Finimpact

Fora Financial Review: Flexible Funding for Small Businesses

Fora Financial is a small business lender that is ideal for companies looking to borrow small amounts of money. It has low credit requirements and low minimum loans.

Fora Financial Review
forafinancial
3.9
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Credit Score
Min. Credit Score 550+
Loan Amount
Loan Amount $5K-$750K
Loan Repayment
Loan Repayment 4-15 months
TJ Porter
Written by:TJ Porter
Personal Finance Writer

Fora Financial is a small business lender that offers two types of loans: term loans and cash advances. The lender is perfect for smaller companies that need cash and businesses that have less than perfect credit thanks to its underwriting process that looks at more than your credit score.

Fora Financial funding is great for companies in industries like construction, automobiles, wholesale, and manufacturing and comes with perks such as discounts for early repayment.

Summarized Ratings

This parameter considers loan terms, repayment optionality, and loan limits. For each financing arrangement offered, each of these features was evaluated using the five-point scoring system. Then, the various scores were aggregated and averaged to establish an overall loan features score.

Fora Financial gets a 2.9 for Loan Features. This slightly below average score reflects relatively short loan terms (< 1 year) and low loan limits ($500K-$750K or $250K-$500K, depending on loan type). The score is strengthened by accommodative repayment options.

Pros
Funding In As Little As 24 Hours
Ideal For Plenty Of Industries
Credit Isn’t Important For Borrowing
Cons
Rates May Be A Little High For Some
Fees Outside Of Loan Acquisition

What Is Fora Financial?

Fora Financial is a fintech lender that offers merchant cash advances and short-term loans to small businesses. The company offers loans between $5,000 and $500,000 that can be available in up to 72 hours to those that are eligible.

Following a free online quote, Fora Financial is ready to lend capital with up to 15-month terms and without the need for collateral. What’s more, and what really sets this lender apart from others, is that it only takes 24 hours to gain approval, and early payoff means you’ll get discounts on your remaining balance. From construction to hospitality, a range of industries can benefit from lending here.

Fora Financial Loan Features

Fora Financial lets you use your loan however you need it. Whether it’s equipment that needs repairing or it’s time to enhance new services and products, you can secure up to $500,000 within 72 hours and just 24-hour approval. Its short-term loans range between four and 15 months, which might be too short for some, but merchant cash advances don’t come with fixed-term repayments.

Fora Financial small business loans come with some charges and an interest rate factor between 1.1 to 1.3.

Fora Financial Short-Term Loans

Fora’s short-term loans are best suited to solving immediate cash flow gaps as well as responding to any emergency financial issues. With borrowing amounts up to $500,000, they’re also ideal for business development and for growing your infrastructure.

Term Length

4-15 Months

Repayment Period

Monthly

APR

Varied

Min-Max Amount

$5,000-$500,000

Fora Financial Merchant Cash Advance

A Fora merchant cash advance is a lot more flexible than the alternative as it’ll allow you to borrow against future card sales. The borrowing amounts are the same but you’re not bound to strict terms like you are with short-term small business loans.

Term Length

N/A

Repayment Period

Monthly

APR

Varied

Min-Max Amount

$5,000-$500,000

Fora Financial recently announced a new credit facility - with Credit Suisse and Hudson Cove in order to enhance its services. This means even better access to small businesses and an increase in borrowing capacity up to $150 million.

Fora Financial Interest Rates and Fees

Some fees come with Fora Financial loans, which means they’re possibly not for everyone - this really depends on what you can afford in terms of repayments. Really, though, where this lender thrives is short-term funding and helping businesses meet short-term capital requirements. The access to quick funding, large lending amounts, and fast approvals is the perfect trade-off to grow your business and meet goals without other departments and your development plans taking a hit.

Short-Term Loans Rates and Fees

Borrowing Fee

10-30% Of The Loan

Origination Fee

Up to 2.5%

Late Payment Fees

$35

Interest Rate

Factor 1.1 - 1.3

Early Repayment Discounts

Yes

Merchant Cash Advance Rates and Fees

Borrowing Fee

10-30% Of The Loan

Origination Fee

Up to 2.5%

Late Payment Fees

$35

Interest Rate

Factor 1.1 - 1.3

Early Repayment Discounts

Yes

How To Qualify for a Fora Financial Loan?

One of the things that sets Fora Financial apart from the competition is that it looks at much more than your credit score and your business’s credit score when deciding whether it will approve your loan application.
Your business’s financial situation, including its revenue and time in business also play a significant role in your ability to qualify.

Criteria

Small Business Loan

Merchant Cash Advance

Minimum Credit Score

Not disclosed – no open bankruptcies

Not disclosed – no open bankruptcies

Minimum Annual Revenue

$12,000

$5,000 minimum in credit card sales

Minimum Time in Business

6 months

6 months

Fora Financial Application Process

Applying for a loan from Fora Financial is easy. The company has a one-page application that takes just minutes to fill out. If you’re applying for a term loan, you’ll have to provide three months of bank statements along with your application. If you want a cash advance, you’ll have to provide three months of credit card statements.

