Kabbage is one of those financial institutions that offer other small businesses loan opportunities. In the course of this article, we will be looking at an overview of the Kabbage loan option, and a practical guide on how to apply for it.
Kabbage Loan Requirements
It is important to note that the loan requirements for Kabbage are very simple. Has your small business been at least one year? And does your business accrue more than $50,000 per year in revenue? It is very possible for you to complete a free no-obligation application with Kabbage Loans today.
Whether your small business needs to stock up, buy new equipment, or just get some cash flow, with a Kabbage loan, your business will be covered.
How to apply for Kabbage loan
The process for applying for a Kabbage loan is simple and easy.
- You just need to enter some business information like your business name, type of business, your company structure, and the date of establishment of your business.
- The next step would be to link your Business Kabbage checking account and other online financial services that you use, such as Quickbooks or Paypal.
- Kabbage will now go on to use your bank history and bill pay services to make an evaluation of your business performance. Then would automatically go on to determine your instant Kabbage line of credit.
- If your small business qualifies, it will get a credit line up to $200, 000 with no need for financial documentation.
Using your Kabbage Loan For your Small Business
The moment your business light of credit for the Kabbage loan is approved, it can be used right away. It is best to use the only amount that you need from Kabbage loan when you want to. Although there are no limitations to how you want to use your funds, it is entirely up to you.
This is why the Kabbage line of credit is best for small businesses that want to manage cash flow and cover expenses anywhere, anytime. Get funds to your bank account when you need extra capital for your small business with 12 months to pay.
You can also use your Kabbage credit card to purchase items or other services with 6 month repayment terms. In this case, you pay only for what you use. It is also important to note that there are no prepayment or repayment penalties and your fees stop the moment the line of credit is paid off. What it means is that if you take funds and repay the balance in one month, you then pay only one month’s fees.
There are no expensive origination fees when trying to apply for Kabbage loans. It is the amount that you borrowed that you would see being directly deposited into your bank account. The best part is, when you advance funds from your line of credit, you can choose the schedule for your repayment.
It is important to note that Kabbage offers 6 or 12 month repayment terms to small businesses. And then goes on to charge a flat monthly fee, ranging from 1% to 10% of the amount that you wish to borrow.
The monthly flat fee is usually determined by your qualification and can be lowered as you make use of and repay your line of credit. If you get approved you will get a $50 free gift card.