8 Facts You Should Know Before Crowdfunding A Video Game On Fig

fig crowdfunding

For as long as I can remember, people have bemoaned the ever-accelerating consolidation of the video game industry. For much of the past two decades, small-to-mid-size game developers have been going bust as industry behemoths like EA grow ever more dominant. For those who have followed the industry, it’s an ever-present trend and one that is not likely to abate anytime soon.

However, the second decade of the twenty-first century has given rise to a phenomenon that could be seen as a countervailing force to this trend; a social media-powered boat, gamely pushing upstream against The Market’s unloved current. Crowdfunding pools the resources of those who want a piece of the next big thing, delivering grassroots funding to projects that would otherwise struggle to get funding.

Anyone with a cursory familiarity with crowdfunding could tell you what Kickstarter (see our review) and GoFundMe (see our review) are, but lesser-known specialty crowdfunders continue to pop up, catering to the particulars of individual industries.

Enter Fig. Launched in 2015 in San Francisco, Fig is a platform on which independent game developers and mid-size game studios can get video games crowdfunded. However, Fig is more than just a “Kickstarter for Video Games.”

It’s a unique crowdfunding system and one that presents unique challenges to those looking to use crowdfunding to finance their gaming dreams. Let’s go through what you need to know before using Fig’s crowdfunding platform for game developers.

1) Fig Provides Both Rewards Crowdfunding & Equity Crowdfunding For Video Games

With Fig, you can set up a crowdfunding campaign for your incipient game project that gives the would-be backer two options: back a traditional rewards crowdfunding campaign in exchange for a copy of the game, branded swag, expansion packs, etc., or back an equity crowdfunding campaign in which the backer becomes an investor who buys Fig Game Shares and thereby stands to profit from future sales of the game.

Actually, I lied. The backer also has a third option: back both!

You probably have a decent handle on what rewards crowdfunding is, but with Fig’s equity crowdfunding, investors fund your game’s development by buying Fig Game Shares (more on how Fig Game Shares work later). At the end of the process, the profits from sales of your game are divided between your company, Fig, and the equity investors who bought Fig Game Shares in your game

2) You Can Run Both A Rewards And An Equity Campaign Or Just A Rewards Campaign

I said in the introduction that Fig wasn’t just “Kickstarter for video games.” However, if you’re not trying to raise six or seven digits’ worth or capital, you can, in fact, treat Fig as if it were Kickstarter and just run a rewards crowdfunding campaign. Describe/show off your cool game, offer various rewards for different tiers of support, and hope to raise your goal within your funding period.

However, most Fig campaigners opt to run both a rewards campaign and an equity campaign concurrently. This way, you can attract support from the more casual backer who may want to see your game produced and ultimately receive a copy, as well as the investor who sees profit potential in your game idea and wants to support it in exchange for a cut of future sales.

Check out the campaign page for Pig Eat Ball if you want to see what Fig’s unique brand of rewards/equity hybrid crowdfunding looks like in action.

3) Fig Is Selective

Some crowdfunding platforms allow anybody who signs up and creates a profile to launch a crowdfunding campaign on their platform. Not Fig. According to the company, when a developer applies to use the platform:

We evaluate the game and the developer to determine whether, in our opinion, they have the potential to generate significant income based on criteria such as experience and talent of the developer, the developer’s record for delivering games on time and within budget, our estimates of potential sales of the game and the extent of the game’s existing social community and fanbase.

Also note that Fig only hosts one or two new funding campaigns per month. When considering whether to send your pitch to Fig, determine whether you can afford to, in effect, wait in line for your chance to be featured on the site.

4) Funding Is All-Or-Nothing For Both Rewards And Equity Campaigns

Just about every crowdfunding platform requires you to set some kind of funding goal before launching your campaign. Some crowdfunders let you keep whatever money you end up raising regardless of whether or not you’ve reached your funding goal before your funding period ends.

Not so with Fig. Launch a Fig crowdfunding campaign, and you’ll have to meet or exceed your funding goal before you can collect. Fail to reach your funding goal, and you’ll get nothing at all. This goes for both rewards and equity campaigns. You’ll want to have done your due diligence before launching your campaign with Fig, as an 80% funded project will see you get 0% of the cash.

5) Investors Aren’t Actually Buying Shares Of Your Company

Launch an equity crowdfunding campaign with Fig and you won’t have to worry about investors owning a portion of your intellectual property. That’s because with Fig’s unique equity crowdfunding system, the investor invests in stock created by Fig to pay dividends based on the sales receipts from the game post-release. Fig describes the system like so:

Developers maintain 100% creative control and IP ownership over their game. The community invests in Fig Game Shares, which pay out based on Fig’s own revenue share gained through a licensing agreement with the developer, and Fig takes on the accounting and legal risk associated with the investments as it’s our stock. Developers are not involved in selling investments, nor are investors investing in studios or IP.

Here’s where you can learn more about Fig Game Shares. Essentially, they allow you to retain full ownership of your company and its products while offering investors the chance to profit from your future game sales commensurate with the proportion of Fig Game Shares they purchased.

6) Fig’s Rewards Crowdfunding Campaigns Carry No Platform Fees

If you’re using Fig as if it were Kickstarter and just want to run a rewards campaign, there’s one way in which Fig is actually superior to Kickstarter. Let me explain.

Kickstarter, like most non-charitable crowdfunding sites, charges a 5% platform fee from what you raise. Factor in payment processing fees, which can come to about 3-5% of what you raise, and you could be paying 8-10% of what you raise in fees.

Fig, however, does things differently. Launch a rewards campaign with Fig and you won’t pay any platform fees. You will only have to pay credit card processing fees. These will come out to about 2.5% of what you raise. If you’re an independent game publisher looking to use rewards crowdfunding to get your project started, this factor alone gives Fig a leg up on the competition.

For Fig’s equity crowdfunding campaigns, the company states the following:

If and only if the campaign succeeds, a portion of Fig’s out-of-pocket legal and accounting transaction costs will be deducted from the investment proceeds (up to 5%).

7) Fig Can Publish Your Game As Well

Fig states the following regarding its publishing services:

Fig stands as a non-exclusive co-publisher of your game, so you can maintain control over the publishing of your game while receiving Fig’s support in distribution and marketing. Fig is open to exclusively publishing your game if that is your desire. Some developers have requested we exclusively publish their games.

Fig’s publishing services can be opted into — you are not required to use them to publish your game.

8) You Can Run A Private Funding Campaign Before You Go Public

Is your video game idea still in its embryonic stage? Is it unworthy of being seen by the general public at this point? You might want to consider running a private funding campaign before you run a public one.

Fig’s Backstage Pass Program lets you do exactly this. Through this program, Fig’s most hyper-attuned backers can evaluate your campaign away from the prying eyes of the public and give you valuable feedback, all while you start the fundraising process, getting a head-start on your public crowdfunding campaign.


Here’s a disclaimer I’ve started attaching to everything I write related to equity crowdfunding:

Bear in mind that equity crowdfunding is a still-evolving field, with the full impact of the JOBS Act still being assessed. Equity crowdfunding is a more complex proposition than, say, rewards-based crowdfunding, as investing is much more substantially regulated. Consult an attorney if you have any legal questions regarding the process, SEC regulations, taxes, etc.

Final Thoughts

No form of popular entertainment inspires as much passionate devotion (among other things) as does the video game. For those looking to get in on the ground floor of the industry, crowdfunding is a way you can fund your passion projects while a) retaining control of your work, and b) not going into debt.

Fig’s particular brand of video game crowdfunding gives independent developers and game studios alike the ability to fund their work by monetizing the all-consuming devotion of video game fans. Just make sure you know the essentials before you embark on your crowdfunding journey.

The post 8 Facts You Should Know Before Crowdfunding A Video Game On Fig appeared first on Merchant Maverick.


GoFundMe Alternatives: 10 Sites Like GoFundMe For Business Funding

gofundme alternatives

In terms of raw numbers, GoFundMe (see our review) stands atop the crowdfunding industry. With over $5 billion in crowdfunded dollars raised from over 50 million donors since its founding in 2010, no crowdfunding platform has been able to match GoFundMe in terms of transferring money to those who need it. What’s more, since late 2017, GoFundMe has started eliminating their 5% platform fee for individual crowdfunding campaigns (the 0% platform fee now applies to campaigns started in the US, UK, and Canada).

However, there are plenty of reasons why an entrepreneur looking to crowdfund a startup or a small business might look for an alternative to GoFundMe. While people can and do use GoFundMe to fundraise for businesses, the vast majority of campaigns on the site are personal campaigns for charitable causes, often to cover medical expenses. Facilitating commerce isn’t the focus of GoFundMe’s brand.

Let’s go through some of the GoFundMe alternatives you can use to fund your business.


Kickstarter (see our review) needs no introduction, but I’ll write one anyway out of habit. Between Kickstarter’s 2009 birth and today, the company has become synonymous with crowdfunding. Kickstarter has raised over $3.5 billion in funding pledged to its campaigns (more than any crowdfunding site besides GoFundMe), boasts more than 140,000 successfully funded projects with over 14 million total backers. You might say the folks at Kickstarter have hit the big time.

Kickstarter embodies the concept of rewards crowdfunding: crowdfunding in which backers support campaigns and receive rewards in return, typically in the form of the product being produced.

Best For…

Kickstarter helps artists, musicians, filmmakers, designers, and other creators find the resources and support they need to make their ideas a reality.

Thus reads Kickstarter’s About page. It sums up Kickstarter’s target audience: those in the business of creating things to share with others. For instance, Kickstarter almost single-handedly spawned the current “golden age” of tabletop games. Game makers found Kickstarter to be the ideal platform from which to launch their passion projects. Tech startups have hit paydirt on the platform as well.

How Does Kickstarter Work?

Kickstarter’s product on offer is its rewards crowdfunding platform. The details of the platform are as follows:

  • Campaigns can be open for 30 to 60 days
  • Campaigns are all-or-nothing — you either meet your funding goal by the time your campaign ends, or you get no funds whatsoever
  • A 5% platform fee is taken from what you raise
  • A 3% + $0.20 payment processing fee is taken from each pledge made to you

Kickstarter Rules

Kickstarter has five rules for projects:

  • Projects must create something to share with others
  • Projects must be honest and clearly presented
  • Projects can’t fundraise for charity
  • Projects can’t offer equity
  • Projects can’t involve prohibited items

Pay special attention to the first rule. In order to host a Kickstarter crowdfunding campaign, you must offer rewards to your potential backers. It’s not optional. Furthermore, these rewards must be of your making and must relate to your project. They can’t just be whatever you have sitting around the house.

How To Start A Kickstarter Campaign

Go to the website, choose a category, enter the basic details of your project into the form, and confirm your identity. When you submit your project for review, you might pass the automated check and be able to start immediately, or your project might be flagged for additional screening, which can take up to three days. Kickstarter estimates that about 80% of submitted projects are accepted.


Hobbyists, tech geeks, and superfans continue to demonstrate their willingness to spend money on crowdfunding projects in order to get in on The Next Big Thing, and Kickstarter is the best-known place to do just that. Their track record of crowdfunding success is second to none. It’s very competitive, though, so you best have done your due diligence prior to launch. If you have, who knows? Your project could take off on social media and become the next great cultural phenomenon; the next viral dream that captures the imagination of a generation; the next RompHim.


I only pray you experience such spiritual validation in your lifetime. Kickstarter: Catch the fever!

Read our full Kickstarter review

Visit the Kickstarter website


Indiegogo (see our review) was launched at the Sundance Film Festival in 2008. It was originally conceived as a crowdfunding platform for independent films. Soon thereafter, Indiegogo expanded its mission, and is now a leader in the crowdfunding industry. Indiegogo’s rewards crowdfunding platform is more flexible and less exclusive than that of Kickstarter, as Indiegogo doesn’t prescreen projects prior to launch. Many startups have found success on Indiegogo after being rejected by Kickstarter.

Indiegogo also hosts equity crowdfunding campaigns through a joint venture with MicroVentures (see our review). Equity crowdfunding means your backers are purchasing shares in your company — they aren’t just backing you to get a t-shirt or a board game. Because equity crowdfunding involves investing, it is much more heavily regulated than rewards crowdfunding. Unlike Indiegogo’s rewards crowdfunding campaigns, the requirements to launch an Indiegogo equity crowdfunding campaign are fairly stringent. The bulk of Indiegogo’s business is on the rewards crowdfunding side.

Best For…

Indiegogo appeals to a lot of the same entrepreneurs and creators as Kickstarter. Tech, games, and the arts (particularly movies, no surprise) are well represented in Indiegogo’s campaign listings. But because Indiegogo doesn’t curate its campaigns the way Kickstarter does, a broader array of businesses can fundraise successfully with Indiegogo.

