Excel Capital Management Review
- Date Established
- 2013
- Location
- New York, NY
Pros
- Relaxed loan qualifications
- Suited for new businesses
- Suited for small businesses
Cons
- Opaque fees
Overview
Excel Capital Management in an online lender based in New York City offering unsecured business loans, business lines of credit, and other similar financial products.
A prospective borrower will find a huge amount of options with Excel, making it (at least potentially) a versatile lender for new businesses. Unfortunately, that potential is harmed by the way the company presents products on their site, which can make it difficult to ascertain whether they’re talking about their products specifically or the product type in general.
Be sure to check out our short-term funding comparison chart, or comparison shop on your own before you commit to anything.
Table of Contents
Services Offered
Excel offers the following types of financial products:
- Business term loans
- Business lines of credit
- Equipment financing
- SBA loans
- Invoice Factoring
- Merchant cash advances
Borrower Qualifications
Here are the minimum borrower qualifications to receive funding from Excel:
| Time in business: | 2 months |
| Credit score: | Varies by product |
| Revenue: | $10K/mo |
Note that specific products may have additional qualifications, such as a longer time in business, more revenue, or a specific credit score.
Terms & Fees
Most of Excel Capital Management’s products fall under one of the following umbrellas:
Unsecured Business Loans
Here are the terms for Excel Capital Management’s unsecured business loans:
| Borrowing amount: | $10K – $5 million |
| Term length: | 4 -18 months |
| Factor rate/interest rate: | approx. x1.15 – x1.39 |
| Origination fee: | Unknown |
| Collateral: | None |
Excel Capital Management’s unsecured business loans use a flat rate price scheme similar to those of short-term loans. That is, the amount you have to repay will be the amount you borrowed multiplied by a percentage or factor rate. So if you borrow $10,000 at a x1.15 rate (or 15%), you’ll owe $11,500 ($10,000 x 1.15). Generally, the longer your term, the higher your rate will be.
Excel states on their website that their loan repayment frequency may be daily, weekly, bi-weekly, or monthly. Most online lenders will require these payments to be deducted automatically from a business account.
Business Line of Credit
Here are the terms for Excel Capital Management’s business lines of credit:
| Credit limit: | $2K – $250K |
| Term length: | 6 or 12 months |
| Factor rate/interest rate: | 1.5% – 10%/month (fee) |
| Origination fee: | Unknown |
| Collateral: | None |
Business lines of credit are more flexible than term loans. If you’ve used a credit card, you’ll have a basic idea of how they work. If you successfully apply for one, you’ll be extended a credit limit between $2k – $250,000 for 6 months to a year. During that time, you can draw on your line of credit as often (or as little) as you want so long as the total amount you’ve borrowed doesn’t exceed your credit limit. Excel’s lines of credit are revolving, meaning that as you pay off your principal, credit becomes available for you to use again.
Excel charges a fee on your principal by the month rather than interest, meaning the sooner you pay it off, the less you’ll end up paying on it. If you don’t carry a balance, the fee will not be charged. A minimum payment will be deducted from your business account monthly by ACH.
SBA Loans
Here are the terms for SBA loans made through Excel Capital Management:
| Borrowing amount: | $50K – $5 million |
| Term length: | 10 – 25 years |
| Factor rate/interest rate: | SBA loan rates |
| Origination fee: | SBA fees + any lender fees |
| Collateral: | Varies by type |
The Small Business Administration (SBA) doesn’t directly lend to businesses, but they do help qualifying businesses access better rates by guaranteeing a percentage of the loan. This means you’ll not only be working with Excel, but the SBA as well. SBA loans come in several different forms.
Be aware that most SBA loans take a long time to close, so they may not be the best option if you need money in a hurry.
Application Process
Like most online lenders, Excel has a simplified application process. In fact, it’s only a page long. In addition to the application, you’ll be asked for recent bank statements and other corroborating documentation to show your monthly income and expenditures. By the next business day, Excel will have either rejected your application or gotten back to you with product options.
At that point, you can select the product you want, at which time Excel representatives will guide you through the product-specific terms. If all goes well, you should have your funds within 48 hours.
Sales & Advertising Transparency
Excel takes an unusual approach with their website. Rather than focus on their own products, they give exhaustive details about the product type more broadly. In some cases, they’ll sprinkle a few tidbits of information about their own specific products, but discerning whether they’re talking about their product or someone else’s takes some careful reading. For their own products, be sure to check out the loan calculators, as they’ll give you the best sense of how Excel charges their fees.
Customer Service & Technical Support
Excel’s customer service can be reached through their website by form, or through their built-in chat feature. You can, of course, also initiate contact by beginning an application or calling them by phone. You can also contact them through social media (Facebook, Twitter, LinkedIn).
Negative Reviews & Complaints
Excel Capital Management is accredited by the BBC and currently maintains an A+ rating with no complaints on record. Some potential issues applicants might have with Excel:
- Opaque:Â While there’s some good, general information about financial products on the site, it’s easy to get the impression that Excel is hiding their own rates behind those broad strokes.
- Confusing Fee Structure:Â This particularly applies to the line of credit products.
Positive Reviews & Testimonials
Some of the reasons to consider Excel Capital Management include:
- The Options:Â Excel offers a broad selection of financial products, making it easier to find something that fits your needs.
- The Customer Service: Customer reviews are scarce, but mostly positive.
- The Quick Turnaround:Â While not the quickest in the business, Excel can get you your money quickly.
Final Verdict
Excel Capital Management offers a large number of products that can fit a variety of small business needs. Their rates on unsecured business loans are reasonable as alternative lenders go, but the line of credit fee structure, if not paid off quickly, can pile up the costs. Excel is not the most transparent lender, but you could certainly do a lot worse.
Need alternatives? We can get you started with our comparison charts for merchant cash advances and small business loans.
Chris Motola
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