Accord Financial business loans review
Accord Financial offers a variety of financing options for small- to mid-sized businesses.
To be eligible for a loan, you must reside in Canada and have been in business for more than 2 years with stable income and operations.
- Accord Financial business loans are best for semi-established businesses with existing inventory, assets, unpaid accounts receivable or proven track record of income.
- Pick something else if you are a startup looking for funding or have few assets and limited operations.
Operating in Canada and the United States, Accord Financial offers financing options for amounts between $5,000 to $30 million. They aim to provide quick access to capital so businesses can grow. Their financing options are designed to restructure, streamline growth, and stimulate new buyouts and acquisitions. Accord Financial also has expertise in manufacturing, retail, services, wholesale, import and exports, lenders, apparel, food and beverage, and construction.
This lender works with growing companies with established operations and/or significant assets. New businesses, or businesses experiencing extreme hardships, may want to seek out other financial support.
What types of business loans does Accord provide?
Below is a summary of the types of loans Accord Financial offers.
Small business loans
The small business loan is the smallest yet most versatile loan Accord offers. Loans are extended to a maximum amount of $75,000 and are repaid over an 18-month term. The small business loan is given out based on past and forecasted sales. Approval decisions are made within 8 hours and funds are delivered the next business day.
Businesses that have tangible assets are eligible for asset-based loans. To secure financing, businesses must list the assets as collateral. There’s a risk those assets could be lost if the business defaults on the loan. Also, the loan amount will depend on the value of the assets.
Accounts receivable financing
Accounts receivable are a huge asset for many businesses, especially ones with long payment terms. Instead of waiting 30 to 90 days to receive payments, Accord can buy accounts and pay out up to 90% of outstanding invoices. This gives companies instant access to cash they know will be coming. Using this method, businesses can access $1 million to $20 million. Small businesses can also take advantage of this type of loan by calling Accord directly.
Financing companies often need financial support themselves. If you are in the business of providing loans for others, Accord can finance your business based on your portfolio of loans. This type of financing arrangement can take the form of a loan or partnership.
Retailers often find themselves in a position where cash is tied up in inventory. However, other expenses can arise, leaving inventory-based businesses in a tight position. Inventory financing will give businesses a loan based on the value of their inventory as collateral. Accord will loan $1 million to $20 million under this form of financing. The typical term for inventory-based financing is typically 1 year, but can vary.
Businesses often require large and expensive equipment to begin or expand operations. Accord can finance the purchase and lease of large assets required for operations. Note that the purchased equipment will be used as collateral for the loan. Equipment lease terms are up to 5 years. Accord will finance equipment valued from $500,000 to $20 million.
Through Accord’s related company BondIt, they finance media projects. They provide funding from $50,000 to $25 million. They have financed Oscar-nominated films, Netflix Originals and other large Hollywood productions. BondIt will only join projects that already have reputable people attached and some funding secured. BondIt is never the first or main financer.
Factoring is the process of buying accounts receivable accounts and collecting the debts. Accord offers factoring services through AccordExpress. Using this service, they would purchase your business’s accounts receivable and collect the debts on their own. As a business, you receive immediate cash, less a fee, which helps expand operations.
Do I qualify for Accord Financial business loans?
To be approved for a small business loan up to $75,000 with Accord Financial, you must meet the following criteria:
- Located in Canada
- Be operating for more than 2 years
- Be stable and/or growing
- Have annual sales over $100,000
- Make regular deposits into your business bank account
- Have average or better credit profile
Compare other business loans
What are the benefits of Accord Financial business loans?
- Creative solutions. Accord uses all imaginable assets to leverage and deliver immediate cash.
- Operates in many industries. It works with many industries, including manufacturing, retail, food and beverage, construction and more.
- Quick access to money. Loan delivery times can be as quick as the day after applying.
What to watch out for
- Lack of information. Many of the rates, terms or even requirements for specific financing options are not available online and require customer service representative assistance.
- Designed for stable or growing businesses. Accord has a huge mandate for success and only works with established companies. Companies facing financial difficulties or are still in the startup phase may not be eligible.
How do I apply?Accord Financial does not provide its eligibility requirements online. Call and connect with an Accord Financial expert for more information and to begin a loan application.
- If you are in Canada, call +1-844-932-9940
- If you are in the United States, call +1-844-725-4225
You can also sign up online through Accord Financial‘s website and begin a virtual application.
I got an Accord Financial business loan, now what?
You got your business loan and you are now able to grow your company. Use the loan for the intended purpose. Be sure to follow the terms of your loan by making payments on time and in full to avoid fees or damage to credit scores.
Before you apply for a loan with Accord, consider comparing your business loan options to ensure you’re accessing the best one for your needs.