National Funding Reviews - Financial Lender Pros & Cons


adele-katz writer
By Adele Katz
Updated November 15, 2018
Editor's Rating
Best for Equipment Leasing
Customer Rating 134 Reviews
Types of loans
  • Equipment financing
  • Equipment leasing
Loan amounts
  • $5,000 to $150,000 according to the lender’s website
  • Some profiles of National Funding state up to $500,000 may be borrowed
Terms of payment
24 to 60 months
Pros
  • Funds new and used equipment
  • Fast approval time
  • Funding available in as little as 24 hours
Cons
  • Rates can be high
  • Payment and fee information is hard to find
  • Other information on the website may be outdated

Which businesses can benefit from National Funding’s financing?

Businesses struggling to get the funding necessary to obtain new equipment can try National Funding as an alternative to banks. Funds are available for a wide range of industries, and low credit isn’t a barrier to applying. With flexible terms and straightforward monthly payments, National Funding may be an option for high-risk companies in need of equipment leases or loans.

Company Profile

Established in 1999, National Funding is an alternative lender offering a variety of loans to merchants directly and through its network of partners. To date, the company has funded over 35,000 businesses with more than $2 billion in loans. It also participates in sponsorships for local sports teams and seeks to support small businesses in and around southern California and San Diego, where its offices are located.

National Funding’s products include small business loans, merchant cash advances, equipment loans and equipment leasing. Equipment funding is provided for both new and used equipment and machinery across multiple industries. The lender’s website states its team is “passionate about helping small business owners win” and values the relationships they have with customers. With a unique company culture and a commitment to high performance, National Funding is working to make itself stand out among other alternative lenders.

Credit Policy

For its equipment loans, National Funding requires a minimum FICO score of 620.

Exceptions

Application requirements for National Funding state merchants must be in business for at least six months before seeking equipment funding, but the application form includes a “less than six months” option, suggesting the lender may be open to working with newer companies. The application also omits questions regarding credit score or financial status. According to ValuePenguin, National Funding considers earnings more than credit score when determining eligibility, so businesses in good financial standing may be able to qualify even if they fall short of other requirements.

Target Market

In addition to the wide range of niches covered by its small business loan products, National Funding works with numerous industries in which equipment financing is often required. Equipment loans and leases may be issued for:

Many of these industries require the latest equipment and technology to maintain efficiency, provide good customer experiences and ensure the health of patients. Since it’s not always financially possible to upgrade when new models become available, businesses may require funding to remain viable and stay ahead of the competition.

Cautionary Industries

While some of the markets to which National Funding lends are commonly served by both banks and alternative lenders, others are high risk. Merchants in these industries may have a difficult time being approved for loans, especially those in need of trucks, trailers and heavy equipment. A high potential for loss combined with the inherent risk of operating machinery used to haul, build, farm and perform other potentially hazardous tasks means any lender extending financing to these industries must deal with the possibility of the loan not being paid back.

Most lenders offering equipment and transportation financing require the equipment itself as collateral. National Funding has no requirement for collateral and therefore takes on a higher level of risk by issuing unsecured loans.

Term Length

Terms range from two to five years (24 to 60 months) for National Funding’s equipment loans and leases. Payments are withdrawn from a company’s bank account via an automated clearing house (ACH) on a monthly basis for the duration of the terms. Merchants may choose to pay more than the monthly minimum if cash flow allows.

Long term lengths make monthly payments easier to manage. For companies without the cash to make big equipment purchases up front, qualifying for a 60-month lease could grant access to new technologies necessary to increase efficiency and provide better service. However, short terms may affect a merchant’s ability to invest in growth if payments require a significant outlay of cash each month.

What’s Required to Apply

Merchants seeking to compare prices between National Funding and other lenders can provide their name, email, business name and phone number via a short online form to get in touch with a member of the National Funding team. Basic requirements for equipment loans are straightforward and include:

Other areas of the lender’s website state $100,000 in gross annual sales is also necessary, but this requirement appears to be only for business loans and doesn’t apply to equipment financing.

To start the official application process, merchants can click the “Apply Now” button on the National Funding website and fill in a longer form asking for:

Once this information has been submitted, someone from National Funding will get in touch to request additional documentation. The most common information for which the lender asks is a business Tax ID number, the applicant’s date of birth and some form of personal identification, such as a driver’s license. No collateral is required, and National Funding doesn’t appear to take out any liens for its equipment financing.

Although the average time to receive funding after all documents have been processed is 48 hours, some merchants may get cash deposited in their bank accounts in as little as 24 hours. Such a quick turnaround time is critical if a business is hoping to take advantage of a special pricing deal on equipment or needs to replace broken machinery as quickly as possible in order to continue operating.

Rates

National Funding doesn’t disclose rates for equipment financing on its website, but NerdWallet’s review of the lender states interest can range from 8 percent to the “high teens.” This can add a significant amount to the cost of a loan. Even at the lowest percentage, a loan of $100,000 would require $8,000 in interest payments. Companies qualifying at the high end could be charged $15,000 or more.

Finder.com puts the National Funding rates a little lower, between 4 and 8 percent. Because of this conflicting information, merchants may have to put in a full application to discover the rates for which they qualify.

National Funding offers some options to counter the high cost of its loans. Using the Section 179 deduction, merchants may be able to recoup a large chunk of their expenses come tax time. The lender also provides a lowest payment guarantee on equipment leasing. If its monthly payment quote isn’t the lowest a merchant can find for a comparable product with similar terms, National Funding will pay $1,000 toward “qualifying executed leases.”

Stacking

Most alternative lenders prefer to maintain first- or second-position status, so even one existing loan or lien may prevent a business from qualifying. Carrying numerous loans at once increases the risk of a business missing payments or defaulting, so stacking is not often accepted by lenders. National Funding provides no information regarding its stance on stacking. Merchants with outstanding financial obligations should discuss the situation with the lender prior to applying.

Since equipment needs can change unexpectedly, it may be necessary for merchants to seek financing for additional equipment before paying off a current loan or lease. It’s unclear whether National Funding allows stacking of its own financial products in such circumstances.

Documentation Fees

No documentation fees are mentioned on the National Funding website.

Origination Fees

Merchant Maverick reports the business loans from National Funding are subject to origination fees of 1 to 5 percent, but a rate of 1 to 3 percent is quoted by Finder.com. On a $100,000 loan, this could add $1,000 to $3,000 to the cost.

Renewal Policy

No clear information is available regarding National Funding’s renewal options. Equipment loans and leases aren’t generally structured in a way that allows for renewal, but merchants can inquire about obtaining funding for additional equipment before an existing loan is paid off. Improvements in the financial strength of the business may increase the likelihood of qualifying for subsequent loans.

Interest Forgiveness

National Funding offers early prepayment discounts on all its loan products. For equipment leasing and loans, merchants able to pay off the total remaining balance before the end of the terms receive a 6 percent discount. National Funding honors the discount at any point during the terms of the loan regardless of the size of the remaining balance. This allows companies with fluctuating cash flows to take out a loan for equipment when funds are low, pay off the balance when business picks up and save on the overall cost of funding.

Loan Use

Merchants have “virtually no limitations” on the type of equipment for which they can receive financing from National Funding. New and pre-owned equipment, electronics, furniture and machines are eligible if a business meets the application requirements.

Information on the amount merchants can borrow is conflicting. The National Funding website states the cap for equipment loans is $150,000, but according to Finder.com, loan amounts can be as much as $500,000 or up to 400 percent of the value of the equipment. No information is given on how to qualify for this amount or why the lender would consider extending extra funding.

Regardless of the size of the loan, businesses can use the money to upgrade existing equipment, replace broken equipment or make improvements to provide better service to customers and clients. For medical and dental offices, new equipment means better patient care. In office environments, new technologies can increase productivity. Companies using trucks, trailers and heavy machinery enjoy improved safety for their workers, and businesses of all types can use National Funding’s loans to invest in growth.

Online Reputation

With over 800 reviews and a 5-star rating on TrustPilot, National Funding has more customer feedback than many alternative lenders. However, reviews are mixed on both TrustPilot and other platforms. Merchant Maverick gave the lender 3.5 stars in its review, and customer reviews on the BBB give it 3 stars.

Customers leaving National Funding glowing reviews praise the helpful representatives, good customer service and professional attitude. Many appreciate the fast application and approval process and the quick receipt of funds. Small businesses seeking financial assistance for growth say National Funding offered ongoing support throughout the lending process.

Negative reviews paint the lender in a different light. Dissatisfied customers report:

In some cases, National Funding has provided detailed responses to and apologies for unsatisfactory experiences. Other responses appear to be formulaic and don’t always address the customer’s concerns. Overall, the lender has more visibility than others offering equipment financing, but some of its tactics may be cause for concern.

Licenses & Accreditations

National Funding has been a BBB accredited business since 2013 and was included in the Inc. 5000 list of fastest-growing companies locally and around the country from 2013 to 2017. The San Diego Business Journal also recognized the lender for its growth during these years.