How Does Indiegogo Work?

Indiegogo’s rewards crowdfunding platform carries the following conditions:

  • Campaigns can last up to 60 days
  • You can choose a keep-what-you-raise campaign (you keep what you raise whether you meet your funding goal or not) OR an all-or-nothing campaign
  • 5% platform fee
  • 3% + $0.30 payment processing fee (per pledge)

Indiegogo Rules

Indiegogo doesn’t restrict entry to its platform — you can start a campaign for just about any non-charitable purpose. Unless you’re later found to be operating a fraud or otherwise violating the terms of service, you’re good to go. And unlike Kickstarter, Indiegogo doesn’t mandate that you offer rewards. They do highly recommend it, however. Campaigns that don’t offer rewards have a tendency to fail.

How To Start An Indiegogo Campaign

Just go to Indiegogo’s website, click “Start A Campaign,” detail your campaign, and launch it!


Indiegogo’s welcoming approach and flexible campaigns make it an excellent crowdfunding choice for businesses and artists of all stripes.

Read our full Indiegogo review:

Visit the Indiegogo website


Patreon (see our review) may be a rewards crowdfunding site, but compared to the likes of Kickstarter and Indiegogo, Patreon is a beast of a different nature. Launch an Indiegogo campaign, and it’s a one-time deal. Once your campaign ends after 30 or 60 days, you get what you get, and that’s that. But with Patreon, your campaign is continuous. It doesn’t end unless you end it. Patrons sign up to support you on a recurring basis (either per-month or per-creation), somewhat akin a subscription service. In return, you provide your patrons exclusive content. Founder and musician Jack Conte discussed his motivations in a 2013 article:

“I’m releasing new things on a monthly basis. I have friends releasing material weekly,” Conte said. “They’d have to almost invent an excuse to raise money after going on Kickstarter once. We’re saying, ‘No, no. Don’t make up a new endeavor. Keep doing what you do best and let people pay you each time you do that.”

Best For…

Those in the business of creation will find Patreon an ideal crowdfunding platform. Game designers, journalists, musicians, comic book artists, and YouTubers are all to be found, though podcasters have had particular success on the platform. From Chapo Trap House to Sam Harris to everything in between, Patreon has been a boon to podcasters.

One thing Patreon has allowed in the past that most crowdfunding sites haven’t is a certain degree of adult content, though that has been changing as of late.

How Does Patreon Work?

These are the terms of using Patreon:

  • Funding duration is unlimited
  • Can charge patrons per month OR per creation
  • 5% platform fee
  • ~5% payment processing fee

Patreon Rules

As long as you don’t violate the terms of service (which are more relaxed than those of many competitors), you should be fine.

How To Start A Patreon Campaign

Sign up online, fill in the form fields, and poof, you’re in!


If creation is your business and GoFundMe doesn’t quite fit what you do, Patreon and its innovative brand of continuous rewards crowdfunding provide a means of monetizing your work.

Read our full Patreon review

Visit the Patreon website


FundRazr (see our review) refers to itself as “Canada’s leading crowdfunding platform.” Though that places it well behind the likes of Kickstarter in regards to total money raised, FundRazr distinguishes itself by having an exceptionally good reputation for a crowdfunding site among both donors and campaigners. I had a hard time finding comments from user upset with the product. This is most definitely not the case with most of the competition!

FundRazr hosts a wide variety of personal and charitable crowdfunding campaigns, though they host business campaigns as well (and not just in Canada).

Best For…

Pretty much any business with something to offer backers can make use of FundRazr.

How Does FundRazr Work?

This is what a FundRazr crowdfunding campaign entails:

  • No mandatory time limit for campaigns
  • Keep-what-you-raise OR all-or-nothing funding — your choice
  • 5% platform fee
  • 2.9% + $0.30 payment processing fee (per pledge)

FundRazr Rules

FundRazr doesn’t prescreen campaigns, nor does it have any particular bent as to what sort of businesses it favors. And while business campaigns should offer rewards, it isn’t mandatory.

How To Start A FundRazr Campaign

Create an account, fill in the details, and you’re on your way.


FundRazr isn’t the most high-profile crowdfunding service in the business, but its exceptional reputation for treating people well makes it worth considering for the startup in need of funding.

Read our full FundRazr review

Visit the FundRazr website


The name resembles FundRazr, but this is a very different platform. Ohio-based Fundable (see our review) is a crowdfunding platform exclusively for businesses. Fundable hosts both rewards and equity-based funding campaigns. Rather than charge a platform fee to users, Fundable charges a monthly fee of $179 to all campaigners. It’s a system that favors serious startups and early-stage companies over small-time artists and creators.

Fundable has sent $411 million in crowdfunded dollars to businesses thus far. Not too shabby at all.

Best For…

Fundable hosts crowdfunding campaigns for a wide variety of businesses, though tech, food service, and healthcare companies are particularly well-represented.

How Does Fundable Work?

Fundable lets you launch both rewards and equity crowdfunding campaigns, though not both simultaneously. Some businesses start with a rewards campaign and, once successful, use the campaign’s success to demonstrate the product’s viability in the market to investors, thus laying the ground for an equity campaign.

Here’s how Fundable campaigns work:

  • No mandatory time limit for campaigns
  • All-or-nothing funding
  • $179 monthly fee
  • 3.5% + $0.30 payment processing fee (rewards campaigns only)

Given the monthly fee and all-or-nothing funding, if your campaign is unsuccessful, you won’t just have raised nothing — you’ll have spent money in order to raise nothing. Try not to fail!

Fundable Rules

Though just about any business can apply to use Fundable, the company prescreens every campaign profile submitted before allowing it onto the platform. A poorly-resourced startup may have better luck using a site with no barrier to entry, like Indiegogo, to crowdfund.

How To Start A Fundable Campaign

Fill out the online application, submit it, and wait for an answer from the company.


Fundable’s terms and fees make it tough for the little guy, but a startup with high growth potential stands to benefit from the absence of the 5% platform fee many crowdfunding sites impose. After all, if you raise $50K, well, 5% of $50K is a lot more than Fundable’s $179 monthly fee!

Read our full Fundable review:

Visit the Fundable website


Wefunder (see our review) has been an innovator in the equity crowdfunding space. A purely business-oriented crowdfunding platform. Wefunder hosts equity campaigns in which non-accredited investors can invest (this is known as Regulation Crowdfunding). The term “accredited investor” basically just means “rich person,” so by allowing non-accredited investors (i.e. everyone) to invest, you’re casting a wider net in your hunt for investors, so to speak.

Equity crowdfunding with non-accredited investors has only been legal since May 2016, but so far, Wefunder holds 50% of the market share in Regulation Crowdfunding. It’s a new field, but Wefunder has it figured out more than anybody.

Best For…

Wefunder hosts funding campaigns for many different business types (particularly craft breweries), but as equity crowdfunding is harder to pull off for unless your project already has some resources behind it, Wefunder is best for startups whose high-profit potential is apparent to investors. In fact, Wefunder states that of the 174 companies that have hit their funding goal on Wefunder’s site, “most are alumni of Y Combinator.” The cream of the crop, in other words.

How Does Wefunder Work?

Wefunder offers equity crowdfunding under the following terms:

  • 1-year funding limit
  • All-or-nothing funding
  • $195 one-time fee
  • 7% platform fee
  • No payment processing fees (all funds are transferred offline)

The 7% platform fee seems a bit high, but consider that with most crowdfunding sites, an additional 3-5% goes to the payment processor, making that apparent 5% platform fee more like 8-10%. Wefunder doesn’t handle online payments, so there are no processing fees to be paid.

Wefunder Rules

Wefunder allows just about any applying company onto its site. The company doesn’t do the heavy vetting that other equity crowdfunders engage in. Wefunder recommends having at least one experienced investor endorse your campaign and set the terms of your raise, but that’s not a requirement.

How To Start A Wefunder Campaign

Just apply online on the website.


Wefunder is one of the few crowdfunding companies with a track record of success in Regulation Crowdfunding. Startups with high growth potential have reason to take a closer look.

Read our full Wefunder review

Visit the Wefunder website


The forgettably-named Crowdfunder (see our review) is unapologetic about being an equity crowdfunding platform for “high-impact ventures” only. Crowdfunder’s equity campaigns are open to accredited investors only, meaning that you’ll be drawing from a smaller, richer, and likely more selective pool of investors than with Wefunder. (Note that the British rewards crowdfunding site named Crowdfunder is an entirely different company)

$160 million in investment commitments have been made via Crowdfunder.

Best For…

Crowdfunder has specific ideas about the identity of its target audience:

Crowdfunder is designed for early-stage startups and more mature businesses raising seed stage, Series-A & Series-B funding. Our offering does not cater to inception stage companies at this time.

Tech, software, and investment companies comprise many of the businesses using Crowdfunder

How Does Crowdfunder Work?

Here are the details of Crowdfunder’s platform:

  • No mandatory time limit for campaigns
  • Keep-what-you-raise funding
  • $449-$749/month subscription fee (depends on your subscription package)
  • No platform fees or payment processing fees (funds are transferred offline)

Crowdfunder’s monthly subscription fees are high. No getting around it.

Crowdfunder Rules

You can set up a profile for free, but in order to actually start your equity campaign, Crowdfunder will have to approve your plans.

How To Start A Crowdfunder Campaign

Sign up and apply through the website, silly.


If your startup company has boundless potential in the eyes of investors, Crowdfunder is a very intriguing prospect. Though the monthly fees are high, they’ll be worth it in the end if you raise a significant sum, as Crowdfunder campaigns don’t carry a percentage platform fee.

Read our full Crowdfunder review

Visit the Crowdfunder website


Headquartered in Paris, Ulule (see our review) is one of Europe’s largest rewards crowdfunding platforms. It’s not widely known in the US, but if you’re in North America and your project appeals to the European market, it’s definitely a crowdfunding site to consider.

Ulule distinguishes itself with what it claims is the highest rate of successful campaigns for any crowdfunder: 65%. The company attributes this to its focus on personalized coaching, which it provides to all campaigners. Indeed, Kickstarter’s success rate is approximately half that of Ulule!

Best For…

Any sort of business can campaign on Ulule, though art-related startups seem to do particularly well.

How Does Ulele Work?

Ulule’s crowdfunding campaigns are structured like so:

  • Campaigns can last up to 90 days (45 is recommended)
  • All-or-nothing funding
  • Platform fees: 6.67% of all funds received via credit card, 4.17% of funds received via check or PayPal
  • ~3% payment processing fee

Ulule’s fee structure could stand to be less complex.

Ulele Rules

Launching a Ulule crowdfunding project requires passing two validation stages. Ulule really wants to make sure your plan is solid before letting you loose on the platform. If you are ultimately accepted, you’ll be assigned a “success manager” to help you with every stage of your campaign. Compared to most of the competition, particularly in the rewards crowdfunding space, Ulule is quite hands-on in its approach to campaigners.

How To Start A Ulele Campaign

Write Ulule an essay explaining why you think you’re worthy of their platform and send it to them in the mail.

I kid, I kid. Just apply online.


Ulule does things differently than most of the crowdfunding sites on this side of the pond. More consultation, more guidance. Does this approach jibe with your needs? If your company produces things that have Continental appeal, give Ulule a closer look.

Read our full Ulule review

Visit the Ulule website

Republicrepublic review

Republic (see our review) is, like Wefunder, a Regulation Crowdfunding platform — an equity crowdfunding outfit open to any and all investors.

Founded by AngelList alumni and considered to be an AngelList spinoff, Republic stands out for its public commitment to social justice. The company’s About page details their intention to help level the playing field when it comes to capital by prioritizing women, minorities, and others who the investing world has historically overlooked.

Best For…

Republic may have egalitarian aspirations, but equity crowdfunding is nonetheless best suited to companies with uniquely high-profit potential.

How Does Republic Work?

Republic’s equity crowdfunding campaigns are structured as follows:

  • 1-year funding limit
  • All-or-nothing funding
  • 7% platform fee
  • 3.5% payment processing fee for payments made via credit card

Republic Rules

Companies applying to Republic undergo a thorough evaluation before being allowed to raise funds. The following factors will be taken into consideration:

  • Experience of founders and management team
  • Products, services, and market
  • Revenue and growth
  • Customer base and demographics
  • Fundraising needs
  • Offering terms
  • Business plan
  • Financial health
  • Recordkeeping procedures

How To Start A Republic Campaign

Just apply online through the website.


