Channel Partners Capital Reviews - Financial Lender Pros & Cons
- Lines of credit
- Working capital
- User-friendly application and approval process
- Fast approval
- Easy renewal
- Flexible repayment schedules
- Business Loan Interest rates may be high
- Personal and business credit check required
Specializing in working capital and lines of credit for small to medium business, Channel Partners Capital offers funding amounts ranging from $10,000 to $250,000. Working capital loans are used to fund operational needs such as payroll or rent, while lines of credit provide a borrowing limit that business owners can draw from as needed. If the line of credit is open, once the designated amount is borrowed and repaid, the line of credit can be replenished. Borrowers can choose daily, weekly or monthly repayment plans, giving businesses the flexibility needed to secure the right kind of funding for their individual needs.
Growing businesses can often need short term capital to cover expenses like new equipment, staff, or property, or to fund regular operations during a cash flow dip. Banks can have stringent qualifying requirements and significant processing times, making a short-term lender like Channel Partners Capital a good alternative.
Channel Partners Capital was founded in 2009 and has since originated thousands of loans and generated loan receivables exceeding $250 million. Rated among the fastest-growing private companies in the US by Inc. Magazine eight years running, this lender is committed to improving credit availability for small businesses.
Channel Partners Capital carries financing products to propel small and medium businesses. Qualifying for a loan or line of credit with a short term lender is easier than taking a traditional loan from a bank, and faster, but applicants will need to meet several criteria:
- Applicants must hold 51% ownership
- The business must have been operational for at least 1 year
- The lender will check personal credit history
- Businesses must demonstrate consistent and diverse revenue streams
Businesses meeting these criteria can receive a positive response within 2-4 hours once all documents have been processed. Funds will be transferred immediately and will generally be available within one business day.
Eligibility for financing is based on factors including business cash flow, applicant’s credit health, and time in business. Business that receive a working capital loan or line of credit from Channel Partners Capital are not required to draw the entire approved amount. Rather, borrowers can just use what the need, when they need it. Unused funds are available for 90 days and Channel Partners encourages customers with additional financing needs to inquire about renewal.
Channel Partners Capital serves businesses across a wide range of industries, delivering quick easy capital with flexible repayment terms. There are some industries that Channel Partners Capital does not consider for financing. Businesses in these sectors are considered too high risk and will need to seek funding from other lenders.
- Adult entertainment
- Nonprofit organizations
Small to medium businesses across the country have benefited from lines of credit or working capital loans from Channel Partners Capital. This capital can be used to scale up or cover short term gaps in cash flow, ensuring that businesses have the cash they need to succeed.
This lender offers flexible cash flow solution to businesses that qualify and focuses on businesses in the following industries:
- Automotive Repair
- Hospitality & Beauty Salons
Financing repayment terms range from 6 to 24 months. Once 50% of the financing amount is repaid, businesses can request renewal. Borrowers are given the flexibility to make payments on a daily, weekly, or monthly basis.
What’s Required to Apply
Businesses applying for a line of credit or working capital loan from Channel Partners Capital will need to submit several documents and forms in order to be considered. Borrowers must submit a signed application form and three months of most recent bank statements attesting to steady revenue stream. In order to be eligible for financing, the applicant must have 51% ownership and the business must have been operational for at least a year.
Applicants will also need to provide general business information, such as industry, registered business name and address, business start date, the applicant’s personal information and credit profile. Channel Partners Capital also requests a voided check and a copy of the applicant’s driver’s license.
Once all of the requested documents are submitted and processes, a credit decision will generally be made within 2-4 hours and the fund transferred electronically within the day.
Unlike standard loans, merchant cash advances aren’t repaid as a combination of principal and interest. Instead, interest is instead charged as a decimal multiplier of the total advance amount. This factor rate determines the total amount borrowers will repay. For an estimate of what a cash advance will cost in total, multiply the amount borrowed by the buy rate. Channel Partners Capital generally offers buy rates between 1.24 and 1.31.
Channel Partners Capital’s policy on stacking loans is one of the most flexible in the business. This lender will offer financing up to and beyond the 3rd position, so for businesses carrying multiple active loans, Channel Partners Capital is a good option. Stacked loans can sometimes come with higher buy rates and additional fees, but for businesses anticipating an increase in cash flow it might be worth it to finance now and pay it off after a short period of time.
Filing and processing applications is often attached to a fee. At Channel Partners Capital, this fee varies from deal to deal and is generally contingent on the size of the advance. Estimate that the documentation fees will amount to 2.5% of the loan amount.
Like other fees, origination fees are calculated as a percentage of the financing amount. When borrowing from Channel Partners Capital, expect to pay around 2% to cover the cost of issuing a cash advance.
