This review of FundBox is designed to highlight the lending facilities available to borrowers and the minimum eligibility criteria for borrowing capital. In this Fundbox review, we also look at the credibility, reputation, and backstory of the Fintech startup, including what makes Fundbox unique with its innovative proposition and the founders who brought the idea to market. Read our detailed Fundbox review to discover more.
đ° Loan Amount |
$1,000 to $100,000 |
đ¸ Loan Term |
3 to 6 months |
â Unsecured? |
Unsecured line of credit
âFundbox Net Termsâ secured by customer invoice |
â Requirements |
No specific business requirements, just US registered and a personal credit score over 500 |
â Client Reviews |
94% |
đ Website: |
Fundbox.com |
đ Easy to Apply: |
Yes |
đ Required: |
|
đł Minimal Interest Rates |
4.66% |
đ Online Feedback: |
4.7 / 5 Trust Score on TrustPilot |
đ Awards and Recognition: |
|
Editor's Conclusions
Fundbox is a fantastic choice if you cannot get a cheaper loan elsewhere. Itâs accommodating to sub-par credit, the service is innovative and automated, and youâre going to receive very good customer service. This is evident from the reviews and client feedback. This is one of the most accessible lending platforms within the industry. However, itâs not suitable for larger businesses who want a large loan, or if any business wants a mid-long term loan.
Fundbox doesn’t detail their history, progress or beginnings much. What we do know is that they were founded in 2013 by Tomer Michaeli, Yuval Ariav and Eyal Shinar. Being a San Francisco fintech, they leveraged the use of Machine Learnings and Big Data to help push the boundaries on their cash flow solutions.
The idea for the company was inspired by Shinarâs mother, who was getting behind with payments at her Israeli Employment Agency business. Itâs no surprise then that FundBoxâs second office is in Tel Aviv-Yafo, in Israel.
The company operated for one year privately, until it was made open to the public in 2014, as well having raised $17.5m during this time (Series A Funding). In total, there have been 3 rounds of funding, in which the total amount they have raised is $433.5m.
Fundbox has helped tens of thousands of companies so far. Its growth is down to a couple of main factors. Firstly, itâs an extremely inviting platform. There are no application fees, itâs a quick process and their services are very clear. Secondly, they offer 100% of invoices, something many companies do not. Although theyâre not the cheapest, theyâve remained competitive. Thirdly, their use of predictive modeling has been at the core of their risk assessment and offering fair credit lines. Finally, their branding is on point: a bright, clear, funky website that oozes âfintech startupâ.
A year after being founded in 2014, FunBox raised $17.5m in its first round of investments. A year later, there was another round. Finally, in 2019, their third round of funding took place â which raised $176m as a Late Stage Venture. Below is a list of the investors involved in funding Fundbox.
Eyal Shinar, CEO of FunBox, states clearly what Funbox exists for. âWeâre building a credit and payments network for the future of business, helping them solve the uncertainty of credit decisions and the speed of B2B payments.â
Businesses can get a line of credit between the amounts of $1,000 and $100,000 or apply for âFundbox Net Termsâ which is their invoice financing product and also available up to $100k. If youâre not offered much early on, donât fret. Fundbox regularly re-assesses accounts, and the credit limit can be frequently adjusted to represent your growth.
Whilst itâs not a huge amount of credit available, âFundbox Net Termsâ allows you to access 100% of the invoices from your receivables financing. Most invoice financing solutions donât do this, as they hold 10% to 20% in reserve, only to release it after the invoices are paid. This makes it an excellent solution for SMEs who naturally have invoices under $100k. Businesses can access capital for up to 60-day payment terms on their outstanding invoices. Crucially, Fundbox does not insist on managing the accounts receivable process on your behalf either, you can maintain your customer relationships, they simply pay your invoice when due on day 30 / day 60 to Fundbox.
The term lengths on the Fundbox line of credit range between 3 to 6 months, making this very much a short-term financing solution. There are late payment fees, and of course the interest rate (which isnât the same for everyone).
Upon signing up, Fundboxâs machine learning algorithms will churn through your invoices and imported bank accounts to really get to understand the ins and outs of your business. This will help to determine either your line of credit or invoice finance facility.
Whilst many of Fundboxâs competitors have a range of products, Fundbox tends to be very niche and specific in its two-product business model.
The company uses a lot of predictive modeling, fueled by Big Data analytics, to help optimize the cash flow of small businesses with outstanding invoices. Thus, Fundbox is more than just a small business loan company. They specialize in helping B2B companies optimize cash flow, smoothing it over so that accounts receivables are far less of a problem. This steady streamline of cash flow, instead of coming in waves with intermittent dry periods, gives businesses consistency and certainty.
TrustPilot: 1,758 reviews, 91% âExcellentâ, 6% âGreatâ and only 2% âBadâ â 4.7 / 5.
There are mostly only positive Fundbox reviews to be found online, so here are just a select few:
âVery convenient and easy to useâ
âThis is the best company I have ever worked with. Thank you for everything!â
âFundbox has been instrumental in our business as we develop and grow. Furthermore, when you call, they pick up right away… and the staff has always been amazing. A pleasure to work with!â
There is a wealthy amount of Fundbox reviews online â 1,758 is more than enough to paint a picture. Itâs even more staggering that only 2% of the Fundbox reviews were negative. This is a great indicator that they have good, friendly customer service, a transparent lending process, and are reliable and easy-to-use.
Fundbox has certainly not taken any shortcuts on their website design. The typography, design, color palette and copywriting are all captivating.
There is some criticism in terms of substance, though. The navigation is long-page designed, which can be distracting (and lacks information). They also donât have much on their About Us page, and finding their FAQ page takes some searching (plus there are only 8 questions on there).
Startup: Itâs possible to only provide only 2 – 3 months of bank account transactions
Bad Credit: You must have a personal credit rating of 500 or higher
Sole Trader: You must be an established business with a business checking account
Established Business: Fundbox may not have a large enough credit amount to accommodate large businesses
Fundbox has a service that most customers are extremely happy with â this is what matters most. Whilst it may not be the cheapest on the market and it may not offer huge borrowing amounts (capped at $100,000), itâs a very good option if you have a less-than-perfect credit score. Itâs easy to use, itâs automated well, and it offers 100% of invoice amounts. Fundbox falls short however for companies who want a large or a long-term loan, as the max is $100,000 and 6 months respectively.
Submit an Expedited Application to Fundbox the link below.