Are you looking for a very promising Fundera vs Lendio review with all the juicy unseen details you won’t get elsewhere?
Here’s something I know about you without even knowing you personally - YOU are a hard-working, relentless small business owner who is sick and tired of dealing with the banks denying you of a loan (more like a robbery to be honest), You can’t reach deeper into your savings, and you just can’t ask your friends and family for help (anymore), all leaving you on the sidelines with the thought of closing your doors. Fortunately, help is here, listen to this next part.
I “Michael Granados” a Financial Representative as a Business Loan Broker and Digital Warrior will be pulling back the curtains to show you the stage set here as we look at the similarities and differences between these two Small Business Loan Titans…
And I’ll be revealing the best options for you so you can finally stop having to worry about building, growing, expanding, and even getting out of a tight pinch and start focusing on how you’re going to double, and quadruple your profits once you get funding, be able to pay your employees (even more), and pay the bills!
So Get ready to sit back, stare deeply into my eyes, OOPS, I mean your screen and even get ready to bookmark this page to refer back to (if you have to), let’s get into this lendio vs fundera review.
What Is Fundera?
Fundera is your “go-to” financial resource for every small business loan need and provides advice and comparison technology to help you as a business owner easily identify their best fit financial products and, ultimately for you to make better decisions.
Basically, they are like the “Middlemen” who’ve partnered with some of the best small business loan investors and work to find the best financial providers or lenders for you.
What Is Lendio?
Lendio is a company that helps small businesses get loans of all kinds when the banks can’t. They will match you with great lenders who are willing to be flexible with you and offer your loans to build, grow, expand, and even get out of a tight pinch.
Similar to Fundera, they are the “Middlemen” EXCEPT that Fundera is more of a third party connect that first connects you to a funding company like Lendio and then you can get the Lenders from there.
Related: Lendio Single Review Post
Fundera Vs Lendio Differences
Let’s start with a few key Differences…
Fundera is designed for and is best suited for SBA 504 Loans and Microloans
While Fundera is an all-around small business marketplace, they can very well help you get a personal loan for your business - Which is almost unheard of from many of these marketplaces. Fundera is unlike any one-stop “Persona loan” company on the fact that they match you with the best lenders but even better is they understand for some businesses, personal loans are a good funding option.
If you guessed it, Lendio Does NOT offer personal loans. I’d like to use an example of how personal business loans work…
Take a young business that hasn’t been around for very long, they can have a hard time getting approved for funding (I know it first hand). But if you were applying for a personal loan instead, the length of time you’ve been in business probably won’t matter...A Loophole perhaps?
Similarly, businesses that haven’t built up a decent business line of credit might automatically get rejected for any type of business financing. But here come the Personal Loans to save your day and they Yell back at your business credit saying “I don’t need you!”
Lendio Is Best For Commercial Real Estate Loans
Both Fundera and Lendio offer a wide variety of Lending options from term loans to accounts receivable financing and can meet many of your business needs but Lendio offers the ONE business funding that Fundera does not...Commercial Real Estate loans.
Lendio is more a “Middle of the line” commercial real estate marketplace full of lenders on the fact that they can give real estate investors loans up to $500,000 which isn’t bad but it’s nothing large. So if you’re a real estate investor looking for loans greater than $500,000 there may be better solutions like the one here (link add name).
Lendio’s Commercial Mortgages
One thing I picked up is that Lendio can give you commercial mortgages that go as high as $5 MILLION dollars with length and generous terms up to 25 years! How helpful is that? PLUS, these commercial mortgages also have lower starting rates than Fundera’s term loans which is 4.25% to 7%. That’s a major difference when you factor YOUR money in.
Fundera Vs Lendio Funding Types
Fundera has the following types of loans:
- SBA Loans
- Business Line Of Credit
- Term Loan
- Startup Loan
- Equipment Financing
- Invoice Financing
Lendio has ALL Fundera has up above PLUS:
- Merchant Cash Advances
- Business Credit Cards
- Commercial Mortgages
- Business Acquisition Loans
Fundera Vs Lendio Eligibility Requirements
With Fundera you need to have a minimum personal FICO score of 550, while Lendio does not specify a minimum amount at all but they do say that borrowers with a less than perfect credit score can qualify for a business loan.
When companies don’t reveal a minimum credit score it’s highly likely they’ll accept you. However, you’ll be in for higher interest rates than what you want.
Funding Options Overview
Here are the Funding options for Fundera first:
- $5 Million Max Loan Amount
- 7.00% Lowest APR Rate
- 0.00%+ Origination/Closing Fees
- 1 Day Funding
- 7 Years Time in Business
- $5 Million Max Loan Amount
- 4.0% Lowest APR Rate
- No origination/Closing fees
- 1 Day Funding
- 15 Years time in business
So as you can see there are a mix of differences and similarities across the board and it’ll come down to a few factors when you select between the two marketplaces:
- What Industry are you in?
