Lendio SBA Loans: What They Are & How Your Business Can Apply

Lendio is an online small business loans marketplace that matches businesses with SBA and non-SBA lenders. Lendio makes it faster and easier to get an SBA loan because it streamlines the application and lets you apply to multiple SBA lenders at once.

However, SBA loans through Lendio still take time and can be harder to qualify for than other types of business loans.

Read on to learn how to qualify and apply for a Lendio SBA loan.

What Are Lendio SBA Loans?

SBA loans are some of the best small business loans you can get, as they have low interest rates, long repayment terms, and more flexible qualification requirements than many traditional business loans.

Lendio doesn’t issue SBA loans itself; rather, it uses your application to match you with an SBA lender in the Lendio network.

Types Of SBA Loans Offered By Lendio

The SBA lenders in Lendio’s network offer various types of SBA loans. Here are the types of SBA loans you can apply for through Lendio:

• SBA 7(a) Loans: One of the most flexible SBA loan types, Standard SBA 7(a) loans include Standard loans up to $5 million, and Small Loans up to $350,000.
• SBA Express Loans: Express loans offer faster approval decisions (often within 36 hours) than traditional 7(a) loans, though funding may still take several weeks. SBA Express Loans have a maximum borrowing amount of $500,000 and typically have higher rates than Standard SBA 7(a) loans. (You can calculate your total financing cost and monthly payments using an SBA loan calculator.)
• SBA CAPLines Loans: CAPLines are SBA-backed lines of credit (some revolving, some non-revolving) up to $5 million.
• SBA CDC/504 Loans: These are real estate and equipment loans with a maximum borrowing amount of $5 million. A 504 loan can have a term length up to 20 years.
• SBA Disaster Loans: If your business has been impacted by a natural disaster, you may qualify for one of these low-interest loans with amounts of up to $2 million.
• SBA Export Express Loans: Exporters may qualify for one of these speedy SBA loans up to $500,000. The SBA guarantees a response within 36 hours, though the loan may take 30 days or longer to fund.
• SBA Microloans: Microloans have smaller amounts ($50,000 maximum) and shorter term lengths (up to six years). Microloans are one of the few SBA loans that startup businesses can qualify for.

If you are eligible, you can borrow as much as $5 million with an SBA loan through Lendio.

The Pros & Cons Of Lendio SBA Loans

Is Lendio SBA Approved?

Lendio is not a direct lender. Lendio is a business loan matchmaking service that works with business lenders, including approved SBA lenders and SBA Preferred Lending Partners, to facilitate SBA loans for businesses that apply for loans through Lendio.

Lendio Requirements For SBA Loans

Generally, you need to meet the following requirements to qualify for a Lendio SBA loan:

• Own a for-profit, US-based business
• 2+ years in business
• Minimum FICO score of 650
• Monthly revenue of at least $8,000
• Have a reasonable amount of equity in the business
• Have proof that you have used alternative financial resources before seeking an SBA loan

Lendio itself doesn’t set loan requirements. Eligibility is determined by the SBA and the individual lenders in Lendio’s network.

How To Apply For An SBA Loan With Lendio

Lendio’s loan application process starts with the business owner filling out a 15-minute application on Lendio’s website. In this application, you’ll answer basic questions about your business. After you submit your initial application, Lendio will run a soft check on your credit and then compile loan offers for you. Within 72 hours, Lendio will send you offers to choose from.

After you accept an SBA loan offer through Lendio, the underwriting process will start and you’ll be asked to submit more documentation and information about your business. Lendio also has loan specialists who can provide assistance with your application. Funding typically takes 1 to 2 months from application to funding, depending on the lender and loan type.

Understanding the complete SBA loan application process can help you know what to expect when you apply through Lendio or another lender.

What Is The Easiest Lendio SBA Loan To Get?

The easiest SBA loan to get through Lendio depends on your situation, as well as Lendio’s current loan offerings. Generally speaking, microloans are an easier SBA loan to qualify for – even for startups with bad credit.

However, it may be difficult to find an SBA Microloan lender. Many lenders offer the SBA 7(a) loan, which is one of the most popular SBA loan options.

Final Thoughts On Lendio SBA Loans

Lendio SBA loans are not fundamentally different from SBA loans you could obtain from another provider.

However, Lendio expedites the application process by letting you apply online and providing assistance with your application. In general, SBA loan approval times are long, and these loans have specific borrower qualifications that not all businesses will meet. And it can take even longer to get an SBA loan through Lendio when compared to some Lendio competitors that also offer SBA loans online, such as SmartBiz or Fundera by Nerdwallet.

Not sure if you want to apply for an SBA loan through Lendio or another online lender? Compare the top SBA lenders to find the best fit for your small business.