Uplyft Capital Small Business Loans Review

About Uplyft Capital

Uplyft Capital

Uplyft Capital is a powerful and fun Cash Advance Company to work with. We focus on the ease of our user experience, functionality and flexibility of programs. We are a direct funder that can provide you all options under one roof.

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What is Uplyft Capital?

Uplyft Capital was founded in 2012 by CEO Michael Massa with the goal of offering small- and mid-size businesses quick access to working capital, sometimes as fast as 24 hours.

Miami, Fla.-based Uplyft Capital doesn’t offer traditional small business loans with compounding interest. Instead its merchant cash advances are structured with flat pricing and payback plans geared to the income of the borrowing businesses.

The advances are based on the sale and purchase of future receipts from American Express, Discover, Mastercard and Visa, and repayment is a fixed percentage of those receipts. The Merchant Cash Advances have high repayment terms – currently equivalent to interest rates from 12-40% — and are viewed as comparable to pay-day loans for businesses.

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Uplyft Capital Small Business product highlights

Uplyft Capital is an online marketplace, largely for new businesses looking for short-term help with cash flow. The focus is companies with less-than-stellar credit ratings and with a minimum six-month track record of business operations.

Retailers make up the majority (52%) of Uplyft Capital’s clients. Restaurants make up another 26%. These are businesses that need a steady cash flow, and qualifying applicants receive a portion of their annual gross sales upfront from Uplyft Capital.

Uplyft Capital promotes its same-day pre-approval process and post-approval funding in as little as 24 hours.

But there are some drawbacks, including a complicated financing structure and higher repayment costs.


What Uplyft Capital offers

Uplyft Capital and other cash advance companies cater to new businesses that might not be able to secure money from traditional banks. Make sure you understand how the factor rate will affect the true costs of borrowing. For instance, a 1.40 factor rate translates to a 40% interest rate. Also, keep in mind other variables with a merchant cash advance. It’s worth noting that, if the advance is paid back daily, you could be hit harder on strong sales days.

Uplyft Capital advertises that it offers four financing options, with higher costs charged to newer businesses. Businesses must show evidence of a minimum number of unique deposits to demonstrate that their revenues are coming from multiple sources.

Uplyft Capital: At a glance
Product Dollar amount Term APR range/ factor rate Time to funding
Premier Plus $3,000 to $150,000 Based on a percentage of credit card receipts 1.12 for two to 12 months Potentially 24 hours
Premium $3,000 to $150,000 Based on a percentage of credit card receipts 1.20 for two to 9 months Potentially 24 hours
Standard $3,000 to $150,000 Based on a percentage of credit card receipts 1.30 for two to 8 months Possibly 24 hours
Starter $3,000 to $150,000 Based on a percentage of credit card receipts 1.40 for two to 6 months Possibly 24 hours

Rates current as of 5/31/2018

Uplyft Capital provides cash advances to starter companies from all industries. But its other products are limited to select industries not specified on its website. The company’s website says there’s no set payback period with the Merchant Cash Advances because payments are aligned with the income of the qualifying business.


Eligibility requirements

Product Revenue Min. business credit score or personal credit score Time in business
Premier Plus $50,000 in monthly deposits & average of 10-plus unique deposits 620-plus Two years plus
Premier $30,000 in monthly deposits & average of eight-plus unique deposits 560-plus 1.5 years plus
Standard $15,000 in monthly deposits & average of five-plus unique deposits 500-plus 1 year plus
Starter $10,000 in monthly deposits & average of five-plus unique deposits 480-plus Six months

Additional eligibility factors

Uplyft Capital requires 60% ownership for the Premier Plus cash advance and 50% ownership for the Premier, Standard and Starter programs.

How to apply for Uplyft Capital financing

An online application kicks off the process. It asks basics, such as name, DBA, address, ownership details, industry type and business start date. It gets into the specifics of the amount of money needed, the company’s annual gross revenues and federal tax identification number. Information on the application says businesses can be approved for up to $500,000, although elsewhere on the company website, $150,000 is identified as the maximum. You should know whether you are approved in 24 hours.

Documents to apply

  • Proof of ownership
  • Proof of monthly receipts
  • Proof of credit score

Pros/cons

Pros Cons
  Cash can be obtained quickly   High repayment costs
  Short-term solution to cash flow problems   Borrowing against future revenue
  Offer an option that traditional banks are unlikely to consider   Potentially hard-to-understand process

Who is the best fit?

New businesses that are growing steadily and need short-term help to resolve cash-flow problems.

Newer businesses with clear growth potential and little credit could benefit from these cash advances if there’s a short-term, cash flow crunch.


Fine print

The details of what’s required to qualify for a merchant cash advance through Uplyft Capital are complicated. For instance, the requirement of a certain number of unique deposits is just designed to make sure the merchant’s income is from multiple sources. The factor rate and other critical details need further and clear explanation.


The bottom line: How Uplyft Capital stacks up

Uplyft Capital offers Merchant Cash Advances. These advances are not loans, which means these companies are not bound by state usury laws that limit lenders from charging high interest rates. The benefit to the merchant is more flexibility in managing cash flow, particularly in a slow selling season. Another advantage: MCA providers typically give more weight to the borrowing company’s underlying performance than credit score, which gives the business an alternative to applying for and being turned down for a conventional loan. But the repayment costs can be very high.

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