Company Contacts Details

Phone number:

Email:

Key personnel:

Social media:

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125 User Reviews

Paula Keeling

Jun 7, 2019 10:13 PM

Do not understand the concept of daily withdrawals? What happened to the old monthly repayments or weekly? They deduct repayments every day from your account and at times, it can be too discouraging even, especially when it’s a bad business day.

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Garnett Ondricka

Aug 13, 2019 2:21 PM

It was very easy to get a merchant cash advance from these people. Mark was a great fund representative. The daily repayments is somewhat bothersome but Mark has assured me it will be better for my small burger shop and I trust him because he has been very supportive and helpful throughout the process. He went beyond to get a business loan deal for my business. The term length is short just as I was comfortable and the interest is 8% which is a lot but better than what banks and other lenders were offering.

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Marcelino Howell

Aug 13, 2019 5:04 PM

8% is actually pretty small because what I got on a $100,000 working capital loan was 10%! I don’t know why such prejudice against some businesses. My business is a small automotive repair centre and I had no choice other than to just get this deal because I had a couple of pending bills and some arrears on customer invoices as well and business was good but not so much that I could clear my debts on my own. Had to take the support of a business loan!

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Garnett Ondricka

Aug 15, 2019 1:57 PM

I’m afraid it’s not as simple as that. There could be various reasons as to why they had offered you a business loan on 10% rather than 8%. For me, they said my revenues seemed trustworthy and smooth, hence 8% which is the least they offered, according to them. It could be your FICO score as well or the purpose you took the loan for and other reasons too.

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Marcelino Howell

Aug 18, 2019 11:00 AM

I suppose you are right. All I am saying is they need to be more flexible and accommodating with businesses in actual need. I have another loan going on with Cardiff as well. It’s an equipment financing and their rates are much much better. They don’t even offer these unfair interest rates but factor rates which are much better. You know what you have to pay back and things become easier and simpler when you already have in mind what you are aiming for. And a 10% interest on a $100k business loan is quite a lot, especially for a small business.

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Garnett Ondricka

Aug 19, 2019 12:09 PM

Dude, you have two loans going on simultaneously. Obviously you’d feel overwhelmed. And I’m surprised national funding still went ahead and offered you a working capital loan when you were already in a loan deal with another lender. Most lenders do not allow that. It’s already difficult managing one loan. To top it with another financing deal is too much to handle, especially for small to medium businesses.

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Geoffrey Grant

Jan 9, 2020 7:49 PM

We got an offer in the mail from National Funding back in December 2019. It was a PVC card shaped like a credit card, but had no visa logo. What gives?

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Erick Hyatt

Jan 10, 2020 2:35 PM

Geoffrey, what gives is that these are marketing pieces and aren't in fact credit cards. If you're trying to get in touch with National Funding, their phone number is (888) 733-2383. They're located in San Diego, California and they're open Monday-Friday, from 8am PST-5pm PST. If you're interested in working with them, my recommendation to you is that you should read all the National Funding reviews you can find. I know that they have dozens on Google, Yelp and even Trust Pilot. It's up to you to determine if they're the right lender for your type of business. Remember, they don't offer consumer financing, but rather are a leader in B2B and SMB financing. Specifically, they offer small-ticket equipment leasing and financing (even for titled vehicles), as well as short-term working capital small business loans. Those loan all have either a daily or weekly remittance. Good luck!

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Geoffrey Grant

Jan 11, 2020 7:38 PM

Oh, ok, bro. You sound like you’re a paid virtual assistant for National Funding. I’m simply asking what sort of BS is this PVC card that they sent me. You can’t activate it and it has no VISA or MasterCard logo. So, what the hell is it anyway? I read some of National Funding reviews and it seems like others are just as baffled. Is this a gym membership with no gym???

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Erick Hyatt

Jan 13, 2020 8:05 AM

While I’m not a virtual assistant, nor affiliated in any way with National Funding, I do have a loan currently with them (which is almost paid off, I think we’re down to the last twenty some days of daily payments). The information I provided was just me trying to be annoyingly helpful. The information regarding their marketing piece in the mail was specific because I operate a mail house and we make these cards for all sorts of businesses to use in both B2B and B2C direct mail. Frankly, we’ve had a good experience with National Funding and I’m just trying to pay it forward. Don’t want to use them for equipment financing and leasing or working capital loans, don’t. Just the $.02 of one man. As they say, take it or leave it. Better?

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Geoffrey Grant

Jan 15, 2020 7:11 AM

Well, I guess thanks? I still feel that the plastic card is a bit deceiving. It looks and feels like a credit card and has a 16-digit number on it. There’s even a sticky piece of paper on the front of the card that asks you to call to activate. If National Funding isn’t trying to have this imitate an actual credit card, they’ve unknowingly done so. Trash as far as I’m concerned. I won’t be deceived.

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Erick Hyatt

Jan 17, 2020 3:07 PM

Geoff, understand the concerns. I'm not cheerleading for National Funding and I'm no paid provocateur or supporter for that matter. Not sure what exposure you have to the small business lending space, but as a full-service print shop (creative, printing, binding, collating, direct mail and pURLs, even), we're awash with offers from every small ticket leasing lessor and broker in the US. Come to think of it, I'm pretty sure we've even received an offer from Puerto Rico from Banco Popular. Each lender, or small business lender/broker uses or tests out a myriad of creative (both envelopes, inserts and call-to-actions (CTAs)). In fact, we're a part of an organization that seeds mail from many business to consumer and business to business lender mail pieces and shares them with the industry et al. The organization is called Compermedia (https://www.mintel.com/mintel-comperemedia). If you think for one New York minute that National Funding is the only one serving up this PVC card, let me correct you. In fact, last month we did the same test on 50,000 pieces for Geico Insurance Company. The long-winded point that I'm trying to make is that so many equipment finance companies and working capital lender use marketing pieces like this. National Funding is no unicorn in that respect. If you're looking for financing for your small business and don't want to use National Funding, we've used the following and would recommend them: https://www.working-capital.com/reviews/marlin & https://www.working-capital.com/reviews/ondeck. Hope that helps. Take care!

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Burnice Berge

Jan 29, 2020 3:00 AM

Contacted national funding for a working capital loan for my fast food and barbecue restaurant in Oakland. After and brief and very amicable conversation, I understood the deal they were looking to offer me would not work for me. It was okay, you cannot end up doing business with every lender you talk to. We parted ways peacefully. But after that, I have been receiving unlimited calls and texts from these people, convincing me that my business needed a good equipment financing. I told them my restaurant needed no equipment at the moment, if it did, I would consider but it did not stop. After a couple of weeks, it was the same again! Beware of these people. These people have used my contact information irresponsibly!! VERY BAD!

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Shakira Heidenreich

Apr 3, 2020 10:09 PM

I'm only writing this review because I think the whole world needs to know how truly unhelpful National Funding is. Our business is basically shuttered. No one is coming and there's honestly nothing that we can do to change that. How are we supposed to make our payments? National Funding keeps debiting our account. If you read the paperwork it clearly says something to the effect that if there's a change in your revenue, National Funding has to work with you to lower your payments. That's the difference between a working capital loan and a small business loan. So, what gives??? Why the F are you not playing by your own rules????? We demand a response

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Daisy Frami

Apr 4, 2020 2:58 PM

Shakira, really to sorry hear that this has happened to you, but each person's or business experience varies. Have you tried having a lawyer contact them? What other debts do you have and do you have any revenue whatsoever coming through the door? We don't want this platform to be a dumping ground for bad reviews on National Funding, nor do we want their review to be editorialized. With that being said, can you share more on what's going on with your business?

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Shakira Heidenreich

Apr 6, 2020 6:04 PM

To clarify the air and lay it all out on the table, we have a working capital loan (or merchant cash advance whatever the f it’s called) with National Funding. That balance is around $63,000. We also have two similar loans with Pearl Capital and Yellowstone. The las two are willing to make concessions to help us right now. We literally have no revenue. My point is that how can you take blood from a stone??? I really and truly hope that someone from National Funding reads our messages.

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Daisy Frami

Apr 7, 2020 9:10 PM

Shakira, wow, ok. So you have three outstanding working capital loans? Ok, wow. That kinda changes things. I’m guessing, and keep in mind that it’s just my two cents that National Funding might be feeling just a tad upset with you about all of the debt your business acquired. Which small business loan did you fund first?

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Shakira Heidenreich

Apr 8, 2020 8:12 AM

We took out a merchant cash advance with National Funding first. Originally, we wanted to borrow $150,000. The broker that sold us to National said that he knew them well and could get us what we needed him. He asked for a $395 processing fee to get the deal submitted. What real choice or options did we have?? At any rate, ultimately he couldn’t get us the whole $150,000 from National Funding because he claimed when they ultimately reviewed our revenues (bank account month-to-date statement), the revenues just didn’t support our ability to payback $150k in 9 months. Luckily, our broker knew two other lenders, Pearl Capital in New York City and Yellowstone Capital LLC in New Jersey? Well, we funded two deals in one day and got the rest of the funding we needed. It actually worked out kind of nicely though admittedly it was nerve racking to get them both funded at the same time. Again, and I feel like I’m being distracted from my point...why would Pearl Capital and Yellowstone Capital LLC give us payment reprieve, but not National Funding???

