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CapFront Review: Pros, Cons, & How to Apply

Most small businesses need financing help at some point, but the number of traditional and alternative lenders can be overwhelming. Business loan brokerages, like CapFront, aim to ease the process.

You can complete the lending marketplace‘s quick and convenient online application and get matched to multiple funding options from lenders in its network. If approved, you can access working capital as soon as the next day, depending on the product.

However, CapFront isn’t the right fit for every small business. You might want additional options or prefer to work with a lending platform with a more established business history.

We can help you decide if CapFront suits your business funding needs by covering the benefits, drawbacks, and application process. Specifically, we’ll answer these questions and more:

We will help you grow your small business.

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    What is CapFront?

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    CapFront is an online business lending marketplace offering multiple funding options for small to medium-sized businesses (SMBs). The marketplace’s network of business lenders includes fast-funding options, with same-day funding sometimes possible.

    It states its company values as a focus on relationship building, client education, transparency, and sustainable funding. Entrepreneurs are paired with dedicated relationship managers who help users review their funding options and provide additional services, such as credit prep.

    The company’s co-founder and CEO, Zack Fiddle, launched the business with the aim of helping small business owners access working capital while protecting them from predatory lending practices. The company was established in 2017 and is based in Garden City, NY, with another office in Manhattan.

    How does CapFront work?

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    Signing up for the service is free, and you can receive multiple funding offers from the company’s network. An account manager will help you review the options and select the most advantageous one for your business needs.

    Let’s review the small business funding options available.

    SBA Loans

    • Loan amounts: Up to $2 million.
    • Terms: 5 years.
    • Interest rate: Starting at 1%.
    • Funding time: Several weeks.

    CapFront’s lender network includes SBA-approved lenders. The US Small Business Administration (SBA) oversees the program.

    Small business owners cannot apply directly to the SBA. Instead, you must apply to an approved lender or marketplace.

    The SBA partially guarantees up to 85% of the loans. With backing from the federal government, lenders can offer higher borrowing amounts at lower interest rates and longer repayment terms.

    Equipment Financing

    • Loan amounts: Up to $80 million.
    • Terms: 1-6 years.
    • Interest rate: Starting at 6% APR.
    • Funding time: As fast as 24 hours.

    Many small businesses across all industries require expensive equipment to get the job done. Examples include computers and office furniture, construction equipment, medical and dental equipment, restaurant kitchen equipment, and more.

    However, business equipment is often a high cost. Many businesses don’t have the available capital or don’t want to risk depleting their cash reserves.

    Equipment financing allows you to purchase or lease the equipment on credit. It serves as the collateral for the loan, known as a self-collateralized loan.

    CapFront’s equipment financing can provide up to 100% of the cost, meaning you don’t have to make a down payment. Once you apply and get approved, the lender CapFront places you with sends the funds directly to the equipment vendor.

    Term Loan: Working Capital

    • Loan amounts: Up to $2 million.
    • Terms: 3 – 36 months.
    • Interest rate: Starting at 9%.
    • Funding time: As fast as 24 hours.

    CapFront’s working capital term loan is a hybrid of its expansion loan and a merchant cash advance. It doesn’t require collateral and carries fixed, simple interest. These loans have short repayment terms with a higher cost than traditional business loans.

    You can use the funds for most working capital expenses and covering cash flow caps. Examples include funding marketing campaigns, hiring new staff, purchasing inventory, or paying rent.

    Term Loan: Expansion Loans

    • Loan amounts: Up to $500k.
    • Terms: 6 months – 10 years.
    • Interest rate: Starting at 4.99%.
    • Funding time: As fast as one week.

    CapFront’s expansion loan is a traditional term loan, except you don’t get it through a bank. The loan carries a fixed interest rate with fixed payments. It’s fully amortized like a traditional loan, so you can save money by paying it off early.

    You can use the funds for long-term projects or significant one-time purchases. Examples include purchasing equipment, expanding to additional properties or adding to an existing one, product development, and debt consolidation.

    Line of Credit

    • Loan amounts: Up to $250k.
    • Terms: 6 – 36 months.
    • Interest rate: Starting at 4.66%.
    • Funding time: As fast as 24 hours.

    Business lines of credit differ from small business loans because you don’t receive the funds in a one-time disbursement. Instead, the funds are activated as an available credit limit, and you can draw from that limit as needed, like a credit card.

    You only pay interest on the funds your draw. Lines of credit are excellent for ongoing projects and covering unexpected costs.

    Merchant Cash Advance

    • Loan amounts: Up to $5 million.
    • Terms: 3 – 24 months.
    • Interest rate: Factor rates start at 1.09.
    • Funding time: As fast as 48 hours.

    Merchant cash advances (MCA) allow you to monetize your future receivables for an immediate cash advance. The MCA funder collects repayment with a fixed split of your credit card sales directly from your card reader.

    MCAs use a factor rate to determine your repayment amount. It’s simple to calculate but more expensive than a standard interest rate.

    For example, if you received an MCA for $250,000 at a factor rate of 1.10, you’d multiply the advance amount by the factor rate:

    $250,000 x 1.10 = $275,000. You’d pay an additional $25,000 for the advance.