Being an AngelList spinoff, Republic is already making waves in the equity crowdfunding world. Does its idealistic outlook match reality? The years to come should give us our answer. In the meantime, if you run an exceptional startup and you come from a historically-underserved community, Republic wants your attention.

Read our full Republic review

Visit the Republic website

Kiva USkiva logo

And now for something completely different.

Kiva US (see our review) doesn’t offer rewards crowdfunding or equity crowdfunding. What the heck do they do, then? They offer debt crowdfunding, otherwise known as crowdfunded loans. Kiva US is a nonprofit entity, and the crowdfunded loans it offers carry 0% interest. Not bad, eh? It may be the only platform in which lenders stand to make no profit whatsoever. Kiva’s mission is to open up the lending world to businesses that would otherwise struggle for funding. If you need $10K or less for your business and are willing to wait a bit for your money, Kiva’s crowdfunded loans just might be for you.

Best For…

Absolutely any sort of business can apply for a Kiva US crowdfunded loan.

How Does Kiva US Work?

Here are the details of Kiva’s crowdfunded loans:

  • Borrowing amount: $25 – $10K
  • Term length: 6 – 36 months
  • 0% interest
  • Time to funding: 1-3 months

Kiva US Rules

The only requirement to receive a Kiva US loan is that you put the money towards business expenses.

How To Apply For A Kiva US Loan

Yes, you apply online, but that’s only the first step to getting a Kiva loan. The entire process is as follows:

  1. Fill out an application online
  2. Enter the approval stage
  3. Enter a 15 day private funding period
  4. Enter a 30 day public funding period
  5. Get funds within 5 – 7 days

The process takes a while — certainly longer than with other lenders — but then again, crowdfunding with rewards/equity is hardly an instantaneous process either.


If you own a business, you need less than ten grand, and you want a loan you won’t have to pay interest on, Kiva US is your only funding option. Assuming you can wait a while before seeing any funds, there’s no reason whatsoever not to give it a shot.

Read our full Kiva US review

Visit the Kiva US website

Final Thoughts

If you find yourself looking for a crowdfunding site with more business-specific features than GoFundMe, the ten companies I’ve mentioned are all solid possibilities, depending on the nature of your business, its potential, and whether you want to offer rewards, equity, or debt payments with interest to your potential backers. Consider what makes sense for your business, then make the jump while you can! Your ideas won’t stay ripe indefinitely. Don’t wait too long!

The post GoFundMe Alternatives: 10 Sites Like GoFundMe For Business Funding appeared first on Merchant Maverick.


The Best American Express Business Credit Cards

American Express is best known for their charge cards. These are cards with no hard credit limit that have to be paid off in total every month. But they don’t represent the full extent of Amex’s product line.

Like its competitors Visa and MasterCard, Amex offers credit cards, on which you can carry a balance from month to month if you so choose (note, you shouldn’t if you can help it). Compared to charge cards, credit cards tend to have lower annual fees and less aggressive rewards programs, although this isn’t always the case. And one particularly nice perk offered to Amex business credit cardholders is the OPEN Savings program.

But which American Express business credit cards are the best? Read on.

American Express Blue Business Plus

If you’re overwhelmed by myriad rewards options provided by business credit cards and your business expenses aren’t concentrated in any one area, you may want to try Amex’s Blue Business Plus card. With 2% back on all purchases up to $50,000 and no annual fee, it’s one of the better cash back business cards on the market.

American Express Blue Business Plus
Annual Fee $0
APR 12.24% – 20.24% variable (0% first 15 months)
Signup Bonus $0
Rewards 2 pts./$1 spent on all purchases up to $50K/yr
1 pt./$1 spent on all purchases after $50K/yr
Visit Site

The American Express Blue Business Plus is a great first business credit card as it offers both a simplified reward system and no annual fee. In fact, it’s the perfect credit card for businesses that don’t plan to make many charges. (There’s no signup bonus encouraging you to spend a ton of money in the first few months.)

Most cash back credit cards offer a roughly 1.5 pt. return per dollar. Blue Business Plus instead frontloads your rate, giving you a 2 pt. return on your $50,000 worth of purchases per year. This comes at the expense of a subpar 1 pt. rate after you hit that limit. If you anticipate putting more than $50K per year on your business card, you may want to consider a different card (or an additional card).

American Express Blue Business Plus reward points can be redeemed for travel, shopping, or statement credit.

American Express SimplyCash Plus Business Credit Card

Another great option for businesses with modest credit card spending habits is Amex’s SimplyCash Plus Business Credit Card, particularly if you want your rewards in the form of cash back.

American Express SimplyCash Plus Business 
Annual Fee $0
APR 12.24% – 20.29% variable (0% first 9 months)
Signup Bonus $250 statement credit after you spend $5K in first 6 months, and an additional $250 if you spend $10K in the first year
Rewards 5% cash back on wireless telephone services from U.S. providers, 3% cash back on selected category for first 50K/yr
1 pt./$1 spent on all purchases after $50K/yr
Visit Site

SimplyCash dispenses with a point-based reward system, automatically applying a percentage of your purchases to your account as statement credit instead.

This card had an unusually complex reward system for a cash back program. A 5% cash back reward tier is huge, but it’s limited to hardware, equipment, and services purchased directly from U.S. providers.

You’ll also get 3% back in one of the following categories you choose (you can change this category once per year):

  • Airfare directly purchased from airlines
  • Hotel rooms purchased directly from hotels
  • Car rentals from select rental companies
  • U.S. gas stations
  • U.S. restaurants
  • U.S. purchases in select media
  • U.S. purchases for shipping
  • U.S computer hardware, software, and cloud computing from select providers

Be aware that the 5% and 3% tiers are limited to the first $50K you spend each year, combined. So if you spend $20,000 on the 5% tier and $30,000 on the 3% tier, you’ll have exhausted both tiers for the year. If you think you’ll be charging more than that on a business card each year, you may want a backup card, or another card entirely.

Starwood Preferred Guest Business Credit Card

Moving into cards that cater to more specific business behavior, we have the Starwood Preferred Guest Business Credit Card from American Express. It provides a very generous reward system for travelers who frequently stay at Starwood or other Marriott brand hotels.

Starwood Preferred Guest Business Credit Card
Annual Fee $95/yr ($0 the first year)
APR 16.49% – 20.24% variable
Signup Bonus 25,000 pts. if you spend $3K within first 3 months
Rewards 2 pts./$1 at participating Starwood and Marriott hotels (in addition to points earned as a Starwood Preferred Guest)
1 pt./$1 on all other purchases
Visit Site

With a reasonable annual fee and a generous signup bonus, the Starwood Preferred card offers a lot of benefits to cardholders who travel. It’s not quite as flexible as the cards we’ve looked at so far, but if you use it strategically, it can rack up tons of points with no limit. Starpoints can be redeemed at participating hotels and resorts and on flights with participating airlines through the SPG Airline Transfer Program.

Additional perks that come with the card include:

  • Credit toward SPG Elite status (5 nights and 2 stays annually)
  • Unlimited Boingo wi-fi on up to four devices
  • Complimentary premium Internet service at participating SPG hotels
  • Access to the Sheraton Club Lounge
  • Free nights at participating SPG hotels with no blackout dates
  • No foreign transaction fees

If these perks complement your traveling habits, this card is a great choice. Otherwise, its specificity, annual fee, slightly higher rates, and lack of introductory APR may not make it as appetizing.

American Express Platinum Delta Skymiles Credit Card

Airline travel-based rewards are some of the most popular types of credit card rewards programs. American Express partners with Delta for their credit card rewards programs, offering three flavors of the card (Gold, Platinum, and Reserve).

American Express Platinum Delta Skymiles Credit Card
Annual Fee $195/yr
APR 16.49% – 20.49% variable
Signup Bonus 70,000 miles + 10,000 Medallion Qualification miles if you spend $3K within first 3 months, and $100 statement credit if you make a Delta purchase within the first 3 months
Rewards 2 pts./$1 directly spent with Delta
1 pt./$1 on all other purchases
Visit Site

Amex’s Platinum Delta card offers a huge signup bonus to businesses that spend $3,000 within the first three months, and an additional $100 in statement credit if you make a purchase directly with Delta.

Additional perks of this card include:

  • Priority boarding
  • First checked bag is free
  • No foreign transaction fees
  • 20% statement credit on qualifying in-flight purchases
  • Baggage insurance
  • 1 Companion Airfare certificate each year, rewarded upon card renewal

For the heavy traveler, I believe the Platinum Delta card offers the most value, though prospective cardholders who want to save a little money on their annual fee may want to consider the Gold version. The Reserve version’s premium fee will probably only be justifiable for elite first-class travelers.

Final Thoughts

While they may not be quite as well-known as the iconic Green, Gold, and Platinum charge cards, Amex’s credit cards offer their own suite of appealing rewards programs to customers who want the option of carrying a balance.

Didn’t find what you were looking for here? Check out our comparison guides to business credit cards, charge cards, and personal cards that are good for business expenses.

The post The Best American Express Business Credit Cards appeared first on Merchant Maverick.


SBA Loan Rates: A Complete Guide

The Small Business Administration (SBA) provides a number of loan programs designed to help small businesses. SBA loans are known for having some of the lowest interest rates possible. Below, we explain the rates for three of the SBA’s most popular loan programs:

  • 7(a) Loans: General purposes loans used for many business purposes such as working capital, inventory purchasing, refinancing, and other reasons.
  • CDC/504 Loans: Loans used to purchase commercial real estate and other fixed assets like equipment and machinery.
  • Disaster Loans: Loans used to help businesses that have been physically or economically damaged by a disaster.

SBA 7(a) Loan Rates

The 7(a) loan program is the SBA’s most popular program. The SBA works with partners, such as banks and other financial institutions, to offer low-cost loans for most business purposes, including working capital, refinancing, equipment, and other reasons.

While the SBA does not directly loan money under this program (that’s the prerogative of banks and other financial institutions), it guarantees a portion of the loan and sets limits on the interest rates, fees, and term lengths the financial institutions can offer.

Current 7(a) Interest Rates

The maximum rate for SBA 7(a) loans varies based on your term length, the borrowing amount, and the base rate (see below for an explanation of base rate). Below are the current rates for most SBA 7(a) business loans (as of March 2018):

Loan Amount Less Than Seven Years More Than Seven Years
Up To $25,000 8.75% 9.25%
$25,000 – $50,000 7.75% 8.25%
$50,000 Or More 6.75% 6.25%
Current Prime Rate: 4.50%

SBA Express and SBA Export Express loans (loans with an accelerated turnaround time) have slightly different rates. Currently, the maximum rate for Express loans of $50,000 or less is 11%; the rate for loans above $50,000 is 9%.

SBA 7(a) Loan Eligibility & Terms

If you run a for-profit business, you are likely eligible for a 7(a) business loan in the eyes of the SBA. However, the partner lenders are ultimately responsible for borrower eligibility. In general, to qualify for a loan, you will need to meet these requirements:

  • Own a business that is at least two years old
  • Have fair credit
  • Have strong cash flow and debt-to-income ratio

If eligible, borrowers benefit from long-term, low-interest loans that can be used for most general business purposes.

  • Most loans have a maximum borrowing amount of $5 million. SBA Express loans max out at $350,000. The amount you are eligible for will depend on the use of proceeds, your cash flow, and other factors.
  • Maximum term lengths are 10 years for most loans, including inventory, working capital, and equipment. For real estate, the maximum term length is 25 years.
  • The SBA will guarantee a portion of your loan. For loans of $150,000 or less, the SBA will guarantee 85% of the loan. If your loan is above $150,000, the SBA will guarantee 75% of the loan. Express loans carry a maximum guarantee of 50%.
  • The SBA charges a guarantee fee of 0% to 3.75% and a possible prepayment penalty. SBA partners might also charge fees, such as closing costs, referral fees, packaging fees, or others.

How SBA 7(a) Rates & Fees Are Determined

The lender sets your interest rate, but the SBA ensures that there is a maximum interest rate they can charge. The rate is determined by a base rate plus a small markup. Usually, the base rate is the WSJ prime rate, but lenders could use any of these base rates:

  • Prime Rate: The lowest rate banks set for lending. The most commonly used prime rate is published by the WSJ.
  • One Month LIBOR + 3% Rate Adjustment: The London Inter-bank Offered Rate, a rate used for inter-bank lending in London.
  • SBA Optional Peg Rate: A metric which the SBA defines as “a weighted average of rates the federal government pays for loans with maturities similar to the average SBA loan.”

