Last Updated: June 6, 2024, 11:32 am by TRUiC Team

Funding Circle Small Business Loans Review 2024

Whether you need business funding to buy more inventory or pay down some bills, Funding Circle offers several small business loans that could help your business.

In this review, we’ll go over the details of Funding Circle’s business loans to help you decide if these loans offer the right features for your business.

Recommended: Visit our comprehensive guide on small business loans or read our review of the best small business loans.

Funding Circle review image with 4 stars.

Funding Circle Business Loans Overview

Our Approach:

To help match your business with the right loan, we compared Funding Circle’s loan offerings and matched those up with the businesses that stand to best benefit.

In this review, we’ll cover the type of loans Funding Circle offers to help you decide if Funding Circle is the right lending partner for your small business.

Selecting the best small business loan for your company comes down to three things:

  • Type of business you have
  • Needs of your business
  • What you want for the future of your business

Funding Circle Business Loans Summary:

  • SBA loans are the best business loans for companies needing small business financing. The most popular SBA loan is the SBA 7(a) loan. These loans are backed by the full strength and credit of the United States government, making them a much lower risk for lenders.
  • Term loans are the best business loans for small businesses needing capital to invest in their business. Interest rates on term loans are less than working capital loans but higher than lines of credit.
  • Lines of credit are the best business loans for companies needing a low obligation way to steady cash flow. Similar to a credit card, with a business line of credit, you can draw as you need and pay only on the amount you use. These loans are great for businesses with bad credit or cash flow issues.
  • Working capital loans are the best business loan for companies needing to increase cash flow without long-term debt commitments. The difference between working capital and a line of credit is the interest and duration of the loan. Working capital loans carry a higher interest rate but allow borrowers to draw on the funds as needed.
  • Merchant cash advance loans are the best business loan for companies needing access to capital during times of fluctuating cash flow. Businesses get paid upfront on future credit card sales, helping them free up cash flow when needed.
  • Invoice factoring loans are the best business loans for companies needing immediate cash because they have too many accounts receivables pending payment. Invoice factoring works when companies sell their accounts receivables at a discounted rate to a factoring company.


  • Many loan choices
  • Free up your cash
  • Fund only what you want
  • Transparent fees
  • Easy approval, just three days
  • No minimum revenue requirement


  • Not for startups
  • Must be in business for two years
  • Requires business lien and personal guarantee
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Recommended: Read our guide on how to build business credit.

How to Apply for a Funding Circle Loans:

  • Apply online in less than five minutes providing basic details about your business.
  • Get funded by Funding Circle’s investors.
  • Make fixed payments directly to Funding Circle.
  • Access capital.

Types of Funding Circle Business Loans

Funding Circle offers six types of business loans: 

  • SBA loans
  • Term loans
  • Lines of credit
  • Working capital loans
  • Merchant cash advance loans
  • Invoice factoring

Funding Circle Loans

Funding Circle is not actually a lender; the company matches businesses with investors who fund loans. Because they do not actually fund the loans, interest rates can vary, and other considerations should be taken into account.

Lowest rate: 12.18% per week

Loan sizes up to: $500,000


  • Lots of funding options
  • Money available in three business days
  • No minimum revenue requirements


  • 660+ credit score
  • 2+ years in business

How to Apply:

  • Visit Funding Circle’s website to apply online.
  • The online application will help you determine the best loan.
  • Get funded by investors.
  • Get capital three days later.

Funding Circle's Customer Reviews

Funding Circle seems to have mostly positive reviews from customers. Here are some verified Funding Circle reviews on Trustpilot’s website made by people who sought loans through them to help their businesses:

“What an easy process. Excellent!”

“The application process was pretty straightforward and transparent. My account manager Alfie was very courteous and professional and kept very much on top of matters to ensure we got to the finish line!”

“I really wouldn't bother with Funding Circle. Just a bunch of loan sharks.
No benefit to either lender or investor.
Approach with caution.”

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Learn more by checking out our comprehensive guides on small business loans.

Funding Circle Review Ratings

Value - 4/5

Overall Funding Circle’s value works well for most businesses given they sell many useful loan types to help businesses with varying needs. Funding Circle may not be so useful, however, for companies needing a real estate or equipment financing loan or other long-term loans. Their loans are for the short term.

Customer Service - 5/5

Funding Circle’s customer service is professional and capable of helping a business understand the loan process. Our overall experience was positive.

Ease of Use - 3/5

Applying for a business is exceptionally easy and fast. The only thing we grimaced about was that there weren’t separate loan applications for the differing loans being offered. However, this made more sense to us after completing the application process.

Included Features - 4/5

We like Funding Circle’s approach to lending because they utilize the peer-to-peer lending scheme to fund loans, helping both borrowers and investors. Lower interest rates than a traditional bank loan, not much higher than SBA loan rates, and designed to help small businesses — these are just some of the features we loved.

Final Thoughts on Funding Circle

Funding Circle may be the right lender for your business if you need fast short-term financing. Funding Circle offers low-interest rates and many loan types to choose from. They also offer loans up to $500,000, more than most other short-term lenders.

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Visit our comprehensive guide on small business loans.

Funding Circle FAQs

Yes, but Funding Circle is not a bank; rather, they are a peer-to-peer lending marketplace that connects businesses to investors who fund small-business loans.

Funding Circle collects repayments from businesses. This money is then repaid to the investors with Funding Circle taking a cut.

Term loans give businesses access to working capital to grow their businesses.

Funding Circle is an online marketplace that connects investors to businesses utilizing a peer-to-peer lending platform.

Funding Circle is based in London but operates in many countries across the world, including the US, the UK, Germany, and the Netherlands.

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