Top 10 QuickBooks Capital Alternatives

QuickBooks Capital is a brand new lending feature designed for QuickBooks Online users that offers installment loans at competitive rates. QuickBooks Capital uses your accounting information to determine whether you’re eligible for a loan, making the application process incredibly simple.

However, if you need fast capital, you may not have the time to wait for QuickBooks to contact you. Or maybe you’re looking for a loan with a higher borrowing amounts and longer term lengths. It’s important to explore all of your options before making a decision, so you’ve come to the right place.

In this post, we’ve picked the top 10 alternatives to QuickBooks Capital. These lending options vary in loan type, borrowing amount, and borrower requirements, so that no matter what kind of business you run, you can find the best option that works for your business’s needs.

Read on to discover more about QuickBooks Capital and see which, if any, QuickBooks Capital alternative is right for you.

Getting A Loan Through The QuickBooks Capital Marketplace

If you don’t receive a notification saying you’re eligible for QuickBooks Capital, or if you want to explore all of your options, you can access the QuickBooks Capital Marketplace. The Quickbooks Capital Marketplace is where you’ll find seven additional lenders with which QuickBooks Capital directly partners: OnDeck, CelticBank, Fundbox, LoanBuilder, Funding Circle, BlueVine, and Direct Capital.

The QuickBooks Capital team says:

The 7 partners on our platform meet our guiding principles for transparency, privacy, security, consumer protection, and overall cost of capital including rates and fees.

The best part about applying for a loan using the QuickBooks Capital Marketplace is that the application is simple. Instead of going directly to one of these individual lenders, you’ll apply directly through the QuickBooks Capital website. QuickBooks Capital will use your existing QuickBooks Online data to fill in your application. Then you will be able to view offers from the lenders you are eligible for.

Several of the lenders on this list are QuickBooks Capital partners. Read on to learn which of the seven are our favorites.

1. Fundation

Best For…

Established small businesses looking for a loan or line of credit for working capital or business expansion needs.

Products Offered

• Installment loans
• Lines of credit

Founded in 2011, Fundation (see our review) has quickly become one of the top choices for business lending. With competitive rates, excellent customer service, and almost no negative reviews, it’s easy to see why. Fundation offers installment loans (also commonly referred to as term loans) and lines of credit.

Requirements

The qualifications for Fundation are a bit more stringent than those of the other alternatives in this post. To qualify, you must have a credit score of 660 or higher, have been in business for at least a year, and have $100K/year in revenue. You must also have three full-time employees.

Here are the rates for Fundation’s installment loans:

Here are the rates for Fundation’s lines of credit:

How To Apply For A Fundation Loan

You can fill out an application online. As you’re applying, Fundation will tell you if the business characteristics you’re entering are good or bad, so you’ll have a better idea of whether your application will be approved. You will need to provide some documentation as well. It takes between two to seven days to complete the application process and receive funding.

Takeaway

Fundation is a great option for established businesses with good credit who are looking for a loan that offers the competitive rates of bank and credit card lenders, without the long, complicated application process.

Read our full Fundation review

Visit the Fundation website

2. SmartBiz

Best For…

Established businesses in good standing looking for an SBA loan to be used for working capital, debt refinancing, or commercial real estate.

Products Offered

• Working capital
• Debt refinancing
• Commercial real estate purchasing

SmartBiz (see our review) has been simplifying the SBA loan process since 2009. SmartBiz does not issue loans themselves; instead, they help pair eligible applicants with an SBA lender. SmartBiz specializes in the General 7(a) Small Business Loan, which can be used for working capital, debt refinancing, or commercial real estate purchasing.

Requirements

Because SBA loans are government-backed, it is harder to qualify for these loans than some of the other alternatives in this post. You must have at least fair credit, have been in business for two years, and have enough cash flow to support repayments. You also cannot have any tax liens, current charge-offs or settlements, or any bankruptcies in the last three years. You must be a US citizen or permanent resident. If you’re using your SBA loan for commercial real estate, the real estate in question must be at least 51% owner-occupied, and you can’t have any previous defaults on government-backed loans.

