If you are a small business owner who wants to find alternative business funding, Fundbox may be a good option for you. Read my professional review of Fundbox for invoice factoring or invoice financing.
Fundbox.com give you a business loan, as a payment advance, also called invoice or accounts receivable financing, and use your unpaid customer invoices as collateral assets. You get funds to grow your business and use as working capital – quickly and easily. Also, the fees are lower and application to approval process faster than either traditional bank and invoice factoring company.
- Flexible Spending – Unlike some forms of business financing, you the business owner decides how to spend the funds. You can use the business loan for working capital, to fund marketing campaigns, purchase equipment, buy inventory, make payroll and even pay the rent!
- Generous Funding Limits – Fundbox will lend your business up to $100,000 to start. Amounts can be increased as your business grows.
- Open to all Types of Business – Any type of small business is welcome at Fundbox, including home-based firms. Some of the industries presently using invoice financing and line of credit at Fundbox include manufacturing trades, professional services (attorneys, ad agencies, web developers), home-based businesses, contractors, construction, freelancers, marketing, retail, and restaurants.
- Easy Online Application Process – No paperwork – Yea! No personal credit check nor score to get started. Apply entirely online in minutes. Connect to your bank account with a few clicks and get approved in as fast as a few hours! Forget the days and weeks of waiting for your banker to approve your business loan.
- Super Fast Funding Speed – Speedy, next business day funding is available. Even faster than waiting for a check to clear and monies be available, since all monies are sent electronically directly to our bank account ready for your business to use.
- Reasonable Terms and Fees – Cost of capital pricing is 0.5%-0.7% of original draw amount per week. These fees are charged as a percentage of total draw value. As an example, if you took a $1,000 draw with the 12-week repayment term you would pay $5-7$ per week. PLUS there are no origination fees and if you repay early your remaining fees are waived.
- Repayments Paid Automatically – Your weekly repayments are automatically paid via debit from your bank account for 12 weeks. Also, you will get emails regularly detailing your upcoming repayments so you can manage your cash flow effectively.
How Does Fundbox Work?
Fundbox has set up a seamless and user-friendly system for payment advances on unpaid customer invoices. The process is all automated and connected to your software accounting system and your business checking account.
Once you are approved, here’s how to apply, Fundbox will automatically “pull” your unpaid invoices into its system and make them ready for access to funding.
You log in to your Fundbox account dashboard and select which invoices you want to receive funding from. One click and your invoices are financing and money is sent, within 2 business day, directly to your business checking account ready for you use as working capital, payroll, equipment purchases or any business-related expense.
I love the cell phone App for iphone iOS, which is rated 4.0 stars by users and is Free. Get access to credit in a few taps on your cell phone. Sweet 🙂 – Read more about the Fundbox Small Business Loans App Here
The finance experts and technical engineers at Fundbox have made it very easy to apply. In three steps your account will be open and your application reviewed and approved.
Thankfully, gone are the days of stacks of boring forms to complete.
They DO NOT check your personal credit – so your credit score is not important nor will it be negatively affected by your application. Yea!
- Login to Fundbox and take 5 seconds to open a free account.
- Then connect to either your accounting software (such as QuickBooks Online or Desktop version, Xero, Freshbooks, Clio, Invoice ASAP, Kashoo, Harvest, SageOne, Jobber, and Zoho) or your bank account ( All major US banks and many smaller banks also)
- Within hours you will be notified of your approval, and funds are available as soon as the next business day.
REMEMBER because they do not check your personal credit there is no risk of applying your credit score will not be affected.
Repayment is done automatically through account debits. Weekly repayments for up to 12 – 24 weeks via ACH debits.
Also if you choose to repay early Fundbox will waive all remaining fees due.
I like that I regularly get emails from Fundbox with my upcoming payment schedule as a useful reminder to help me better manage my business bookkeeping.
For the working capital line of credit financing called Direct Draw at Fundbox you must meet the following requirements:
- 6 months or more in business with the majority of revenue from the primary company activity invoiced. Income from rental and royalties are not considered primary revenue.
- Minimum of $25,000 annual revenue.
- FICO Score – No Requirement. Fundbox does not require personal credit to get started. Nice 🙂
- Business bank account to send monies. All major banks and most small banks are acceptable.
- Bankruptcies – None in the last two (2) years
As compared to some small business financing options the fees are reasonable and clear-cut.
- Pricing fees on money borrowed 0.5%-0.7% of original draw amount per week. These fees are charged as a percentage of total draw value. As an example, if you took a $1,000 draw with the 12-week repayment term you would pay $5-7$ per week.
- NO Origination fees – or other hidden charges
- Early repayment fees – None. If you pay before due date all your remaining fees are waived.