| Takeaway | Details |
|---|---|
| 🏢 What Fratello Capital Is | Fratello Capital is a New York–based direct lender specializing in providing financing solutions to small and mid-sized businesses across the United States. |
| 💼 Funding Products Offered | Fratello Capital provides revenue-based financing and merchant cash advance (MCA) products designed for businesses with consistent cash flow that need fast access to capital. |
| 💰 Loan Amounts | Funding amounts are available up to $2,000,000, depending on business revenue, performance, and broker-negotiated terms. |
| ⏱️ Speed & Repayment Structure | Approvals are typically faster than those from banks, but repayment is short-term, with daily or weekly payments required. |
| 📉 Rates & Cost Structure | Fratello Capital uses factor rates, typically 1.25-1.50, rather than traditional interest rates, which can make total repayment more expensive. |
| 🤝 Broker-Only Application Model | Businesses cannot apply directly; Fratello Capital works exclusively through ISOs and business loan brokers who arrange and negotiate funding offers. |
| ⚠️ Transparency & Risk Considerations | Limited public disclosure on rates, terms, and qualifications makes comparison shopping significant, especially since broker commissions can increase overall costs. |
| ⭐ United Capital Source Rating | Based on the available information, United Capital Source rates Fratello Capital 2.3 out of 5 for small business funding. |
The growing demand for fast business loans has led to the rise of alternative funding companies that offer solutions beyond traditional bank loans. Many small businesses struggle to qualify for bank financing due to strict credit requirements, lengthy approval timelines, or collateral demands. As a result, revenue-based financing and merchant cash advance companies have become increasingly common, providing faster access to funds with more flexible qualification standards.
Companies like Fratello Capital position themselves as a solution for businesses that need capital quickly and are willing to trade higher costs for speed and accessibility. These alternative business lending products can be helpful in the right situation, but they also carry risks that require careful evaluation. Business owners should always take time to read agreements closely, compare alternatives, and understand how repayment terms may affect cash flow and long-term financial stability.
In this review, we’ll explore how Fratello Capital works to help you decide if it’s right for your business funding needs. Specifically, we’ll answer these questions and more:
Fratello Capital is a business funding company that provides working capital solutions to small and medium-sized businesses. Headquartered in New Hyde Park, New York, Fratello Capital operates as a direct funder while primarily working through independent sales organizations (ISOs) and business loan brokers rather than directly with individual applicants.
The company was founded to create a more efficient, accessible funding experience for businesses that need capital quickly. Fratello Capital is committed to helping small and medium-sized companies access short-term business loans to sustain operations and grow revenue. Instead of relying on rigid bank underwriting standards, the company evaluates a business’s cash flow and overall ability to repay.
Fratello Capital offers two business loan programs: Revenue-Based Funding and Merchant Cash Advance. Fratello Capital primarily works through broker partnerships to arrange loans for businesses.
Fratello Capital’s clients are typically established SMBs that need working capital, prefer to retain ownership, and can manage debt obligations. As of late 2025, Fratello Capital’s specific financial performance data is not publicly disclosed in standard financial indices. This lack of public financial information is common among private funding companies, but it is still essential for businesses to consider when evaluating fit and risk.
Fratello Capital primarily serves as a funding partner for ISOs and business loan brokers, rather than offering direct business loans to small business owners. Business owners seeking funds must work with a broker or marketplace that has access to Fratello Capital’s platform. This structure allows brokers to arrange funding for merchants while negotiating rates and terms.
Fratello Capital offers a range of funding options, including merchant cash advances and revenue based business financing. Loan amounts from Fratello Capital are available up to $2,000,000, making it a potential option for businesses with significant capital needs. Fratello Capital welcomes brokers and ISOs to partner with them and utilize their platform to help merchants.
Fratello Capital’s loan terms are typically shorter than those of banks, ranging from 3 to 24 months. Funding speed is generally faster than that of traditional lenders, with approvals often occurring within days once a broker submits a complete application. Rates, repayment structures, and total cost of capital vary based on the business profile and the broker’s negotiations.
Revenue-based financing allows businesses to obtain working capital in exchange for a percentage of future revenue. Payments fluctuate with sales performance, helping businesses manage cash flow during slower periods. This structure may benefit companies with consistent revenue but limited collateral or weaker credit profiles.
A merchant cash advance (MCA) provides upfront funds that are repaid from a portion of daily or weekly sales. Rather than using traditional interest rates, MCAs rely on factor rates to determine total repayment. This type of funding is commonly used by merchants that process credit and debit card payments and need quick access to capital.
Because Fratello Capital works through brokers, qualification criteria can vary depending on the partner arranging the loan. In general, businesses must demonstrate consistent revenue, active operations, and a business bank account. Time in business, monthly deposits, and payment history all factor into approval decisions.
Credit score requirements tend to be more flexible than traditional banks, but approval is not guaranteed. Businesses with excessive existing debt, recent bankruptcy filings, or ongoing legal actions may face challenges qualifying. Brokers may assist applicants in presenting their financial information to improve their chances of approval.
Fratello Capital is a direct lender that can help streamline underwriting and funding timelines. However, the company does not accept direct applications. Business owners must apply through an ISO or business loan broker, which adds an extra layer to the process. This partnership-first approach allows Fratello Capital to focus on funding while brokers handle client relationships. Fratello Capital specializes in providing working capital and business loans, differentiating itself from traditional investment services for individuals.
