Seek Capital Review
- Excellent customer support
- Suited for startups
- Suited for small businesses
- Easy application process
- High origination fees
- Some additional fees
- Opaque terms and fees
Seek Capital Overview
Finding the right loan for your business is no simple task. Even though the internet has simplified the lending process, there are still so many factors to consider. Do you qualify for funding? Will you get the amount of capital you need? Then, even when you find the right lender, you still have to go through the application process. This can all be too much for a busy business owner. Thankfully, Seek Capital is willing to do the heavy lifting for you — for a price.
Seek Capital isn’t a traditional lender. Instead, this company specializes in funding procurement from third-party lenders. How does it work? First, request any amount of funding between $5,000 and $500,000 and state the purpose for the financing. Additional information and documentation may be requested by your financial expert. Once Seek Capital has the information it needs, the company moves directly into the underwriting process and uses its own Funding Calculator to provide you with a pre-approved estimate in just 2 hours.
After you’ve reviewed and approved the amount, terms, and rates of your pre-approved offer, Seek Capital submits applications to third-party lenders on your behalf. Your funds will typically be available to use within 3 weeks.
Seek Capital provides a customized solution that’s right for your business. Over 92% of applicants are approved for the financing they need to grow their businesses. While there are high fees associated with this service, which we’ll discuss in more detail a little later, the convenience may outweigh the expense for many business owners.
Table of Contents
- Term Loans
- Business Lines Of Credit
- Startup Loans
- Invoice Financing
- Equipment Financing
- Short-Term Loans
- Merchant Cash Advances
- SBA Loans
- Personal Loans For Business
The borrower qualifications through Seek Capital vary based on the type of financial product you receive. Read on for the general requirements for each type of loan procured by Seek Capital. Remember, however, that these are just general requirements. Some of the partner lenders may have different requirements to qualify for a loan or financial product. If this is the case, additional requirements will be discussed with you by a Seek Capital team member.
To qualify for a term loan, you should have a time in business of at least 3 years. A personal credit score of at least 680 is recommended. Annual revenues should be at least $300,000.
Business Lines Of Credit
To qualify for a business line of credit, your business must be in operations for a minimum of 1 year. Annual revenue should be $180,000. For the best chance of qualifying, you should have a personal credit score of at least 630.
If you’re a new business or startup, finding the capital you need can be difficult. However, Seek Capital has several options available for you, including:
- Small Business Administration Loans
- Equipment Financing
- Invoice Financing
- Lines Of Credit
- Business Credit Cards
The requirements to qualify for these loans depend on the type of financing you pursue. For example, business credit cards are typically easier to receive than SBA loans. The team at Seek Capital can help you explore the best options available to you.
To receive invoice financing, the quantity and quality of your qualifying invoices are what’s most important. Borrowers with invoices for reliable customers that pay as they should are most likely to qualify for this type of financing.
For the best chances of receiving equipment financing, you should have a personal credit score of at least 600, a time in business of at least 2 years, and at least $130,000 in annual revenue.
Short-term loans are fast and easy to receive. However, many short-term loans come with high interest rates or factor fees. This may be an option for business owners with low credit scores, as the lowest score required to apply is 500. Annual revenue and time in business requirements vary by lender.
Merchant Cash Advances
Merchant cash advances, or MCAs, are one of the easiest types of business financing to receive. However, this financing also comes at a cost with traditionally high fees and interest rates. When applying for a merchant cash advance, the lender will consider your incoming cash flow when determining whether to approve your loan request.
Small Business Administration Loans
SBA loans are highly favored by small business owners because these loans come with high borrowing limits and low interest rates. However, qualifying to receive an SBA loan may be quite difficult. According to Seek Capital, business owners seeking an SBA loan should have a credit score of at least 680, at least $180,000 in annual revenue, and a time in business of 4 or more years.
You must also be defined as a small business based on the SBA’s guidelines, have a credit report free of bankruptcies, liens, and defaults on government loans, and be a for-profit business based in the United States.
Personal Loans For Business
If you’re lacking a business credit score, have only been in business for a short time, or don’t meet the revenue requirements of most lenders, you may qualify for a personal loan for business. Borrowers with solid personal credit scores can use their own credit profile and income information to qualify for a personal loan to use for business expenses.
To qualify for the best rates, a personal credit score of 680 is required. However, business owners with lower credit scores may also qualify to receive a personal loan.
Terms & Fees
|Origination Fee:||9.99% of approved amount|
|Termination Fee:||Up to $995|
The terms and fees for each loan, line of credit, or other financial product vary by lender. In some cases, borrowers may be eligible to receive offers that come with 0% introductory APRs for the first 12 months. Borrowers with the best credit scores and most solid business profiles will be more likely to qualify for financing options with lower rates and better terms.
