First Union Lending business loans review
Unsecured funding and more for all credit types.
finder.com’s rating: 4.3 / 5.0
- Best for business owners who want help navigating the borrowing process.
- Pick something else if you need money fast — it can take up to two weeks to fund your loan.
Anna Serio is a trusted loans expert who's published more than 800 articles on Finder to help Americans strengthen their financial literacy. A former editor of a newspaper in Beirut, Anna writes about personal, student, business and car loans. Today, digital publications like Fundera, Business.com, and ValueWalk feature her professional advice, and she earned an Expert Contributor in Finance badge from review site Best Company in 2020.
First Union Lending could be a great option if you need help choosing a loan product that’s right for your business — most online reviews are from repeat customers who praise the quality of customer service. It’s willing to work with business owners with less-than-perfect credit, and your business only needs to be around for three months to qualify.
However, the turnaround time of up to two weeks on its long-term unsecured loans might make other providers a better choice if speed is your top priority.
Not sold on First Union? Compare your other business loan options below.
First, do I qualify?
You must meet the following requirements at a minimum to qualify for a business loan from First Union Lending:
- Personal credit score of 450 or higher
- At least three months in business
- Monthly revenue of $15,000 or more
- No open bankruptcies
What makes First Union Lending business loans unique?
First Union Lending offers standard business term loans. Prospective borrowers can potentially qualify for loan amount up to eight times their monthly revenue, with repayments that are comprised more of interest than the principal amount. Its loans aren’t secured, meaning that you won’t need to put up any collateral to get approved.
This could be useful for businesses that expect to grow significantly the coming decade.
What is a First Union Lending business loan?
First Union Lending offers several types of business loans, including an unsecured long-term loan. Loan amounts run from $5,000 to $5,000,000 and come with rates starting at 6.75% APR. Business owners have two options when they choose the unsecured long-term loan:
- Long-term loan. Take between three and 7 years to repay the loan with fixed interest and principal repayments.
- Short-term loan. These loans are unsecured, come with an 18-month term and have a turnaround time of up to one day.
What other business loans does First Union Lending offer?
In addition to unsecured long-term business loans, you can find the following types of loans at First Union Lending:
- Small Business Administration (SBA) loans. First Union Lending mainly offers SBA Express loans from $20,000 to $350,000, which come with a typical APR of 7.5% and a term as long as 10 years. It typically takes around a month or two to close — faster than your typical 7(a) loan.
- Commercial property loans. Find a wide range of real estate loans from construction loans to mortgage refinancing.
- Lines of credit. First Union Lending offers credit lines up to $100,000, which you can withdraw from as needed. Withdrawals turn into term loans, which you repay with weekly payments over three to six months.
- Debt consolidation loans. Loans specifically designed to lower your business’s debt repayments and increase your cash flow.
- Bridge loans. These fast, short-term loans are meant to provide cash flow while you’re waiting for a larger amount of funding to come in — your balance gets added to the long-term loan once your terms are finalized.
- Healthcare provider loans. First Union Lending offers working capital to cover cashflow gaps for healthcare providers while you wait for insurance companies to fill invoices.
- Equipment financing. This funding can help your business purchase equipment and avoid long-term leases, even without excellent credit.
- Invoice factoring. An advance on unpaid invoices that are due within 30 to 90 days to cover gaps in cash flow.
What are the benefits of a First Union Lending business loan?
From its lenient eligibility requirements to its wide range of loan amounts, here are a few perks of borrowing from First Union Lending:
- All credit types OK. You still might qualify for a First Union Lending business loan even if you have a credit score as low as 450.
- Works with new businesses. Your business only has to be three months old to meet First Union Lending’s time-in-business requirement.
- Wide range of loan amounts. You can borrow anywhere from $5,000 to $5,000,000, depending on factors like your business’s revenue.
What to watch out for
Consider these potential drawbacks before taking out a business loan from First Union Lending:
- Higher cost on balloon loan. Interest-only payments might seem attractive at first, but they can cost significantly more than if you make payments on interest and principal — especially if you have to refinance the ballon payment.
- Limited information online. You have to reach out to First Union Lending’s team to get the information you need to make a meaningful comparison with other business loan providers.
- Potentially long turnaround. It can from three days to two weeks to fund an unsecured long-term loan.
Compare more business loan options
What do borrowers say about First Union Lending?
|BBB customer reviews||4.1 out of 5 stars, based on 9 customer reviews|
|Trustpilot Score||4.3 out of 5 stars, based on 20 customer reviews|
|Customer reviews verified as of||06 December 2019|
Borrowers are particularly happy with the quality of customer service, and many mention going back to the same loan specialist multiple times. The few negative reviews claim First Union Lending was misleading about rates and terms, or that they didn’t hear back after they applied for a loan.
How do I apply?
You can get started on your First Union Lending loan application online or over the phone. Follow these steps to apply online:
- Click the Go to Site button on this page.
- Click Apply Today.
- Select your funding amount, how fast you need the funds, your funding needs and monthly revenue range. Click Next.
- Fill in the required fields with information about your business. Click Next.
- Complete the required fields with information about the primary owner. Click Next.
- Answer the required questions and click Submit.
After you submit your application, you should receive an email with a request for you to electronically sign the application. Follow the directions to give your e-signature, then wait for an underwriter to contact you with your options.
What documents do I need to apply?
While it depends on your application, you may need to provide the following documents when you apply:
- Four months of bank statements
- Credit card processing statements
- Business tax returns
- Profit and loss statements
- Business balance sheets
How do repayments work with First Union Lending?
Term loans typically come with monthly repayments, though some businesses might be on the hook for bi-monthly, weekly or even daily repayments. Some loans might also come with bi-yearly repayments, though these are only available to businesses in specific industries.
If you signed up for the interest-only loan, consider making extra repayments toward the principal when you can to lower your total loan cost. And if you have any questions or concerns about your loan, reach out to customer service as soon as possible by calling 863-825-5626.
See how First Union Lending stacks up to the competition with our guide to business loans.
Frequently asked questions
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