National Funding small business loans review
Working capital loans and equipment financing for bad credit and high-risk industries.
finder.com’s rating: 4.5 / 5.0
Bottom line: This lender can fund or connect a wide range of credit types and industries with financing — including cannabis. But it’s hard to get an idea of the rates you’ll get if you work with a partner.
- Funding as soon as the next business day
- No credit requirements for short-term loans
- Works with high-risk industries like cannabis
- Not transparent about costs and terms online
- Doesn’t fund all loans itself
- Short-term loans come with daily repayments
National Funding rates, fees and terms
National Funding offers working capital loans and long-term equipment financing both directly and through its network of lenders. Both come with APRs ranging ranging from 4% to 8%, including a 1% to 3% origination fee. Working capital loans are short-term — 1 year or less — that you repay each day, rather than each month. Equipment loans come with terms of five years or more.
We spoke directly with a representative from National Funding to gather up-to-date information about loan amounts, terms and APR ranges. Info on its site may vary from what you see in our review. Use our calculator to see how much a National Capital loan might cost you.
Business loan calculator
See how much you'll pay
|Loan terms (in years)|
National Funding partners may offer different rates and terms
These rates and terms don’t necessarily apply to National Funding’s partner lenders, however. If you work in a high-risk industry like cannabis, it’s possible you’ll end up with less favorable terms. You also might want to do some research into the lender you’re connected with to make sure its terms and conditions work for your business.
How National Funding compares to other lenders
Fill out the form to see how National Funding holds up to other providers your business might qualify with.
How to qualify
National funding has different eligibility requirements for its programs.
Working capital loan requirements
- Be in business one year or more
- Make at least $100,000 in annual sales
Equipment financing requirements
- Be in business six months or more
- Have a credit score of 620 or higher
National Funding reviews and complaints
|BBB customer reviews||2 out of 5 stars, based on 25 customer reviews|
|BBB customer complaints||25 customer complaints|
|Trustpilot Score||4.5 out of 5 stars, based on 1,324 customer reviews|
|Customer reviews verified as of||14 October 2019|
National Funding receives mixed reviews. Borrowers are most enthusiastic about its customer service, even mentioning National Funding employees by name.
Not all borrowers were happy with their experience, however. Some claim they were misled into thinking they were going to get lower rates than they actually received. Another reviewer complained that they got spam calls from the lender, which used a geolocation system that makes the call look like its coming from a local phone number.
How the application works
You can apply online or over the phone. If you apply online, you'll fill out a form with information about your business and its financing needs. After you submit the form, National Funding should display a few offers that your business prequalifies for.
Select the offer that best meets your needs and follow the instructions to submit documents — or apply through a partner lender. For working capital loans, you typically need to submit three months of bank statements. Equipment financing usually requires a quote from a vendor.
It can take a few days for National Funding to get back to you with your final loan documents. But after you send in your signed documents, you can receive the funds within 24 hours. Be prepared to start daily repayments if you have a working capital loan.
What sets it apart
National Funding working capital loans come with some of the most competitive rates for a short-term loan. It’s also more open to different types of industries than your typical business lender and even offers programs by industry type. Your credit score doesn’t matter for its term loans, though you’ll need a credit score of 620 or higher if you’re applying for equipment financing.
Is National Funding legit?
Yes, National Funding is a legitimate online lender. It's won several awards, landing on Inc. 50000's list of America's Fastest-Growing Private Companies eight years in a row. And its website is encrypted to protect the personal information you submit online.
But if you're connected with a partner, you'll want to check its legitimacy too before signing up. Read customer reviews on sites like Trustpilot and the BBB. Watch out for government actions against the provider. And make sure it uses encryption before submitting any personal information.
Want to compare more lenders or learn about how business loans work? Check out our business loans guide.
Frequently asked questions
Business loan ratings
We rate business loan providers on a scale of 1 to 5 stars based on factors like transparency, costs and customer experience. We don’t take into account elements like eligibility criteria, state availability or payment frequency — we save that for our reviews.
Read the full methodology of how we rate business loan providers to get a better picture of what goes into each star rating.