OnDeck Business Loans Overview

Our Approach:

To help match your business with the right loan, we compared OnDeck’s loan offerings and matched those to the businesses that would benefit most.

In this review, we’ll cover the types of loans OnDeck offers to help you decide if OnDeck 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

OnDeck Business Loans Summary:

OnDeck sells term loans and lines of credit to higher-risk businesses. OnDeck has been in business for over 15 years, lending out over $12 billion.

  • Term loans are the best business loans for companies that need a specific amount of money to fund their business needs. OnDeck offers term loans up to $50,000 with rates as low as 10%. You can also get approved as fast as the day you apply, and applying for a term loan only takes 10 minutes on their website.
  • Lines of credit are the best business loans for companies that need a revolving line of credit to manage their business needs. OnDeck offers lines of credit up to $50,000 with rates somewhere between 10% and 30%. You can also get approved as fast as the day you apply, and applying for a line of credit only takes ten minutes on their website.

PROS

  • Money can be used for most business expenses.
  • Free up your cash
  • Transparent fees
  • Easy approval
  • Don’t need collateral
  • Help you build business credit
  • Tailored loans
  • Loyalty benefits

CONS

  • Need 700+ Experian and Equifax score to qualify for a term loan
  • Need 700+ Experian score to qualify for a line of credit
  • Need an established business credit to qualify
  • High interest rates compared to other lenders
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Recommended: Read our guide on how to build business credit.

How to Apply for an OnDeck Business Loan:

  1. Apply online at OnDeck.com in ten minutes providing basic details about your business and customers. 
  2. Get approved by OnDeck the same day.
  3. Get funded the next day.

Types of OnDeck Business Loans

OnDeck offers business term loans and lines of credit. A term loan is the equivalent of a traditional bank loan, where you receive a certain amount of money with specific repayment terms. A line of credit is a set credit limit where you only pay interest on the money you actually spend. This is similar to how a credit card works.

OnDeck Term Loan

OnDeck is an online lender whose mission is to lend money to higher-risk businesses. Their focus is primarily on helping startups and small businesses who aren’t well established.

Lowest rate: 10% per week

Loan sizes up to: $50,000

Benefits:

  • Free up cash flow
  • Quick approval
  • Fixed payments
  • Fixed interest rate

Qualifications:

  • 700+ Equifax and Experian credit score
  • 2+ years in business
  • Strong financials

How to Apply:

  • Visit OnDeck.com and click “Apply Now.”
  • Provide basic details about your business.
  • Get an approval decision within one business day.
  • Get funded the next day.

OnDeck Line of Credit

OnDeck extends lines of credit to higher-risk businesses needing to free up capital to manage their business affairs. Lines of credit are great in a pinch. For example, if you find your business in a cash flow crisis and need funds for payroll, vendors, or increase inventory levels for a special situation, lines of credit can give you quick access to resources.

Lowest rate: 10%

Loan sizes up to: $50,000

Benefits:

  • Free up cash flow
  • Quick approval
  • Fixed payments
  • Fixed interest rate

Qualifications:

  • 700+ Experian credit score
  • 2+ years in business
  • Strong financials

How to Apply:

  • Visit OnDeck.com and click “Apply Now.”
  • Provide basic details about your business.
  • Get an approval decision within one business day.
  • Get funded the next day.

OnDeck Customer Reviews

OnDeck has great reviews from customers. Here are some verified OnDeck reviews on Trustpilot’s website made by people who sought loans through them to help their businesses:

“Ruben Burgos handled our loan. He was professional & courteous and had our loan processed quickly. Thank you.”

“Super easy to work with would recommend to ANYONE with a small business needing funding. Jordan was great.”

“Amanda was great to work with, very quick and easy process. I contacted her yesterday and will receive my funds today. Thank you”

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

OnDeck Review Ratings

Value - 4/5

Overall, OnDeck’s value works well for most startup and higher risk businesses needing less than $50,000 to improve their business and make it more profitable. OnDeck charges between 10% and 30% interest depending on the term of the loan and tailors loans to meet various business’ needs. This same pricing applies to lines of credit, though the interest rate will be higher.

Customer Service - 2.9/5

OnDeck’s customer service is helpful, but it took us a while to get through. When we did, the agent wouldn’t answer our questions until we answered his questions. Our overall experience was a little below average. We didn’t get all our questions answered, and the answers we received were vague.

Ease of Use - 5/5

Applying for both a term loan and line of credit with OnDeck is easy. Everything is explained perfectly on OnDeck’s website. Loan decision turnaround time is fast, often the same day.

Included Features - 4/5

We like that OnDeck has many satisfied customers, indicating that they do a nice job catering to their customers. The rep we talked to emphasized that they are strong on building relationships. OnDeck reports to both Experian and Equifax to help businesses establish business credit, and they are faster than a bank.

Final Thoughts on OnDeck

OnDeck may be the right lender for your business if you need short term financing and want a fixed term loan or a business line of credit. Rates are between 10% and 30% depending on your credit score, how well established your business is, and how much income your business generates.

If you are an established business with good credit, a traditional bank loan will offer you better interest rates and terms.

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Visit our comprehensive guide on small business loans.

FAQ

Who owns OnDeck?

Enova International owns OnDeck.

How do I qualify for a loan with OnDeck?

For loans up to $50,000, OnDeck collects three months of your business financials.

How does OnDeck make their money?

OnDeck makes money by lending money to small businesses. OnDeck offers both term loans and lines of credit.

What happened to OnDeck?

JPMorgan Chase ended a three-year partnership with OnDeck Capital, stopping funding for their small business loans.

Is OnDeck a bank?

No. OnDeck partners with banks to fund small business loans.

Does OnDeck report to credit bureaus?

Yes, OnDeck reports to Experian, Equifax, and Paynet.