The company places strong emphasis on its business loan affiliate program and does not publish extensive information about rates, terms, or qualifications. This creates flexibility for business loan brokers to negotiate on clients’ behalf, but also limits transparency for business owners trying to compare companies. Fratello Capital emphasizes transparency but lacks detailed financial reporting available to the public. A lack of clear information makes it especially important to obtain multiple offers and ensure you understand how Fratello Capital compares with alternatives.
Revenue-based financing and merchant cash advance products can be expensive forms of capital. These short-term solutions often require daily or weekly payments, which can strain cash flow. Unlike traditional loans that use conventional business loan interest rates, Fratello Capital uses a factor rate of 1.25-1.50 to determine the total repayment amount. Brokers typically add a 2–15% commission when arranging loans with Fratello Capital, increasing the total cost of funds.
Debt from Fratello Capital must be repaid with principal and interest, increasing financial risk. If you owe Fratello Capital and are having trouble making payments, legal assistance can help you analyze your budget and determine the best course of action. Some law firms specialize in this type of protection.
Despite the higher cost, these products may offer benefits for businesses with urgent needs. Fratello Capital offers tailored capital solutions and aims for an efficient lending experience with quick approvals. For companies unable to secure bank loans, working with experienced brokers can help identify and negotiate viable funding options.
Fratello Capital does not accept direct applications from small businesses. Instead, merchants must work with an ISO, broker, or business loan marketplace that can arrange funding on their behalf. Many brokers offer streamlined online applications that collect basic business and financial information.
For example, business owners can complete United Capital Source’s small business loan application in just a few minutes. Here are the steps to apply:
Before you begin the application process, take a moment to ensure this is the right product for your specific needs. Will you be able to use the capital for your desired purpose? Is the repayment structure conducive to your cash flow? Do you know exactly how much funding to request?
Answering these questions in advance will make the rest of the process much smoother.
Documentation requirements vary depending on the loan you’re requesting. Regardless of the loan, expect to provide these basic documents during the application:
You can begin the application process by calling us or filling out our one-page online application. Either way, you’ll be asked to supply the information from the previous section along with your desired loan amount.
Once you apply, a representative will contact you to explain the repayment terms, interest rates, and the terms you qualify for. This will ensure that there are no surprises or hidden fees during the repayment period.
If approved, funds should appear in your bank account in 1-10 business days, depending on your loan type.
Fratello Capital does not publish detailed post-funding information on its website. However, most MCA and revenue-based financing products require daily or weekly payments that are automatically deducted from the business bank account or split from card sales.
Repayments for loans from Fratello Capital are available only in daily or weekly payments. Prepayment penalties, early payoff discounts, and renewal options depend on the broker and negotiated agreement. It is essential to read contracts carefully to understand repayment obligations, rights, and potential consequences of missed payments.
Fratello Capital offers online business loans with faster approval timelines and more flexible underwriting than banks. Businesses with substantial revenue but limited access to credit may benefit from capital when time is critical. The broker-driven model can also provide support and assistance throughout the process, helping businesses negotiate terms and evaluate alternatives.
The lack of transparency around rates, terms, and qualifications makes comparison shopping more difficult. Costs can be high due to factor rates, short terms, and broker commissions. Daily or weekly payments can create cash flow problems, and businesses must rely on third-party brokers for contact and communication.
Pros:
Cons:
Fratello Capital appears to be a legitimate business funding company. It maintains an active online presence, operates as an LLC, and works with a network of brokers and merchants.
While there are concerns about transparency and cost, these issues are common in the MCA industry and are not signs of fraud. Businesses should still exercise caution, read agreements carefully, and understand their rights before taking on debt.
Overall, reviews of Fratello Capital are mixed and often reflect the experiences facilitated through brokers rather than direct interactions. The company holds a 4.8/5 rating on over 30 Google reviews.
Clients have praised Fratello Capital for their professionalism and the quality of one-on-one client service. Clients report positive feedback regarding the speed and efficiency of Fratello Capital’s services.
On the negative side, some Fratello Capital clients report negative experiences, including allegations of fraud and a lack of transparency. These complaints often relate to misunderstandings of terms, payment structures, or total repayment amounts, underscoring the importance of reading contracts and asking questions.
Fratello Capital claims to have high approval rates and more flexible eligibility requirements. However, it may still deny an application due to issues with credit, revenue, cash flow, or time in business. The ISO or broker you work with should be able to provide additional details, explain the reason for the denial, and offer alternative funding options.
Fortunately, small business owners have access to a wide range of lenders, many of which accept direct applications. You can typically find business financing options that provide greater transparency into loans, amounts, and qualifications.
Working with a small business loan marketplace (like UCS) lets you apply to a network of lenders through a single, direct application and receive multiple offers. You can then get guided support in choosing the best deal for your business.
You may be interested in one of the following small business loan options:
Fratello Capital may be a fit for businesses that need fast access to capital, have steady revenue, and are comfortable working with brokers and short-term repayment structures. Businesses seeking lower rates, longer terms, or direct lender relationships may want to consider other companies or banks.
Based on the available information, we rate Fratello Capital 2.3 out of 5. The lack of transparency or a direct application significantly limits its viability for small business funding, although ISOs and business loan brokers may benefit from the partnership.
Disclaimer: The Fratello Capital trademark is owned by Fratello Capital, LLC, and its use herein is for reference purposes only, and it does not indicate sponsorship or endorsement from Fratello Capital, LLC.
