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View RatesLendio is not a direct lender. It is a platform that directs you to the services of various lenders based on your borrower profile, not just your profits. At least one of Lendio’s loan programs allows you to obtain a loan if you have been in business for as little as three months (however, there are stricter personal requirements for new or recently formed businesses). Also, some options have low rates.
Lendio aims to make small business loans as simple as possible. The platform can connect you to over 75 leading lenders. Lendio strives for ease with a 15-minute application and a proprietary algorithm that finds your quotes. The company earned an A+ rating (on a scale of A+ to F) with the Better Business Bureau, and 9.5 (out of 10) with TrustPilot. Lendio considers American small businesses to be the backbone of the American economy and provides $1 billion in funding for small businesses.
According to the company, it has facilitated over 300,000 small business loans for $12 billion in total funding—including $8 billion in PPP loan approvals as part of government COVID-19 relief.
1 to 5 years for traditional business loans
Eleven different business loan types
Loan amount: $5,000 to $5 million
Funding in as little as 24 hours after approval
APR varies according to lender and type of loan
Prepayment penalties vary with loan program/lender
580 minimum FICO score
12+ months in business
You must fill out a brief questionnaire to start the process, and your lender match will largely depend on your answers and documents provided. Once paired with a lender and loan program, you’ll complete a more detailed application for the direct lender. The exact loan process and timeframe vary from one lender to the next, but it typically takes anywhere from two days and two weeks.
The Lendio site performs a soft credit pull when you inquire about a loan. However, your credit score won't be negatively affected. Once matched with a lender, they’ll pull a formal credit report, and you’ll be well on your way into the application process.
The basic requirements for a business loan with Lendio include:
Gross revenue averaging consistently $10,000 for at least six months
Minimum of 12 months in business (less for certain loan programs)
580 minimum credit score
No bankruptcies in the past three years
A business bank account
You must be current on your mortgage or rent payment
The business must be based in the United States
The specific documentation required to get a business loan through Lendio varies from one lender to another and also depends on the type of loan being applied for. Typically, an application will require at least the following:
A signed loan application
Six months of current business bank account statements
Mortgage or landlord verification
Because Lendio is a business loan aggregator, it offers access to 11 different types of loans:
Loan Type | Loan Amount | Terms |
Business Credit Cards | Depends on the provider | Depends on the provider |
Equipment Financing | $5,000 - $5 million | 1 to 5 years |
Startup Loan | $500 - $750,000 | Up to 25 years |
Business Line of Credit | $5k - $250k | 1 to 2 years |
Merchant Cash Advance (MCA) | $5,000 - $2 million | Up to 2 years |
Short-Term Loan | $2,500 - $500,000 | 1 to 3 years |
Business Term Loan | $5,000 to $2 million | 1 to 5 years |
Commercial Mortgage | $250,000 to $5 million | 10 to 20 years |
Accounts Receivable | Up to 80% of receivables | Up to 1 year |
SBA Loan | Up to $5 million | 10 to 30 years |
Business Acquisition | $5,000 to $5 million | Revolving or 10 to 25 years |
Lendio does advise that certain business types, those considered "restricted industries," may experience difficulty getting a loan through the platform. Those businesses include hunting, fishing and forestry, auto dealers, gambling, legal services, non-profits, mining, commercial real estate, and insurance.
Where data security is concerned, your information on Lendio is protected by the same 256-bit encryption that banks use and includes auditing, back-ups, and encrypted login information.
Loan terms range from one month to 25 years, depending on the type of loan and approval. Individual lenders determine fees, and interest rates will be within the ranges appearing on the chart above for each loan type. However, some loans do impose a prepayment penalty.
With some loans, repayment occurs when a percentage of your monthly business receipts are automatically transferred to the lender daily. Others will call for scheduled monthly payments.
You can reach Lendio by phone at either their Utah or New York office. You can also contact Lendio through social media, including Facebook, Twitter, and Linkedin. Additionally, email contact is available directly through the company website.
Lendio has a comprehensive FAQ page that will answer most of your questions on its loan process. The company also has a blog that provides real-world examples of how Lendio loans have benefited small businesses.
Lendio could be the perfect platform for your small business since it represents an entire marketplace of all types of lenders. You can take out a specific loan with one lender and a totally different kind with a different lender. Ultimately, Lendio provides you with an ongoing source of financing as your business grows.
Lendio
4100 Chapel Ridge Road
Suite 500
Lehi, UT 84043