You can apply for the loan directly online.

Once you fill out the form, you’ll have to wait for one of the company’s specialists to give you a call. Alternatively, you can call to get quicker support.

Fora Financial also has a referral program that you can use once you’ve applied. If you refer another business that gets a loan, you’ll get up to $500 as a bonus. You can get that amount in cash or use it to pay off your loan balance. You can even refer a friend even if you don’t own a business.

Fora Financial Customer Support

Fora Financial offers a few ways to get in touch with support.

Once you fill out an application, you’ll get a call from one of the company’s loan specialists within 24 hours. If you’d rather reach out directly, the company’s contact page lists phone numbers and extensions for sales inquiries, customer service, and other departments, though it does not list operating hours.

You can also submit a request form to request a call back if you have specific questions and don’t want to call.

Customer reviews for the company are positive, so you can feel confident that you’ll be treated well when you with Fora Financial.

Trustpilot rating: 4 out of 5 (Great)
Better Business Bureau rating: A+

Fora Financial Loan Reviews

Fora Financial earned its positive reputation among borrowers for various reasons. Aside from its responsive customer support, Trustpilot reviews are filled with positive experiences relating to just how efficient the loan process is. People in need of fast financing are able to get it through Fora which means the lender holds up to its promises on quick turnarounds.

Another notable trend found in Trustpilot reviews is just how simple the lending process actually is. There are only several parameters your business needs to meet in order to get a loan, which should be relatively easy enough for most small businesses to achieve. Many reviews highlight how Fora is the one lender that was prepared to fund their business development plans when no other company would, so it’s definitely worth giving this one a try if you’re in a similar position.

The positive reviews are related to

The negative reviews are related to

Excellent Customer Service

Slightly High-Interest Rate

Quick Turnaround On Loans

No Online Portal

Its Very Simple Lending Process

Too Many Emails

Fora Financial actually does have an online portal, but not everyone utilizes it. Moreover, in situations where Fora doesn’t lend the capital and broker the deal to another lender, they can’t control if that lender has a portal or not.

Fora Financial Perks and Bonuses

One of the top reasons to work with Fora Financial is its highly flexible lending policies. There are also other perks to working with the lender.

Flexibility:

One of Fora Financial’s main draws is that it is a flexible lender. You can get apply for a small business loan for as little as $5,000, giving smaller companies a way to get the funding that they need. At the same time, larger businesses can get loans for up to $750,000, making Fora Financial a lender for all types of businesses.

The company also has flexible loan approval terms, which can be appealing to borrowers with less than perfect credit.

Transparency:

Fora Financial is transparent about some things, but opaque about others.

When it comes to the requirements for getting a loan, they are clearly published on Fora Financial’s website. Thankfully, the requirements are easy to meet. Have six months in business, a small amount of revenue, and no open bankruptcies.

Where the company isn’t transparent is in the amount it charges for loans. You can’t see rates or fees on the company’s website until you fill out the application and get a quote from a lender. That means it takes more effort to comparison shop and make sure you’re getting a good deal.

Technology:

Fora Financial’s one-page application makes it very easy to apply for loans. The fact that you can get a quick approval by uploading a few months’ bank or credit card statements is also a plus.

However, once you apply the process becomes a bit lower-tech. You’ll have to wait for a call from a lender to get your loan offer. Additionally, the company doesn’t have a mobile app that you can use to manage your account.

Final Thoughts

Fora Financial is no doubt one of the better options out there for small businesses looking to get their hands on capital fast. With funding in no longer than 72 hours and up to $500,000 available, those plans you have for expansion or developing new products are a lot closer than you think. Plus, unlike many other lenders, early repayments actually earn you discounts, rather than penalties.

Sure, you’re likely to pay an origination fee and you’ll be charged for late payments, but there are few options out there that give such quick access to funding and with such high amounts.

Frequently Asked Questions (FAQ)

Is Fora Financial an approved SBA lender?
No, Fora Financial is not an SBA-approved lender and the company does not provide SBA loans to small businesses. You’ll need to work with another lender to get an SBA loan.
Can I apply for Fora Financial if I have a bad credit score?
Yes, Fora Financial does offer loans to people who have bad credit, though approval isn’t guaranteed. The company doesn’t list a minimum credit score on its website but states that its primary credit requirement is that you have no open bankruptcies on your record.
Is Fora Financial a direct lender?
Yes, Fora Financial is a direct lender. If you apply for a loan with Fora Financial you can borrow money directly from the company instead of from another lender it is partnered with.

About the Author

TJ Porter

Personal Finance Writer

I have in-depth experience in reviewing financial products such as savings accounts, credit cards, and brokerages, writing how-tos, and answering financial questions both simple and complicated.

More about me