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Daisy Frami

Apr 10, 2020 7:45 AM

Shakira, funding three working capital loans around the same timeframe might be part of the issue. Again, not a pro here, but we know all about stacking. How did your broker convince you to do this? I get that you funded with National Funding first, but how did you manage to fund two merchant cash advances on the same day? And a better question may, why? Did you read the contracts even?

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Shakira Heidenreich

Apr 12, 2020 9:11 PM

Well, from what I can recall, it wasn’t really my idea. This was the first time I had applied for a merchant cash advance. Before that, we mainly used credit cards and would pay the minimum until we came into some cash and then would try and put a dent in the balance. For us, this had been the norm and it suited us just fine. The ownership is my husband, his two brothers and I. We all took out credit cards and would pool our resources to make a purchase if we were looking for equipment. In all honesty, we like the rewards that we got as a result too. As you can possibly relate, we don’t get an APY on our business checking account and so making purchases with our credit cards were the only ways we felt we could get some advantage. However, and there’s always a lesson to be learned, what we all soon learned was that by keeping high balances on our credit cards we basically shot ourselves in the foot because when it came time for one of us to buy a car or truck, get a home mortgage or even refinance, the balances came to bite us in the you know where. This is why we finally felt like we the offer from National Funding was a saving grace. Again, if I remember correctly, we received the offer from a broker in San Diego named Progressive Business Funding. They said that we’d be able to secure $150,000 in financing but that it may not be in one takedown, but perhaps, two or even three depending on the underwriters. So, we just followed the steps that’s they recommended. The interest rates on all three merchant cash advance loans were pricey, but what convinced us that taking their offer was a good decision was that they wouldn’t report the business debt to our personal credit bureaus-it would only go on our company’s business credit report. We were building business credit! Yay...or so we thought.

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Daisy Frami

Apr 13, 2020 9:10 AM

Shakira, thanks for sharing that with me and the others here too. I think these are all valuable lessons learned and that's why reading reviews on lenders is tantamount to making a decision to borrow money in the first place. I think the bulk of the issues that you're experiencing were a direct result of a greedy broker that was trying to, well, he was trying to get you what you wanted, but where he failed was the planning on how to get you there. If I was you and you could afford it, I'd reach out to a lawyer and see if they can help you consolidate these loans somehow and get some breathing room.

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Jermey Linde

Apr 8, 2020 10:08 PM

F the reviews. The reality is that National Funding won't help you when the chips are down. The government has basically destroyed our business and we're left holding the bag forced to pay back our working capital loan with National Funding.

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Mr. Major Rempel

Apr 10, 2020 3:10 PM

Jeremey, I'm pretty much in the same boat as you, but who isn't. Are you really going to stress paying back National Funding when the reality is that the world is spinning out of control?? My wife gave me great advice: stress about things you can control. Don't dwell on what is out of control. Is Faucci going to tell us we go outside soon? Is he going to tell us that we can turn our businesses back on? Who knows and how is that something we can control. I'd imagine that banks and credit unions, working capital lenders like National Funding as well, will very soon realize that we as consumers and business owners can't make payments because we have no income/revenue.

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Jermey Linde

Apr 14, 2020 9:33 PM

Ok, so a little bit of good news. After repeated calls to National Funding about my loan and just getting the cold shoulder “please leave your voicemail at the beep,” they finally spoke with me and gave me some payment reprieve!

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Mr. Major Rempel

Apr 15, 2020 9:20 PM

Now that’s the right attitude! Glad you were able to get their attention. A professor once told me, “be a non-anxious mind in an anxious system.” Again, glad you were able to get things resolved. Everyone, literally, the entire world is in the same boat as you. We’re all in that wait and see mode. If the government can give us a little leeway, with any luck we can get back to what they say will be the new normal. I can’t imagine this going on for much longer anyhow. Lenders like National Funding aren’t publicly-traded, so they too are quaking in their boots. If their entire portfolio doesn’t keep up with their payments, the whole system collapses. And trust me, it won’t be just you and I that can’t make their payments, everyone will slow pay and eventually default. National Funding will find themselves with a useless like of uncollectible debt. They will in-turn default on their debt obligations to Wells Fargo, etc. Then, Wells Fargo will charge off this debt. Then their shareholders will see that this huge bank has wrote down these supposed assets on their balance sheet and the investors will all run for the hills. The stock price will tank. The equity investors will lose what stock they thought they owned. In the end, they’ll all be holding useless pieces of paper that say “Wells Fargo Stock Certificate.” The only ones left hanging on will be the bond holders and even they will have to re-negotiate once Wells Fargo Bank declares bankruptcy. So, you see, don’t fret over what you can’t control.

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Mr. Xavier Hegmann

Apr 22, 2020 10:05 PM

Well, here we are in the middle of the Chinese Virus. Our shop is basically closed and we're literally waiting on pins and needles to see if we'll get funding from the Federal Government. Don't hold our breath, right? We currently have a working capital loan with National Funding. If the reviews tell you anything it's that they will work with you and give you payment reprieve. Valuable lesson to learn when it comes to saving your own a$$.

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Ramona Effertz

Apr 29, 2020 5:25 PM

Xaver, we're in the same boat with you. Hands are tied and not much revenue coming in. We're thinking of moving to take-out only since Illinois has mandated that dine-in isn't allowed. Lower payments from National Funding definitely help right now while we try and dig ourselves out of this hole.

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Mr. Xavier Hegmann

Apr 30, 2020 9:05 AM

One thing that I didn't add is that we have an equipment financing agreement with Marlin Capital Solutions (https://working-capital.com/reviews/marlin-finance). It's a three year note for some refrigeration equipment: a walk-in cooler and walk-in freezer. We run a decent sized butcher and small restaurant that's adjacent. We've asked them for payment reprieve also. Still waiting to hear back. I've read the reviews for both National Funding and Marlin and still maintain that National Funding is the winner. To me, it's about products offered and the service that's paired with those products. I mean, let's be honest, these products are a bit of a commodity, right?

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Assunta Bailey

Apr 30, 2020 2:34 PM

Is National Funding a direct lender for equipment financing and working capital/merchant cash advance loans?

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Angela Schuppe

Apr 30, 2020 3:35 PM

Assunta, great question. Yes, National Funding is a direct lender for both equipment financing/equipment leasing as well as merchant cash advance/working capital small business loans. However, there's one important consideration here. While National Funding is indeed a nationwide direct lender for small business loans, they also have access to many lenders as a broker/ISO. This hybrid model has proven to be a tremendous resource for merchants of all types that may not fit the exact parameters of National Funding's credit box. By aligning themselves with other lenders in the commercial finance space, National Funding is able to service almost any credit type and business classification. Hope that helps!

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Reid Hermann

May 8, 2020 11:07 PM

So, we’ve used National Funding for the last few years. Originally, we had read the reviews and were comparing them to a company back East called Direct Capital. For guys like me, we require financing all the time and it really doesn’t matter all that much what they call it. If we review sign a PO to buy 200 wheel chairs and 150 hospital beds, it’s like musical chairs to be honest. When the music stops we just want to make sure we get a chair. Generally speaking were used to throwing the equipment on an equipment lease with a buck out. That’s called a Capital Lease, but in all honesty we still expense the lease payments as if it was a true lease. These days though, we’re finding ourselves tapped out with small business equipment finance lenders, so we’ve been experimenting with these merchant cash advance loans. Well, technically they’re not loans since the paperwork says they’re taking an interest in your receivables (around 4% a month) to be exact.

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Brooke Feeney

Jun 1, 2020 9:31 AM

Using National Funding turned out to be a Godsend. The issue for us was that we took large working capital loan from them back in January (pre-Corona virus). February fine. March seemed fine and then by mid-March we were forced into a lockdown. We operate a meat packing company. We slaughter, process and package. We're definitely not gonna get confused with one of the top four plants, but we're aspiring to be better and better. The working capita loan we got from National was one of the ways we thought we could get there. At any rate, because we had to temporarily shut down the plant due to a few of our workers spreading Corona virus, we got into a jam. We couldn't operate the plant and no revenue was coming in. National Funding helped to reduce our payments and then paused our payments due to our hardship.

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Deshawn Morar

Jun 3, 2020 9:41 AM

National Funding has decent reviews online, but then so do many of the other lenders in this space. I think what's most important in a lender are the following: rates and programs, who they'll approve and how they treat their customers. Look, the reality is, and no one here is really talking about it is that borrowing money is freaking commodity, right? So, if that's the case, we should be able to shop around, find the best deal, then go back around a second time and get people to fight for the deal. Why is this process anything different from financing a home mortgage, or buying a new car. It's not, let's focus on what's important and not these corner cases where someone's brother's cousin wasn't approved, so you're the keyboard warrior that has to fight the injustice online. The reality is that if you can get a good rate at National, and the other terms fall in line as well, take the deal. On the renewal, for example, if they're not offering a better rate, meaning longer term and lower payments, then bounce. Find a different daily payment loan broker, or company and search out that better deal.

