The Business Backer
4.6
7.2
Overall Score
Author: Kaitlyn Short
The Business Backer started in 2007. The company offers purchase of receivables, small business loans, and Headway Capital's business line of credit services.
The Business Backer has a simple application process that takes minutes to complete. If approved, businesses can receive funding on the next business day or sooner after signing the company's contract. The Business Backer also supplies each borrower with a funding advisor who can provide financing information and assistance.
You can find The Business Backer reviews below if you want to know what customers have to say about this alternative lender and its services.
To qualify for a small business loan, businesses need $250,000 or more in annual revenue, a minimum credit score of 600, and at least one year in business.
Top Ranked Companies
The Good
- Loan Products
- Payment Options
- Revenue Loss Protection
- Loan Discount
Loan Products
The Business Backer's loan products include the following for equipment financing and other cash flow needs:
Purchase of Receivables
- Future receivables agreement up to $200,000
- Term length: No set term
- Payment frequency: Daily, weekly, or semi-monthly
Small Business Loan
- Fixed sum of funds up to $200,000
- Term length: 4-18 months
- Payment frequency: Daily, weekly, or semi-monthly
- Interest Expense Starting at 1.7% per month of the funded amount plus 1% – 8% origination fee
Business Line of Credit
- Revolving credit up to $100,000 ($50,000 in Maryland and North Carolina)
- Funds replenish as you pay back
- Term length: 12, 18, or 24 months
- Payment frequency: Weekly or monthly
- Rates starting at 3.3% per month plus 2% draw fee
Terms and conditions apply on all loans. The interest rate depends on the borrower's eligibility, including working capital, credit score, and loan amount.
Payment Options
The Business Backer offers multiple payment options to customers including daily payments, weekly payments, and semi-monthly payments. These payment and delivery options can provide customers with more control over their funding. Many business loan companies only offer strict payment schedules.
Revenue Loss Protection
Unlike many other business loan companies, The Business Backer will work with small business owners to adjust their payment deliveries if their revenue changes. This service allows payments to be lowered in order to accommodate businesses that experience a drop in revenue.
Loan Discount
The Business Backer offers a 35% discount on non-accrued interest costs for customers who are in good standing and who pay off their loans early. The company provides an example loan feature to show customers the discount benefits. A business owner who pays off their loan early essentially gets rewarded. Also, if approved for a second loan before your first is paid off, any non-accrued interest is written off and the remaining principal is rolled over.
The Bad
- State Limitations
- No Credit Cards
State Limitations
The Business Backer loan is only available in the following states: Delaware, Idaho, Iowa, Kansas, Louisiana, Maine, Massachusetts, Minnesota, Nebraska, New Hampshire, Pennsylvania, Utah, Virginia, Washington, or Wyoming.
The Purchase of Receivables product is available in all states.
No Credit Cards
It is unclear whether The Business Backer offers merchant cash advance or business credit card options.
The Bottom Line
The Business Backer offers several payment options to help companies have more control over their payments. The company also provides a service to adjust deliveries if your revenue changes for their Purchase of Receivables product as well as a generous loan discount for those who pay off their loans early.
The majority of The Business Backer reviews are positive, highlighting attentive and helpful customer service as well as quick and easy funding. With a satisfied customer base, borrowers can have peace of mind knowing this alternative funding company is a trusted and quality company.
If you are a business located in The Business Backer's service area and meet the required credit score, we highly recommend the company for your small business financing.
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Christopher pendleton Canfield, OH
4 years ago
Reply from The Business Backer
Jun. 22nd, 2020