Here are the rates for working capital and debt refinancing loans:

Here are the rates for SmartBiz’s commercial real estate purchasing loans:

How To Apply For A SmartBiz Loan

The good news is, SmartBiz can determine whether you have a good chance of qualifying for an SBA loan in minutes. If you pass their questionnaire, you’ll be assigned a SmartBiz representative who will help you fill out your application. Depending on the number of documents you need to provide, this step can take a few weeks. Once you’re approved, you can receive funds right away (unless you’re using the funds for commercial real estate, in which case there are several extra steps required before you receive funding). Overall, the application can take anywhere from one week to three months, depending on the type of loan you are applying for and the size of the loan.

Takeaway

If you’re an established business looking for an SBA loan, SmartBiz loans are much easier to apply for than most SBA loans. This option is not suited for startups.

Read our full SmartBiz review

Visit the SmartBiz website

3. StreetShares

Best For…

Small- to medium-sized businesses looking for a loan or line of credit to be used for working capital or business expansion needs.

Products Offered

• Installment loans
• Lines of credit
• Contract financing

StreetShares (see our review) is a peer-to-peer lender that started back in 2013. The company was founded by veterans, for veterans, but you don’t have to be a veteran to use this small business loan service. StreetShares has competitive rates and low borrower qualifications making it a good option for merchants looking for installment loans, lines of credit, or contract financing. For installment loans, the maximum you’ll be approved for is 20% of your annual revenue.

Requirements

To qualify for a StreetShares’ loan, you must have a credit score of 620 or higher, have been in business for a year, and have 25K in annual revenue (if you have $100K in revenue, you can qualify after being in business for only six months). If you’re interested in contract financing, the qualifications are even laxer; you just have to be a B2B or B2G business that sends invoices to your customers.

Here are the rates for StreetShare’s installments loans:

Here are the rates for StreetShare’s lines of credit:

Here are the rates for StreetShare’s contract financing:

How To Apply For A StreetShares Loan

To apply for a StreetShares loan, you simply fill out an online application. If approved, you’ll have to provide additional documentation. The whole process usually takes less than a week, so you can expect fast funding.

Takeaway

StreetShares is one of our top-rated small business lenders for a reason. This lender offers fast, affordable funding for small to medium-sized businesses and boasts some of the best rates on the market.

Read our full StreetShares review

4. OnDeck

Best For…

Small- to medium-sized businesses looking for a loan or line of credit with a fast application process.

Products Offered

• Short-term loans
• Lines of credit

OnDeck is an incredibly popular online lender that was one of the first to use technology for lending decisions — making approval fast. OnDeck also has relaxed borrower qualifications, although the loans can get expensive. OnDeck offers both short-term loans and lines of credit, and payments are made daily or weekly.

Requirements

To qualify for an OnDeck loan, you must have been in business for twelve months, have a credit score of 625 or higher, and have an annual revenue of $100K.

Here are the rates for OnDeck’s short-term loans:

Here are the rates for OnDeck’s lines of credit:

How To Apply For A OnDeck Loan

OnDeck is one of QuickBooks Capital’s partners, so you can go fill out an application in the QuickBooks Capital Marketplace and QuickBooks will let you know if you qualify for an OnDeck loan. Or, you can apply with OnDeck directly.

Simply fill out the application on their website. OnDeck may ask for some documentation. Approval usually takes less than 24 hours, and if you accept an OnDeck loan, you can expect to receive your funds in one to two days.

Takeaway

While OnDeck can get expensive, its relaxed borrowing requirements make it a good option for merchants looking for fast funding who may not be approved elsewhere or who need a little extra capital to hold them over until they qualify for better financing.

Read our full OnDeck review

Visit the OnDeck website

5. Breakout Capital

Best for…

Small businesses in need of short-term loans to be used for working capital, inventory purchasing, or other short-term needs.

Products Offered

• Short-term loans

Breakout Capital (see our review) is one of our top-rated lenders and specializes in offering short-term loans to small businesses. These loans are more flexible than those of many of the other alternatives in this post. Depending on the strength of your business, you may be able to choose from multiple payment schedule options.

