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Fixed-Term Small Business Loans

Fixed-Term Business Loan Program Description

The fixed term loan is different from both a traditional bank loan and a business cash advance. It differs from a bank loan because approval and funding takes slightly over a week and credit scores can be lower than those required for bank loans.

And it differs from business cash advances in that the effective interest rates are about half those of so-called merchant cash advances and payments and term are fixed.

If you'd like to compare these to a business business cash advance or a low-credit business cash advance, you can visit those pages and view the business cash advance calculators.

Comparison of our Fixed-Term Loan and Business Cash Advance Programs

Fixed-Term Business Loan	Business Cash Advance
A business loan with a fixed interest rate and term.	Not a loan, an asset purchase
For a $20,000 loan, typical payback is $23,800 over 6 months for daily payment of $132.	For a $20,000 advance, typical payback is $27,600 over 6 months for a daily payment of approximately $153.
No need to change credit card processor.	Typically must change credit card processor.
No interruption to credit card activity. Will collect a fixed daily payment from your business bank account.	Cash advances typically intercept your credit card receivables at the merchant processor and take a fluctuating percentage of your daily credit card volume.
Successful repayment of this loan will be positively reflected in your credit history.	Successful repayment of a cash advance will not be positively reflected in your credit history.

Basic Requirements For A Fixed-Term Loan

In order to qualify, some basic needs must be met:

In business for 1 year or more (2 years for certain programs)
Annual Revenues over $100,000
Credit Card dollars per month over $10,000 (as low at $3,500 for certain programs)
Average Business Checking Account balance over $3,000 (as low as zero for one program)
FICO score 600 or better (can be lower for certain companies with very large cash flow)
Separate business location

Industries That Qualify Most Easily for a Fixed-Term Loan

Main Street small, growing businesses with walk-in customers and many transactions.

Retailers
Restaurants
Medical and Dental clinics in general practice
Food Markets, especially boutique focused
Automobile parts stores

Industries That Sometimes Qualify for a Fixed-Term Loan

Internet Retailers
Gas Stations
Oil & Fuel Equipment / Suppliers
Motocycle Dealerships
Floor covering stores
Auto Accessory stores
Travel Agencies
Cell Phone Retail Stores
Specialty tradesmen like plumbers, electricians

Businesses With These Characteristics Are More More Likely To Be Approved For a Business Cash Advance

FICO score below 600
Low balances in checking account
In business less than one year

Learn more about the next steps

Documentation required for a Fixed-Term Business Loan
The next steps for obtaining a Fixed-Term Business Loan

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Advantages of Fixed-Term loans

With a Fixed-Term Loan, you typically pay back less than with a merchant cash advance

With a Fixed-Term Loan, you can have up to 12 month term

With a Fixed-Term Loan, you can improve your business credit rating upon successful completion

With a Fixed-Term Loan, there is no need to change credit card processor or other business services