We updated our rankings with the latest information from our lenders. A few things to note: QuarterSpot is no longer on our list, as it has stopped lending entirely. Kabbage has stopped lending for now (so we couldn’t verify its loan details), but we expect it to start lending again soon. Finally, Funding Circle has changed its lending model. We’re expecting more details soon, and we’ll update this page when we get them.
Updated: several months ago
The recently funded Paycheck Protection Program offers small businesses a way to meet payroll needs with financial aid from the government. This aid is only being provided through the SBA and its ized lenders. And businesses can receive a loan of up to $10 million to help cover payroll.
To access this loan, you’ll have to complete an application with an ized lender that consists of a two-page form in addition to required documentation. If you qualify, you’ll be loaned 250% of your average monthly payroll in 2019.
You may also qualify to have the loan forgiven if no employees are compensated above $100,000 and at least 75% of the money goes to paying workers. If you can’t obtain forgiveness, the loan must be repaid in two years at a 0.5% interest rate after six initial months of interest deferment.
If you think your business would benefit, apply at a Paycheck Protection Program ized lender.
Updated: several months ago
Is your business in an area affected by COVID-19? While we still recommend the loans below, you should know that you may qualify for special disaster loans from the U.S. Small Business Administration (SBA). If you do, you can get up to $2 million at a 3.75% rate. It probably won’t fix all your problems, but hopefully it can help. You can learn more and apply on the SBA website.
Updated: several months ago
We updated all the rates and requirements in this article. Based on those updates, we removed QuarterSpot from our honorable mentions and replaced it with StreetShares.
Updated: several months ago