- What type of funding loan type are you after?
- Can you live with the APR Rates?
Now let’s transition to the Similarities.
Fundera Vs Lendio Similarities
There is A LOT of similarities between these two loan marketplaces, check them out:
Loads Of Lenders
Both loan marketplaces have partnered with LOADS of Lenders with all different types of requirements they’re after when getting you funded.
Slower Funding Times
You can look at this as a problem or not depending on your situation but both have slower funding times than direct lenders do, why?
Matching you with the RIGHT offers takes more time. Remember, Fundera and Lendio are the “Middlemen” who provide you with the right lenders, so their team has to gather your business details and more fine details so they can then pair you with the right lender(s) for your specific needs.
Both Offer Many Loan Products
As I mentioned earlier the different loan types each marketplace offers, here’s more on that:
- Short-term loans
- Long-term loans
- Startup loans
- Lines of credit
- Invoice financing
- Merchant Cash Advances
- Equipment Financing
- SBA Loans
Lending Partners Amount
Both marketplaces offer a lot of lenders, although, Lendio’s website lists more partnerships than Fundera does. For example. Fundera and Lendio work with several of the best alternative lenders such as:
- Funding Circle
To add on, both also have partnerships with traditional lenders (banks and credit unions) which include Chase and American Express.
On the other hand, Lendio has different partners than Fundera like:
- Lending Club
- Bank Of America
And Fundera has lenders that Lendio does not like:
- Capital One
So if you have a preference for a lender then you can make your decision on which marketplace to go for based on that.
Fundera Vs Lendio Pricing
There is no application fee to get started and the overall pricing will depend on the type of loan you’re after as well the financial health of your business…
So many lenders will evaluate how well you’re already doing and their specific requirements and go from there. But here are a few costs you could endure:
- Normal Interest Rates
- Effective APR
- Factor Rates/Buy Back Rate
- Total Payback Amount
- Timing of your payments
- Term of your loan
Frequently Asked Questions
Here are a few common questions asked:
Is Fundera Better Than Lendio?
No, not necessarily. Both operate under the same principles which is to help you get your small business funding by acting as the middleman to the direct lenders. And you can only answer that question because your needs vary from the other person reading this post.
So think about what your needs are thoroughly and make an educated decision about what you're really after if not now then later.
What Makes Fundera More Unique Than Lendio?
Fundera can help with personal loans where Lendio can't and then can use your personal credit as a means to help you get small business funding.
On the other hand, Lendio is most unique in that it can give you a merchant cash advance, and lower APR Rates.
In all honesty, there are better alternatives to Fundera and Lendio, more specifically Lendio because they've been known to sell your information to lenders otherwise loan as loan sharks and will do what they want with it, also, they have been known to take forever to help you and don't offer you a great loan amount...
So I for a fact know there are better for startups and people in business for some time so I'll show you great options for both.
For Non Startups:
By Miles (Like 100's), Bitty Advance is my favorite because they provide the best lenders who can get you same day instant approval up to $25k through a third party program called "Bank Breezy". Bank Breezy is a branch of the Main platform David Allen Capital where you can get up to $2,000,000 in funding fast.
- Here's what's even better about David Allen Capital, they focus on what's called what's called "Revenue Based Funding" which is one of the fastest cash advances (FAR better than Merchant Cash Advances), where you don't have to worry about submitting credit and debit card details to get taken away a percentage of your future credit card sales, no rates, you get fixed payments so you don't have to worry about fluctuating costs, and so much more!
If you'd like to learn more about David Allen Capital as well bitty advance and bank breezy, I made a full review you can check out by clicking the button below.
If you're a startup without a proven monthly track record of earnings, months in business and even bad credit, then Lendza is your one stop service for not only startups but many other small business loan types...
And if you'd like to learn more about Lendza, I specifically go into more detail about them in this post:
And The Winner Is…
Neither! Huh? Listen the winner is the best one that fits YOUR needs, not necessarily will one overpower the other, so here's what you have to ask yourself...
Which marketplace best suits your needs right now and will for the foreseeable future? Another thing you want to look at are the higher interest/factor rates for the different types of loans...
For most loans there are high-interest rates you'll find with Fundera and Lendio especially with Merchant Cash Advances and if MCA's are what you're leaning to and or want to further explore these types of cash advances for fast funding in your bank account, then I honestly wouldn't recommend Lendio, instead, I have a better solution (actually a few), one that comes with same day instant approval and you don't have to deal with high-interest rates...
PLUS: it's called "Revenue Based Funding" which is MUCH better than Merchant Cash Advances and the best thing I've seen to date and if you'd like to learn more about the best company for this, click the button below to learn more about them