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Edward Nelson

Jun 3, 2020 11:50 AM

I was hesitant to apply because of the mixed reviews, but National Funding approved me for a business loan when my bank didn't. Funded in no time at all! I definitely recommend them.

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Ara Gibson DDS

Jun 5, 2020 9:57 AM

Edward, most of the National Funding reviews that I've read have been overwhelmingly positive. I'm curious, though, what did you finance with them and how long did the process take from start to finish? Oh, also, is the loan serviced by National Funding, or did they broker your loan to another equipment leasing company or working capital lender. Hope to hear from you. Thank you!

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Edward Nelson

Jun 6, 2020 5:05 PM

Ara, I'm more than happy to share and yes, my experience with National Funding was as positive a one as you could possibly hope for. After all, we're talking about a small business lender here, right? Well, it started out with me searching for equipment financing on the web. Normally, I would ignore the sponsored results, but something this time got me to click. I think I saw something that said "commercial truck financing 0 down - 72 months." Well, I clicked it and it took me down a rabbit hole. While I thought I was applying with just one equipment financing and equipment leasing company, I was actually applying through LendingTree and they (apparently) sold my information to almost ten different lenders. You might imagine that any level-headed consumer might take offense to this and so yeah, I was pretty ticked off. I thought I was apply with just one equipment based finance lender and instead my commercial finance application was shot-gunned around the country to a number of different lender. As it turns out, some of the lenders that LendingTree sold my information to were actual direct lenders and could fund the transaction themselves (if only I could get approved), but others weren't really lenders at all, they were what you might refer to as middle-men or brokers.

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Ara Gibson DDS

Jun 6, 2020 6:11 PM

Oh, okay. So, if I understand you correctly, you clicked on a sponsored result and ended up in LendingTree's sales funnel? So, what happened from there? How did you end up (ultimately) choosing National Funding, or was it more of a case where they chose you? Did multiple equipment financing and leasing lenders actually get back to you with quotes? Oh, most importantly, were they hard or soft inquiries to your credit? That's one of the most alarming things about working with a lender that sells your information to affiliates. That happened to me once when I was looking for home mortgage. My information was sold and sold and basically what happened was that nearly 20 different lenders pulled me and my husband's personal credit (mind you this all happened inside of a week or less). I think if I recall correctly, both of our individual FICOs scores suffered tremendously to the effect that it dropped our individual scores by 100 points each.

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Edward Nelson

Jun 6, 2020 6:20 PM

Ara, funny that same type of thing happened to me and my wife back in 2005. I know, it's like we have PTSD, right? I think this type of things lingers on and on. I'll probably pass this PTSD down to my kids and then it'll be like hearing my PaPa talk about the Depression and how he walked uphill in the snow with no shoes on (both ways) and had to eat oatmeal for breakfast, lunch and dinner every day! Well, yeah, getting back to your questions. We were looking to finance a CAT 416C Backhoe. We found it second hand from a dealer in Atlanta. Since it was a private-party sale, he didn't have any type of commercial financing to offer apart from saying that I could try Farm Credit. While I was at his construction site looking at the piece of equipment and even testing it out around his site, I tried going on Google to look for financing. Like I mentioned, I saw that sponsored result and tried my luck. Ultimately, I'd like to believe it was by the grace of God himself that I found National Funding. They weren't necessarily the lowest rate in town, nor were they the first to make an offer. What stands out most from the dozen or so commercial finance companies that I spoke with (and who ultimately wasted my time but taught us a valuable lesson) was that they were honest, upfront and knew how to communicate. I think you'll end up reading a lot of reviews about National Funding. Some are just a waste of breath, IMO. I mean, who is going to go on the web and praise a commercial equipment financing lender that charges 18% APR?? The reality is that most will use reviews of National Funding s dumping ground to complain and get their attention. I, on the other hand am thankful for my experience with them and value the relationship. Would I use them again? Heaven's yes I would.

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Dr. Arthur Hodkiewicz, MFA, PhD

Jun 5, 2020 10:14 AM

I run a small therapy business and have used National Funding in the past. I was actually researching whether or not I should renew my working capital daily payment loan with them and came across this page. I borrowed ~ $100K over 12 months and am about six months through. While I only borrowed. $100K, I have to pay back ~ $130K in total. Is that a good deal? I found a separate review here on National Funding vs Kabbage: https://www.working-capital.com/articles/national-funding-vs-kabbage

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Fidel Mitchell MD

Jun 12, 2020 10:15 AM

Need to work on their customer service. Once all the paperwork is done and the business loan is in your account, it is hard to get any one from the lender on the phone. Email responses are too late as well. I will soon be completing the working capital loan deal with these people and I am glad with the loan but I wish they had been more responsive to avoid frustration.

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Ricardo S

Jun 12, 2020 6:12 PM

Financed a commercial truck with National. I didn't like using the truck as collateral, but it helped me get a better rate.

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Kendra Trantow

Jun 13, 2020 6:29 PM

Ricardo, I think you're missing the point. That's exactly how equipment financing works. You find the asset that you're looking to purchase, generally you have to personally guarantee the equipment leasing agreement and the equipment leasing company filed the Uniform Commercial Code filing (UCC filing). National Funding does exactly what any other equipment finance lender would do. Nothing special here.

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Duke Boder

Jun 13, 2020 6:02 AM

A year ago I started on a 60 month term with monthly payments from National Funding. Much easier to work around than daily or weekly options.

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Barton Bahringer

Nov 5, 2020 11:48 AM

Duke, I think there might be some confusion here. Working Capital Loans or Merchant Cash Advance are short-term small business loans that are based on the business' revenue. The terms are generally a year or less, but can extend to 24 months/2 years. I think you're referring to Equipment Financing or Equipment Leasing since those have a term length that can extend beyond 60 months (72 or 84 months in some cases where the collateral is strong and there's secondary value inherent in the asset).

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Duke Boder

Nov 7, 2020 6:32 PM

Barton, all that I meant is that in recent months when I wanted to borrow cash, the merchant cash advance lenders would give me a loan based on my future receivables. That note was short-term in nature and the payments were debited daily (~20-21 days/month). I applied with National Funding after reading their reviews and decided to take a run at another small business loan. When I connected with National Funding they asked me some basic information about my business. One of the questions was if I had any trucks or trailers in my fleet that were paid off, free and clear with liens. I replied that my whole fleet was bought and paid for. Instead of giving me a merchant cash advance, they did a cash-out loan on my collateral. They basically lent me $.50 on every dollar after doing a desktop appraisal of my fleet. I was able to borrow $250K in three different takedowns. That's what I meant about not having to make daily payments and instead am making one payment a month. Make sense????

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George J

Jun 15, 2020 7:48 AM

They declined me and never said why

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Pedro Beatty

Jun 17, 2020 9:14 AM

George, interested in your experience. You mentioned that National Funding declined you but didn't tell you why. Are you aware that they're obligated to give you a decline notice? Here's a link to the requirement set forth by the Consumer Finance Protection Bureau: https://www.consumerfinance.gov/policy-compliance/rulemaking/regulations/1002/9/

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George J

Jun 17, 2020 10:14 AM

Pedro, I ain't gonna lie. I'm not going read through that jargon, but yeah I was declined by National Funding. I read their reviews online and it seemed like they worked with guys like me. I run a garbage hauling business. I have two trucks and I'm one of the drivers. We do mostly local work. My gross annual sales are around $200k, which I think is pretty good considering I only have two trucks. Just looking to expand my biz. And yes, National Funding did send me a decline letter in the mail-it just didn't say why my application for equipment financing and leasing was declined.

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Tiffany Weber

Jun 15, 2020 1:14 PM

If you're just getting started, apply somewhere else. They won't help you.

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Krystel Roberts

Jun 16, 2020 9:17 AM

Tiffany, we experienced the same thing. Just. starting out a WFM consulting business. We only have two months in business and we were also declined by National Funding and a number of other working capital or merchant cash advance lenders. Same reason from all of them: Insufficient Time in Business.

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Grace McCarthy

Jun 16, 2020 1:14 PM

Got a business loan in less than 24 hours (and I don't have perfect credit). Amazing!

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Elvis W

Jun 17, 2020 1:14 PM

Located in California but they helped my business in Minnesota. Truly "national" funding!

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Theresa C

Jun 18, 2020 1:14 PM

After applying, I was contacted by a representative to go over business loan options. It was great to have a choice.

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Lucy R

Jun 18, 2020 1:14 PM

National declined my general business loan, but luckily I was eligible for equipment financing with them instead. Everyone involved was very helpful and easy to work with.

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Willa Haag

Jun 20, 2020 1:32 PM

Lucy, did you go through a broker, or did you apply here with National Funding: https://www.nationalfunding.com/application/apply-now/

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Riley T

Jun 18, 2020 1:14 PM

Like it said in the reviews, National Funding's business loan application was very simple. Hoping to hear from them soon!