    While you can think of that $25,000 as “interest,” it’s actually a business-to-business transaction where the MCA funder purchases $275,000 of your future receivables for $250,000.

    MCAs are an option for immediate working capital when you have a cash flow gap. They’re easy to qualify for and quick to fund.

    Invoice Factoring

    • Loan amounts: 80% – 90% of the invoice value.
    • Terms: Invoice terms.
    • Interest rate: Undisclosed.
    • Funding time: Undisclosed.

    Invoice factoring allows businesses to convert unpaid invoices into immediate working capital. CapFront will match you with a factoring company that provides an advance based on the invoice value.

    The factoring company then waits for your customers to pay their invoices. Once it receives payment, the factoring company releases the remaining invoice value minus its fee.

    CapFront does not publish factor fee ranges. Ensure you understand the costs involved before signing a factoring agreement.

    What are the qualifications for CapFront?

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    The qualifications vary by loan type and lender. The business lending marketplace doesn’t publish minimum qualifications for all its products. But it does give some general information on eligibility criteria for most products.

    SBA Loans

    CapFront doesn’t list minimums for its SBA loans. However, you typically need a credit score between 650-700, at least two to three years in business, and high annual revenue to qualify for SBA loans.

    Equipment Financing:

    • Credit score: 600.
    • Time in business: 2 years.
    • Revenue: $10k per month.

    Term Loan: Working Capital

    CapFront doesn’t publish minimum qualifications for its working capital term loan, but it states most businesses will qualify. The approval standards are much more lenient than most small business loans.

    Term Loan: Expansion

    CapFront also doesn’t publish qualifications for its expansion loan product but states it has stringent approval criteria. To qualify, you’ll need excellent personal and business credit, a low debt-to-income ratio, and an established profitable business.

    Lines of Credit:

    • Credit score: 560+.
    • Time in business: 6 months+.
    • Revenue: Undisclosed.

    Merchant Cash Advance:

    The company doesn’t publish minimum qualifications for their MCA product, but merchant cash advances are generally one of the most accessible business funding options. You can get approved without collateral and with little or low credit.

    The most important aspect of qualifying for an MCA is your revenue. You need a consistent credit card revenue history and an accurate projection of consistent revenue.

    Invoice Factoring

    Repayment for invoice factoring comes from your customers, so factoring companies are more concerned with their creditworthiness than yours. The company does not list any minimum qualifications regarding credit score, time in business, or revenue.

    For CapFront, You Need to Know That:

    Its products are designed to provide fast access to capital at reasonable rates. However, all short-term and quick-funding business financing carries higher rates than traditional, long-term financing.

    One of the company’s unique features is its Dual-Track Funding option. The program allows you to apply for lower-cost long-term funding while getting short-term bridge funding. It’s an excellent way to get quick capital for immediate cash flow solutions while waiting for long-term financing for expansion or business growth opportunities.

    The company publishes some starting interest rates but doesn’t list the maximums you could pay. It also doesn’t publish any fees, such as origination or broker fees. However, it does state part of its mission is to reduce the exorbitant third-party fees other brokerages might charge.

    The marketplace offers a business loan affiliate program. ISOs and business loan brokers can sign up to offer business loans through CapFront’s lender network to their SMB clients.

    How to apply to CapFront:

    The application process is quick and simple. Follow these steps to apply.

    Step 1: Apply

    You can complete the online application in a few minutes. You’ll provide some basic information about yourself and your business. That includes stating how much funding you need and when you need it.

    You will upload or email your three most recent business bank statements and connect with one of the company’s dedicated relationship managers. You will discuss your needs and send any additional documentation the manager requests. For example, you must include the vendor invoice for equipment financing.

    Step 2: Review Your Options

    You could receive multiple funding offers from the marketplace’s lender network within a few hours of applying. Your relationship manager will review your offers to help you select the most cost-effective option.

    Step 3: Fund

    Once you select an option, the process moves to the funding stage. Depending on the loan type, you could receive your funds in your business bank account the same day you get approved.

    CapFront, Post Funding:

    The repayment process depends on the type of loan you receive. SBA loans are fully amortized and carry fixed monthly payments.

    Equipment financing also comes with fixed monthly payments. You’ll typically have a lower interest rate since the loans are collateralized with the financed equipment. In addition, you could qualify for a Section 179 deduction, giving your business a tax break.

    Working capital term loans have daily, weekly, or monthly payment options. Expansion term loans carry weekly, bi-weekly, or monthly payments. The payment frequency you receive is likely dependent on your creditworthiness, loan amount, and term length.

    Lines of credit also carry weekly or monthly payments, but weekly payments are more likely. Merchant cash advances are repaid with a credit card split from your daily sales. You might have an additional monthly payment if your sales don’t keep you on pace to repay the advance within the given terms.

    Invoice factoring repayment depends on when your customers pay their invoices. The factoring fee is usually based on customers paying the invoice by the due date. If your customers pay later than the due date, the factoring company will likely charge a fee every term the invoice remains unpaid.

    What are the advantages of CapFront?