The base rate is added to a small markup to determine the maximum interest rate. Here are the markups for most 7(a) loans:

Loan Amount Less Than Seven Years More Than Seven Years
Up To $25,000 Base rate + 4.25% Base rate + 4.75%
$25,000 – $50,000 Base rate + 3.25% Base rate + 3.75%
$50,000 Or More Base rate + 2.25% Base rate + 2.75%

For SBA Express and SBA Export Express loans, the markups are base rate + 6.5% for loans of $50,000 or below, and base rate + 4.5% for loans above $50,000.

General 7(a) loans rates can be fixed, but usually they have a variable interest rate. If you have a variable rate, your interest rate will rise or fall when the base rate changes.

In addition to the interest rate, the SBA might charge a one-time guarantee fee or a portion of your loan. The fee is based on the loan amount:

  • Loans of $150,000 or less: No guarantee fee
  • Loans of $150,001 to $700,000: A 3% guarantee fee
  • Loans of $700,001 & Above: A 3.5% guarantee fee
  • Loans above $1,000,000: A 3.5% guarantee on the first $1,000,000 and an additional 0.25% (to 3.75%) on the portion above $1,000,000.

The SBA also charges a small prepayment penalty if you repay in the first three years of a loan with a term length of 15 years or longer.

In addition to the SBA’s fees, the partners you are working with are allowed to charge some fees. You might be charged closing costs, referral fees, or others.

SBA 7(a) Loan Calculator

The interest rate will give you a lot of information, but to fully understand the cost of an SBA loan, you’ll need to know about other information, including the APR and the total cost of borrowing. If you have an SBA loan offer, use the calculator below to get estimates on everything you need to know to make an informed decision.

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Where To Find SBA 7(a) Loans

If you’re looking for an SBA 7(a) loan under $350,000 for working capital, debt refinancing, or real estate, your first stop is SmartBiz. This lending facilitator, which is responsible for originating the most 7(a) loans of $350,000 or less in 2017, uses technology to instantly check if you’re eligible for a loan and to speed up the lending process. Check out our SmartBiz Review to learn why they’re one of our favorite small business finance services, or head over to their website.

smartbiz logo
Borrower requirements:
• In business at least 2 years
• Owner’s personal credit score is 600 or above
• No specific revenue requirements
Visit the SmartBiz website

If SmartBiz isn’t for you, the SBA offers a Lender Match service. After filling out a short questionnaire with information about yourself and your business, the SBA will refer you to lenders you’re eligible for.

SBA CDC/504 Loan Rates

SBA 504 loans are used to finance fixed assets such land, real estate, and machinery. To offer these loans, the SBA works with Community Development Companies (CDCs) and other financial partners. The project is typically funded 40% by the CDC, 50% by a financial partner (usually a bank), and 10% by your business. If your business is new (under two years old) or funding a special property, you might have to pay a larger percentage of the cost.

While borrowers can use a general 7(a) loan to finance fixed assets, CDC/504 borrowers benefit from low, fixed, interest rates and larger possible borrowing amounts.

Current SBA CDC/504 Interest Rates

Overall, CDC/504 loans carry lower interest rates than the SBA’s 7(a) loans. Below are the current estimates (as of March 2018):

  • Effective rate for 10-year loans: About 4.63%
  • Effective rate for 20-year loans: About 4.97%

Due to the complicated nature of determining rates for CDC/504 loans, the above rates are estimated to the best of our ability. On receiving a loan, your rate might be slightly different than the rates seen above.

CDC/504 Loan Eligibility & Terms

In addition to showing that you have the ability to repay the loan, to qualify for a CDC/504 loan, you’ll have to show that you have management experience and that the project will create jobs. If you meet these requirements, you have a good chance of qualifying:

  • Must be a for-profit business
  • Must do business in the US
  • Must not have funds available elsewhere
  • Must have demonstrated the ability to repay the loan
  • Must have relevant management expertise and a business plan
  • Must have “a tangible net worth less than $15 million, and an average net income less than $5 million after taxes for the preceding two years”

Businesses that qualify will be able to borrow a loan with these terms:

  • The maximum the SBA will lend is $5,000,000, but can go up to $5,500,000 for some projects. The amount you qualify for is dependent on the needs of the project, your business’s finances, and whether your project meets certain community development goals such as job creation.
  • The maximum term length for equipment and machinery is 10 years, and the maximum length for real estate is 20 years.
  • Borrowers are subject to one-time and ongoing fees including monthly servicing fees and guarantee fees. However, most fees are included in the effective interest rate.
  • The project being financed is typically used as collateral. Additionally, the SBA guarantees 100% of the CDC’s portion of the loan.
  • The SBA charges a prepayment penalty for the first half of the loan (the first five years of a 10-year loan, and the first 10 years of a 20-year loan). The penalty is a small percentage of the remaining balance, which decreases the longer your loan is outstanding.

How CDC/504 Loan Rates Are Determined

CDC/504 loan rates are based on the 5- and 10-year treasury rates plus a spread to the bond investor. Additionally, the rate includes markups to cover fees for the SBA and its various partners, which include ongoing borrower fees, CDC servicing fees, CSA fees:

  • SBA borrower fees: 0.914%
  • CDC fees: Minimum 0.625%
  • CSA fees: 0.1%

In total, these fees usually add up to about 1.64%. There are some upfront fees included in your loan, but these fees are not rolled into your interest rate. The spread to the bond investor changes month-to-month, but we have averaged out last year’s spread to estimate the spread for 2018.

Overall, here is how we have come up with our estimated effective rates:

  • 10-year loans: The 5-year treasury rate (for the first of the month — 2.58% for March 2018) + averaged spread for last year’s 10-year loans (0.41%) + ongoing fees (1.64%)
  • 20-year loans: The 10-year treasury rate (for the first of the month — 2.81% for March 2018) + averaged spread for last year’s 20-year loans (0.52%) + ongoing fees (1.64%)

Where To Find SBA CDC/504 Loans

The best place to look for a 504 loan is via the SBA’s Lender Match platform. After filling out the questionnaire, lenders you’re eligible for will get in touch with you within 48 hours.

SBA Disaster Loan Rates

SBA Disaster Loans are designed to help businesses stay afloat and rebuild following a disaster. To qualify for a disaster loan, you will need to be a business or consumer in a declared disaster area. A disaster loan is used to cover costs that aren’t met by your insurance company or FEMA.

If your business has been affected by a disaster, you might qualify for a long-term, low-cost loan for physical or economic damages. Loans for physical damage can be used to repair or replace property damaged by the disaster. Loans for economic damages can be used to “help small businesses survive until normal operations resume after a disaster,” by giving you the working capital necessary to keep your business going.

Current Disaster Loan Interest Rates

Disaster loan interest rates depend on whether or not you have the ability to access funds elsewhere, which the SBA calls “credit available elsewhere”:

  • If you have credit available elsewhere: The maximum interest rate will be 8%.
  • If you don’t have credit available elsewhere: The maximum rate will be 4%.

Disaster loan interest rates are fixed, which means that they will stay the same for the life of the loan. Although the above numbers are the maximum, disaster loans often carry lower interest rates, especially for non-profit organizations.

For example, here are the interest rates for businesses in Georgia that were affected by Hurricane Irma:

NO Credit Available Elsewhere Credit Available Elsewhere
Business Loans 3.305% 6.610%
Non-Profit Organization Loans 2.500% 2.500%
Economic Injury Loans — Businesses & Agricultural Co-ops 3.305% N/A
Economic Injury Loans — Non-Profits 2.500% N/A

Loan rates vary based on the disaster and the area. To see the rates in your area, take a look at the fact sheet related to the incident that affected your business.

SBA Disaster Loan Eligibility & Terms

Disaster loans are used to cover costs that aren’t covered by insurance or FEMA. Both for-profit and private non-profit businesses are eligible. Because disaster loans are still loans, the SBA will still be interested in your creditworthiness and ability to repay. Here are the basic eligibility requirements:

  • Must be in a declared disaster area
  • Must have experienced physical or economic damage to your business
  • Must have demonstrated the ability to repay the loan
  • Must have acceptable credit

Eligible applicants can borrow loans with these terms:

  • Most loans have a maximum borrowing amount of $2,000,000, but the amount you are offered depends on need and repayment ability.
  • If you don’t have credit available elsewhere, the loan has a maximum term length of 30 years;, if you do have credit available elsewhere, the maximum term length is seven years.
  • For loans over $25,000, the SBA will require that you pledge any collateral that you have available.

How Disaster Loan Rates Are Determined

Disaster loan rates are determined by these factors:

  • Credit available elsewhere: If you have the ability to access funds from other, non-federal, sources, the SBA will assign you higher interest rates.
  • Type of business or organization: Disaster loans are granted to businesses, private non-profit organizations, small agricultural co-ops, and homeowners. Your interest rate will be dependent on the category you fit into. In general, businesses have the highest interest rates, whereas homeowners have the lowest.
  • Disaster and area: Interest rates differ based on the disaster and area. To see the rates available in your area, take a look at the fact sheet via the SBA’s disaster loan portal.

Where To Find Disaster Loans

You can check whether your business is in a declared disaster area and get your application started via the SBA’s Disaster Loan Assistance page.

The post SBA Loan Rates: A Complete Guide appeared first on Merchant Maverick.


The 7 Best Equity Crowdfunding Sites For Businesses And Entrepreneurs

So, what is equity crowdfunding, anyway?

Let’s start with the term “crowdfunding.” If you’re only loosely familiar with the concept, you might think of GoFundMe’s brand of medical and charitable crowdfunding. You may also think of rewards-based crowdfunding platforms like Kickstarter and Patreon in which entrepreneurs and artists solicit funds from backers in exchange for a physical product or exclusive creative content.

What if I told you that there existed an entirely different form of crowdfunding — one in which entrepreneurs and startups receive funding from backers in exchange, not for gifts or products, but for an equity stake in the company? A crowdfunding campaign in which the backers are investors?

Equity-based crowdfunding got its start later than rewards crowdfunding because crowdfunding involving investments was, until relatively recently, illegal in the US. Enter the Jumpstart Our Business Startups Act, better known as the JOBS Act. Passed by Congress and signed into law by President Obama in 2012, the JOBS Act amended federal securities regulations to legalize equity crowdfunding. The reasoning was that allowing startups to publicly solicit investment via crowdfunding would help spur the economy in general and startup formation in particular.

The various portions of the Act, however, did not immediately come into force. For instance, the provision that allowed the offering of equity investment to non-accredited investors (more on what this means later) wasn’t actually enacted until 2016. Suffice to say, equity crowdfunding is new. In fact, the reality of equity crowdfunding hasn’t yet lived up to the loftier predictions of those who pushed its creation. Nonetheless, the fact remains that billions of dollars have been raised by startups and companies via equity crowdfunding. For the right kind of business, equity crowdfunding represents a prime opportunity.

If your company is still just getting off the ground, however, you might find that rewards crowdfunding is a better fit for your enterprise, considering that investors tend to be less starry-eyed than the typical crowdfunding project backer. In this case, you might want to read our reviews of Kickstarter, Indiegogo, and Patreon. Bear in mind that in many cases, a successful rewards crowdfunding campaign can set you up for an equity crowdfunding campaign by showing proof of demand to potential investors.

Let’s take a look at the leading equity crowdfunding sites and what they have to offer growing businesses.

But First, A Warning

Let’s pump the brakes for a moment and go over the disclaimer I’ve started putting on my equity crowdfunding reviews:

Bear in mind that equity crowdfunding is a still-evolving field, with the full impact of the JOBS Act still being assessed. Equity crowdfunding is a more complex proposition than, say, rewards-based crowdfunding, as investing is much more substantially regulated. Consult an attorney if you have any legal questions regarding the process, SEC regulations, etc.

In short: Equity crowdfunding is legally complex. Be careful and don’t get into trouble!



Crowdfunder (see our review) was launched in Los Angeles in 2012 with a mission to, in the company’s own words, “empower thousands of entrepreneurs to grow high-impact ventures.” The company provides the following figures regarding equity funding services:

  • $160,000,000 in investment commitments on the platform
  • 12,000 individual & institutional investors
  • 36,000 companies
  • Funded 100+ deals with an average deal size of $1.8M

Let’s take a closer look at the equity crowdfunding platform with the hopelessly generic name. (The company shares its name with an unrelated British rewards crowdfunding site.)

Best For…

Crowdfunder is very explicit regarding its target audience:

Crowdfunder is designed for early-stage startups and more mature businesses raising seed stage, Series-A & Series-B funding. Our offering does not cater to inception stage companies at this time.

The platform accepts businesses that fall into a variety of categories including Tech Startups, Social Enterprises, Small Businesses, and Film & Entertainment.

A look through the companies currently campaigning on Crowdfunder reveals more tech companies than anything else, with financial/investment companies a close second.

