SmartBiz is a leading lender that helps small business owners acquire funds to grow their business. SmartBiz was launched in 2009 and is based in San Francisco California. Through automation, SmartBiz reduces the typical SBA lending process from months to weeks. SmartBiz SBA loans offer longer terms, lower rates, and lower monthly payments than other loan options.
What is the SmartBiz Application Process?
The SmartBiz pre-qualification process takes about 5 minutes. Getting started is simple: Customers open an account with SmartBiz to provide basic business information for qualification. Once it's determined that a business meets general eligibility criteria, additional business information is uploaded. SmartBiz representatives are available to answer any questions or help with the application through the entire process.
What Are The Interest Rates?
Interest rates vary from 6.25% to 7.25% depending on the size of the loan. SmartBiz loans have a variable rate of Prime Rate plus 2.75% to 3.75%. Prime Rate, as reported by the Wall Street Journal's bank survey, is the lowest rate of interest at which money can be borrowed commercially.
Borrowers must also consider a 4% referral and packaging fees, and loans of over $150k need a 2.25% SBA guarantee fee.
How Much Money Can I Borrow?
SmartBiz loan amounts range from $30,000 to $350,000 with loans of $25,000 or more requiring collateral. If more than $150,000 is needed, call SmartBiz and one of their customer care officers will walk you through the application. The maximum loan term is 10 years, which allows for very low monthly payments.
Which States Does SmartBiz Operate In?
SmartBiz operates in all 50 states.
How Does the Application Process Work?
The entire application process is automated and all paperwork is uploaded online. Prequalification takes about 5 minutes and loans can fund in as fast as 7 days after the application is completed. The amount of paperwork required for each application depends on the size of the loan.
What is SmartBiz'S Loan Criteria?
To qualify for a SmartBiz SBA loan, businesses must have a minimum of 2 years of tax returns filed, have US citizens or a lawful permanent residents as owners, have enough cash flow to cover the loan payments, have no outstanding tax liens, no bankruptcies or foreclosures in the last 3 years and no criminal record other than minor vehicle violations. Borrowers must also have a credit score of above 600 FICO and at least 670 for loans over $150,000.
Each principal owner of the business must provide a personal guarantee for the loan. Owners of 20 percent or more of the business are considered a principal owner.
How Is SmartBiz Better Than Other Lenders?
SmartBiz is faster and easier than other lenders due to an online automated application process that reduces time and cost. Additionally, SmartBiz provides smaller business loans than traditional lenders with better rates, a 10-year payback term, and no prepayment penalties. If you don't qualify for an SBA loan, SmartBiz can put you in touch with compatible lenders.