through your choices, helping you find the best small business loans for you and your business.
By applying for a small business loan through Leo Funding Group, you’ll get a dedicated loan specialist - while they are not a financial advisor, they’ll be here to walk you through the entire funding process. Your dedicated loan specialist will be able to walk you through your options and work with you to find the best option(s) for your business.
FUNDING FOR ANY PURPOSE!
OBTAIN CAPITAL FOR BUSINESS
OR PERSONAL USE:
Business Start-Up
Working Capitals
Education
Medical Bills
Franchise Investment
Down Payment Assistance, Etc
UNSECURED LOANS · NO COLLATERAL NEEDED
• Obtain $20K - $200k+
• Approvals within 24-48 hours
• Cash within 5-7 days following approval
• No Upfront Fees
• No Application Fees
• No Prepayment Penalties