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Jack Capers

Jun 18, 2020 1:14 PM

After getting my new tools, my cash flow increased and I was able to take advantage of National's interest forgiveness program by paying off early.

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Verna Satterfield

Jun 26, 2020 11:06 PM

My fund manager Ashley was so fun to work with. Was looking for a merchant cash advance for my distribution business. Needed to pay the staff and cover some bills of the warehouse but the current revenue was not helping. The reasonable business loan terms offered by national funding helped the business keep the staff and not affect the productivity. With flexible repayments, we were able to recover from the slump and streamline our revenues. Things are much better and in control now! Thanks to Ashley and national funding.

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Branson Weber

Jul 1, 2020 10:02 PM

It came down to use using National Funding or Marlin Financial and ultimately we used National. Here's the reason-and it's pretty damn simple. We were looking to expand to a second location and Marlin capped our financing at $50,000. Quite differently, National Funding gave us access to $125,000. When it comes to opening a second location, we knew that bills tend to come out of left field and we wanted to make sure that we had enough credit on hand to cover everything. You guys aren't going to find real experiences like ours in reviews. Seems like most people are too damn scared to share what their real experiences are. Wonder why

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Garrick Stroman

Jul 14, 2020 8:49 AM

We've never used National Funding, but it's not because of any bad reviews that we've read. In fact, we've read nothing but decent things about them. Traditionally, we've been with Ascentium Capital out of Texas. We run a small chain of restaurants and bars and Ascentium seems to understand our business best and is aligned with our vendors. I was just poking around looking for alternatives to see who stands up to National Funding comparatively. Generally, with Ascentium Capital, we pay interest rates in the mid-teens and all the paperwork is done electronically using Docusign.

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Moses Wisozk

Jul 14, 2020 9:13 AM

We've used National Funding a few times in the past for quick access to working capital. We received their credit card in the mail and called in to activate it. Unfortunately, it's not a credit card but rather a membership card. The offers that they extend are from what we've found daily payment loans of $5-$150K and are less than 12 months for repayment. These loans are referred to as capita advances and don't appear on your personal credit.

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Brody Heaney

Jul 14, 2020 10:20 PM

I read this review of National Funding and now I'm confused. I found another review on this site about National: https://working-capital.com/articles/national-funding-vs-kabbage and it really seems like their competition is drying up. If you're looking to finance equipment and borrow working capital, who is left to help you? I have 7 years in business, and do about $800K/year in sales.

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Randal Little

Jul 16, 2020 7:20 AM

Does National Funding broker SBA loans? I have an SBA 7a that I'd like to refinance. No where in reading the reviews on National Funding did I see anything about SBA loans, but I do see quite a lot about small ticket equipment leasing and working capital small business loans.

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Jalon Schaefer

Jul 18, 2020 7:22 AM

Their customer service is VERY straightforward! I mean, there is no sugary and friendly talk. My rep talked business with me and offered me a deal which was extended to me as a give or take offer. No bullshit, no negotiating even. I am okay with the no sugary part but there should be some negotiating, you know. To have the customer feel they care about their business and their money. So, anyway they did not waste much of my time because they were like, this is what they can offer to a business like mine and there is no other offer whatsoever. Have to give them a 2 star for not wasting my time but I wished they had been a little accommodating on the interest part. Would have worked with them on a long term basis.

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Katlynn Hessel

Jul 22, 2020 8:26 AM

I've tried working with National Funding before. Every time we've tried applying we were declined for the following reasons: 5+ NSF in a month, average daily balance under $500 and history of tax liens. I was under the impression that National Funding was a working capital lender that worked with smaller sized businesses with imperfect credit? Is there a better option for our situation. We're basically holding on by a string.

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Michele Braun

Jul 22, 2020 8:26 AM

Used National Funding in the past. I'd say that they compare to Ondeck Capital out of New York. Pretty much the same rates and terms. One thing that I think makes Ondeck preferable, at least for us is that Ondeck has a longer payback term. From the times that we've used National Funding in the past, the reviews are correct, they're not going out past 12 months and even then it's a stretch to get them to commit to a year payback. Ondeck on the other hand will go out past 12 months. We've renewed a working capital loan with them for 14 months and also 18 months.

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Will S

Jul 31, 2020 1:14 PM

I had a loan out already and was not approved for a second position from National Funding.

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Joshua Toy

Aug 3, 2020 1:56 PM

Will, I don't think National Funding will go behind another lender. That is, I think they require a first position because they want to file a UCC 1A on the business itself and cannot secure the position if another lender already has security on your business assets.

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Lucas Wade

Jul 31, 2020 1:14 PM

My approval was much more expensive than I expected, even after having read some reviews. I wish National Funding was more transparent about their rates up front.

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Kurtis Leuschke DDS

Jul 31, 2020 1:33 PM

Lucas, that's odd. Sorry to hear that. If you don't mind me asking about your experience with National Funding in more detail, I think it might benefit you in the long run...that is, if you're willing to share.

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Lucas Wade

Nov 4, 2020 2:13 PM

Sure, happy to share. Not sure how it necessarily benefits me or my business in the long run, but what the hell, why not. So, we originally we were introduced to National Funding by an equipment leasing broker. At the time leading up to getting an equipment loan for our brewery and bottling business, we were basically looking online and doing our research on the top equipment lessors nationwide. It would seem that unlike banks, there really isn't a footprint per se for equipment financing lenders-seemingly most can work in all 50 states (though I do have a question about what a California Finance Lenders License is). We read you're standard review sites: ValuePenguin, Nerdwallet, LendingTree and even MerchantMaverick. All pretty much had the same editorialized content. National Funding is great because of A,B and C. What none of these review sites mentioned was that if you have circumstances that separate you in any way from what they deem to be a "standard applicant," you may end up with different results. I guess that's me. I've gone through a divorce and while we tried to keep things civil, she still owns part of the business, but we just don't talk. In fact, while she owns 20% on paper, she isn't involved in the day-to-day whatsoever. After being introduced to National Funding (again, by this equipment leasing broker), they said that we didn't need her on the application and that we didn't need her to sign. We were trying to lease a bottling piece of equipment which we could mount to a used 24' box truck. To spare you the rest of the details, because of the divorce, I had a few minor collections: medical, a Spectrum bill that charged off and a Sears charge card that was in collections, our offer was ~45% APR on a 48 month term. They wouldn't allow us to go out to five years because they said the box truck was too old and it had too many miles?? That really seemed suspect, but at any rate. Ultimately, we need Joan's (my ex-wife) signature and that was a mess to get. National Funding's equipment lease agreement was explained to me by the rep (Josh?) that it's a corporate debt and won't appear on either of our personal credit. If that's the case, why did they need Joan to sign?

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Mr. Riley Schiller MD

Aug 3, 2020 8:20 PM

The only reason I kept working with National Funding was my representative Mark Concannon who was very supportive and responsive. Their rates were very high and the terms weren’t very flexible too. Mark tried to get us a reasonable deal as much as he could. The 3 star rating is for Mark. Otherwise, I will not work with this lender again!

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John B

Aug 13, 2020 1:14 PM

National Funding's origination fee is negotiable! Had it cut in half just by asking my representative.

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Ray Swaniawski

Aug 15, 2020 1:58 PM

If you don't mind me asking, what type or percent origination fee was National Funding trying to charge you?

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John B

Aug 16, 2020 2:18 PM

So, we did a few loans with National Funding. If you spend some time reading the other National Funding reviews, the Origination Fee will vary. I've seen as an origination fee as low as 1%, but as high as 3%. However, I've also done a few merchant cash advance loans with National Funding and those were ultimately brokered to other lenders. Similar to National Funding, those lenders also charged similar Origination Fees, so it's definitely nothing unique to National Funding. My point, though is that by reading the National Funding reviews I learned that you could negotiate this. The smartest way to do it is as follows: submit all your paperwork to them, gets approvals from multiple lenders, choose the amount of money to borrow where the payback best matches your cash flow, then at the very end, negotiate down the Origination Fee. Wait until they actually send you the DocuSign before you raise any flags. That way, you've negotiated all the other aspects of the working capital loan and this is the last item to check off the list.

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Tia Lenn

Aug 13, 2020 1:14 PM

Shopped my approval around and got a lower offer. National matched it and gave me $1000 credit.

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Michael Richards

Aug 17, 2020 1:14 PM

I saw good reviews for National Funding and stand by them! $100,000 with no collateral? Yes please! Got weekly payments too.

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Sydnee Waters

Aug 19, 2020 7:43 AM

I think the majority of these working capital loans are illegal. I was reading another article on this site https://working-capital.com/articles/confession-of-judgment and it really does seem like these type of lenders, the working capital lenders are setting up small businesses for failure straight out of the gates. Does anyone know if National Funding does this to their clients? I've read National Funding reviews and no one is talking about Confession of Judgment, just about their interest rates and terms. Any help is appreciated.

