Business Loans
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The rating by Finanso® is determined by our editorial team. The scoring formula includes a financial product type as well as tariffs, fees, rewards and other options.

Kapitus

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About Company

Kapitus offers various lending products, including business loans tailored to meet the financial needs of small businesses. These loans can be utilized for diverse purposes such as equipment financing, invoice factoring, or working capital. Kapitus serves as a direct lender and a marketplace, providing fast funding through a straightforward online application process. The loan options include short-term loans, revenue-based financing, and other financing solutions designed to cater to different business requirements. Kapitus stands out in the lending industry with its commitment to fast funding times, allowing business owners to access the capital they need efficiently.

Kapitus

Features

  1. Diverse Loan Options. Kapitus offers a range of loan products, catering to various business needs. From Small Business Administration (SBA) loans and lines of credit to heavy equipment financing, business owners have access to a diverse set of financial solutions through Kapitus.

  2. Quick Approval Time. One notable feature is the fast approval time. Kapitus aims to provide decisions on loan applications within just 4 hours, allowing business owners to swiftly secure the funding they require.

  3. Convenient Online Application. Kapitus simplifies the lending process with an online application platform. Business owners can easily submit their applications, saving time and streamlining the initial steps toward securing financing.

  4. Direct Lender and Marketplace. Kapitus acts as both a direct lender and a marketplace, providing businesses with the advantage of a trusted network of lending partners. This dual role allows for a diverse range of lending options to suit various business needs.

Pros and Cons

Pros

Many Loan Products. Kapitus offers a diverse range of loan products, providing small businesses with various financing options to suit their specific needs.

Quick Application. Kapitus facilitates a streamlined and efficient online application process, allowing business owners to submit their requests promptly and receive faster decisions.

Low Credit Score Borrowers Allowed. Kapitus is accommodating to businesses with lower credit scores, providing opportunities for financing to a broader range of entrepreneurs.

Cons

Only for Businesses. One limitation is that Kapitus exclusively caters to businesses, limiting its services to the commercial sector.

Origination Fees. Kapitus may charge origination fees, which can add to the overall cost of the loan. Business owners should be aware of these fees when considering financing options.

Personal Guarantee Requirement. Kapitus loans typically require a personal guarantee, which means that business owners may need to personally guarantee the repayment of the loan. This adds a level of personal financial responsibility that some borrowers might find restrictive.

How to Get a Kapitus Loan?

  1. Complete the Online Form. Visit the Kapitus website and navigate to the online application form. Fill out the application form, providing essential details about your business and financing needs. The online application typically takes around 5 minutes for most lending products.

  2. Prepare Required Documentation. Gather the necessary documentation before starting the application process. Be prepared to provide business bank statements for the previous 6 months, a voided check from your business bank account, driver’s license, and financial statements. Note that more extensive documentation may be required for certain products, such as SBA loans.

  3. Submit Application. Submit the completed online application or call Kapitus directly to apply over the phone.

  4. Wait for Approval. Depending on the chosen loan product, you may receive approval in as little as four hours for some options. However, SBA loans may require a more extended approval process, typically taking a few weeks.

  5. Review Terms and Conditions. Once approved, carefully review the terms and conditions of the loan agreement provided by Kapitus.

  6. Provide Additional Information (if required). Be prepared to provide any additional information or documentation requested by Kapitus during the approval process.

  7. Get Funded. Upon approval and acceptance of the terms, Kapitus aims to provide funding for most loan products within 24-72 hours. Note that certain products, such as invoice factoring and PO financing, may have longer processing times due to the involvement of additional parties.

Requirements and Conditions

Requirements

  1. Credit Score. The minimum credit score required for most Kapitus loan products is 625. SBA Loans have a slightly higher requirement of 680.

  2. Business Experience. Generally, a minimum of 2 years in business is required for most loan products. SBA Loans also require a business to be operational for at least 2 years.

  3. Annual Revenue. For working capital loans, equipment finance, and revenue-based financing, a minimum annual revenue of $250,000 is needed. Line of credit requires an annual revenue of $180,000. SBA Loans specify a minimum annual revenue of $250,000.

