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Pros
Cons
Rapid Finance Loan Features
Rapid Finance offers a variety of different loans, each tailored to a specific type of business or business need. For example, small businesses looking to grow may want an SBA loan, while larger firms looking to improve their cash flow may choose an invoice factoring loan.
Most of the company’s loans are flexible, giving borrowers the choice of payment schedule and term. You can also borrow a wide range of amounts, making Rapid Finance a reasonable choice for businesses of almost any size.
Small Business Loan
A Rapid Finance small business loan is the platform’s most popular choice. All payments are fixed, the terms are generous, and you can borrow up to $1 million.
| Term length | 3 - 60 months |
| Repayment period | Daily or weekly |
| Min - Max amount | Up to $1 million |
Merchant Cash Advance
A merchant cash advance is designed for companies who need cash now and can back their borrowing with future sales. You’ll get a lump sum of cash in exchange for a percentage of future sales. Keep in mind that rates on these types of loans can be high.
| Term length | No fixed payment term* |
| Repayment period | Not disclosed |
| Min - Max amount | Up to $500,000 |
*Payment term is dependent on business receivables
Line of Credit
Lines of credit are flexible and operate similarly to a credit card. Tap the line of credit for cash when you need it, make payments on the account each month, and have it available if a cash flow issue ever comes up. You only need to borrow the amount that you need, and you only pay interest on the amount you use.
| Term length | Up to 18 months |
| Repayment period | Weekly |
| Min - Max amount | $5,000 - $250,000 |
Bridge Loan
A Rapid Finance bridge loan is a loan designed for emergency expenses, offering a quick application and approval process. They’re usually easier to qualify for than a term loan, but can be more expensive.
| Term length | Up to 60 months |
| Repayment period | Not disclosed |
| Min - Max amount | $5,000 - $1 million |
SBA Loan
SBA loans are backed by the federal government’s Small Business Administration. The application time can be long, but you’ll be rewarded with lower rates and fees and a better chance of approval.
| Term length | Up to 30 years |
| Repayment period | Monthly |
| Min - Max amount | $500 - $5.5 million |
Invoice Factoring
Invoice factoring is a type of loan that lets you borrow money against your balance of unpaid invoices. These Rapid Finance loans are great for companies who often wind up waiting for customers to pay their bills.
| Term length | Up to 18 months |
| Repayment period | When you receive customer payments |
| Min - Max amount | $20,000 - $10 million |
Asset-Based Loan
These secured loans require collateral, such as real estate or equipment. They come with lower interest rates than other loans, but keep in mind your assets can be seized if you stop making payments.
| Term length | 6 - 36 months |
| Repayment period | Daily, weekly or monthly |
| Min - Max amount | $50,000 - $10 million |
Commercial Real Estate Loan
A commercial real estate loan is designed for companies that need to buy property. Whether you’re purchasing an office, a warehouse, or a storefront, these loans can help your company secure the funding it needs.
| Term length | 5 – 20 years |
| Repayment period | Monthly |
| Min - Max amount | $75,000 - $2 million |
Rapid Finance Interest Rates and Fees
Rapid Finance discloses very little information on rates and fees before you apply, as every customer is assessed individually.
That being said, we can get an idea of some of the rates from online customer reviews. Generally, the lender will apply a factor rate to many loan products, which can range between 1.11 to 1.25. Generally, the better your credit, the lower the rate you’ll receive.
Rapid Finance states that fees may be applied in some cases, but doesn’t provide specific details. You should keep an eye out for origination fees and late payment charges when you read your loan agreement, and be aware that several loan types will have administrative costs.
We recommend getting in touch directly with the Rapid Finance customer service team regarding specific rates and fees prior to signing a loan agreement
How to Qualify for a Rapid Finance Loan
To qualify for a small business loan from Rapid Finance, you’ll need a minimum credit score of at least 550. The company will also look at your time in business and monthly revenue. The lending decision will be based on a combination of these three criteria.
When applying, Rapid Finance does a soft credit pull, meaning your credit score will not be affected. If you choose to move forward with the loan, the company will then perform a hard pull on your credit.
Rapid Finance Application Process
Rapid Finance’s loan application is fully online and relatively quick to complete. Unfortunately, you may not get an online quote right away. Depending on the information you provide, Rapid Finance may have to review the information you submitted and reach out to you at a later date.
First, you’ll have to offer some basic contact info.
Then, you’ll have to tell the lender why you’re applying for a loan.
Next, you’ll have to answer more specific questions about your company, such as its structure and the industry you operate in.
And finally, you’ll have to submit the required documentation. Documents Rapid Finance may ask for include, but are not limited to:
- Tax returns
- Three months of bank statements
- Profit & loss statement
- Balance sheet
- Business license
- Other legal documents
Once you provide all of the required information, Rapid Finance will review your loan application and reach out to discuss available options.
How Rapid Finance Determines the Loan Amount
Your credit score, annual business revenue, and length of time in business will all be critical factors in determining how much you can borrow, but each case will be considered individually.
If you have poor credit or haven’t been in business for two years, it might be worth talking to a service agent to discuss other factors that could help your application.
Rapid Finance Customer Support
The Rapid Finance customer service helpline is open between 9 AM and 6 PM, EST Monday through Friday, and is the best way to get in touch if you’ve got any questions. Service agents are helpful, attentive, and can walk you through the application process.
In addition, you can access Rapid Finance’s business resources, where you’ll find useful blogs and a number of small business guides to get you started.
Rapid Finance Perks and Bonuses
One of the biggest perks of Rapid Finance is simply the amount of products the company offers. If you’re looking for a loan for your small business, there’s a good chance the lender has a loan designed specifically for your needs.
Flexibility:
Rapid Finance is a highly flexible lender, offering a huge variety of loan types from invoice factoring to SBA loans. Regardless of the type of business you own or your reasons for needing funding, there’s a good chance that Rapid Finance has a loan for you.
Additionally, the company claims it can fund loans in just hours upon approval, which is a major plus for businesses that are strapped for cash.
Transparency:
One place where Rapid Finance falls short is in transparency. The company doesn’t list rates or fees, leaving borrowers in the dark until they go through the application process.
On the bright side, it does publish minimum and maximum loan amounts, along with loan terms and repayment requirements. They also do a soft pull on your credit when applying, so it’s risk-free for the borrower.
Technology:
Rapid Finance provides an easy online application along with a comprehensive website detailing loan products. Once you apply, you can access your online account portal to review loan offers.
Once you’ve accepted a loan, you can manage your loan through this online portal, making it easy to make payments. Unfortunately, there is no mobile app, so you’ll have to interact with the lender from a desktop or laptop.
Final Thoughts
With eight different loan options, Rapid Finance is an excellent choice for small business loans. The process is fast, customer service is great, and you’ll find a huge range of flexible funding types to choose from. It doesn’t cost anything to apply, and your credit score won’t be affected by taking a look.