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Jackie Prohaska

Aug 19, 2020 8:46 PM

While we've used National Funding in the past for both equipment leases and working capital loans, we really do feel like there are other and better options out there. For example, if you're looking for a longer payback period, I would try Fora Financial (https://working-capital.com/reviews/fora-financial). We've done a couple of longer term working capital loans with them. Another lender very similar to Fora Financial, but differs in that they offer equipment leasing is US Business Funding. While they don't actually fund the equipment loan, they can procure one for your business. Ultimately, it'll be sold off to a company like Marlin, Ascentium or its ilk.

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Mitchell Bianco

Aug 31, 2020 1:14 PM

Wasn't approved for anything but at least the National application was free. I'll try somewhere else.

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Amber Rutherford

Sep 10, 2020 10:17 PM

We've used National Funding since when they were called Five Points Capital. Nothing bad to say about them whatsoever. We've probably done, oh, I dunno, maybe ten equipment leases with them. The vendors that we purchase from are all tied to National Funding and frankly they've treated us real well, including during this pandemic. Rates tend to be a bit on the higher side, but at least we don't have to go begging to our bank every time we want to make a purchase. For us, we tend to do capital leases, two payments down ahead of time, $1 buyout at the end because we want to keep our stuff, so it ain't typical equipment lease that's for sure. For us, in general and if I had to guess off the top of my head, well, interest rates are probably in the high teens (18% or so).

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Senna P

Sep 18, 2020 1:14 PM

Even though I was making payments on time, National didn't renew my loan.

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Ashtyn Armstrong

Oct 1, 2020 9:24 AM

Look, due your due diligence and read the National Funding Reviews. They literally have 70 Google Reviews that you can easily dig through in ten minutes to read about their customer service, their rates, hell, even their likability. Don't base your opinions on whether or not you should work with a lender, in this case National Funding, by reading a couple of angry reviews about them. Here's the deal, National Funding is BBB accredited and from the research I've done, it doesn't appear that they're big on suing their customers, or their customers suing National for that matter. They seem to do good business: equipment loans and equipment leasing and working capital small business daily payment loans. Boy that's a mouthful, but I reckon that's what they're actually called.

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Mafalda Osinski

Oct 22, 2020 11:04 PM

Nothing wrong with National Funding as far as I’m concerned. National has great customer service, the application process is simple and can be done online or over the phone with a representative. It’s not a faceless company that hides behind their brand. The people who work there are personable and are really and truly empathetic to what small business owners like us go through. Funny example, I was expecting a call back from them because I had a small tax lien in the past (they’re settled now), but I had sent proof and hadn’t heard back. I got worried like I always do. In the past, other lenders would ghost me. I’d submit paperwork and wait and wait to hear back. Well, I submitted the tax lien release information at around 10:30am and around 2:45 or so I get a text. It’s from my rep at National Funding and it’s says, “thanks for the tax lien release info. You’re good to go and approved. Didn’t want to call you during your lunch rush.” Look, I run a restaurant and for their rep to actually see things from my perspective, to not bother me during our much rush was huge. I’m trying to service customers and turn a dollar. They sent me a text. Small gesture but to me that type of understanding is what meaningful and long-lasting relationships are built on.

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Effie Wolf

Oct 23, 2020 11:11 AM

See, Mafalda, that's what I'm talking about. Not sure if National Funding is a dying breed or a phoenix rising from the ashes, but this exactly the type of small business lender I want to grow with. Unfortunately, I'm a start-up and still pre-revenue, but I'm doing my research ahead of time. And when the time comes, this is exactly the type of lender I'm searching out. Great customer service, personable service and amazing communication. They have all the trappings of a high functioning organization.

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Antonette Kulas

Oct 23, 2020 12:06 PM

I've read extensive reviews on National Funding and I think the main takeaway here is that they do what they say they do. Why are we putting a small business lender under the microscope? Also, what's the benefit here? Who on God's green Earth goes on the web to sing praises of Bank of America or Kabbage for that matter? No one, right? It's usually driven by bad experiences which drives further comment on comments. It's an extension of social media, right? This is how comments on Twitter catch fire. It's not about positivity, it's about spreading negativity. National Funding has been around for a long time-over a decade to be sure. That being said, they've proven that they can outlast two recessions, both the Great Recession and the recession caused by this Covid pandemic. Does that matter? Sure it does. They have customers that keep coming back. That's how I measure if a company is worth working with.

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Archer Considine

Oct 23, 2020 12:15 PM

So, while I agree that National Funding has decent reviews, the question is do they matter and how does that make a difference to small business owners like us? I've found a different company that I think I'm more comfortable working with: https://www.working-capital.com/reviews/bank-of-cardiff I've used them for my stone business for the last six years. That's a long time, IMO. We've done multiple take downs for equipment. I buy my equipment from Pinny: https://www.marbleservices.com They're tied to Cardiff through Ruben Goldstein, Cardiff's VP of Commercial Finance. I prefer working with them over National Funding. Again, nothing against their reviews. I'm sure they do great, but I think for me, it's like Coke vs Pepsi. I've got my brand that I prefer.

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Caleigh Heidenreich

Oct 23, 2020 1:03 PM

Like so many others, before I choose a lender to work with, I research their reputation online. National Funding has decent reviews, but so do everyone else that make these daily payment loans. I've seen other lenders online that have a similar product, but they have different interest rates and must cater to a different type of customer. For example, I see Pearl Capital and Yellowstone...they seem to only market to businesses with poor credit, short time in business, or at the least in sectors of the economy that other marquee lenders won't touch: strip clubs, marijuana, etc.

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Fern Botsford DDS

Oct 25, 2020 2:46 PM

I run a pediatric dental office in Houston, TX. National Funding isn't really a source that's known in my industry, but my receptionists keep their mail that they send to us each quarter or so. It's your standard plastic card (the shape of a credit card). Quite frankly, we normally us US Bank for equipment leases, or we'll use Henry Schein because they're a vendor of ours: https://www.henryschein.com But after about a year of filing away National Funding's cards and direct mail offers, we finally inquired what they were all about. Turns out the National Funding reviews aren't bad whatsoever. I'd say pretty typical of independent leasing company. Decent service. I think we financed around $80K and got five year term. Interest rate they charged was (if my brain's memory is worth a dime) around 18%. A little pricey compared to what we're used to, but we like to spread around our financing so that we're not tied to one bank in particular. What we've found is that if you tie your hands to another lender, eventually they'll want to break up with you and it's usually an exposure issue-they'll be the first to say so too. That's when you'll have to go find additional financing. So, worst the wise, get the financing in place ahead time if you can. Don't wait until the last minute to pick a company for equipment leasing and financing, or even a working capital small business line of credit.

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Jordane Mitchell

Oct 25, 2020 9:37 PM

We've read everything from National Funding's reviews on Google, Yelp, Merchant Maverick and Fitsmallbusiness. All say pretty much the same: reliable company to work with. They provide two products: equipment leasing and financing and also working capital small business loans. One thing me and my partner noticed was that all of our leases had a fair market value (FMV) clause at the end of the term. I wasn't really sure how that happened, but I'm definitely not stoked about it. Any way around paying these? I thought that National Funding had good reviews, but this really confuses since our rep never said anything about this in advance.

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Orin Ledner

Oct 25, 2020 9:40 PM

Before you commit to working with any lender, especially National Funding: READ THEIR REVIEWS! Had I known that I was paying back a loan with a 100% interest rate, I would have never answered their call. How is this even legal!

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Frederik Prohaska

Oct 25, 2020 9:42 PM

If you read their reviews closely, they seem bought and paid for. From a glance, it appears that National Funding reviews are genuine. But dig deeper and then things get a little spooky. Why would everyone that reviews National Funding give them five stars. Certainly there are some people out there that did financing with them and didn't have a good experience, right?

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Alexis Langosh

Oct 25, 2020 9:42 PM

We've worked with National Funding for a while now. I think we first stumbled upon them on www.truckpaper.com. It's a website that advertises used trucks. I want to say that Truck Paper uses a different leasing company, but when we called the actual seller of the Freightliner, they mentioned that their store partners with National Funding. So, we read some of their reviews and everything seemed kosher. We did an equipment lease through them. I gotta say, it wasn't really all that smooth and I after working with a third-party leasing company, it's doubtful that I'll actually finance a titled vehicle again with anyone that's not associated with a dealer/manufacturer, however it wasn't a terrible process. It was just really long. I felt like they just weren't experienced with a private-party truck/trailer deal. All of the documents had to be notarized and then overnighted. At the dealer, this takes around 10 minutes, but with National Funding, it literally look about a week and a half to get the financing done. The biggest concern was that we needed the truck and trailer and since it was a consignment, we were worried that the dealer themselves would sell the pair right from underneath us to another buyer who may have cash. Ultimately, in the end, National Funding got us funded and that was that. We used them a few more times for a few additional used trailers and it got a little smoother. Even still, if you can afford to pay cash or can finance with a dealer, do it. If you have poor credit or limited business credit, I'm guessing this is when lenders like National Funding will prove more valuable than gold.