Products Offered

Crowdfunder allows companies to raise money via Title II equity crowdfunding. For those who aren’t familiar with what I mean, here’s a brief explainer.

Title II equity crowdfunding essentially means your crowdfunding campaign can solicit investment from accredited investors only. An “accredited investor” is defined someone who either has a net worth of $1,000,000 minus the value of their principal residence OR who made more than $200,000 a year for the past three years. The term simply refers to someone with a certain level of wealth/income — it does not denote any particular investment skill.

Title III equity crowdfunding, or Regulation Crowdfunding, means you can solicit investment from anybody — both from accredited investors and those who are not. Title III crowdfunding was legalized more recently than Title II crowdfunding and is currently less widely used. On its website, Crowdfunder explains why it does not currently allow Title III crowdfunding.

With Crowdfunder, all funds are transferred offline, so Crowdfunder doesn’t take a percentage cut of what you raise. And while it won’t cost you anything to create a (non-public) profile on the platform, you’ll need a monthly subscription in order to launch your equity campaign.

  • Crowdfunder’s Starter package, for $299/month, lets you take your profile public and start raising money.
  • The Premium plan, at $499/month, gives you the above while letting you browse and contact the accredited investors on Crowdfunder’s platform. You also get advanced data/metrics and up to one hour per month of phone support.

I’ll note that in addition to equity-based crowdfunding, Crowdfunder lets you raise money via debt, convertible note, or revenue share offerings. Furthermore, Crowdfunder’s funding campaigns are keep-what-you-raise — you don’t have to hit a specific funding goal to collect funds.


Anyone can set up a profile on Crowdfunder’s website, but in order to launch your campaign, you’ll have to prepare and submit three documents: the Term Sheet, the Executive Summary, and the Investor Pitch Deck. These documents are complex, particularly the Term Sheet. Crowdfunder recommends that you work with an attorney when creating your financial offering.

Of course, you’ll also need to buy a monthly subscription before raising funds.

How To Apply

Anyone can set up a profile on Crowdfunder and submit the documents required for taking your campaign public. However, upon reviewing your documents, it’s up to Crowdfunder’s sole discretion to determine whether your business is “high-impact” enough for their platform.


Startups with boundless growth potential, particularly tech and investment startups, stand to potentially raise significant sums through Crowdfunder’s equity crowdfunding platform. While the monthly fees are high, they’ll be worth it if your campaign is successful, as Crowdfunder doesn’t charge a platform fee.

Read our full Crowdfunder review

Visit the Crowdfunder website


Like Crowdfunder, EquityNet (see our review) is an equity crowdfunding site that doesn’t process transactions itself, but rather facilitates offline transactions between campaigners and investors. Founded in Fayetteville, Arkansas in the pre-crowdfunding days of 2005 as a private investment company, EquityNet started offering equity crowdfunding after the enactment of Title II of the JOBS Act.

Best For…

EquityNet markets itself to a broader range of entrepreneurs and businesses than does Crowdfunder. EquityNet states in its FAQ that they are not just a platform for high-tech and high-growth businesses:

EquityNet is designed with flexibility to accommodate all ranges of private businesses, whether it’s an $100M/yr in revenue international biotech company, a pre-revenue one person software start-up, or a modest one-location coffee shop.

Products Offered

EquityNet offers entrepreneurs and businesses the ability to use its equity crowdfunding platform. EquityNet’s equity campaigns operate under Title II rules, so you’ll be raising funds from accredited investors only. You’ll also get to keep everything you raise regardless of whether you hit your funding goal.

Since all funds are transferred offline, EquityNet doesn’t take a cut of what you raise. Instead, EquityNet operates on a subscription basis. You can actually sign up with EquityNet and publish your business profile for free, but if you want to, say, share your business plan with investors (investors typically like to see a business plan before investing in something!), you’ll need one of EquityNet’s three subscription plans.

  • The Full Access package goes for a one-time fee of $900 and gives you full access to the accredited investors on the site. You’ll also get full access to fundraising documents and EquityNet’s patented business planning tools.
  • The Premium Consulting package goes for $2,500 and gives you all of the above, plus access to one-on-one consultations with an EquityNet team member regarding every aspect of your business plan, funding strategy, pitch, marketing, and more.
  • The EquityNet + plan costs a whopping $25,000 and gives you the ultimate hands-on equity crowdfunding package in which the company tailors everything to your exact needs.

Also note that since all transactions between entrepreneurs and investors occur offline, you can theoretically enter into a debt funding arrangement with an investor or even seek a grant. It’s up to you.


Anyone can freely set up a business profile page on EquityNet. However, EquityNet reserves the right to remove profiles for any reason.

Of course, you’ll need a paid subscription if you want to run an equity funding campaign with any likelihood of success.

How To Apply

Just sign up with EquityNet and set up your profile. EquityNet does not pre-screen businesses before allowing them onto the site.


The folks at EquityNet make a point to try to attract a broad range of businesses to their platform. It’s not just for Silicon Valley tech startups and investment funds. And while the premium services cost a pretty penny, they come with one-time charges, not monthly charges. EquityNet is one of the less elitist equity crowdfunding sites out there, and to that, I’ll tip my cap.

Read our full EquityNet review

Visit the EquityNet website



Founded in 2012 and based in Ohio, Fundable (see our review) is an unusual crowdfunding site in it hosts host both rewards and equity crowdfunding campaigns (though not both simultaneously). Think of it as both a Kickstarter-type platform and an equity crowdfunder. Given the subject of this article, however, I’ll be focusing on the equity side.

Best For…

You can raise funds for just about any type of business endeavor on Fundable. When it comes to choosing a rewards campaign or an equity funding campaign, Fundable states that rewards campaigns “are effective for smaller dollar raises (typically below $50,000)” and goes on to describe the target audience for its equity campaigns:

Equity raises are best for companies looking for larger sums of operating capital to move their business forward. Also, some businesses do not have a developed product or service that they can market through a Rewards raise, so offering equity is their best bet for raising funding.

Products Offered

Fundable is another crowdfunding platform that doesn’t take a percentage of what you raise, but rather charges a flat monthly fee to launch a campaign. Fundable offers two subscription packages:

  • The Standard package costs $179/month and gives you data analytics, email support, a guide for marketing your crowdfunding campaign, and marketing outreach templates.
  • The Premium package is available for a one-time payment of $2499. With this package, Fundable puts you in contact with the accredited investors the company believes will be the most receptive to your pitch. Fundable will also provide a list of relevant media contacts so you can better conduct media outreach for your campaign.

As with the previous two companies discussed, all funds transferred in a Fundable equity campaign are transferred offline. You are therefore free to seek a debt-based funding arrangement (or any other type of funding arrangement).


Once you set up your Company Profile in which you detail your company, your proposed campaign, and your funding goals, you’ll have to wait for Fundable to approve your project before you can continue. If you’re approved, you then choose which type of crowdfunding campaign you’d like to run and a subscription package.

How To Apply

Go to Fundable’s website and get started!


Fundable is a flexible crowdfunding platform in terms of what sort of campaign you can launch through the site, and they provide invaluable assistance with media outreach, marketing, and investor contacts at the highest subscription level. Fundable does pre-screen businesses before allowing them to begin fundraising, however, so make sure you have everything in order before you begin the process.

Read our full Fundable review

Visit the Fundable website


Founded in 2010 in San Francisco, AngelList is one of the leading equity crowdfunding platforms. It’s the only crowdfunding site that doubles as a job board for job-seekers trying to find a position with a startup. AngelList distinguishes itself by being the rare crowdfunding platform that lets entrepreneurs/startups raise money free of charge. All fees are paid by investors. Pretty cool, huh?

Best For…

Anybody can sign up with AngelList and attempt to raise money from the accredited investors on the site. However, AngelList doesn’t quite provide the guidance for those looking to crowdfund that many other crowdfunding platforms give you. Their website is much more spartan than the competition, with relatively little information for startups as to how you launch your campaign. Be prepared to do some research.

Products Offered

AngelList doesn’t offer any subscription packages with special features. You just sign up with AngelList on the website, and once you’ve completed your profile, you can launch your Title II crowdfunding campaign and get in touch with accredited investors.

Companies using AngelList raise money through investment syndicates. It’s an investment arrangement that differs from that of the other crowdfunding sites I’ve detailed today. Essentially, accredited investors give money to “angel” investors who then invest the pooled money into companies on the platform.

Keep in mind that though you won’t have to pay a monthly charge or a cut of what you raise to AngelList, that doesn’t mean there are no costs associated with running an equity campaign. The process of arranging an equity deal with investor syndicates on AngelList will cost you money due to paperwork, legalities, etc.


There are no particular requirements for a company looking to establish a profile on AngelList. Of course, in order to actually raise any money, your plan of action must be formidable enough for AngelList’s syndicates to take an interest in you, so this platform isn’t for just anybody.

How To Apply

Create a startup profile on AngelList’s website and start kissing angel investor butt! (Or use any other technique you find effective)


AngelList is a more freewheeling platform than some of the others discussed here, and the complexities involved in working out deals with investor syndicates may seem daunting to the first-time entrepreneur. However, AngelList has an excellent public reputation and is highly rated by those who have used the platform to conduct equity raises, many of whom have used multiple equity crowdfunding sites.

Visit the AngelList website



WeFunder (see our review) differs fundamentally from the other services I’ve mentioned. Every site I’ve mentioned thus far deals in Title II crowdfunding (accredited investors only) and not Title III (anyone can invest). Wefunder, founded in 2012 and based in Cambridge, MA, is the most successful crowdfunding platform to use Title III equity crowdfunding, or Regulation Crowdfunding. In fact, with over $50 million raised thus far, Wefunder comprises 50% of the market share in the Regulation Crowdfunding industry.

Best For…

Of the 174 companies that have been successfully funded through Wefunder, the company states that “Most are alumni of Y Combinator.” That should tell you something about the sort of company to whom Wefunder is best suited. The rare startup with exponential growth potential stands a decent chance of finding funding through the platform. Other businesses may have a tougher time of it. I’ll note that tech and food companies seem to comprise the majority of funded startups on Wefunder.

Only US corporations and LLCs can use Wefunder for crowdfunding.

Products Offered

Wefunder offers the use of its equity crowdfunding platform through which you can raise anywhere from $20,000 to $1,070,000. You’ll have to pay a $195 fee before you can start crowdfunding, and if you’re successful in reaching your funding goal (Wefunder is an all-or-nothing crowdfunding site), Wefunder will take 7% of what you raised as a platform fee. Take that into account when setting your funding goal.


There are no particular requirements for joining Wefunder. The company prescreens applicants for fraud and to make sure your startup complies with the rules, but that’s about it.

How To Apply

Go to Wefunder’s website, sign up and fill out your business profile, and wait to hear back from the company.


Wefunder is the industry leader in Regulation Crowdfunding and can take the right kind of high-growth startup to funding success. Regulation Crowdfunding hasn’t yet been the boon some hoped it would be, but Wefunder is one of the few companies thus far to truly make it work.

Read our full Wefunder review

Visit the Wefunder website



SeedInvest (see our review) was founded in 2012 just as the JOBS Act was being signed into law. In fact, founders Ryan Feit and James Han were part of the movement to get the Act passed in the first place. Like Wefunder, they offer Regulation Crowdfunding, opening up investing to the masses.

Best For…

By their own estimation, SeedInvest has approved only 1% of the companies who have applied to use their platform. SeedInvest is an exclusive platform and they don’t care who knows it. Tech companies seem to dominate the list of offerings on SeedInvest’s site.

I’ll note that while many crowdfunding sites refuse to have anything to do with cannabis-related companies, SeedInvest appears not to be one of them. “Green” startups, take note!

Products Offered

Wefunder offers up the use of its equity crowdfunding platform to the lucky few who survive the vetting process. Per the FAQ, this is what SeedInvest offers to those who get through:

  • Simplify and speed up your fundraising process
  • Access a network of accredited investors from around the world
  • Host virtual fundraising sessions from your desk
  • Streamline investor pitches, execution of legal documents, and processing of investments

Unfortunately, SeedInvest’s fees are complex and depend on your specific offering type:

  • 7.5% placement fee; charged on the total amount raised on SeedInvest in the round, paid only upon the successful completion of your offering.
  • 5% warrant coverage or equity; based on the total amount raised on SeedInvest in the round.
  • Up to $0 – $10,000 in due diligence, escrow, marketing and legal expense reimbursements.

Though the fees are considerable, one advantage of SeedInvest is that you can raise up to $30 million on the platform.


SeedInvest doesn’t lay out specific criteria for making it onto its site, but remember that only 1% of applicants survive SeedInvest’s extreme vetting process. You’d better have done your homework!