Requirements

To qualify for a Breakout Capital loan, you must be in business for a year, have a credit score of 600, and have at least $10K/month in revenue.

Here are the rates for Breakout Capital’s business loans:

How To Apply For Breakout Capital 

To apply for a Breakout Capital loan, you’ll need to fill out a pre-qualification form first, either online or by calling a Breakout Capital rep. You’ll then have to provide some basic information and a few documents. Breakout Capital will let you know if you qualify for one of their loans. The cool thing about Breakout Capital is that they will also let you know if one of their lending partners has a better offer for you.

Takeaway

Breakout Capital can be a good option for small businesses looking for short-term financing.

Read our full Breakout Capital review

Visit the Breakout Capital website

6. BlueVine

Best For…

Small businesses looking for invoice factoring or a line of credit for consistent cash flow.

Products Offered

• Invoice factoring
• Lines of credit

BlueVine (see our review) was founded in 2013, and this online lender has been revolutionizing invoice factoring ever since. In addition to invoice factoring, BlueVine also offers lines of credit. The lender is known for positive customer reviews and plenty of customer support options.

Requirements

BlueVine has relaxed borrower requirements. To qualify for invoice factoring, you must be a B2B business that’s been operating for three months, have a credit score of 530, and have a yearly revenue of $100K. To qualify for a line of credit, you’ll need to be in business for six months, have a credit score of 600, and have a yearly revenue of $120K (some states are not supported).

Here are the rates for BlueVine’s invoice factoring:

Here are the rates for BlueVine’s lines of credit:

How To Apply For BlueVine

BlueVine is one of QuickBooks Capital’s partners, so you can go fill out a QuickBooks Capital Marketplace application and QuickBooks will let you know if you qualify for a BlueVine loan. Or, you can apply with BlueVine directly.

Simply create an account, answer a few basic questions, and provide three months of bank statements or connect to your bank account (you can also connect to your accounting software if you’d like). Approvals usually take a day. Once approved, you can start drawing from your credit line right away; transfers normally take one to three business days.

Takeaway

While BlueVine may not have the cheapest rates, it does have some of the lowest borrowing requirements.

Read our full BlueVine review

Visit the BlueVine website

7. Fundbox

Best For…

Small businesses looking for invoice financing or a line of credit for consistent cash flow.

Products Offered

• Invoice financing
• Lines of credit

Fundbox (see our review) started out in 2013 as an invoice financing provider. Today, Fundbox also offers lines of credits and is known for good customer support and positive customer reviews.

Requirements

To qualify for Fundbox’s invoice financing, you’ll need to have been using a compatible accounting or invoicing software for at least three months. To qualify for Fundbox’s lines of credit, you’ll need to have had a compatible bank account for at least six months.

Here are the rates for Fundbox’s invoicing financing (called Fundbox Credit):

Here are the rates for Fundbox’s lines of credit (called Direct Draw):

How To Apply For Fundbox

Fundbox is one of QuickBooks Capital’s partners, so you can apply to the QuickBooks Capital Marketplace, and QuickBooks will let you know if you qualify for a Fundbox loan. Or, you can fill out an application with Fundbox directly.

Simply make an account and hook up your accounting or invoicing software to apply for invoice financing, or hook up your bank account to apply for a line of credit. You’ll usually hear back in one to two hours. If approved, you can start requesting funds right away.

Takeaway

Fundbox is a great option for small businesses looking for an invoice financing solution or a line of credit.

Read our full Fundbox review

Visit the Fundbox website

8. PayPal Working Capital

Best For…

PayPal users looking for a loan for working capital, inventory, or other short-term needs.

Products Offered

• Short-term business loans

PayPal Working Capital (see our review) is incredibly similar to QuickBooks Capital. This lending service is available for PayPal users only, but since many QuickBooks lovers also use PayPal, we kept it on this list. PayPal Working Capital offers short-term business loans that operate like merchant cash advances (meaning payments are deducted from your daily PayPal sales).

Requirements

To qualify, you must have been in business for three months and have $15K – $20K/year in revenue, depending on your PayPal account type.