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Dedric Macejkovic

Oct 25, 2020 9:56 PM

We used National Funding years ago for equipment financing. We didn't read any reviews though. At the time, we were really in a rush and National Funding made the process of financing our purchasing through Linesman Tools pretty darn simple. Here's where we found them: http://www.aaerial-tools.com

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Antonietta O'Connell

Oct 25, 2020 9:59 PM

It's kind of funny. We stumbled upon National Funding after we downloaded an app called Nav. Nav claims to allow you track your business credit, but you have to pay for it and and it's pretty clunuky in my opinion. It's probably better to go to the source and subscribe with DnB/Hoovers. We ultimately didn't use them. If you read the review on Nav it seems like it's a sponsored review-sort of editorialized. That being said, read the reviews before you pull the trigger. Otherwise, you could spend upwards of five years in bed with a finance company you detest!

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Robb Streich

Oct 30, 2020 11:15 AM

We've seen Nav on Facebook, but never clicked their ads. So, what do they do?

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Antonietta O'Connell

Oct 30, 2020 11:16 AM

From what I understand, Nav is a website that promotes other brands and makes commissions off of the traffic they promote or the conversions they provide. Here's what I found on their website: https://www.nav.com/blog/how-we-make-money-18740/ Sounds like a competitor to Lending Tree, Nerdwallet, etc.

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Robb Streich

Oct 30, 2020 11:19 AM

Oh, funny. I never went to that link. From what it says, Nav makes money in two ways: 1)Product Referrals where they match your business to a lender based on your personal and business credit profile. 2)They have PAID Accounts too. In fact, they have three: Business Manager, Business Boost and Business Loan Builder (funny, it sounds like PayPal). Essentially, they take data from four credit bureaus and give you a bird's eye view of your personal and business credit and even offer credit monitoring.

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Tavares McCullough

Oct 25, 2020 10:15 PM

Our loan didn't start out with National Funding. We used a company named Progressive. Ultimately, it was either bought or transferred to National Funding. While we didn't think to read National Funding reviews ahead of time (lol...mainly because we didn't understand that our loan was being transferred), we still would likely do business with them again.

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Ashlee Blick, MD

Oct 26, 2020 9:19 AM

Tavares, I'm a little confused why you worked with this company, Progressive Business Funding in the first place. Any reason why you didn't apply directly with National Funding?

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Tavares McCullough

Oct 26, 2020 10:26 AM

We received a mailer about Progressive Business Funding to our shop. We didn't really know what we were getting into. We went online and entered the code. We told them what we were looking for, filled out their application and the deal funded. Next thing we know we're customers of National Funding.

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Hanna Blick PhD

Oct 26, 2020 9:41 AM

There are a ton of options listed on this site. It's really hard to tell one from the other. After reading National Funding reviews, the feeling that I'm left with is empathetic. I have car loans and a home mortgage with Wells Fargo Bank and not once during this pandemic have they offered any financial assistance, nor did they respond to my tweets or DMs. The next time that I need to borrow for my business, I plan to reach out to National Funding.

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Duane Bruen DVM

Oct 28, 2020 11:54 PM

We used National Funding on numerous occasions. We used to only use Patterson Veterinary which has their captive financing and on the surface has great financing offers. For example, right now Patterson is running a deal with 0% financing OAC, but that catch is it’s only good for 12 months. You start to get the feeling like they’re playing with the actual cost of the equipment and the financing is like three cars Monty. We use National Funding because they’re a legitimate third party lessor. We’d rather be with a lender who isn’t tied to a manufacturer or vendor, but instead represents our interests.

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Jamarcus Mante

Oct 26, 2020 10:03 AM

Can anyone help me to understand what makes National Funding better or different when compared with Balboa Capital? https://www.balboacapital.com. I've used Balboa Capital many times before. They're big into franchise finance, but I'd like to understand what advantages there are working with National Funding. I've read the National Funding reviews, but nothing really jumps out of the page regarding their experience with franchise finance equipment leasing or working capital lending.

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Daron Shanahan

Oct 30, 2020 11:47 PM

So, we’ve used both: Balboa Capital and also National Funding. So, to start, Balboa is apparently where all of these brokers got their start in the mid-90s. As far as I understand, National Funding was first called Five Point Capital and was based in Los Angeles. It’s started just a few years after the two partners got their start at Balboa doing equipment financing and leasing. At that time there wasn’t a merchant cash advance product to speak of. Fast forward to 2008, Five Point Capital is now in San Diego, CA and has changed their name to National Funding, as they’ve successfully navigated through the Great Recession. Today, Balboa is a behemoth. They truly specialize in equipment leasing and have vendor partners in all industry verticals, they’re also quite involved in the franchise space. On the contrary, National Funding primarily makes merchant cash advance loans or working capital loans.

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Duane BergeI

Nov 19, 2020 4:59 PM

Excellent and efficient! Eric is my man! Received shampoo chairs and all-purpose chairs and a whole lot of hair products and utensils for my hair salon. Paid the merchant on time with the instant equipment loan I got in my account within 24 hours of the loan approval. All this with the help of Eric and National Funding! Much gratitude!

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Brisa Waelchi

Nov 27, 2020 6:56 PM

One of the best equipment financing companies out there. I was looking to get some equipment for my primary care clinic in Omaha and found National Funding. Applied for an equipment loan with them and instantly got paid within 2 days after the approval of the loan. Not only that, they were very accommodating in terms of the payback terms. The payback amounts varied depending on my revenue every month which was a big relief! Most banks and lenders decide on a fixed amount which they keep debiting from your account throughout the loan term, not caring about the financial health of the business. This practice is highly insensitive in my opinion. But National Funding proved that they cared for their clients and their businesses!

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Reggie Brekke

Dec 1, 2020 10:54 AM

What is this plastic credit card look-alike thing that National Funding sent me? What is the use of this card? Can I withdraw money from this card if I apply for a loan from these people which I must add, I did not and was not even planning too! What kind of new customer catching tact is that? Clueless and sort of offended that they offered no explanation whatsoever with the card! Cheap tacts!!

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Zachery Schinner

Jan 23, 2021 5:13 PM

The application process was pretty smooth and easy. The documentation and signatures, everything was complete in just 2 days and after the review of the application, I was supposed to get the equipment loan on the third day. The gym equipment I order was supposed to come in a week. When I signed the cheque and had to pay the merchant for the timely delivery of the equipment, the cheque was rejected saying there was not that much money in my account. I was surprised and embarrassed too. Called National Funding and demanded an explanation but they had none. They made excuses and said they were looking into the matter. I got the payment in the next 2 days, which is more than a week late compared to what they had promised. The delay caused a lot of frustration and operations at my gym were disrupted as well. After the payment, everything is better and smoother. I am still thankful they paid me. But it would have been much better if they had done so on the promised time!

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Florence Harris

Mar 9, 2021 10:46 AM

Needed to lease a cement mixer and an excavator for my construction business in Memphis but National funding refused to accommodate me based on the bloody FICO score. I tried negotiating the terms but they said it was policy to have a minimum of 620 FICO score and I had 595. Close call but oh well… thanks to my this score, I got a much better deal from Cardiff!

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Hassan Spencer

Mar 20, 2021 3:17 PM

Needed a working capital loan for my small landscaping company in downtown Oakland. National Funding offered me a $150k loan at 8%. The interest rate was a bit too much but after much research, I had come down to either national funding or Yellowstone. Went with the former because of the much better reviews and the fact that they were willing to work with a small business like mine. Yellowstone doesn’t offer much information about their business also. So far, the business loan by national funding has proved to be very beneficial for my company. Thank you!

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Lenora Gorczany

Mar 21, 2021 9:43 AM

The online business loan by national funding was a miracle. I was able to finish the entire application process over the phone and on my computer. It’s a great relief for home-based food businesses like mine. Their rates are high but I don’t mind that because I did not have to leave home and had everything managed for me from my small home office. Thanks!

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Alison Fisher

Apr 27, 2021 10:12 PM

We have two loans with National Funding and ya'll need to simmer down. Like everyone else, the government has shut down our business and there's nothin any of us can do to change that. It's a wait and see game to be sure. Right now, we are just making weekly payments of $200 to National Funding and they seem to be A-Ok with that. Look, if you're gonna review these guys, at least try and hold yourselves accountable for what's happened to. Dip into your savings and save your business. We'll get out of this mess, but don't ruin your personal and business credit in the process. Lay off who you can and make minimum payments. This is a disaster like any other type. So, preparedness is key.

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Yvonne West

Apr 29, 2020 10:32 PM

I love how you friggin explain it! “Just dip into your savings” and “save your personal and business credit.” Girl, if only life was that simple. Some of us have experience with these types of loans and others are getting our education on the job. These merchant cash advance loans ain’t as simple as you make them out to be. Not every small business lender is so agreeable with providing help. Lord knows, they ain’t helpin me.