How To Apply

Go to SeedInvest’s website, sign up for an account, fill out your project information, and wait to see if you’ll be accepted into the 1%.


To state the obvious, SeedInvest isn’t for everybody. Only the startups with the highest growth potential need apply. If this is you, SeedInvest may be worth investigating.

Read our full SeedInvest review

Visit the SeedInvest website


microventures review

Founded in 2009 and based in Austin, MicroVentures (see our review) is another example of a Regulation Crowdfunding platform. You should know what that is by now if you’ve been paying attention!

MicroVentures states that “(t)he sweet spot for our platform is companies or startups that need $150,000 to $1,000,000 in capital.” Thus far in their lifetime, MicroVentures has facilitated the raising of over $100 million for high-growth startups. Let’s take a closer look at them.

Best For…

According to MicroVentures, the following industries are its main areas of investment:

  • Internet technology
  • Media and entertainment
  • Software
  • Green technology
  • Mobile
  • Social
  • Gaming

MicroVentures goes on to describe the sort of company that best fits the platform:

MicroVentures looks for businesses that have a unique idea or a new spin on an old technology. We review the team, traction, market size and other factors to determine if the company will be a good fit for our platform. Additionally, we believe in accountability to the business (or concept), which is one reason we seek to identify firms whose founders already have invested their own capital in their business.

Products Offered

MicroVentures offers equity crowdfunding with the following fees:

  • $99 application fee
  • $250 due-diligence fee
  • 5% of what you raise

MicroVentures is an all-or-nothing crowdfunding site. If you raise some money but fail to meet your funding goal by the time your campaign ends, you’ll get nothing and like it.


MicroVentures doesn’t spell out any specific requirements to meet in order to be approved to start crowdfunding, but they do state the following:

We review every company that is submitted but we are only able to respond to the ones that we think will be successful on our platform. This is less than 5% of the companies that submit so please include as much detail as possible for us to evaluate.

So, 5% of applying businesses get through. That’s better than SeedInvest’s 1%, but it’s still a high bar to clear!

How To Apply

Sign up for a MicroVentures account, fill out the application for an offering, and submit it.


MicroVentures has a solid reputation in the industry. They offered investments in Facebook and Twitter before each went public. For the 5% of startups that, in MicroVentures’s estimation, have that kind of growth potential, this equity funding site holds great promise indeed.

Read our full MicroVentures review

Visit the MicroVentures website

Final Thoughts

Equity crowdfunding has only been around for a few years. Suffice to say, it is a work in progress. If you play your cards right, however, it might be just the thing to take your startup to the next level. If you’ve done your due diligence in preparing your offering and you possess the ability to excite investors, professional and amateur, then it’s certainly an avenue worth exploring.

The post The 7 Best Equity Crowdfunding Sites For Businesses And Entrepreneurs appeared first on Merchant Maverick.


The Best Business Credit Cards For Travel

It can be really hard to be a road warrior. Frequent business travelers have to constantly endure the hassles of modern travel, including security lines, flight delays, and cramped airline seats, but they do it because it’s necessary to build and maintain client relationships or to further other company goals.

If there’s one tool that can make business travel a lot easier for you and your employees, it’s a small business card. The right small business credit card can offer travelers incredibly valuable benefits. For example, some cards will offer credits towards the Global Entry or TSA PreCheck applications, allowing you to skip the lines at security and immigration. A small business credit card can also grant you priority boarding, a free checked bag, and other airline perks. Finally, small business credit cards can offer you valuable points or miles that can be redeemed for travel rewards by you, your family, or even your employees.

Choosing The Right Small Business Card For Travel

The credit card industry is competitive, and there are many cards targeted at business travelers. To select the right card for your needs, you have to decide which features and benefits will be most valuable to you.

Travelers who are loyal to a particular airline will certainly appreciate the brand specific perks offered by hotel and airline credit cards. However, the reward miles you earn can only be redeemed for flights on that airline and its partners. And unfortunately, airlines have a habit of regularly adjusting their award charts to make their miles less valuable. Likewise, a hotel rewards credit cards can offer benefits such as room upgrades, late checkouts, and even free breakfast. But once again, the rewards you earn can only be used within that hotel chain.

Those who consider themselves “free agents” will often prefer the non-affiliate credit cards. Many of these travel reward cards offer points that can be transferred to airline miles or hotel points with several different programs, or can be used to book travel reservations directly with the card issuer’s designated travel agency.

Co-Branded Business Cards

Credit cards that are co-branded with airlines and hotels can offer the best travel benefits. For example, airline credit cards offer benefits — like priority boarding, free checked bags and credit towards elite status — when you travel on a certain carrier.


JetBlue Business Card from Barclaycard
Annual Fee $99
APR Variable, 17.24% or 21.24%
Signup Bonus 30,000 points
Rewards 6 pts./$1 spent on JetBlue purchases
2 pts./$1 spent at restaurant and office supply stores
1 pt./$1 on all other purchases
Visit Site

JetBlue has attracted a loyal following among business travelers who appreciate its low prices, great service, and strong rewards program. This card offers new applicants 30,000 bonus points after spending $1,000 on new purchases within 90 days of account opening. You also earn 6x points on JetBlue purchases, 2x points at restaurants and office supply stores and one point per dollar spent elsewhere. Rewards don’t expire, and there are no blackout dates with this program.

Benefits include 10% of your points back every time you redeem, and the first bag checked free for yourself and up to three companions. You’ll be given 5,000 bonus miles each year on your account anniversary. You also receive TrueBlue Mosaic elite status when you use your card to spend $50,000 or more in a calendar year and a 50% savings on in-flight food and beverage purchases. There’s a $99 annual fee for this card and no foreign transaction fees.

Delta SkyMiles Reserve Card from American Express
Annual Fee $450
APR Variable, 16.99% 25.99%
Signup Bonus 40,000 miles
10,000 Medallion® Qualification Miles
Rewards 2 pts./$1 for Delta purchases
1 pt./$1 on all other purchases
Visit Site

This card offers several exclusive benefits when flying on Delta. You start with the chance to earn 40,000 bonus miles and 10,000 Medallion® Qualification Miles (MQMs) after you make $3,000 in purchases on your new card within three months of account opening. This card also offers you 2x miles on all Delta purchases and one mile per dollar spent elsewhere. The Miles Boost gives you the chance to earn 15,000 MQMs and 15,000 bonus miles after you spend $30,000 within a calendar year, and another 15,000 MQMs and 15,000 bonus miles once you reach a total of $60,000 in spending during the same year.

Other benefits include complimentary Delta SkyClub access, priority boarding, and a 20% savings on in-flight saving purchases. You also receive a companion certificate each year (upon renewal) that’s good for a free companion ticket (not including taxes) on a round-trip flight in economy or business class within the contiguous 48 states. Finally, this card offers you upgrade priority over other travelers with the same Medallion status who aren’t cardholders. There’s a $450 annual fee and no foreign transaction fees.

United MileagePlus Club Business Card from Chase
Annual Fee $450
APR Variable, 17.24% – 24.24%
Signup Bonus 40,000 miles
Rewards 2 pts./$1 for United purchases
1.5 pts./$1 on all other purchases
Visit Site

This premium travel rewards card offers both impressive rewards and benefits when traveling on United. New applicants receive a $100 statement credit after their first purchase and earn 2x miles on all United Airlines purchases. But one of the things that makes this card truly remarkable is the 1.5x miles earned on all other purchases — 50% more than you’ll get from any other airline credit card.

This card also comes with a variety of cardholder benefits that are equal to or better than most other airline cards. First, you receive a United Club airport lounge membership that’s valid for yourself and your immediate family, or up to two guests. When traveling, you also receive Premier Access travel services, which includes priority check-in, security screening, boarding and baggage handling. You’ll get two free checked bags for yourself and a traveling companion, as well as expanded award availability, a waiver of close-in award booking fees on United tickets, and the ability to receive Premier upgrades on award tickets.

Other travel benefits include Discoverist Status with Hyatt and President’s Circle Elite status with Hertz car rentals. There’s a $450 annual fee and no foreign transaction fees.

CitiBusiness® / AAdvantage® Platinum Select® World Mastercard®
Annual Fee $95 ($0 the first year)
APR Variable, 16.99% – 24.99%
Signup Bonus 60,000 miles
Rewards 2 pts./$1 for American Airlines purchases, gas stations, and some phone and car rental services
1 pt./$1 on all other purchases
Visit Site

This small business card offers strong benefits when traveling on American Airlines. You start with the chance to earn 60,000 bonus miles after you spend $3,000 in purchases within three months of account opening. You also earn 2x miles on all American Airlines purchases and one mile per dollar spent elsewhere.

Benefits include preferred boarding, a free checked bag, and a companion certificate each year when you use your card to spend $30,000 or more. There’s a $95 annual fee for this card (waived the first year) and no foreign transaction fees.

Starwood Preferred Guest Business Card from American Express
Annual Fee $95 ($0 the first year)
APR Variable, 16.49% 20.49%
Signup Bonus 25,000 points
Rewards 5 pts./$1 spent at eligible SPG hotels
2 pts./$1 spent at eligible Marriott hotels
1 pt./$1 on all other purchases
Visit Site

This small business card has a loyal following among award travel enthusiasts, primarily due to the strength of the Starwood Preferred Guest program. New cardholders can earn 25,000 bonus points after spending $5,000 on new purchases within three months of account opening. This card offers up to five points per dollar spent at Starwood hotels, 2x points at participating Marriott Rewards hotels, and one point per dollar spent elsewhere.

Points can be redeemed for free nights at Starwood and Marriott Rewards properties or can be converted to miles with over 30 different frequent flyer programs. When you redeem four consecutive award nights, you get the fifth night free, and if you transfer 20,000 points to miles, you get a 5,000-mile bonus. Other benefits include free access to the Sheraton Club lounges and a chance to earn Gold Elite status by spending $30,000 on your card in a calendar year. There’s a $95 annual fee (waived the first year) and no foreign transaction fees.

Hilton Honors American Express Business card
Annual Fee $95
APR Variable, 16.99% – 25.99%
Signup Bonus 100,000 points
Rewards 12 pts./$1 spent at Hilton hotels and resorts
6 pts./$1 spent on gas stations, wireless phone services, shipping, restaurants, flights booked via AmexTravel.com, and car rentals
3 pts./$1 on all other purchases
Visit Site

This card offers up to 100,000 Hilton Honors points as a sign-up bonus, and complimentary Gold status. New accounts can earn 75,000 bonus points after spending $3,000 within three months of account opening, and another 25,000 points after spending an additional $1,000 within the first six months. You also earn 12x points for purchases from Hilton hotels and resorts, and 6x points for purchases at US gas stations, on wireless telephone services from US service providers, and on US purchases for shipping. You also earn 6x points at US restaurants, on flights booked through AmexTravel.com, and on rental cars booked directly from select rental car companies.

Benefits include complimentary Gold elite status (room upgrades, points bonuses, and even free breakfast at some properties). You can upgrade to Diamond status after using your card to spend $40,000 in a calendar year. You also get a free weekend night reward when you spend $15,000 on your card during a calendar year, and a second weekend night reward when you reach 60,000 in purchases within the same calendar year. You’ll receive 10 free Priority Pass airport lounge visits valid at over 1,000 locations around the world. There’s a $95 annual fee for this card (waived the first year) and no foreign transaction fees.

Unaffiliated Business Cards

Credit cards that aren’t affiliated with specific travel providers offer much more flexible travel rewards and benefits, while lacking perks with specific airlines and hotels.

Ink Preferred Card from Chase
Annual Fee $95
APR Variable, 17.24% – 22.24%
Signup Bonus 80,000 points
Rewards 3 pts./$1 for travel; shipping; internet, cable, and phone; and social media and search engine advertising (up to $150,000 per year)
1 pt./$1 on all other purchases
Visit Site

This card offers you valuable Ultimate Rewards points and numerous cardholder benefits. New accounts can earn 80,000 bonus points after spending $5,000 on purchases within three months of account opening. You also earn 3x points on your first $150,000 spent each account anniversary year in combined purchases on travel, shipping purchases, Internet, cable and phone services, and on advertising purchases made with social media sites and search engines. You also earn one point per dollar spent elsewhere.

Points are earned in Chase’s Ultimate Rewards program and can be redeemed for 1.25 cents towards travel reservations booked through Chase. Or, you can convert your points to miles with nine different airline programs or points with four different hotel programs. Other benefits include trip cancellation and trip interruption insurance, cell phone protection, purchase protection and extended warranty coverage. There’s a $95 annual fee for this card and no foreign transaction fees.

