|Loan types||Small business capital advances|
|Loan amount||$5,000 to $500,000|
|Repayment Terms||Between 3 and 12 months|
|Top Pro||Fast approval, usually within 72 hours|
|Top Con||Relatively expensive buy rate|
|Best for||Small businesses looking for fast working capital|
Swift Capital was founded on the idea that the traditional lending process can be slow and unsuitable to small businesses with urgent needs. Between banks with lofty requirements for potential borrowers and credit cards without enough funding, Swift Capital provides a solution that occupies an optimal middle ground. The company specializes in fast working capital advances for small businesses, and offers up to $500,000 even for customers with weaker credit or a relatively short time in business. With reasonable rates, starting as low as 9.90%, Swift Capital helps startups and other small ventures access a percentage of their projected revenues as cash immediately. This enables them to take advantage of opportunities important for future growth without breaking the bank.
Swift Capital’s services are primarily aimed at small businesses that need a fast cash injection, and are willing to pay off their obligation on an accelerated schedule. These businesses are not required to have excellent creditworthiness, large annual revenues or a long history in the market – standards that suit newer organizations especially. These borrowers should also be prepared to pay rates that are affordable, but not the lowest in the industry. The main draw for those borrowers evaluating Swift Capital is the speed with which they approve applications and release funding, making it an attractive solution for companies that urgently need to pay bills, cover payroll or acquire new inventory quickly.
The loans that Swift Capital provides are for small businesses exhibiting consistent sales, with borrowers typically eligible to receive between 1 and 2 months’ worth of their average revenue. However, loan amounts are flexible and can be customized based on the cash flow of the specific borrower. Swift Capital outlines most of their loan terms on their website, a transparent and welcome approach that contrasts with many competitors. A company with annual revenues of $500,000 would likely be approved for a loan of around $50,000, and will be required to repay the financing anywhere between 3 months to 12 months later. The short repayment terms are somewhat restrictive and should be considered when determining how much to borrow. With the documents proving credit score, time in business, and statements that illustrate revenue, a borrower is often able to obtain the financing they need within just 72 hours.
Some Swift Capital highlights:
Small businesses can begin the application process with a short form on Swift Capital’s website. They must input their company name, projected annual revenue, contact information, tax identification number and social security information. A Swift Capital representative will then get in touch, usually within a single business day, to request additional documents and discuss the financing that the company is approved to receive. It might be important to note that bank statements are also required in some cases, making it wise to have documents available ahead of time if speed is an important factor. If approved, a business borrower will receive funding in as little as 72 hours after beginning the application.
Some small businesses are well suited to Swift Capital’s solution, benefiting from quick approval and rapid disbursement of funds. The company quotes their interest charges as a buy rate, which is a flat percentage of the principal amount. For instance, a borrower of $50,000 may be charged 12.00% for the loan, which means that the effective amount of interest paid is $6,000. While rates start as low as 9.90%, they increase with principal, and in practice may be more than twice this rate. Once approved, borrowers will pay an origination fee of 2.50%. The company's fees are on the higher end of the industry spectrum, but they are transparent about the charges and all costs are figured into terms quoted to customers.
Swift Capital is very amenable in its requirements for borrowers. Applicants must have a FICO score above 500, $100,000 or more in annual revenue and at least one year in business. For many, these milestones are relatively easy to hit, making it straightforward to acquire financing anywhere from $5,000 to $500,000. This amount, plus interest, must be paid back on a comparatively short schedule. In addition, we appreciated that Swift Capital offers their customers a best price guarantee. This means the company will beat or match other lenders that that have offered an applicant better terms, or alternatively, give them $500 to use Swift Capital’s services instead.
The longest repayment term available from Swift Capital is 12 months, and the shortest is 3 months. While other lenders may allow borrowers to repay their obligations over the course of several years, the short terms offered by Swift Capital are suited well for those businesses who do not want to be saddled with debt for long. Swift Capital also makes it easy to repay their loan, and will automatically withdraw the appropriate amount from the borrower’s bank account weekly. Other lenders who use estimated earnings and sales to guarantee their loan will often withdraw every day, but Swift Capital’s weekly arrangement helps borrowers make payments with increased flexibility. Prepaying the loan is encouraged and will not be penalized, however, the buy rate method by which Swift Capital charges up-front interest means prepayment has few advantages considering the repayment term length.
The personal and financial information gathered on Swift Capital’s website and during the application process are protected by the highest digital security standards available. Swift Capital does share some customer information with third parties, but only those who provide relevant loan products and services, and the full list is available on their website under the company’s TRUSTe certification. In addition, Swift Capital has received exemplary scores on most ratings services, including the Better Business Bureau, where it scored a 4.8 out of 5.0. J.D. Power, one of the most trusted consumer review companies, has also rated Swift Capital very favorably.
Swift Capital’s support team offers friendly and knowledgeable assistance for their products and process. Staff answered questions quickly on the support line listed on the company’s website, and wait times were minimal. The company also has a dedicated email address for those customers who prefer this method of communication. We were impressed with the short queues, thorough employee knowledge and demeanor, and can say with confidence that the company has earned its recognition from the J.D Power Contact Center Program. This means that Swift Capital was audited and found to exceed certain customer satisfaction benchmarks – a rarity among businesses of this kind.
We found Swift Capital to be an excellent solution for small businesses that seek capital advances with fast turnaround, but there are some areas where they could improve upon their services:
Despite these minor limitations, Swift Capital is an overwhelmingly worthwhile service for its target audience, offering several notable benefits:
Small businesses with urgent capital needs, even those that are less established or with weaker credit, have a path to fast loans with the aptly-named Swift Capital. The company offers cash advances in mere days whereas competitors may take weeks or even months to approve an application. Though they determine interest with a flat percentage of principal rather than APR, borrowers will find that weekly automated withdrawals and short repayment terms make getting a loan and repaying it a fast process. Additionally, customer service is impressive and compares favorably with much of the competition. The transparency with which Swift Capital operates is refreshing, and helps inform all potential borrowers without obscuring the details.
Swift Financial Corporation
3505 Silverside Rd.
Wilmington, DE 19810
United States of America