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Alison Fisher

Apr 30, 2020 1:22 PM

I guess that may have come across a bit rude and it certainly wasn't my intention. I guess my only point is that a lot of small business owners choose to run their companies as if it was their own personal piggy bank. When they need a little cash, they dip their hand in and grab what they need. Rarely, from what I've seen do they put it back, though. I'm not clairvoyant and don't mean to come across so. I can't imagine this pandemic lasting forever. Eventually America has to open up. My best advice to you is to reach out to National Funding. Try their Twitter, their Facebook, their Instagram...if calling or emailing doesn't seem to work just get creative. As you mentioned, your life is on the line and your business is hanging by a thread. From my experience working with National Funding and reading National Funding reviews, they care about their merchants. I think you'll end up getting their attention and they'll help to remedy your payment issue if they can. Good luck

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Abbie Corona

May 3, 2021 9:06 AM

So, I've really done my reseach and am still left scratching my head when trying to figure out the true difference between lenders like National Funding & Marlin Capital Solutions. If it simply comes down the reviews, I think Marlin has National Funding beat. Here's a link to Marlin Capital Solutions' Trust Pilot: https://marlincapitalsolutions.com/about-us/reviews/. I see over 500 4.5 star reviews. That is an overwhelmingly positive vote of confidence for a lender that has been around since 1997 and suvived three recessions. Does anyone have any experiences that they can share about either Marlin or National Funding? Are their rates much different? Does one extend longer terms verus the other? I'm looking to better understand how they stack up and need some meaningful KPIs.

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Minerva Smitham

May 3, 2020 9:31 AM

Abbie, I've used National Funding on a few occasions. Here's what I can report. They offer equipment financing and leasing, though it's small ticket. Are you looking for middle market financing? If so, they won't be able to help you. So, getting back to equipment leasing; I think they advertise on LendingTree.com and also send direct mail to the 10MM US small businesses. From what we've experienced, we generally get one offer a financial quarter (every three months) which consists of a plastic card that pretends to be a credit card, though there's no VISA or MasterCard affinity. Recently, and I'm generalizing here, but let's say within the last few years, they've moved their focus to small business working capital loans also called merchant cash advance. They get the lion's share of their business from a network of brokers also known as Independent Sales Organizations (ISOs). And this is where I want to caution you. If you're working directly with them you stand the best chance to get a market rate. Alternatively, if you're referred to National Funding through a broker or an ISO, you're going to pay dearly for it because the cost of funds is ultimately marked up approximately 10%-15%.

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Abbie Corona

May 4, 2020 11:28 AM

Thanks, Minerva. Appreciate the broad strokes, but am looking for some specifics about industries they specialize in. We run a trucking company with 17 power units in our fleet. We're looking to expand, purchase a few dry trailers and maybe a used power unit or two in the next few weeks. At the same time, we just got a contract with FEDEX Home for the final mile. Is National Funding the type of lender that can extend equipment financing and leasing on this order. Generally, we have to finance with a new lender for every piece we buy because they have limits on their exposure. If I had to estimate, we'll need access to roughly $350K to take down the trailers, a couple of power units and possibly some Mercedes Sprinters/Ford Transit 350s.

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Minerva Smitham

May 4, 2020 11:57 AM

Abbie, my advice is that National Funding is probably not the best lender if you're looking for what's referred to as a master lease. Because National Funding is tightly held and not publicly traded, they have to borrow money to get their own funding. With that funding comes with boat loads of red tape and limitations on how they lend, who they lend to and what is the maximum amount they're able to lend to a single corporation. Find more information about their debt financing here:https://www.crunchbase.com/organization/national-funding/company_financials

I'm assuming here that your trucking company has one TAXID (FEIN). Is that correct? If that's the case, National Funding will probably only be able to lend to you <$100K overall. They have exposure limitations on both equipment financing and leasing as well as merchant cash advances/working capital business loans. Do you need an alternative lender, perhaps?

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Abbie Corona

May 4, 2020 12:13 PM

Minerva, gosh. Ok, that kinda stuff is above my paygrade. I don't really know what to make of the CrunchBase data on National Funding. I can see that National Funding has had two rounds of funding, though. One for $75 Million and one for $30 Million. But at any rate, I think what you said about National Funding having limitations on how much they can lend to a single corporation. Yes, our entire trucking company has only one FEIN. If what you say holds true and because they're not really lending their own money, they have limitations on how much they can lend to us, yes, we'll need another option for equipment financing and leasing (capital lease, mind you). See, the situation has always been that whenever we go out to find a truck or trailer, we literally have to not only haggle over the cost of the power unit or trailer, but we also have to haggle over the financing. I guess to clarify things, when I say we have to haggle over the financing and leasing, it's not really over the rate or term, it's more like we have to fight to get approved. Sometimes we have issues getting approved because of the collateral. For example, some lenders like Bryn Mawr Trust and North Mill Equipment Financing have issues if the power unit has too many miles, or even if it's a certain make or model (I couldn't find reviews of them on this site, however). I guess what I'm trying to describe is that every time we want to buy a piece of equipment, we've got to go before a judge and beg for leniency. Frankly, me and my husband are sick of it. With 15 years in business and steady revenues, why can't we find a partner in equipment financing and leasing that understands our business and that we constantly have to add new and used equipment to the fleet? If you look at our financials, you'll see on our debt schedule that for every power unit or trailer we are financing, a different lender is listed. How can we get away from this?

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Minerva Smitham

May 4, 2020 12:40 PM

Abbie, this is a tough one and I think it's allegorical of the general difficulty for small businesses in America to fund their enterprise. You know, from my perspective, what you've accomplished is truly remarkable. A long-standing commercial trucking business, managing multiple trucks and trailers, managing dozens of drivers and their personalities, not to mention managing the business relationships-it's no small feat. Now, add on top of that the fact that each year you've been profitable despite the unfriendly reality that today's large publicly-traded delivery companies suppresses smaller-sized logistics companies. It's truly amazing. I couldn't be more proud to hear your story. Now, onto the unfortunate part. For most small businesses that aren't either technology or bio-tech companies, it's virtually impossible to secure low-cost funding. What you've described for me is the same reality that we've faced since we incorporated in 1996. If you're looking for a $50,000 commercial line of credit, you're welcome to go the big banks with your hat in hand. Most likely, if you have a few years under your belt and a 700 FICO score, you'll probably get approved. To apply, get approved and get access to the capital shouldn't take any longer than two weeks and you'll likely pay around 10%-15% APR for the funds. Looking for more than that? It'll surely prove difficult. While there are alternatives to getting cheap access to capital, for example, the US Small Business Administration (SBA), that process looks nothing like the aforementioned begging for a $50,000 line of credit-you'll likely spend 6-9 months in the process and will have to collateralized the application for financing with all of your assets (house, cars, boats, RV, jet skis, 401K, coin collection, your 8-year-old's MicroMachines, Grand Pappy's liquor cabinet...I think you get my point. Apart from those two realities, you're hand is pretty much forced. You have to go equipment financing and equipment leasing shopping. What does that mean? It means that each time you want to buy something for the business, you'll need to find a different suitor. As described in the National Funding example, they have a requirement where they can't lend more than $100,000 to an individual company. Once you've funded your equipment finance or equipment lease with them, it's onto the next. You'll likely need a different small business finance company for each sizable purchase. It'll be Hell to keep organized and you'll feel like you're pushing a boulder up a hill, but that's the current state of small business financing. You may want to try working with a lender like Cardiff. While they are a direct lender, they also have the ability to discount transactions to other lenders, while the customer service and billing stays with them in-house. That means that you'll retain your point of contact for equipment financing and equipment leasing, or even working capital/merchant cash advance loan, however they'll be able to spread the small business debt amongst their partners. Here's a link to them: https://working-capital.com/reviews/bank-of-cardiff

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Napoleon Cartwright

Jun 11, 2021 12:35 AM

Good lender. Looks like National Funding and I are going to be forming a long lasting business relationship given my experience with Eric Fong! He is just the best fund representative. Helped me get a very reasonable equipment financing deal to help me lease some desktop computers and a couple of scanners for my small IT company based in California. Thank you Eric!!

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Amely Wuckert

Jun 15, 2021 12:54 AM

I had a similar experience with these people. But my representative was Mark who was great too! Got me a great equipment financing deal for my Austin-based software house. The process was smooth and easy, thanks to Mark. He took care of everything. The origination fee at 5% seemed like a lot but guess, good deals come at a price and I don’t mind paying that if I am getting a reasonable deal.

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Golda Sanford

Jun 26, 2021 5:33 PM

There is not much information about different fees and charges on this lender. You have to sort of ask them almost everything. They failed to mention the origination fee which was not so ignorable but rest of the equipment financing deal was all right. Got a $20,000 machinery loan to buy a couple of latest laptops for my software company in New York, which we are expanding and hiring more people. Got the loan in 3 days and paid the provider on time. 3 stars for the prompt service and the immediate equipment financing. The 2 stars I did not give is because of the lack of upfront information.

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Quinton Kris

Jul 2, 2021 2:41 AM

Great service! They are efficient, straightforward and offer instant business loan. Got my loan within 3 days! I worked with lenders like BlueVine, Pearl Capital and Snap and none of them offered me a loan in such a short time! They did promise instant funding but so far, only national funding delivered that!

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