Seek Capital charges its own, fairly high fees for its service. An application fee of $495 is required, although some borrowers have reported paying as little as $99 to apply. This fee applies even if no accounts are opened on your behalf.
All borrowers will be required to pay an origination fee that is equal to 9.99% of the financing they’re approved to receive. If a borrower qualifies for $10,000 in financing, they will pay a fee of $999 to Seek Capital. Borrowers that are approved for $50,000 will have to pay a significantly higher fee of $4,995. If you are not approved for funding, payment of this fee is not required.
If you are approved but decide not to proceed with receiving your financing, a termination fee of $495 or $995 will apply. All borrowers will have 21 days to pay this fee before Seek Capital turns over the account to collections. Needless to say, the Seek Capital application process can prove expensive, so be prepared.
To receive funding through Seek Capital, the first step is to fill out the online application. On this application, you’ll include borrowing amount, the purpose of the loan, your first and last name, the name of your business, your time in business, monthly revenues, and your credit score range. A funding consultation will be conducted over the phone to gather more information about your business.
Once Seek Capital has all of the information it needs, an analysis will be performed. The underwriting team will take into consideration your credit profile, assets, income, and other important factors to provide a funding estimate. The estimate outlines your approval amount, rates, and terms. This estimate is typically delivered to you within 2 hours.
After you’ve approved the estimate, Seek Capital submits applications to third-party lenders to obtain the funding on your behalf. You should then expect to receive your funds within one to three weeks. Some funding may be available in as short as 24 hours.
If you don’t qualify based on the preliminary information provided to Seek Capital, you may be referred to other lending partners to receive the financing your business needs.
Depending on the type of financing you receive, you may be required to provide additional information and documentation. This includes but is not limited to:
- Proof Of Identity
- Proof Of Residence
- Business & Personal Bank Statements
- Business & Personal Tax Returns
- Business & Personal Credit Reports/Scores
- Profit & Loss Statements
- Business Debt Schedule
- Balance Sheet
- Articles Of Incorporation
- Signed Personal Guarantee
Sales & Advertising Transparency
Seek Capital’s website provides a basic overview of what to expect during the application process. The total borrowing limits are disclosed before you even fill out the application. However, all terms, rates, and fees aren’t disclosed until after you apply.
Customer Service & Technical Support
Current and prospective borrowers can get in touch with Seek Capital by calling the company’s toll-free number. A secure message can also be sent through the company’s website. Seek Capital can also be contacted through its social media profiles on Facebook, Twitter, and Google Plus.
Negative Reviews & Complaints
Based on online reviews, current and previous customers of Seek Capital have had an overall positive experience with the company. However, there are negative reviews and complaints to consider on sites including Trustpilot and the Better Business Bureau. At the close of 2018, there were 32 complaints filed with the BBB over the last three years. The most common complaints include:
- High Application Fees: Business owners who work with Seek Capital were displeased with the $495 application fee. In some cases, borrowers were able to have the fee reduced to $99. This fee is disclosed during the process. However, some business owners felt that this fee — in addition to the others charged by Seek Capital — was excessive.
- High Termination Fees: Borrowers that decided to cancel their agreement with Seek Capital were charged fees up to $995. Reviewers state that this fee is excessive and is not disclosed until after registration.
- High Origination Fees: Some reviewers have complained about the cost of the 9.99% origination fee charged by Seek Capital. Reviewers were displeased that the fee was charged on the approved amount, even if it was higher than the amount of financing originally requested.
- Impact On Credit Score: Seek Capital may apply on a borrower’s behalf to several different lenders. Some borrowers complained that opening multiple new accounts caused their credit score to decrease. However, this is something that is fully disclosed by the company.
Positive Reviews & Testimonials
Seek Capital has been accredited by the BBB since 2016 and has an A rating. Based on reviews, the company has 4 out of 5 stars among customers through the BBB and a rating of 8.9 out of 10 through Trustpilot. On its company Facebook page, it has over 200 reviews with a 4.5 out of 5 rating. Business owners that worked with Seek Capital were pleased with:
- Exceptional Customer Service
- Successful Procurement Of Funds
- Quick & Easy Process
If you’re too busy, don’t want to tackle the sometimes-confusing loan application process, or need to tap multiple sources to get the financing you need, Seek Capital does the hard work for you. However, remember that working with this company comes at a cost. As you move through the application process, take note of the application fees, origination fees, and other expenses associated with working with Seek Capital to evaluate the return on investment and determine if taking this financial route is the smartest move for your business.