Here are the rates for PayPal Working Capital’s loans:

How To Apply For A PayPal Working Capital Loan

Applying for a PayPal Working Capital loan is easy. PayPal autofills an application for you. All you have to do is verify the information. If you are approved, the loan amount you accept will automatically be deposited into your bank account. If you aren’t approved, there are some steps you can take to try again.

Takeaway

While the factor rates can be potentially high and loan approval is inconsistent, PayPal Working Capital can still be a good option for PayPal merchants looking for short-term financing. Read our full PayPal Working Capital review for more details.

Read our full PayPal Working Capital review

9. Funding Circle

Best For…

Established, large businesses in good standing looking for a medium-term loan.

Products Offered

• Installment loans

Founded in 2010, Funding Circle (see our review) is an online lender that specializes in offering loans to large businesses and franchises. Because of this, Funding Circle’s borrower qualifications are more stringent than those of some of the other lenders on this list.

Requirements

To qualify, you must be in business for two years and have a credit score of 620. You also cannot have had any bankruptcies for the last seven years or any tax liens for the last 10 years.

Here are the rates for Funding Circle’s installment loans:

How To Apply For A Funding Circle Loan

Funding Circle is one of QuickBooks Capital’s partners, so you can apply to the QuickBooks Capital Marketplace and QuickBooks will let you know if you qualify for a Funding Circle loan. Or, you can fill out an application for Funding Circle directly.

The Funding Circle application is fairly long, but it is still much faster than applying through a bank or credit union. Multiple documents are required. The complete application process usually takes around 10 days.

Takeaway

Funding Circle is a good fit for large businesses or enterprises that are established. Startups and small businesses will be better off with any other lender from this list.

Read our full Funding Circle review

10. Lending Club

Best For…

Businesses of nearly any size with fair credit looking for a medium-term loan.

Products Offered

• Installment loans
• Personal loans
• Auto refinancing

Founded in 2006, Lending Club (see our review) is one of the oldest lenders to offer loans online. Lending Club has competitive rates and good customer service. This lender offers personal loans, auto refinancing, and business installment loans (which are what we will be focusing on).

Requirements

To qualify for a Lending Club business loan, you’ll need to be in business for 12 months, be 18 years old, be a US citizen or long-term resident, and have $50K in annual revenue. You also have to own 20% of the business and cannot have had any bankruptcies or tax liens.

Here are the rates for Lending Club’s installment loans:

How To Apply For A Lending Club Loan

To apply for a Lending Club loan, you’ll need to fill out an online application. You’ll receive a quote, and if you’d like to continue, Lending Club will ask you for more information and several documents. Approval usually takes one to two weeks.

Takeaway

Lending Club can be a great option for businesses of many sizes.

Read our full Lending Club review

What Type Of Loan Is Right For Me?

You may have noticed that the lending options above all offer a large variety of products, like installment loans, lines of credit, SBA loans, invoice factoring, and short-term loans. To decide which loan is best for you business, ask yourself:

• Which loans am I eligible for?
• What do I want to use this loan for?

It’s also important to know the differences between each type of loan.

For installment loans, short-term loans, and merchant cash advances, you’ll receive your funds in one lump sum. Once these funds are gone, you’ll have to apply for a new loan, which makes these loan types ideal for working capital, inventory purchasing, and business growth projects.

For lines of credit, you’ll be able to draw however much you’d like up to your maximum borrowing amount as you need the funds. Most lines of credit revolve, meaning once you pay back the money, you can draw from the line of credit again. For this reason, lines of credit are good for consistent cash flow, unexpected expenses, and time-sensitive business opportunities.

To learn more about financing options, check out these articles:

• Installment loans
• Short-term loans
• Merchant cash advances
• Lines of credit
• Invoice factoring

No matter which you choose, these lenders vary in one distinct way from QuickBooks Capital: You get to take the initiative in finding capital instead of waiting for QuickBooks Capital to reach out. While QuickBooks Capital offers competitive rates, these 10 alternatives are more than worth looking into if you need fast capital, a higher borrowing limit, or a different type of loan.

Looking for even more options? Check out a comparison of our favorite small business lenders or our full list of reviews.