Fifth Third Bank Business Loans Review 2023
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Our Take
The bottom line:
Fifth Third business loans are a good option for businesses that don’t mind an offline application process and may want to bundle their financing with payroll or other business services.
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Pros & Cons
Pros
Several types of business loans available.
Fee waiver on checking with an active business loan.
Some loan products fund fairly quickly.
Cons
Must visit a Fifth Third Bank branch or schedule a phone appointment to apply.
Limited information available online.
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How Much Do You Need?
Note: Fifth Third Bank does not disclose a minimum credit score for business financing. However, banks usually require applicants to have strong credit — typically a FICO score of 700 or higher.
Fifth Third Bank offers several types of small-business loans, including SBA loans, term loans, business lines of credit, real estate loans and equipment financing.
Although you’ll have to pick up the phone or visit a branch to get a business loan from Fifth Third Bank, borrowers may be able to score discounted payroll services (if they also have a Fifth Third business checking account), as well as free business checking and some other perks.
Fifth Third Bank is best for borrowers who:
Want a variety of financing options. Fifth Third Bank offers several different types of business lending, which is convenient if you’re not sure what you want or if you think you might pivot to another option as you start the process.
Want a one-stop-shop experience. Fifth Third Bank has a partnership with Paycor (if you’re looking for a deal on payroll services), and the bank will waive fees on business checking accounts for borrowers. You can also offer credit financing to your customers via Fifth Third Bank’s program with GreenSky, which is a consumer financing company owned by Goldman Sachs.
Don’t need cash fast. Fifth Third Bank says it can fund unsecured lines of credit in one business day. But with no online application, the lending process from start to finish may still take some time. You’ll need to apply for a business loan over the phone or in person. Compared with online lenders that provide financing in just 24 hours, it may take several days to get access to capital.
Types of Fifth Third Bank business loans
Fifth Third Bank offers several different types of business loans including:
Term loans.
Secured and unsecured lines of credit.
Commercial real estate loans.
SBA financing.
Equipment financing.
Fifth Third Bank business loan features
Fifth Third Bank says its small-business loans have competitive rates and terms, but it doesn't publish information such as APR ranges or loan lengths on its website. You'll need to contact the bank for these details if you want to compare financing from Fifth Third Bank with other options. Here’s what you can expect from its financing, based on the loan type:
Term loan | Secured business line of credit | Unsecured business line of credit | Commercial real estate loan | Equipment financing | |
|---|---|---|---|---|---|
Loan amount | Undisclosed. | Can range to $100,000 and up. | $10,000 to $100,000. | Undisclosed. | Undisclosed. |
Estimated APR range | Varies based on your business’s qualifications. | Varies based on your business’s qualifications. | Varies based on your business’s qualifications. | Varies based on your business’s qualifications. | Varies based on your business’s qualifications. |
Notes | Fixed and variable interest rates offered. | Requires collateral, such as accounts receivable or inventory. | No collateral requirement. May be able to fund in one day. | Buy vehicles or equipment to expand operations; restructure other debt. | Also does leasing programs for IT, health care and material handling equipment. |
Fifth Third Bank SBA loans
Fifth Third Bank offers multiple types of SBA loans, including standard SBA 7(a) loans, SBA Express loans and SBA 504 loans.
Fifth Third Bank is an SBA Preferred Lender, meaning the bank has extensive experience processing and servicing SBA loans. This designation also means that Fifth Third Bank can make final credit decisions without sending applications to the SBA, allowing for a faster loan approval timeline.
Fifth Third SBA loan features
Loan amount | Varies by loan program.
|
Estimated APR range | Varies based on your business’s qualifications, but subject to SBA loan rate maximums. |
Fees | Guarantee, packaging, processing and other miscellaneous fees may apply. |
Terms | Up to 25 years depending on the loan. |
Repayment schedule | Monthly. |
Funding speed | Varies. Average timeline is 60 to 90 days for standard SBA loans. |
Where Fifth Third Bank stands out
Variety of financing options
Fifth Third Bank has a variety of business lending products to choose from, including unsecured and secured lines of credit, as well as commercial real estate loans, SBA loans and term loans.
Package deals available
If you’d like a suite of small-business tools, and not only a loan, borrowing from Fifth Third Bank has some potential advantages. With an active loan, Fifth Third Bank will waive the monthly fee on its business checking account. And with that account, you’re eligible for discounts on HR and payroll services from Paycor. (You enroll with a Fifth Third Bank banker.)
These service offerings include:
Creating and tracking educational courses for employees.
Open enrollment.
Recruiting and onboarding process maintenance.
Customizable interactive dashboards for reporting and analytics.
Ability to create a branded career site.
Ability to change pay in real time.
Where Fifth Third Bank falls short
Slow application process
Fifth Third Bank requires you to contact a call center to talk with a sales advisor or go to a local branch to complete and submit an application. Note that Fifth Third has branches in 10 states (and four of those states have three or fewer branches), so the phone option may be the only option for many businesses.
This can be more cumbersome than working with online lenders, many of which let you create an online account to upload and submit documentation. In turn, some loans from Fifth Third Bank might take longer to fund than other options out there.
Low transparency
On its website, Fifth Third Bank doesn’t provide access to information that you may find from online lending competitors, such as interest rate ranges, credit score minimums and average time to fund.
Fifth Third Bank business loan requirements
Fifth Third Bank’s minimum borrower eligibility requirements can vary based on the type of business loan you're applying for. In general, however, you can expect to need the following criteria to qualify for an SBA loan at Fifth Third Bank:
Size: Your business can’t have more than $15,000,000 in maximum tangible net worth and a two-year average net income after federal income tax of $5,000,000.
Cash flow: Your business must show that it has the cash flow to make the loan payments.
Fifth Third Bank doesn't disclose a minimum credit score for business financing. However, banks usually require applicants to have strong credit — typically a FICO score of 700 or higher.
How to apply for a business loan from Fifth Third Bank
You can apply for a small-business loan from Fifth Third Bank by scheduling an appointment by phone or in person with a business bank representative.
To complete an SBA loan application, you’ll be asked to provide basic information about your business, including things such as:
Statement of personal history.
Personal financial statement.
Three years of personal income tax returns.
Three years of business tax returns.
Business certificate or license.
Business leases.
You may also need to provide information about each business owner, guarantor and controlling manager, such as:
Name, date of birth, residential address.
Social Security number (U.S. citizens) or passport number and country of issuance.
Country of citizenship and country of residence.
Percentage of ownership.
Personal income.
Residential status (rent or own) and monthly housing payment.
Alternatives to Fifth Third Bank business loans
Funding Circle
If you want a more streamlined process, Funding Circle offers business term loans with an online application, and funding is typically available in two days or more. Funding Circle lends up to $500,000, with terms from six months to seven years. Interest rates start at 15.22%.
To qualify, you’ll need to be two years in business, have strong personal credit and and have had no personal bankruptcies in the past seven years.
» Learn more: Funding Circle business loans review
American Express Business Blueprint™
Fifth Third Bank’s unsecured business line of credit tops out at $100,000. For a larger amount — and faster access — American Express Business Blueprint™ might be a good option.
American Express offers business lines of credit from $2,000 to $250,000, with terms of six, 12 or 18 months. Instead of a traditional interest rate, American Express charges a fee each month that you have an outstanding balance, with total monthly fees incurred over the loan term range as follows:
Six-month term: 3% to 9%.
12-month term: 6% to 18%.
18-month term: 9% to 27%.
You can apply for an American Express® Business Line of Credit online. Plus, American Express allows you to connect a business checking account or accounting software to its underwriting platform to streamline the application process.