Once an application for financing is approved, businesses can expect funds to be transferred in as little as a day. Borrowers can draw funds as needed and are not required to use the full amount. Unused funds are available for 90 days. Businesses that have paid back at least 50% of the original amount are eligible to renew the financing.
If the merchant decides to pay back the cash advance before the end of the set term, they will be eligible for some form of interest forgiveness. Depending on the specific circumstances, interest forgiveness on early repayment can be between 1 and 10%.
Channel Partners Capital accepts applicants seeking to finance any business related expenses. Small to medium businesses may require infusions of cash, whether to expand operations or provide temporary cash flow solutions.
The lender’s site lists a range of uses for financing:
- Purchase equipment and inventory
- Repair equipment
- Respond to seasonality
- Meet payroll
- Pay off tax liabilities
This lender has a strong and positive online presence. Channel Partners Capital ranked among the 500/5000 fastest-growing private companies in the US by Inc. Magazine eight years running and ranks 4.8/5 on Trustpilot. Most reviewers have good things to say about the ease of application and approval, terms, and customer support.
Licenses & Accreditations
Channel Partners Capital is accredited by the Better Business Bureau (BBB) and has an A+ rating.
Company Contacts Details
Phone: (763) 746-7760
20 User Reviews
Sep 25, 2020 3:19 AM
Working with Channel Partners has been a pleasure. The process to apply for the business loan was smooth and document requirements were minimal and all of this was taken care of by my loan representative. There was not much hassle involved. I got the financing quickly, within just 24 hours and was able to put the capital to use instantly. Saved me so much time with their quick and prompt services! I definitely will recommend Channel in my social circle. Looking forward to forming a long term partnership with this lender. Thanks!Reply
Oct 2, 2020 3:22 AM
Everything about this lender is just great – from application to the final proposal. Not to mention how quick I got the payment in my business account. The only thing that bothered me was the price of the business loan. The origination and documentation fee felt like a burden but when you really think about it, they are only charging you for their seamless and quick services and almost rightly so. Not many banks or lenders out there will offer such services but Channel Partners Capital does that. They take care of your documentation and then deliver within the promised deadline. I just wished they would charge less in terms of these two fees.Reply
Nov 26, 2020 3:23 AM
I have just recently opened my out-patient clinic in Philadelphia and needed a short-term business loan to support the launch and smoothen a couple of initial tasks. Channel Partners were not very accommodating in this regard! Although the prospects of my medical office were pretty promising and I would have been able to return the business loan within the decided term but this lender refused to trust me. They charged me with a 1.30 buy rate and the maximum they ask for is 1.31. Might as well charge me the maximum they did! This is just ridiculous. I have been practicing medicine for more than a decade now and have a good income record but they did not take that into account. And not just that, the origination fee and documentation fee felt like a rip off on top of such a ridiculous buy rate! I said good bye to these people because they did not budge, even a little bit. How do they get clients with this behaviour, I fail to comprehend. Only people who are in dire need of financial backing must be their only clients because with this attitude, nobody can go a long way!Reply
Nov 28, 2020 3:24 AM
You are absolutely right! I have been there too. Although they did charge me a buy rate of 1.27, which is less than yours but it was still not what I was looking or negotiating for but they did not move or accommodate any negotiations. And yes, I was in dire need of a business loan to pay off some due tax returns and clear finances with a couple of merchants. No other lenders were willing to offer me credit but Channel Partners did and this is what I am thankful for – for extending me a business loan when no one else was willing. This is why I am giving them a 3 star rating. But I definitely would have appreciated more a lesser buy rate and no origination or documentation costs or at least just one. But oh well… I suppose such is the lending business.Reply
Dec 1, 2020 3:26 AM
I knew it! I knew they took advantage of people’s need for credit. Shame! This is not clean money, in my opinion. But I really hope this deal works out for you and you can clear your debts and then say good bye to these people! I will most definitely not work with this lender!Reply
Dec 10, 2020 3:46 AM
Great service! The merchant cash advance I got for my construction company in main Boston worked miracles! With the instant cash flow, I was able to finish projects faster successfully and hence, attract more clients. My business has been going great since then. I am already applying for another business loan from these people and looking forward to a great business journey!Reply
Mr. Bernhard Ferry
Dec 24, 2020 3:47 AM
Excellent lender with cheap buy rates!Reply
Jan 7, 2021 3:48 AM
Interest payment is okay but the origination fee does feel like too much. Customer service is top notch and delivery time is impeccable! 3 stars from me!Reply
Jan 15, 2021 3:49 AM
good service with fast turnover time!Reply
Feb 8, 2021 3:50 AM