  4. Monthly Revenue. Working capital loans have an alternative requirement of a monthly revenue of $21,000.

  5. Additional Requirements. Equipment finance requires an equipment invoice. Helix® Healthcare Financing necessitates being a licensed Healthcare/Medical Practitioner. Invoice factoring and purchase order financing have no specified minimum requirements other than verifiable accounts receivable and verifiable purchase orders, respectively.

Conditions

  • Kapitus Working Capital Term Loans. Kapitus offers working capital term loans with a maximum loan amount of up to $1 million. The rates are presented in a factor rate ranging between 1.12 and 1.26. The terms for these loans span from 4 to 18 months, providing flexibility for businesses. The application process is remarkably quick, requiring only about 5 minutes to complete. Upon application, the approval time is expedited, taking as little as 4 hours. Once approved, businesses can receive funding in as little as 24 hours, ensuring a swift infusion of capital to meet their working capital needs.

  • Equipment Financing. For businesses seeking equipment financing, Kapitus offers loans with a maximum amount of up to $150,000. While the specific rates are undisclosed, the terms extend up to 60 months, allowing for a more extended repayment period. The application process is relatively quick, taking between 5-10 minutes. Approval and funding times, however, vary based on individual circumstances, ensuring a tailored approach to each financing arrangement.

  • Kapitus Helix® Healthcare Financing Program. Exclusive to healthcare providers, the Helix® Healthcare Financing Program by Kapitus offers tailored financing solutions with specific details undisclosed. This program is designed to cater to the unique financial needs of healthcare providers. The application process is streamlined, requiring approximately 5 minutes. Approval for the Helix® Healthcare Financing Program is expedited, taking as little as 4 hours. Once approved, healthcare providers can access funding in as little as 3 days, facilitating prompt support for their financial requirements.

  • SBA Loans. Kapitus provides Small Business Administration (SBA) Loans with a substantial loan amount of up to $5 million. The interest rates for SBA loans start at 6.25%, ensuring competitive financing options. The terms for SBA loans extend up to 10 years, offering a more extended repayment period. The application process for SBA loans varies, and the approval time can take several weeks, reflecting the thorough evaluation typical of government-backed loans. The funding time for SBA loans is also several weeks, aligning with the comprehensive processing associated with these substantial financial arrangements.

Products

  1. Revenue-Based Financing. Tailored financing solutions based on a business's revenue stream, allowing for flexibility in repayment.

  2. Helix® Healthcare Financing. Exclusive financing program designed specifically for healthcare providers, addressing the unique financial requirements of the healthcare industry.

  3. Business Loans. Traditional business loans catering to a variety of purposes, providing businesses with capital for expansion, operations, or other financial needs.

  4. SBA Loans. Small Business Administration (SBA) loans, government-backed financing options aimed at supporting small businesses with competitive rates and terms.

  5. Line of Credit. Flexible credit lines that businesses can tap into as needed, offering a convenient and versatile financing solution.

  6. Invoice Factoring. Financing option where businesses can sell their accounts receivable to Kapitus, providing immediate cash flow by converting outstanding invoices into working capital.

  7. Equipment Financing. Loans designed specifically for the acquisition of equipment, allowing businesses to access the latest tools and machinery without a significant upfront investment.

  8. Purchase Order Financing. Financing solution enabling businesses to fulfill large orders by securing funding against verified purchase orders, ensuring smooth operations and timely delivery.

  9. Concierge Services. Additional services provided by Kapitus to support businesses in navigating the financing process more efficiently and effectively.

Other Loans

Ways to Receive the Money

Upon approval of your loan application with Kapitus, the funds will be disbursed directly to your business bank account. The disbursement process is typically swift, with the goal of providing you with access to the funds in a timely manner. The method ensures that you can efficiently utilize the capital for your business needs, whether it be for working capital, equipment acquisition, or any other financial requirement.

Things to Pay Attention To

  1. Funding Speed. Consider the funding speed provided by Kapitus, with the ability to receive capital in as few as a few hours, offering a quick and efficient solution for urgent business needs.

