BFS Capital, formally known as Business Financial Services, has been giving funds to small- and mid-size businesses since 2002. Based in Florida, and with affiliates in both California and the UK, BFS serves all 50 United States as well as offering some loans in Canada. BFS Capital offers a number of different loan types including small business loans, equipment leases, and cash advances. These different loan offerings have given BFS Capital the opportunity to serve a wide variety of clients, and to help out many businesses who are unable to obtain loans from traditional lenders. BFS Capital has built its reputation around providing loans that are fast and flexible. Because of their reputation and the quality of their service, BFS Capital states that 80 percent of their customers return for repeat business.
- Funding options
- Fast approval and funding
BFS Capital offers a high maximum loan amount: $1 Million. Many other independent lenders do not (or cannot) offer this much money to borrowers, so prospective borrowers who need more funds may find what they are looking for in BFS Capital.
Premier Loans are small business loans gear toward businesses who are more established. These loans are ideal for borrowers who have been in business for two years, who maintain a stable bank balance (no specifics were offered), and who have “favorable” credit scores (no specifics). Although the website lacks specifics about who qualifies for these loans, they appear to accommodate a wide variety of business experience and stability.
Fast Approval and Funding
One large benefit that BFS Capital offers is their ability to deliver cash quickly. Two days is how long it takes for them to deliver the funds after approval, and that is much quicker than what traditional lenders can offer.
Repayment withBFS Capital is shorter and more flexible than bigger banks. While big banks can drag out loan repayment to 10 or 20 years, BFS Capital is interested in providing short and efficient repayment plans. Repayment with BFS Capital can be done in less than 18 months, if that works for the borrower. This allows borrowers to avoid extensive interest rates.BFS Capital requires no equity as banks do.
Benefits of BFS Capital:
- Up to $1 Million
- Low and accommodating qualifications
- Two day cash delivery
- Quick (flexible) repayment plans
- No equity required
- Lack of transparency
- Interest rate information
Lack of Transparency
While there are clearly some great things about the BFS Capital, there are also a lot of things missing from BFS Capital’s website. It’s true that many lenders don’t offer all their rates and information on their site, but there are definitely other lenders that offer more information. Things that would be important to know for potential buyers are missing from the website completely.
- Interest rates
- Prepayment penalties
- Origination fees
- Closing fees
- Other fees
- Loan calculator
Interest Rate Information
Without some of this information, it’s difficult for us to make a full evaluation of BFS Capital as a qualified lender. Interest rates, after all, are one of the single biggest factors that lead to a borrower’s decision on where to receive funding from. If borrowers don’t know the interest rates, it’s likely they would turn elsewhere for their loans, considering many other lenders offer this information on their websites. Not listing interest rates on their site also leads us to believe that maybe their interest rates are less than desirable.
While the requirements for obtaining a loan through BFS Capital are definitely not unreasonable, there are some requirements for prospective borrowers that may be slightly more restrictive than other lenders. All in all, they are definitely more flexible requirements than traditional lenders, but they may still be a stumbling block for some prospective borrowers.
As these lists make apparent, it’s clear that there is a lot of missing information from the BFS Capital’s website. In summary, here are the negative aspects of BFS Capital:
- Not enough information on website
- No interest rates
- No loan calculator
- Potentially restrictive qualifications for borrowing (would need more information)