Frequently Asked Questions
What is a business line of credit?
A business line of credit gives you the ability to access funding when you want, up to your credit limit. And unlike a traditional cash flow loan or merchant cash advance that is one-time, a line of credit is “revolving credit.” This means that as you repay back your outstanding funds your available credit replenishes, and you can draw additional funds again as you like.
Do I qualify?
Our minimum application requirements are that you have been in business 6 months, that the business owner have a personal credit score of 600 or higher, and that the business have revenues of at least $150,000 per year.
How is a line of credit different from a merchant cash advance?
A typical merchant cash advance is an advance on your credit card transactions, and you must re-apply every time you want new funds. A business line of credit doesn’t require credit card transactions, and you can draw funds as often as you like (up to your credit limit).
How much funding can I qualify to receive?
On your first draw, you can draw anywhere between $5,000 and an amount less than or equal to your available credit. On any additional draws, you can draw anywhere between $500 and an amount less than or equal to your available credit.
How much funding will I have access to?
Credit lines currently range from $5,000-$250,000.
How fast can I receive my funds?
As quickly as a few hours once approved. You can choose between ACH electronic transfers or bank wire transfers. ACH transfers are free and the funds usually appear the next business day (but may take up to three). A bank wire costs $15 per wire and funds are typically available in your bank account the same day.
How do I draw funds?
After approval, simply go into your dashboard, and click the “Get funds now” button. That’s it!
How does repayment work?
Weekly or monthly repayments are automatically debited from your bank account. As long as you have sufficient money in your bank account, you never have to worry about missing a payment.
How does repayment replenish my available credit?
As you repay a draw, the principal portion (i.e. not fees) of your payment is added back to your available credit. For example, if your weekly payment is $150 and your fees that week are $10, then after your repayment your available credit will go back up by $140.