  2. Origination Fee. Be aware of any origination fees associated with Kapitus loans, as this upfront cost may impact the total expense of the financing.

  3. Lending Partners and Trusted Network. Recognize Kapitus' strategic funding source and trusted network of lending partners, contributing to the reliability and credibility of the financing options available.

  4. Customer Reviews and Ratings. Explore Kapitus reviews and ratings, including the 5-star rating, to gain insights into the experiences of other companies that have utilized Kapitus services.

  5. Application Process Efficiency. Pay attention to the streamlined application process, where business owners can save time by submitting just one application to access various lending products and connect with different lenders in the marketplace built by Kapitus.

How to Repay a Kapitus Loan?

Repaying a Kapitus loan is designed to be flexible and accommodating to the unique needs of businesses. Depending on the financing product you qualify for, Kapitus provides repayment terms of up to five years. The repayment frequency can be customized to align with your business's cash flow, offering options such as monthly, bi-weekly, weekly, and even daily payments.

For businesses with short-term working capital needs, many customers choose a shorter payback period. This often involves opting for more frequent payments, such as daily or weekly, to efficiently manage the repayment process. This flexibility allows businesses to tailor their repayment schedule to match their specific financial situation, ensuring a smoother and more manageable loan repayment experience with Kapitus.

Reasons for Getting Rejected for a Kapitus Loan

  1. Low Credit Score. A minimum credit score may be required, and a low credit score could lead to denial.

  2. Insufficient Revenue. Falling short of the revenue requirements may impact eligibility for a Kapitus business loan.

  3. Inadequate Business History. Limited company history or a short time in operation might be a factor.

  4. Unfavorable Bank Statements. Recent bank statements that do not meet Kapitus criteria could result in denial.

  5. Incomplete Application. Missing or incomplete information in the application from business owners may lead to rejection.

Alternatives

  • National Funding is a financial company that provides small business loans and equipment financing. They offer a variety of funding options tailored to meet the specific needs of businesses.

  • Wells Fargo is a well-established bank that offers a range of business financing solutions, including business loans, lines of credit, and equipment financing.

  • BlueVine is an online lender specializing in providing small business financing, including lines of credit and invoice factoring. They focus on quick and accessible funding for businesses.

  • TD Bank is a prominent financial institution that offers a variety of business banking services, including business loans and lines of credit. They provide financial solutions for businesses of different sizes.

Loans like Kapitus

OnDeck

OnDeck stands out as an excellent choice for short-term business loans, offering the flexibility of borrowing substantial amounts, even for businesses with a minimum credit score. What makes OnDeck particularly attractive is its ability to provide funds swiftly, with same-day approval and disbursement for qualifying applicants. Moreover, OnDeck emphasizes the opportunity to build and strengthen business credit by consistently making on-time payments. The loan terms range from 18 to 24 months, with loan amounts spanning from $5,000 to $250,000. While the starting interest rate is 35.40% for a portion of customers, the accessibility and speed of funding make OnDeck a notable player in the short-term business loan landscape.

Funding Circle

Funding Circle distinguishes itself in the realm of long-term business loans by offering competitive rates, extended repayment terms, and a lack of prepayment penalties. This lending option caters to businesses seeking larger loan amounts, ranging from $25,000 to $500,000, with a reasonable starting interest rate of 11.29%. Beyond financial support, Funding Circle prioritizes efficiency, enabling businesses to access funds in as little as two business days. Notably, Funding Circle also showcases its commitment to diversity by providing funding options specifically tailored for women-owned businesses and minority entrepreneurs. The loan terms extend from 6 to 84 months, making Funding Circle a favorable choice for businesses with a more extended financial horizon.

Credibly

Credibly positions itself as a reliable source for working capital loans, particularly for businesses requiring quick funding to address immediate operational needs like payroll or inventory expenses. Notably, Credibly's working capital loans boast a rapid approval process, often providing funds in less than 24 hours. The lender exhibits flexibility by considering applicants with a minimum credit score of 500 and a willingness to look beyond a less-than-perfect credit history, provided there is a healthy annual revenue. Beyond working capital loans, Credibly collaborates with a network of lenders to offer a diverse range of financing options, including merchant cash advances, business lines of credit, equipment financing, SBA loans, and invoice factoring.