American Express Business Platinum
Annual Fee $450
APR Charge card, no interest
Signup Bonus 75,000 points
Rewards 5 pts./$1 spent on flights and prepaid hotels booked via AmexTravel.com
1.5 pts./$1 spent on purchases of $5,000 or more
1 pt./$1 on all other purchases
Visit Site

The business version of American Express’s premium rewards card offers many valuable cardholder benefits. New applicants receive up to 75,000 bonus points, including 50,000 points after spending $10,000 within three months of account opening and another $25,000 points after spending an additional $10,000 during the same three month period. You also earn one point per dollar spent on all purchases, with a 50% bonus on purchases greater than $5,000. Points can be redeemed for travel reservations with a 35% bonus on airline reservations. You can also convert your points to miles with 16 different frequent flyer programs.

Benefits include a $200 annual airline fee credit and a $100 credit towards the application fee for the Global Entry or TSA PreCheck applications. You also receive access to the Delta SkyClubs lounges, Priority Pass Select lounges, and American Express Centurion lounges. There’s a $450 annual fee for this card and no foreign transaction fees.

American Express Blue Business Plus
Annual Fee $0
APR Variable, 12.49% – 20.49% (0% APR for the first 15 months)
Signup Bonus None
Rewards 2 pts./$1 spent on all purchases (up to $50,000 per year)
1 pt./$1 on purchases after $50,000
Visit Site

This is a simple card that substitutes superior rewards for other cardholder benefits. You earn 2x rewards on all purchases up to $50,000 per calendar year. Points are earned in the same Membership Rewards program that the Platinum card offers, but this card has no annual fee. It still comes with cardholder benefits such as extended warranty coverage and a purchase protection plan. However, it does have a 2.7% foreign transaction fee.

Spark Miles Card from Capital One
Annual Fee $95 ($0 the first year)
APR Variable, 18.24%
Signup Bonus 50,000 miles
Rewards 2 miles/$1 on all eligible purchases
Visit Site

This is a straightforward travel rewards card, offering miles you can redeem for any travel reservation. New accounts receive 50,000 bonus miles, worth $500 in travel, once you spend $4,500 on new purchases within three months of account opening. You earn 2x miles on every purchase, with no limits. To redeem your miles, simply purchase travel the way you normally would, and then use your miles for one cent each as statement credits.

Benefits include purchase protection and extended warranty coverage as well as numerous travel and shopping discounts offered by the Visa Signature program. There’s a $95 annual fee for this card (waived the first year) and no foreign transaction fees.

The post The Best Business Credit Cards For Travel appeared first on Merchant Maverick.


The 5 Best Fora Financial Alternatives For Business Funding

fora financial logo

Fora Financial (read our review) is one of the more reliable online lenders in the business. While they don’t necessarily excel in any one area, they do provide short-term loans and merchant cash advances at fairly reasonable (for the industry) rates and are willing to work with new businesses. If Fora doesn’t sound like your cup of tea, what other options are available?

Here are some business funding alternatives to Fora Financial.

Square Capital

Best for…

Square customers looking for small loans with low rates


Time in business: N/A
Credit score: N/A
Revenue: $10K/yr

Square (read our review) isn’t primarily known for loans, but they do offer some of their point of sale hardware customers loans ranging in size from $500 to $100,000.

These loans come at lower rates (1.1 – 1.16) than you’ll probably get from Fora, and Square’s payment processing infrastructure makes it easy to set up the automated repayment process. If you’re looking for convenience and don’t mind your payment services company also being your lender, it’s a pretty good deal.

How To Apply For A Square Capital Loan

Unfortunately, the process for determining who is eligible for a Square Capital loan is a bit opaque. Rather than apply at your leisure, Square will, at their leisure, send email notifications to qualifying customers. That means that you may not qualify for funding through Square Capital when you need it.

If you do receive an offer, the process is extremely easy. You decide how much you want from the options offered, then Square will use the information they already have on file to process your application. In some cases they may ask for additional documents.


It’s best to consider Square Capital as a perk that comes with being a Square customer.



Best for…

New businesses looking for a transparent lender


Time in business: 6 months
Credit score: 500
Revenue: $15K/yr + avg. daily balance over $1K for expansion loans

It can be hard for new businesses to get funding right out of the gate. One of the nice things about Fora is that they’re willing to work with businesses that have been around for only three months.

Credibly (read our review) isn’t quite so lenient, but they are willing to work with businesses that have only been in business for six months. Like Fora, Credibly offers some variety in their financial products, although they’re more focused on installment loans than merchant cash advances. Expect slightly more stringent lending guidelines than you will find with Fora.

One nice aspect of Credibly is that they’re more transparent than most of their competitors, making it a little easier to know what you’re getting into. Credibly’s rates are comparable to Fora’s, falling between 1.09 and 1.36.

How To Apply For A Credibly Loan

You can begin your Credibly application online on their website. This is essentially a screening process. If you make the cut, you’ll be contacted by a representative who will prompt you to provide the following information:

  • Business lease or mortgage agreement
  • Picture ID of all owners
  • Business tax returns
  • Bank statements for the last three months
  • Basic personal information including Social Security number


Credibly’s easy qualifications and above-average transparency make it a decent choice for new businesses without a lot of options.

Breakout Capital


breakout capital

Best for…

Businesses looking for a flexible funder


Time in business: 1 yr / NA(invoice factoring)
Credit score: 600/ NA (invoice factoring)
Revenue: $10K/month / NA (invoice factoring)

Breakout Capital (read our review) offers a number of short-term funding solutions for new businesses. In fact, flexibility is one of their biggest draws.

Breakout’s loans operate on a principle similar to a line of credit, making it easy to tap additional funding in the future without racking up punishing fees or double-dipping. While Breakout’s rates are still on the high side — as are those of most online lenders — the company takes pains not to pull too many unexpected fees or terms of service changes.

They also offer a niche form of financing that can be useful to businesses that want to borrow against their unpaid invoices. Invoice factoring allows businesses to sell unpaid invoices to a lender at a discount. Rather than owing interest, you’ll sign over your invoices to Breakout, who will then advance you a percentage of the invoice’s worth. The advantage here is that you can bypass credit checks and similar prerequisites. You just need to have invoices to sell. Note that Breakout doesn’t provide invoice factoring in-house, but rather partners with invoice factoring companies to offer the service.

How To Apply For A Breakout Capital Loan

You can fill out a truncated application at Breakout Capital’s website, or bypass that part and contact them by phone. Expect to have to provide documents that establish your identity, your business’s details, and your revenue. Breakout will then determine which of their products you qualify for.


Breakout is a great option for businesses that need flexible lending. Both their lines of credit and invoice factoring give you control over when and if you want to tap your credit resources. This freedom comes at a premium, however.

Street Shares


Best for…

Profitable businesses with decent credit, businesses looking for a line of credit


Time in business: 1 year, some exemptions for 6 months
Credit score: 620
Revenue: $100K (for 6 month consideration)

Street Shares (read our review) may sound like an arcade game, but they’re actually among the more conservative online lenders, offering installment loans and lines of credit.

The credit requirements here are a bit higher than many of their competitors, but businesses with good credit can take advantage of Street Shares’ lower rates and weekly (rather than daily) repayment process.

Profitable companies should take special notice as Street Shares will work with companies that are less than a year old, provided they’ve earned $100,000 in revenue at the time of application.

Street Shares charges interest just like a bank loan. You’re looking at APRs between 7 – 39.99%.

How To Apply For A Street Shares Loan

Like most online lenders, Street Shares lets you begin your application on their website. There you can submit some basic information about yourself, your business, and the financial products you’re interested in.

If you’re approved, you’ll be contacted by a representative and asked to provide additional information. The documents will vary depending on the product (if you’re provided with multiple loan offers, you can decide between them).


Street Shares is a little harder to qualify for than some of the other options here, but their competitive rates and the flexibility of their products make them a good choice for businesses that can make the cut.



bluevine logo

Best for…

New companies needing a flexible lending plan


Time in business: 3 – 6 months
Credit score: 530 – 600
Revenue: N/A

BlueVine (read our review) operates in a similar niche to Breakout capitals, offering both lines of credit and invoice factoring. Note above that the lower “time in business” and “credit score” requirement ranges are for invoice factoring, while the higher ones are for lines of credit. The line of credit product isn’t available to businesses based in Kentucky, Tennessee, Nevada, Vermont, New Hampshire, or either of the Dakotas.

BlueVine only assesses a fee (1.5%) on their lines of credit when you draw upon them, but you’ll want to make sure you pay them off quickly. Interest accumulates weekly at a rate of 0.3% to 1.5% (this is not an APR).

BlueVine does their invoice factoring in-house. If you choose to use this service, they’ll set up an account that will receive your invoice payments from B2B transactions. When you receive an invoice, you can then decide whether or not you want an advance on it. If you choose to, Bluevine will advance you between 85% – 90% of its value. When the invoice is paid, you’ll get a rebate on the remaining amount, minus any accumulated fees.

How To Apply For A BlueVine Loan

You can begin the application on BlueVine’s website by creating an account and answering some questions about your business. You’ll then have to provide read-only access to your bank account or three months worth of bank statements. You can create invoices in BlueVine’s interface or connect your QuickBooks, Xero, or FreshBooks account.

In addition to the usual information like income and creditworthiness, BlueVine also considers your transaction volume and advertising strategy.


New businesses that haven’t had much time to establish themselves, but have good fundamentals, can find a lot of flexibility with BlueVine.

Final Thoughts

Alternative lending is a highly competitive market with a huge number of options for businesses looking for non-traditional sources of funding. Finding a lender that will meet your needs at a reasonable rate can take some work, but it’s worth the effort.

Need more information? Check out our small business loan comparison.

The post The 5 Best Fora Financial Alternatives For Business Funding appeared first on Merchant Maverick.


Top 10 QuickBooks Capital Alternatives

Top Alternatives To QuickBooks Capital

QuickBooks Capital (see our review) is a brand new lending feature designed for QuickBooks Online (see our review) 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

Top Alternatives To QuickBooks Capital

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.

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:

Borrowing amount: $20K – $500K
Term length: 1 – 4 years
Origination fee: Up to 5%
APR: 7.99% – 29.99%
Collateral:  Personal guarantee, UCC-1 blanket lien

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

Borrowing amount: $20K – $100K
Term length: 18 months
Additional fees: $500 closing fee
2% draw fee
APR: 7.99% – 29.99%
Collateral:  Personal guarantee, UCC-1 blanket lien

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.


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 complete Fundation review to learn more.

Visit the Fundation Site

2. SmartBiz

Top Alternatives To QuickBooks Capital

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.

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:

Borrowing amount: $30K – $350K
Term length: 10 years
Interest rate: Prime rate + 3.75% (loans of $30K – $49K)
Prime rate + 2.75% (loans of $50K – $350K)
Other fees: Referral fee: 2%
Packaging fee: 2%
Guarantee fee: 0% – 2.25%
Bank closing costs: ~$450
APR: 5.85% – 8.95%
Collateral: Personal guarantee
Lien on business assets

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

Borrowing amount: $500K – $5M
Term length: 25 years
Interest rate: Prime rate + 1.5% – 2.75%
Other fees: Referral fee: 0.5%
Packaging fee: 0.5%
Guarantee fee: 2.25% – 2.75%
Bank closing costs: ~$5K
APR: 5.85% – 8.95%
Collateral: Personal guarantee
Lien on the real estate

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.


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. If you’re interested in learning more about SmartBiz, read our full SmartBiz review.

Visit the SmartBiz Site

3. StreetShares

Top Alternatives To QuickBooks Capital
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.

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:

Borrowing amount: $2K – $100K
Term length: 3 – 36 months
Interest rate: About 6% – 14%
Closing fee: 3.95% or 4.95%
APR range: 7% –  39.99%

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

Borrowing amount: $5K – $100K
Draw term length: 3 – 36 months
Interest rate: About 6% – 14%
Draw fee: 2.95%
APR range: 7% –  39.99%

Here are the rates for StreetShare’s  contract financing:

Credit facility size: Max $500K per invoice
Advance rate: Up to 90%
Discount rate: Varies
Max overdue account: 180 days
Additional fees: None
Contract length: N/A
Monthly minimums/maximums: None
Factor all invoices: No
Recourse or non-recourse: Non-recourse
Notification or non-notification: Notification

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.


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. Check out our complete StreeShares review for more details.

Visit the StreetShares Site

4. OnDeck

Top Alternatives To QuickBooks Capital

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 (see our review) 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 credits, and payments are made daily or weekly.

To qualify for an OnDeck loan, you must have been in business for twelve months, have a credit score of 500 or higher, and have an annual revenue of $100K.

