How We Evaluate Lenders

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Full disclosure below.

Every lender we review gets scored on the same six categories, with the same weights, whether or not we earn a fee from it. We show the math on every review, so you can check our work and weigh it your own way.

The short version

• Six categories, fixed weights, a score from 1 to 5.
• The same rubric for every lender. A referral deal never adds a point.
• Reviews are free. No lender pays for a review or a score, and partner status never changes one.
• Facts come from the lender’s own site first, then public review sites. Every fact has a source and a date.
• Lenders can check our facts before a review goes live. They never see or change the score.
• We update each review at least every 6 months, and sooner when terms change.

What we score

We score financing products: term loans, lines of credit, working capital, revenue advances, equipment financing and similar. Each category gets a score from 1 to 5, in half points.

Cost carries the most weight because the total you repay matters more than anything else on the list.

How each category is scored

Cost and fee clarity (30%). We score how clearly a lender shows what you will pay before you apply, not whether it is cheap.

• 5: APR or full cost range and all fees published before you apply, with clear prepayment terms.
• 4: Rate or factor range and the main fees published.
• 3: Some cost detail, such as a starting rate or a worked example, but fees are incomplete.
• 2: Cost shown only in an offer, fees not listed publicly.
• 1: Cost unclear even at the offer stage, or a pattern of complaints about surprise fees.

Access (20%). We score the three published minimums, then average them.

We average the three and round to the nearest half point. A minimum the lender doesn’t publish scores 2, because you can’t tell if you fit before you apply.

Speed (15%). We use the lender’s own stated timing.

• 5: Funding as soon as the same or next business day.
• 4: Two to three business days.
• 3: Up to one week.
• 2: One to four weeks.
• 1: Longer than four weeks.

We take off half a point when borrower reviews show a clear pattern of delays.

Product fit (15%).

• 5: A wide range of amounts, terms past 12 months, and three or more product types.
• 4: A good range in one or two strong products.
• 3: One product with a moderate range.
• 2: Narrow amounts or very short terms only.
• 1: A product that fits few small businesses.

Borrower experience (10%). We read BBB ratings and complaints, the CFPB complaint database and Trustpilot. We look at patterns, not one angry review.

• 5: Strong ratings on two or more sites with a large number of reviews, and no pattern of unresolved complaints.
• 3: Mixed ratings, or too few reviews to judge.
• 1: Poor ratings or a pattern of unresolved complaints.

The CFPB database mostly covers consumer products, so many business lenders have few or no entries there. We say so when that’s the case.

Transparency (10%). We start at 1 and add a point for each of these the lender offers:

• A soft credit pull to check your options.
• Published terms, a sample agreement or required state cost disclosures.
• A published phone number or named support channel.
• Licensing or state availability shown on its site.

The math

Overall score = (Cost x 0.30) + (Access x 0.20) + (Speed x 0.15) + (Product fit x 0.15) + (Borrower experience x 0.10) + (Transparency x 0.10)

We round the overall score to one decimal place.

Illustrative example, not a real lender:

Every review shows this table with its own scores and a one-line reason for each.

Cards and spend tools get no star score

Business cards and spend tools, such as a corporate charge card, are not financing. You pay them in full, so cost of credit, revenue minimums and funding speed don’t apply the same way. A star score built for loans would mislead you.

So these products get a strengths and cons review instead, with the same sources, the same disclosure and the same update schedule. No star score, no overall number.

Where our facts come from

1. The lender’s own site. Product pages, requirements, FAQs, fine print and state disclosures. This is the main source.
2. Data a lender sends us. We use it only after we check it against public information. If the two don’t match, we say so.
3. Public review sites. BBB, the CFPB complaint database and Trustpilot, for borrower experience only.

Every review lists its sources with a link and the date we checked each one. If a lender doesn’t publish something, we write “not disclosed.” We never guess. If a lender’s own pages disagree, we score the stricter figure and say so until the lender clears it up.

We report rates, speed and approval rules as the lender states them. We can’t promise you any rate, amount, timing or approval. The lender decides.

How we keep reviews independent

• Free only. No lender pays for a review or a score, and partner status never changes one. There is no paid placement in our reviews.
• Same rubric for everyone. Lenders we earn a fee from get no bump, no floor and no hand-picked best category.
• Real cons. Every review lists cons, including reviews of lenders we work with.
• Lenders check facts, not scores. Before a review goes live, a lender may point out a wrong fact. We fix it only if its own public pages or documents back the change. Lenders never see the score before it’s published and can’t change it.
• We choose what to review. We don’t review every lender in the market, and we don’t call our list complete.

Updates

Each review shows its last updated date at the top. We refresh every review at least every 6 months, and sooner when a lender changes its terms. When a score changes, we note what changed and why.

Who reviews lenders

Reviewed by Chris Scarfo. Chris spent ten years in business banking before cofounding Lending Gurus.

Corrections

Spot a wrong fact in a review? Tell us on our contact page. We check every report against the lender’s own sources and fix confirmed errors, with a new update date.

FAQ

Do lenders pay for reviews? No. Reviews are free. No lender pays for a review or a score, and partner status never changes one.

Do you earn money from lenders you review? Sometimes. We may earn a referral fee when you apply through our links. It never changes a score.

Can a lender change its score? No. A lender may point out a wrong fact before we publish. It never sees or changes the score.

Why don’t cards get a star score? Cards and spend tools are paid in full and aren’t financing, so a loan rubric doesn’t fit. They get a strengths and cons review instead.

How often do you update reviews? At least every 6 months, and sooner when terms change.

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How we make money

See our editorial policy.