Fundbox

For startups in need of swift financing, Fundbox presents an appealing option with its business line of credit, offering up to $150,000. What sets Fundbox apart is its relatively lenient eligibility criteria, allowing new companies to qualify after just six months of operation and a minimum annual revenue of $100,000. The business line of credit provides the flexibility to withdraw funds as needed, and businesses only pay interest on the amount utilized. Additionally, Fundbox offers perks such as up to 20% off fees through its Fundbox Plus upgrade. With competitive starting interest rates ranging from 4.66% for 3-month terms to 8.99% for 6-month terms, Fundbox addresses the financial needs of emerging businesses seeking quick and accessible startup loans.

Editorial Opinion

In evaluating Kapitus, it is evident that the company positions itself as a facilitator for small businesses through its diverse range of financial products, such as Kapitus business loans. The convenience of a single application for business owners seeking funding, coupled with the flexibility to determine how much funding is required, stands out as a notable feature. While Kapitus's service includes options like cash advances and short-term loans, it's crucial to consider other factors such as potential denials and the specific terms associated with new equipment financing. The overall opinion on Kapitus remains subjective, with businesses advised to weigh the pros and cons, considering their unique needs and preferences.

Important

Keeping your Debt-to-Income (DTI) ratio below 30-40% of your monthly income is crucial. This will help you avoid potential financial problems in the future. Additionally, always assess the necessity and feasibility of taking a loan, ensuring you can comfortably manage its repayment.

How to Choose a Lender

  1. Make sure to confirm whether the lender is licensed to operate in your state. You can verify this information with your state regulator or attorney general.

  2. Check if the lender is a member of a reputable association, such as the Community Financial Services Association of America. Membership in such organizations may provide an extra level of reliability.

  3. Carefully review all the terms and conditions of your payday loan contract.

  4. Thoroughly examine the interest rates on payday loans and ensure that your contract includes a detailed breakdown of the total cost of the loan.

  5. Take advantage of your right of rescission. Usually, you can rescind the loan within three days after signing the agreement. Alternatively, there is typically a "cooling-off" period, which allows you several days to thoroughly review the contract before making an informed decision to enter into a consumer loan agreement based on the terms specified by the lender.

  6. Choosing a payday lender is a significant decision that demands careful consideration and a good understanding of how such organizations operate.

Methodology

At Finanso, we've carried out a comprehensive analysis of over 50 business lenders, assessing them based on 35 different parameters across six key categories: accessibility of loans, customer relations, quality of service, interest rates, and transparency of conditions.

In each category, we carefully considered the most critical factors in selecting a lender. These factors include the interest rates, available loan amounts, minimum credit score, minimum income, application fees, and the speed at which funds are transferred.

At Finanso, we highly value our users, which is why we also focus on the quality of customer service, user reviews, and additional features that can aid our users in making a well-informed decision.

Our ultimate goal is to provide insightful recommendations and expert advice to assist you in selecting a lender that best caters to your specific needs.

Additional Resources

  • Kapitus Account Review
  • How to Apply for Kapitus Loan
  • How to PayOff Kapitus Loan
  • Kapitus Mobile Apps
  • Kapitus Reviews

Sources

FAQ

Is Kapitus a legitimate company?

Yes, Kapitus is a legitimate financial company that provides business financing solutions, including business loans.

Is Kapitus a bank?

No, Kapitus is not a bank. It is a financial services company that specializes in offering various business financing options.

Is Kapitus a direct lender?

Yes, Kapitus operates as both a direct lender and a marketplace. This dual role allows them to provide direct lending solutions while also offering access to a network of business lenders through their marketplace.

Company documents

Terms of Use Agreement
Privacy Policy

At Kapitus, our mission is to empower every business to succeed by providing the best financing options – when they need it and how they need it.

© Strategic Funding Source, Inc. (d/b/a Kapitus)
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