Editorial Review

BlueVine Small-Business Loans: 2020 Review

BlueVine provides three financing products for small-business owners, and considers borrowers with bad credit.

Andrew L. WangJanuary 6, 2020

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Our Take

BlueVine - Line of credit
Apply Now

on BlueVine's website

Est. APR

15.00 - 78.00%

Min. Credit Score

600

Pros & Cons

Pros

  • Offers options for businesses less than a year old.

  • Cash can be available within 12 to 24 hours.

Cons

  • Short repayment term results in higher payment amounts.

  • Requires personal guarantee.

  • Not available in North Dakota, South Dakota or Vermont.

Compare to Other Lenders

BlueVine - Line of credit
Fundbox - Line of credit
OnDeck - Line of credit
Apply NowApply NowApply Now
Est. APR

15.00 - 78.00%

Est. APR

10.10 - 79.80%

Est. APR

13.99 - 63.00%

Min. Credit Score

600

Min. Credit Score

500

Min. Credit Score

600

Full Review

Online lender BlueVine offers small-business owners three loan options to address short-term financing needs.

BlueVine’s business line of credit, invoice factoring or term loan may be right for your business if you:

  • Need cash fast: Funding times for BlueVine’s products range from 12 to 24 hours.

  • Have B2B customers who don’t pay promptly: BlueVine invoice factoring may help fill a cash gap.

  • Don’t meet credit requirements with other lenders: BlueVine considers borrowers with bad credit.

Line of credit

BlueVine's business line of credit works best for short-term financing needs, like managing cash flow or buying inventory.

Loan amount: $5,000 to $250,000.

APR: 15% to 78%.

Loan term: 6 or 12 months.

How to qualify:

Six-month line of credit:

  • 600+ personal credit score.

  • 6+ months in business.

  • $100,000+ in annual revenue.

12-month line of credit:

  • 620+ personal credit score.

  • 2+ years in business.

  • $450,000+ in annual revenue.

  • Not available in North Dakota, South Dakota or Vermont.

Invoice factoring

BlueVine’s invoice factoring works best for financing larger invoices, but only if your customers reliably pay on time.

Loan amount: $20,000 to $5 million.

APR: 15% to 68%.

Loan term: 1 to 13 weeks.

How to qualify:

  • 530+ personal credit score.

  • 3+ months in business.

  • $100,000+ in annual revenue.

Term loan

BlueVine's term loan works best for newer businesses that need short-term funding.

Loan amount: $5,000 to $250,000.

APR: 15% to 88%.

Loan term: 6 or 12 months.

How to qualify:

  • 600+ personal credit score.

  • 6+ months in business.

  • $100,000+ in annual revenue.

  • Personal guarantee and business lien required.

Reasons to use BlueVine

You need fast cash

Applying with BlueVine is quick, and once approved, you may have access to funds by the same day. Here’s how long the approval process typically takes for BlueVine’s products:

  • Line of credit: An average of 12 hours.

  • Invoice factoring: A few minutes to a day.

  • Term loan: As fast as 10 minutes.

You typically deal with unpaid invoices

If your customers are other businesses or organizations, they may not always pay you promptly. BlueVine’s invoice factoring, also known as invoice financing or accounts receivable financing, could ease cash flow hiccups caused by such delays.

Here’s how BlueVine invoice factoring works: You receive funding against invoices due in one to 13 weeks. BlueVine advances 85% to 90% of the invoice amount and then the remainder when a customer pays you, minus fees.

You have bad credit

Poor credit can be an obstacle to obtaining small-business financing, but BlueVine considers you even if your credit score is below 630. The lender focuses on your business’s cash flow and, if you’re applying for an invoice factoring account, the creditworthiness of your customers.

Where BlueVine falls short

Pricey financing option

With annual percentage rates of up to 68% on its invoice factoring accounts, and APRs of up to 88% on its term loans, BlueVine is more expensive than many business loan options.

You get penalized for deadbeat customers

BlueVine invoice factoring lets you tap unpaid invoices as a source of capital, but you must have reliable customers who have strong credit and pay their bills.

BlueVine gives your customer two weeks to directly pay your BlueVine account. If a customer fails to pay, you have to pay back the invoice.

More frequent repayments

BlueVine's term loan and line of credit carry short repayment terms of up to 12 months, which results in higher payment amounts.

Its term loan requires weekly repayments, while its line of credit is repaid weekly or monthly. The high frequency of payments can pose an issue for businesses that have uneven sales or don't hold much cash in a bank account.

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 and on the needs of business owners, as well as rates and other factors, so you can make the right financing decision.