Compare AltCap’s Rates
We want entrepreneurs to find the best possible interest rate for their business financing. If we think you can get a better rate at a commercial bank, we will tell you during the application process. To offer transparency, here’s how our rates roughly compare to other financing sources.
Please be advised: Rates can vary widely from lender to lender. Consult a finance professional before signing any loan agreement.
AltCap’s Small Business Microloans
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We provide entrepreneurs $5,000 to $250,000 in debt capital to launch, operate or grow their business. Our interest rates are fixed and are based on the prime rate set by the Federal Reserve plus 4% to 6%. We offer financing on 3-year terms.
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Borrowers can be from any industry and at any stage of their business’s life cycle—from start-up to mature. As a Community Development Financial Institution (CDFI), AltCap focuses its capital deployment to entrepreneurs who have been overlooked by mainstream financial institutions. An AltCap Business Development Officer can help you decide if a loan is right for your business.
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To apply for a small business loan, you will be asked to provide the following documents:
Personal Documentation
• Two forms of ID (each signer) – One with a picture other with a name only
Business Documentation
• Business Plan (if the business is under one year in operation)
• EIN (Tax ID) Form
• Articles of Organization / Incorporation
• Certificate of Good Standing
• Operating Agreement (for LLC) or By-Laws (for Corporations)
• Business Insurance/Liability Insurance
Financial Documentation
• Two years of personal tax returns including all schedules and 1099s
• Income Statement, Balance Sheet, and Cash Flow Statement (projections)
• Business Debt Schedule
• Last three months of personal and business bank statements. Startups should provide a business plan and financial projections in lieu of historical financial statements.
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AltCap charges an origination fee of 4% depending on your loan amount. Other fees may include UCC filings, servicing fees, vehicle lien filings, or title recording fees.
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Our interest rates are based on the prime rate, plus 4% - 6%. The prime rate is the interest rate that commercial banks charge their most creditworthy customers. The Federal Reserve System sets the federal funds rate which serves as the basis for the prime rate, which is the starting point for other interest rates.
Although the Federal Reserve has no direct role in setting the prime rate, many banks choose to set their prime rates based partly on the target level of the federal funds rate — the rate that banks charge each other for short-term loans — established by the Federal Open Market Committee.
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Si necesita un préstamo para pequeñas empresas y necesita ayuda en español, comuníquese con Karina Lopez al (833) 549-2890 o karina@altcap.org.
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If you have an existing AltCap loan and have questions about your loan terms or if you need to update your information, please contact Viva Young at 816-269-7809 or viva@altcap.org.
If you need to make a payment on your existing AltCap loan, please contact Viva Young at 816-269-7809 or viva@altcap.org.
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Small business owners who have questions about the process, contact us at info@altcap.org.
If you are ready to begin the process, select the Apply button below and follow the directions to submit an Intake Form.
Frequently Asked Questions
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As a mission-driven Community Development Financial Institution (CDFI), AltCap can often overcome traditional lending constraints. Challenges like previous denials, credit scores, bankruptcy, and limited collateral, may be overcome by other positive aspects of your business, like community impact, additional guarantors, or other sources of revenue. We’ll work to understand your needs and create solutions to help you grow your business.
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Yes. We lend capital to small businesses regardless of their industry, size, or stage of growth. Owners of startups will be asked to provide a business plan, financial projections, and other documentation in lieu of historical financial statements.
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No, AltCap does not offer depository services or consumer banking products, but we have other local CDFI and banking partners who can serve your unique needs. Visit the KC CDFI Coalition or speak to your Business Development Officer to learn more.
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AltCap and its affiliate, AltCap California, serve entrepreneurs in California, Colorado, Kansas, Missouri, Nebraska and Texas.
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Yes. We understand that your business has unique needs and while you work hard to be resourceful, challenges can arise. We will accept applications from businesses with up to two active loans and at least six months of payment history. Our team will work with you to assess your ability to take on new debt and what collateral may be available to support your needs.
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AltCap can provide entrepreneurs $5,000 to $250,000 in debt capital to launch, operate or grow their small businesses. Proceeds may be used to fund equipment, marketing, payroll, services, capital expenses, and more. The amount you can borrow will depend on your capital needs and your ability to cover the debt service.
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Collateral is not always required of our borrowers but providing collateral may help you access better loan terms. Discuss your collateral options with your Business Development Officer. UCC’s are required for all business loans.
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No. AltCap does not require a minimum credit score for most products. We work with you to understand the circumstances of your credit and evaluate it alongside your financials, management abilities, and growth potential.
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Our goal is to provide capital in a timely manner. On average, an AltCap loan can take 30-45 days from application submission to credit decision to complete. Questions or challenges may arise as we review your documents, and it is critical that you provide a timely response to keep the analysis and underwriting process moving.
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In addition to accessible capital, AltCap provides other business support and services to our clients. We also collaborate with other lenders and business advisors to provide you with the support you need to start, grow, and sustain your business. Talk to your Business Development Officer about your options and visit our affiliate organizations, equity2 and Community Capital Fund.