Able Lending Review

Able Lending

Able lending was established in 2014 in Austin, TX, as an alternative lending option to serve businesses. The same people who had started the mail startup Outbox are the founders of Able. It provides peer-to-peer loans for the growth of small businesses. Such services lower the risk for both companies and backers, which make the lending process easier for everyone. The A+ BBB rating and multiple support options show a dedication to customer service and make this lender a favorable option as an alternative to traditional lenders.

Assets of the Austin-based startup were purchased by Foundation, another small-business lender, in November 2017.

Rates and Terms

• Loan Amount: $25,000 to $500,000
• Interest Rate: 6 to 16%
• Origination Fees: 3%
• Funding Time: 6 to 7 days
• Funding Terms: 1 to 5 Years

Types of Loans Provided by Able

• Growth – The amounts from $25,000 to $1 million are available, of which backers’ fund 10 to 50 percent, and Able makes up the difference. Term lengths range from 1 to 5 years.
• Friends and Family –These loans range from $1,000 to $1 million. It is fully funded by the backers. Terms, interest rates, and suitable split payments between the principal and interest can be customized.
• Debt Refinancing (Refi) –Up to $5,000 per month can be saved over what you are paying to cover current debts. This is possible with an average interest rate of 13 percent. Terms range is between 1 to 5 years and at least 10 percent of the loan must be raised from backers.


• Interest rates range from 8 – 25 %, with a 5 % origination fee.
• Able provides startup loans and installment loans with minimal borrower qualifications.
• The rates and fees offered are quite competitive.
• There is no prepayment penalty

Requirements for Eligibility

• For Growth and Refi loans, your business should be operating for at least one year, earn $100,000 in revenue, and the owner’s credit score should be 600+.
• For a Friends and Family loan, a minimum $1,000 investment from each backer and the same is required for a Growth loan.
• To be a backer, you must be a legal U.S. citizen with a valid U.S. bank account.
• As a backer, you can provide backing for your own loan from savings or other personal funds.
• If you don’t satisfy the minimums eligibility for backer contributions for any reason, Able will work with your business to find a solution.

The Process for Application

• The first step to getting a loan is to complete an application on Able lending website where you need to fill out basic information about yourself and your business; Able will check on your credit, and you will know whether the application process will continue or not.
• If pre-approved, you need to provide documentation about your business’s finances which will be scrutinized by Able’s underwriters to make a decision about what rates and fees to offer you.

• After submission of documents, Able lending will send someone to get back to you with a decision within 24 hours.
• If you wish to go ahead with the process, now you have to gather backers.
• Once you have your supporters lined up, Able will disperse the full amount to your account.

Funding usually takes between two and four weeks, depending upon how long you take to find backers.

Pros and Cons of Able Lending

There are several advantages and disadvantages of borrowing money from Able. Let’s take a look.


• You enjoy flexibility in loan types, amounts, and rates
• You can have a varied choice of potential backers
• Loans range from $1,000 to $1 million and can be backed by friends and family
• You can apply for business growth loans or debt refinancing loans
• Pre-approval takes little as 1 minute
• Interest rates are as low as 2% and flexible term lengths are available.
• No prepayment penalties are charged.


• The minimum credit score requirement is 600
• There is a minimum contribution required from backers.