The loan officer I worked with was just great! She was knowledgeable and very responsive. All my queries were addressed with patience and professionalism. Not too good when it comes to negotiating though, that is that they hardly get moved, saying that they offer the best deal they could, with not much room for negotiations left. Other than that, there people are highly knowledgeable and supportive. I received the merchant cash advance for my small beauty salon in just 48 hours!Reply
Feb 10, 2021 3:51 AM
I am surprised they did not let you negotiate. Maybe, it’s not the lender, it’s your representative? My loan representative was very accommodating and always asked for my consent and opinion regarding each detail of the application. He was elaborative and kept me on board with everything. And we did negotiate when it came to finalizing the buy rate for the loan. I was looking for some $100 to 125K for my landscaping company. I told my rep I could totally accept a longer term business loan but I need the buy rate to be as minimum as he could offer. And that is what he did for me. Because I was also looking at the origination fee and a documentation fee and I told my rep that. He was cooperative and gave me a financing deal at 1.27 after analysing my revenue projections and of course taking into account my company’s credit health and mine too. I am happy and satisfied with the deal. Immediately accepted it and signed it off. Got the capital in my account after 24 hours!Reply
Feb 18, 2021 3:51 AM
I guess, you are right. It could be my representative. Although she was very knowledgeable and supportive but did not budge when I asked her to come down on the buy rate a little. She told me, this was the best she could offer me taking into account my business’s health. And I must admit, business has not been going too well for a couple of months. But that is why I needed the business loan. Anyway, I am partly okay with the deal too as it is much much better than what banks and other lenders are offering me.Reply
Feb 20, 2021 3:52 AM
Oh.. Good luck about that! I really hope this business loan deal can help your company. Also, maybe then you can stack up another business loan when you see your business’s health getting better with the current loan deal. Maybe then you could get a better buy rate and streamline your financing.Reply
Feb 25, 2021 3:53 AM
That sounds like a great idea. I really did not have it in my mind. Thank you so much! I will definitely consider this!Reply
Mr. Jerrod Barrows
Feb 15, 2021 3:54 AM
Everything about Channel Partners is top-shelf material!! Their customer service is great, application process is smooth and simple, and documentation is not too extensive compared to what banks demand for. Everything about the deal is transparent and open. No hidden or extra fees. The loan officer puts out everything in front of you for you to take or leave. This is the kind of business I like. No alluring the clients with shady, sugar-coated talk – just plain. Honest business! Loved working with Channel Partners!Reply
Apr 15, 2021 3:55 AM
Great service with rather cheaper buy rates! The application process was great. I got my 70k business loan in just a day! Used the financing to back my nail care salon in New York. I was able to pay the merchants in time which I was afraid I would not be able to because I did not believe when they said they would deliver in 24 hours after the application was approved. So, I asked the vendors for some 4 to 5 business days. But when I paid them before that, they were happier. This helped greatly in strengthening the trust with my vendors and also improved my good will! Thank you so much Channel Partners Capital for your support. I will borrow from them again for sure!Reply
Josiane Eichmann DVM
Jun 23, 2021 3:56 AM
Pathetic service! This fee and that fee and non-negotiable buy rates! Just down right bad service! I am willing to pay all these fee but at least they should respect the client’s opinion too. They just finalise a deal and throw it to your face to accept without a word! This is not how it works. I have worked with bigger and better banks and I have never seen such rigid attitude! I would ask people to just stay away from this lender, especially when you are a small business looking for a merchant cash advance to back your finances! You just cannot do that with their help! Because they would rip you off with their pathetic, rigid deals! Never gonna work with these people again!Reply
Aug 11, 2021 3:57 AM
Got a working capital loan from Channel for my trucking business in Neveda. Used the capital to get the health of the entire fleet checked and also do necessary repairs or tuning up etc. The origination fee is unnecessary in my opinion, especially when they are charging a documentation fee. It should be one of these anyway. But anyway, it has been a great journey. I will almost complete the deal in the coming months and I have thankful for their help!Reply
Aug 27, 2021 3:59 AM
I came across Channel Partners Capital via a financial broker, who referred these people to me and I am much thankful! Got a $200,000 business line of credit for my construction company. Needed a quick and more dependable cash flow and with Channel’s business loan, I was able to get just that and that too, with in 3 days of the application’s approval. Happy with the service!Reply
Sep 2, 2021 4:00 AM
Their buy rate of 1.28 was acceptable. They have been very supportive too. The only reason for a 3 star review is that they delivered the business loan a bit later than they had promised. It made the merchants I had bought inventory from a bit impatient but all good now. I would suggest that they work more on their delivery time!Reply