Fundbox Small-Business Loans: 2022 Review

Fundbox loans can be expensive, with short repayment terms — but they’re easy to qualify for and fast to fund.
Jan 12, 2022

Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money.

Our Take

The bottom line:

Fundbox loans are a good option for fast access to working capital, especially for startups and business owners with bad credit.

Fundbox - Line of credit
Est. APR
10.10-79.80%
Min. credit score
600
Apply now

with Fundera by NerdWallet

Pros & Cons

Pros

  • Financing available within one business day after approval.
  • Simple application with minimal documentation required.
  • Startup-friendly — accepts borrowers with a minimum of six months in business.
  • Low minimum credit score requirement.
  • No prepayment penalties, account maintenance fees or inactivity fees.

Cons

  • Rates are high compared to traditional banks.
  • Requires UCC lien and may require personal guarantee.
  • Can’t be used to build business credit.
  • Weekly repayments required over a short term (maximum of 24 weeks).

Full Review

Fundbox is an online lender offering small-business loans that are well-suited for entrepreneurs who need to quickly fill a cash-flow gap.

Fundbox is known for its flexible eligibility requirements and its simple, fast application process — giving small-business owners access to funds as soon as the next business day.

How Much Do You Need?

with Fundera by NerdWallet

Fundbox is best for borrowers who:

  • Need cash fast: With minimal documentation required, you can complete Fundbox’s application and receive a decision the same day. Once your application is approved, funds are available as fast as the next business day.

  • Can afford weekly repayments over a short term: Fundbox requires weekly repayments over a 12- or 24-week term.

  • Don’t have perfect personal credit: Fundbox accepts borrowers with a minimum credit score of 600. While underwriting your loan, Fundbox also looks at your business checking account and/or accounting software data — in addition to your credit report — to get a more holistic look at your financial performance.

  • Have startup businesses: Many lenders require that you have at least one year in business before you’re eligible for financing. With Fundbox, you only need six months in business to qualify for a line of credit.

Fundbox loan features

Fundbox offers revolving business lines of credit up to $150,000 with repayment terms of 12 or 24 weeks. Fundbox is also in the process of launching a business term loan, but as of this writing, the product is not yet available to all borrowers.

Loan amount

Up to $150,000.

Estimated APR range

10.1% to 79.8%.

Fees

  • No application fee, account maintenance fee, inactivity or origination fee.

  • No prepayment penalties.

  • Late payment and non-sufficient funds fees may apply in certain cases based on information provided in your loan agreement.

Terms

12 or 24 weeks.

Repayment schedule

Weekly.

Funding speed

Get approved as fast as the same day and receive funds the next business day. Processing may take a little longer on weekends or holidays and may also vary depending on your bank.

Where Fundbox stands out

Fast access to cash

Fundbox is a good option for businesses that need fast access to working capital. You can complete an application for a line of credit online by providing basic information about your business and connecting your Fundbox account to your business checking account or accounting software.

Once your application is approved, you can immediately request funds. Fundbox then transfers the cash to your bank account, and you’ll receive your funds as fast as the next business day.

Easy to qualify

Fundbox has less stringent qualification requirements compared to other small-business lenders, including both traditional and online lenders.

Whereas many lenders require that you have one year or more in business to qualify for financing, Fundbox only requires a minimum of six months in business — making its line of credit a good choice for startup businesses.

Similarly, if you have bad credit (a FICO score of 629 or lower), you may still qualify for a line of credit from Fundbox. Fundbox has a minimum credit score requirement of 600, and it uses data from your credit report and financial services that you connect — such as your business checking account and accounting software — to evaluate your application.

Early repayment flexibility

Fundbox allows you to repay your line of credit early to save on fees, and there is no prepayment penalty for doing so.

Fundbox also does not charge inactivity fees, account maintenance or origination fees.

Where Fundbox falls short

Can be expensive; short repayment period

The APR on Fundbox’s line of credit ranges from 10.1% to 79.8%, which is higher than traditional banks and some online lenders. Its line of credit is repaid in equal weekly installments with amortized fees.

Whereas certain online lenders offer monthly payments, Fundbox only offers weekly payments. The maximum available repayment term is 24 weeks, which is shorter than some competitors.

Limited funding options

Fundbox offers flexible lines of credit, but it doesn’t offer other products, such as equipment financing or SBA loans. Although Fundbox is in the process of offering a term loan, this product is not yet available to all customers.

Fundbox also provides financing up to $150,000 only, which could be problematic for businesses that need to make bigger investments. If you’d prefer a different type of business loan or need access to a larger credit line, you’ll want to consider other lenders.

Can’t build business credit

Fundbox does not report your payment history to the commercial credit bureaus. To build business credit from timely payments, you’ll need to find an alternative product.

Building business credit can help you qualify for loans with lower interest rates in the future.

Fundbox loan requirements

Fundbox’s minimum borrower eligibility requirements include:

  • Credit score: 600 or higher.

  • Time in business: Six months or more.

  • Annual revenue: $100,000 or more.

You also must have a business checking account, and your business must be based in the U.S. to qualify for a Fundbox line of credit.

Alternatives to Fundbox

Bluevine

Bluevine offers a larger credit line, with amounts up to $250,000. Like Fundbox, Bluevine is a good option for businesses that need quick access to capital, with same-day approval and funds available the next business day.

Unlike Fundbox, Bluevine allows you to choose between weekly and monthly payments and offers terms of up to 12 months.

» Learn more about how these lenders compare in our Bluevine vs. Fundbox review.

Kabbage

Kabbage offers lines of credit up to $250,000 to borrowers with a minimum credit score of 640 and at least one year in business. Instead of traditional interest, Kabbage charges monthly fees of 0.25% to 3.5%  depending on your loan’s term — an estimated APR of 9% to 36%. Although the fee structure can be confusing, Kabbage’s line of credit may be more affordable than Fundbox’s for those who can qualify.

Kabbage also offers monthly payments with terms of six, 12 or 18 months. You can get approved for financing in just minutes and receive your funds within a few days.

» Learn more about how these lenders compare in our Fundbox vs. Kabbage review.

Compare business loans

If you’d like to compare loan options, NerdWallet has a list of small-business loans that are best for business owners. All of our recommendations are based on the lender’s market scope and track record in addition to the needs of business owners, rates and other factors, so you can make the right financing decision.

Apply now

with Fundera by NerdWallet