    CapFront provides fast-funding options with low approval requirements. It offers a diverse range of business funding products to meet your needs.

    The application process is quick and straightforward, and you get a dedicated relationship manager to guide you through the process.

    CapFront also provides a dual-track option to provide bridge funding while waiting for more advantageous long-term financing. The company also provides client education with a focus on sustainable funding.

    What are the disadvantages of CapFront?

    One of the primary drawbacks is the cost. While CapFront aims to reduce the costs compared to predatory lenders in the industry, all alternative business funding with quick applications, easy approvals, and fast funding carries higher rates than traditional business financing.

    Despite its claims of full transparency, the website lacks some information on costs, such as interest rate maximums and fees. It also doesn’t provide concrete details on qualifications for specific products. You must apply to see if you can get approved.

    It’s also a younger company in the business funding space, launching in 2017. While that isn’t necessarily bad, some small business owners prefer to work with more established funding options.

    CapFront Pros & Cons:

    pros, and, cons


    • Multiple funding options.
    • Quick and easy applications.
    • Fast funding times.
    • Dedicated relationship managers.
    • Unique dual-track funding program.
    • Provides client education with a  focus on sustainable funding.


    • Alternative funding is more expensive than traditional business financing.
    • Lacks some information on interest rates and fees.
    • Doesn’t provide concrete qualifications for certain products.
    • Not as established as some business lenders and marketplaces.

    Apply for business funding through United Capital Source today.

    CapFront Frequently Asked Questions

    Is CapFront legit?

    Yes, CapFront is a legitimate alternative business funding marketplace. It is Better Business Bureau (BBB) accredited and has an A+ rating on the watchdog site.

    What do CapFront reviews typically focus on?

    finger, feedback, report back

    CapFront has overwhelmingly positive reviews. It has a 4.9 out of 5 rating on 56 Google reviews and a perfect 5 out of 5 rating on over 520 TrustPilot reviews.

    The positive reviews discuss the ease of the process, fast funding times, and excellent customer service. Many reviews mention the account manager by name. Several said the service went the extra mile and worked hard to assist them. The company also has positive reviews from employees on sites like Glassdoor. Many state that the marketplace has a good management department.

    The few negative reviews came from users who were denied a loan. One customer mentioned that the company stopped contacting them while they awaited an approval decision. After following up, the customer discovered the communication ceased because they were denied.

    Another negative review claimed the company was a fraud and that the relationship manager misled them. The company’s CEO personally responded to the message to refute the claims and explained why the customer was denied. He apologized for the service representative’s attitude but maintained that the service rep did not give any false or misleading information.

    What if CapFront denies my business loan request?

    CapFront provides several programs with low qualifications, but there’s no approval guarantee. The company takes a complete picture of your business’s financial health when reviewing loan applications. Issues with your personal credit score, business credit, or inconsistent revenue could trigger a denial.

    If you were declined, the denial letter should explain why. If you need more information, such as when you can apply again, call CapFront directly.

    Fortunately, many alternative business lending options exist if CapFront doesn’t work out for you. Most lending marketplaces offer similar funding options.

    You shouldn’t have trouble finding a lender or marketplace that can offer the following small business loans:

    Making Your Decision

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    CapFront is best suited for small businesses that need fast funding but can’t qualify for traditional business loans. The company offers a comprehensive suite of funding options. It’s also geared towards business owners who want an ongoing relationship with a business loan broker and want to learn more about business financing.

    The dual-track funding option is an excellent fit for businesses that need immediate bridge funding but ultimately want to secure lower-cost long-term financing. The lower approval requirements mean credit-challenged business owners and newer companies can likely find funding options.

    Established businesses with excellent credit and high annual revenue can likely qualify for lower-cost traditional financing. You might also be able to access more competitive fast funding options if you have an urgent need.

    Based on product availability, customer reviews, and website transparency, we rate CapFront at 4.5 out of 5. That’s one of our highest ratings for a business lending marketplace.

    Disclaimer: The CapFront trademark is owned by CapFront, and its use herein is for reference purposes only, and it does not indicate sponsorship or endorsement from CapFront.

    Apply for business funding through United Capital Source today.

    Why Choose United Capital Source?

    Why businesses choose UCS:

    Quick funding options that won’t affect credit
    Access to 75+ lenders with multiple products to choose from
    Financing up to $5 million in as few as 3 days
    1500+ 5 star reviews from happy clients!

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        How much Working Capital would you like for your business?

        At UCS, we understand the value of your time and want to ensure that your application has a great chance of approval. Please take note of the following details before applying:
        • To be eligible, it’s necessary to have a business bank account with a well-established U.S. bank such as Chase, Wells Fargo, Bank of America, Citibank, or other major banks. Unfortunately, online-based bank accounts like PayPal, Chime, CashApp, etc., are not permitted.
        • When describing your current average monthly sales deposits to your business bank account, please provide accurate information. Our approval process is based on your current business performance, and it’s essential to provide accurate details about your current sales in the first question on the application form. We cannot approve applications based on projected revenues after receiving funding.
        We appreciate your understanding and cooperation in ensuring a smooth and successful application process.
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