7 Uncommon Sources for Startup Business Loans

Though it is harder to get loans in a rough economy startup business loans can be obtained from uncommon sources. Banks have tightened the reins making fewer loans. Where does a person turn for a startup business loan?

Peer-to-Peer Lending and Startup Business Loans

Peer-to-peer lenders supply micro-loans for promoting and building a business. These are groups of people that have an online presence and make startup business loans to the average Joe or Jane.

Prosper

Prosper is a U.S. based social lending site that makes startup business loans. They establish an appraisal, which is determined by the borrowers prospective credit score. The note rates are 7% to 24%. The business owner signs up as a borrower and makes a listing in which he makes an entreaty for a loan. He sets the top rate of interest he will accept. Prosper publishes his credit history to the lenders and he can write a short proposal explaining his business and his plans for the startup business loan. The lenders make bids to supply startup business loans and he can recant his listing during the bidding procedure.

Zopa

Zopa is another social lending site located in the United Kingdom; they consider the credit scores of those wanting to borrow. They categorize the borrowers into groups: A*, A, B, C or Young market. If the borrower doesn't match one of the groups they can't get a startup business loan from Zopa.  The transaction fee for borrowers is £118.50. The lenders make a proposal for which group they will lend to and name the rates and terms of startup business loans.

The Lending Club

Time, Business Week, Fortune Small Business, NBC News, and CNN Money have featured The Lending Club. The base rate for borrowers is 7.88%. The borrower can receive a loan of $1,000 to $25,000 unsecured. The Lending Club holds to the basic good credit qualifications like credit score, credit history, and 10 or less credit history inquiries for six months. They take note of the number of revolving credit accounts and the number of open credit accounts in the borrower's credit report. All of these criteria are considered before appropriating startup business loans.

Personal Loan Market and Startup Business Loans

This is a method for getting a secured personal loan without going to a bank; these can be used as startup business loans.

Market.com

If the loan request is under $1000.00 they don't perform a credit check. People without any credit can also apply. Startup business loans in the range of $10,000 to $15,000 normally require good credit or owning a home. The percentage rates may be high.

Accommodate Financial Solutions


This company offers consulting services for fixed rate and variable rate unsecured startup business loans. They don't charge hidden fees, upfront fees or setup fees. The usual terms are 24-84 months for startup business loans.