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

Borrowing amount: $5K – $500K
Term length: 3 – 36 months
Factor rate: x1.003 – x1.04 per month
Origination fee: 2.5% – 4%
Effective APR: Learn more
Collateral: UCC-1 blanket lien, personal guarantee

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

Borrowing amount: $6K – $100K
Draw term length: 6 months
Draw fee: None
Maintenance fee: Typically $20/month
APR range: Starts at 13.99%
Collateral: Personal guarantee

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.


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 to learn more.

Visit the OnDeck Site

5. Breakout Capital

Top Alternatives To QuickBooks 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 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.

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/mo in revenue.

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

Borrowing Amount: Up to $250,000
Term Length: Up to 24 months
Factor Rate: 1.25% to 3.5% per month
Origination Fee: 2.5%
Effective APR: Learn more
Collateral: Blanket lien and personal guarantee

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.


Breakout Capital can be good option for small businesses looking for short-term financing. Read our full Breakout Capital review to see if this QuickBooks Capital alternative is right for you.

Visit the Breakout Capital Site

6. BlueVine

Top Alternatives To QuickBooks Capital

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 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.

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 monthly revenue of $10K. 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 monthly revenue of $10K (some states are not supported).

Here are the rates for BlueVine’s invoice factoring:

Credit facility size: $20K – $5M
Advance rate: 85% – 90%
Discount rate: 0.3% – 1% per week
Max overdue account: 13 weeks (91 days)
Additional fees: $15 wire transfer fee (no charge for ACH transfers)
Contract length: N/A
Monthly minimums: No
Factor all invoices: No
Recourse or non-recourse: Recourse
Notification or non-notification: Both (see below)

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

Credit facility size: $6K – $200K
Term length: 6 or 12 months
Interest rate: 0.3% – 1.5% per week
Draw fee: 1.5% per draw
APR: 15% – 78%
Personal guarantee: Yes

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.


While BlueVine may not have the cheapest rates, it does have some of the lowest borrowing requirements. If you’re interested in learning more about this financing option, read our full BlueVine review.

Visit the BlueVine Site

7. Fundbox

Top Alternatives To QuickBooks Capital

Best For… 

Microbusinesses 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.

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):

Credit facility size: Up to $100K
Advance rate: 100%
Advance fee: 0.4% – 0.7% per week
Term length: 12 or 24 weeks
Additional fees: None
Contract length: N/A
Monthly minimums: No
Factor all invoices: No
Recourse or non-recourse: Recourse
Notification or non-notification: Non-notification

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

Borrowing Amount: $1K – $100K
Term Length: 12 weeks
Borrowing Fee: 0.5% – 0.7% per week
Draw Fee: None
Effective APR: 12% – 54%

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 factoring, 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.


Fundbox is a great option for startups and small businesses looking for an invoice factoring solution or a line of credit. Read our complete Fundbox review for more details.

Visit the Fundbox Site

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).

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:

Borrowing amount: $1K – $97K (first loan)
$1K – $125K (subsequent loans)
Term length:  Max. 18 months
Factor rate: Approx. x1.01 – x1.58
Origination fee: None
Effective APR: Learn more
Collateral: None

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.


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.

Visit the PayPal Working Capital Site

9. Funding Circle

Top Alternatives To QuickBooks Capital

Best For…

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

Products Offered

  • Installment loans

Founded in 2010, Funding Circle 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.

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:

Borrowing amount: $25K – $500K
Term length: 6 months – 5 years
Interest rate: 4.99% – 26.99%
Origination fee: 0.99% – 6.99%
APR: 7.4% – 36%
Collateral: Personal guarantee, lien on business assets

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.


Funding Circle is a good fit for large business or enterprises that are established. Startups and small businesses will be better off with any other lender from this list. To learn more about Funding Circle, read our complete Funding Circle review.

Visit the Funding Circle Site

10. Lending Club

Top Alternatives To QuickBooks Capital

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).

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 of tax liens.

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

Borrowing amount: $5,000 – $300,000
Term length: 1 – 5 years
Interest rate: 5.9% – 25.9%
Origination fee: 0.99% – 6.99%
APR range: 9.77% – 35.71%
Collateral: Personal guarantee
Blanket lien on loans above $100,000

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.


Lending Club can be a great option for businesses of many sizes. Learn more about Lending Club and it competitive terms in our complete Lending Club review.

Visit the Lending Club Site

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 credits are good for consistent cash flow, unexpected expenses, and time-sensitive business opportunities.

To learn more about financing option, 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.

The post Top 10 QuickBooks Capital Alternatives appeared first on Merchant Maverick.


5 Great LoanBuilder Alternatives For Small Businesses

PayPal’s LoanBuilder offers an unusually high level of transparency to prospective borrowers, allowing them to see — and even tinker with — the terms of their loans well in advance of signing on the dotted line.

This is a welcome trait in an industry where speed and low barriers to entry take precedence over openness and affordability.

As we often warn in our reviews, however, it’s a good idea to compare as many different products as you can to get the best deal you can.

So what are some alternatives to LoanBuilder for small business?

Square Capital

Best for: Square customers looking for small loans with low rates

Square, a company known more for point of sale hardware and software, also offers an alternative lending service to its clients. That last bit will probably be a major deciding factor for most of the people reading this: to get a loan from Square Capital you have to already be an existing Square customer.


Time in business: N/A
Credit score: N/A
Revenue: $10K/yr

If you’re a Square customer, you may periodically get funding offers from the company by email. This passive approach to lending won’t suit everyone, but Square does offer some of the lowest short-term loan rates in the business (between 1.1 and 1.16). If you accept the offer, you’ll have up to 18 months to repay the loan. Micropayments are deducted from your daily credit card sales until you’re paid up. You can borrow between $500 and $100,000.

This arrangement may not be for everyone, of course. A lot of the advantages come from being heavily integrated into the Square environment — their credit card processing service makes it easy for them to collect on their debt. You may not be comfortable owing debt to the company that also handles your point of sale.


Best for: Businesses looking for a transparent alternative lender, businesses looking for medium-term loans

If you’re attracted to LoanBuilder’s transparency but want an alternative, you may want to give Credibly a look. Credibly offers a bit more diversity in their loans than most alternative lenders, providing not just short-term, but more traditional medium-term loans. You can find most of the information you need to make an informed comparison on their website.


Time in business: 6 months
Credit score: 500
Revenue: $15K/yr + avg. daily balance over $1K for expansion loans

Compared to LoanBuilder, you’re probably looking at higher rates (between 1.09 and 1.36), especially if you don’t have great credit, but you’ll have a little more leeway with term lengths. Consider whether the tradeoff is worth it before you commit to anything.


Best for: Businesses looking for low rates

This addition to the list probably won’t be a big surprise to anyone familiar with the alternative lending industry. If you’ve been looking for loans online, there’s a good chance you’ve come across OnDeck.


Time in business: 12 months
Credit score: 500
Revenue: $100K/yr

As one of the early arrivals to the alternative lending scene, OnDeck’s had a lot of time to hone their products and offer competitive rates. These extremely low rates (1.003 – 1.04) come at the cost of some additional charges, namely a fairly high origination fee, but you’re still likely to land a better deal here than with many other alternative lenders. Additionally, OnDeck offers lines of credit for companies that want the flexibility.

You won’t find quite the same level of transparency here as you will with LoanBuilder, though the company’s website should give you a decent sense of what types of fees to expect.


Best for: Businesses looking for equipment financing and transparency

SnapCap flies under the radar compared to some of the other funders on this list, but they still deserve an honorable mention. Like Credibly, their rates are a little higher, particularly for borrowers with bad credit.



Time in business: 1 year
Credit score: 500
Revenue: $100K/yr

On the other hand, you’ll be able to find a lot of the information you’re looking for upfront, with only a little digging around SnapCap’s website. While they wouldn’t be my first choice for unsecured loans, SnapCap also offers secured financing in the form of equipment loans. This is where they’re most likely to stand out to prospective borrowers.


Best for: Companies that want to avoid hidden fees

As we often caution, the alternative lending industry isn’t known for its transparency. Kabbage is an interesting case study. The fee structure is a bit more complex than that of many of its competitors, which can make it challenging to compare to other products.


Time in business: 1 year
Credit score: N/A
Revenue: $50K/yr

Kabbage, however, takes pains to give you the tools necessary to figure out exactly what you’ll owe. Their website comes equipped with handy tools and explanations of their formulas. The big selling point here is that you won’t have to worry about Kabbage springing any surprise administrative fees; everything’s factored into the rates you see.

Final Thoughts

Alternative lending is a highly competitive market, so you should never feel like you’re locked into one particular funder. Find a lender you’re comfortable working with that offers you fair terms.

Not sure where to start looking? Check out our small business loan comparison.

The post 5 Great LoanBuilder Alternatives For Small Businesses appeared first on Merchant Maverick.


Should You Pay For Business Expenses With A Line Of Credit Or A Credit Card?

Two worried friends having problems buying on line with credit card and a laptop sitting on a couch in the living room at home
Credit cards and lines of credit share many characteristics. You may even be wondering how they differ at all, and whether it’s better to make your business purchases with one or the other.

In fact, there are a few key differences that can help you determine when to use one or the other.

Similarities Between Lines Of Credit & Credit Cards

Credit cards are technically revolving lines of credit, though they aren’t often called that. As you pay off your balance, that credit becomes available to use again.

Beyond that, both credit cards and lines of credit accrue interest on any outstanding debt.

Differences Between Lines Of Credit & Credit Cards

The most obvious difference is that not all lines of credit are “revolving.” When a bank extends you a line of credit, it may be a one time offer. Usually, when a financial institution extends a non-revolving line of credit it’s to cover a specific expense the borrower is seeking to fund. Unlike a loan, a line of credit gives the borrower some extra flexibility to negotiate with vendors.

The differences between revolving lines of credit and credit cards are a bit more subtle. For starters, a line of credit often comes with more fees than does a credit card. You may, for example, have to pay a monthly or annual fee to keep your line of credit open. While some credit cards (particularly business credit cards) do come with annual fees, it’s not hard to find ones that don’t. Some lines of credit will also charge a fee every time you make a withdrawal.

Though it will vary from case to case, you can also generally get a higher credit limit through a line of credit than with a credit card. Both credit cards and lines of credit come in secured and unsecured forms, though with credit cards you’ll only want to go the secured route if poor credit keeps you from qualifying for a traditional card.

Since lines of credit can be secured by assets, it’s not unusual to see better interest rates there than with credit cards.

Note that it’s a lot easier to get a credit card than a line of credit, although getting an elite credit card can be challenging in its own right.

When To Use A Credit Card

The biggest difference between a line of credit and a credit card is convenience. Credit cards are designed to make retail purchases easy. Most businesses these days are equipped to swipe your card (or read your chip) at the point of sale. With some rare exceptions, it’s not easy to apply for a loan at the time of purchase.

Credit cards are also more ubiquitous in this card-driven online market. Chances are you’ve regularly used your credit card on Amazon, to pay your cell phone bill, or make a security deposit. It’s just as easy to use your credit card for common expenses. In fact, credit card companies try to encourage you to do so through reward programs. The terms of these programs vary, but essentially they all return a small percentage of the money you spend in the form of statement credit, cash, gift certificates, or other products.

Another perk you’ll see with credit cards that you won’t often get with lines of credit are introductory offers like 0% APRs. If your card is still within that introductory window and you expect you’ll be paying your bill off over the course of several months, the credit card is a clear winner.

When To Use A Line Of Credit

At this point, it may look like credit cards have a clear advantage over lines of credit. Not so fast.

One thing credit cards are really inefficient at is cash transactions. Most credit cards will only let you cash advance a fraction of your total limits. Even then you’ll usually incur very high-interest fees on that cash.

Lines of credit, on the other hand, are convenient whenever you need to produce a good chunk of cash on short notice. You won’t incur premium fees for withdrawing that money and you won’t be limited to only a fraction of your credit limit.

A line of credit’s lower interest rates may also make it preferable when we’re talking about big ticket items you can’t pay off quickly. If you’re using your credit card optimally, you shouldn’t be paying any interest on it at all; you’ll be paying it off in full each month. If you can’t do that, a line of credit may often be cheaper over the long run and have a more structured repayment scheme than a credit card.

Final Thoughts

Credit cards and lines of credit can both provide additional financial heft for your business. Knowing when to use each one could make the difference between convenience and unnecessary debt for your business.

Check out our comparison features if you need help finding a credit card or a line of credit.

The post Should You Pay For Business Expenses With A Line Of Credit Or A Credit Card? appeared first on Merchant Maverick.