BlueVine Review: Loans, Lines of Credit, and Invoice Financing
This lending company offers business loans, lines of credit, and invoice factoring services―all with competitive rates.
Many online lenders have just one kind of financing, like a line of credit. And that’s fine, but sometimes it’s good to see a lender that offers a little more flexibility with its financing. Enter BlueVine, a lending company with not one, not two, but three competitive business financing products.
But are BlueVine’s financing options actually worthwhile? Well, that’s what our BlueVine review will help you figure out.
We’ll explain what kinds of small-business owners should apply with BlueVine, break down its three funding products, and give you some more reasons why BlueVine may or may not be right for you.
- Simple, quick application process
- Large funding amounts available
- Financing for various needs and qualifications
- Limited availability in some states
- No benefit to early repayment
First things first: BlueVine might look like a great option for startups, since you can apply for financing after just three months in business. And sure, many startups can benefit from BlueVine’s invoice factoring, lines of credit, and term loans (which is why it made our ranking of the best business loans for startups).
But compared to some other alternative lenders, BlueVine has a relatively high revenue requirement: it requires at least $10,000 per month or $100,000 a year. (For reference, Fundbox and Kabbage require just $50,000 in annual revenue.)
So if your startup is just finding its financial feet, BlueVine might not be the right lender for you.
|Product||Min. credit score||Min. revenue||Min. time in business|
|Line of credit||600||$10,000/mo.||6 mos.|
|Term loan||600||$10,000/mo.||6 mos.|
|Invoice factoring||530||$10,000/mo.||3 mos.|
On the other hand, if you’ve got the revenue to qualify, BlueVine has a lot to like.
For example, BlueVine offers three different types of financing. (As we mentioned, many online lenders specialize in just one type.) Its financing amounts range from small ($5,000) to huge ($5 million). Its interest rates start at a very competitive 4.8%.
That means that BlueVine’s financing options can meet a wide variety of needs―whether you need a lot of cash while you’re waiting on customers to pay up or you need a small line of credit to handle seasonal inventory purchases.
Remember, meeting minimum requirements isn’t a guarantee you’ll get approved―but it improves your odds. The better your application, the more likely you are to get approved (and the better the rate you’re likely to get!).
No wonder BlueVine ranked highly on our list of the best small-business loans.
BlueVine loan options
Since you’re still reading, we assume you still think BlueVine sounds interesting. Great! So let’s go ahead and dive deeper into BlueVine’s actual financing options―and figure out if it offers the funding you need.
|Product||Loan size||Lowest listed interest rate||Repayment terms||Learn more|
|Line of credit||$5,000–$250,000||4.8%||6–12 mos.||Apply Now|
|Term loan||$5,000–$250,000||4.8%||6–12 mos.||Apply Now|
|Invoice factoring||Up to $5 million||0.25%/wk.||N/A||Apply Now|
First up, let’s look at BlueVine’s line of credit (LOC). Like any business line of credit, BlueVine’s LOC is a type of revolving credit―which means it lets you borrow as much as you want, up to your credit limit (much like a credit card). As you repay the money you borrowed, you can borrow more. That makes it great for cash flow needs, like purchasing inventory or paying bills while you wait for clients to pay their invoices.
Once you’re approved for a BlueVine LOC, you can use your online dashboard to draw from your line at any time. Your first draw has to be at least $5,000, but after that you can draw as little as $500. Whenever you draw funds, you’ll have between 6 and 12 months to repay your draw via automatic weekly or monthly debits. (BlueVine will let you know the exact terms and conditions for your line of credit.)
BlueVine doesn’t offer lines of credit in your state if you live in North Dakota, South Dakota, or Vermont. If you’re in Vermont, you can still get a term loan or invoice financing. But if you’re in one of the Dakotas, you’re limited to BlueVine’s invoice financing.
If you’d rather get your money in one lump sum, BlueVine also has a term loan. According to BlueVine’s website, its term loans usually come in larger amounts than its lines of credit. That gives you more working capital to work with, but it also means that BlueVine is a little choosier about who gets a term loan.
If you get a term loan from BlueVine, your repayment term will range from 6 to 12 months, with weekly payments. After you’ve paid off half your loan amount, BlueVine might give you an offer to renew the loan and borrow more money.
One important thing to note: while BlueVine doesn’t charge any fees on its term loans (such as an origination fee or prepayment fees), it does charge you the full interest of your loan―even if you repay it early. In other words, you can’t save money by paying off your loan balance early, which is kind of a bummer.
You can choose to get your BlueVine financing through either ACH transfers or wire transfers. ACH transfers are free for you, but they take one to three business days. Wire transfers will cost you $15, but you can get your money the same business day.
If you run the sort of business that invoices your customers, you might be more interested in BlueVine’s invoice factoring. When you get approved, BlueVine will give you a credit limit. Then you submit your unpaid invoices, either by uploading them or letting BlueVine sync with your accounting software. BlueVine will give you up to 90% of the invoice amount, and you can submit as many as you want―up to your credit limit.
Your customers will then pay their outstanding invoices (hopefully), and those payments go to BlueVine. Fortunately, unlike some factoring companies, BlueVine tries to let you keep control over your customer relationships. It actually sets up a bank account number and a PO box in your business’s name, and your customers can submit payments to either of those. So customers never have to find out that you’re using invoice factoring. Nice, right?
Once your customer pays their invoice, you get the remaining percentage of the invoice value (minus BlueVine’s fee). But watch out―if your customers don’t pay up, you’re on the hook for the money BlueVine gave you. So if you have problems getting customers to pay up, this probably isn’t the right type of funding for you.
Invoice factoring companies technically don’t provide business loans. They actually offer cash advances on unpaid invoices. (But many people refer to factoring companies as lending companies anyway.)
Applying for BlueVine loans
So how do you actually go about getting financing from BlueVine?
Like most online lenders, BlueVine has tried to make its application as painless as possible. You start by giving BlueVine some basic information about your business, like its name, revenue, and type of customers.
After all that, BlueVine will ask to connect to your business bank account. It uses that connection to review your financials and decide whether or not to approve your application. (But don’t worry―BlueVine promises to keep your data safe.)
BlueVine’s FAQs say that you can provide your last three months of bank statements instead. But its online application doesn’t give you this option, so you’ll need to get in touch via phone or email to do so.
If you like, you also have the opportunity to link your invoicing or account software. While we get why you don’t want to hand out your financials like candy, BlueVine says that this connection can help you get approved for a higher credit line. It can also pre-fill your application with the info from your software, which is handy. And if you get approved, this connection will give you one-click invoice financing.
At any rate, after you complete your application, you can expect a decision within 24 hours (though that’s typical turnaround and not a guarantee).
Hopefully, you’ll get approved, and then you can choose whether to get financing through ACH transfer or a wire transfer.
Easy as pie.
BlueVine customer reviews
Still thinking BlueVine sounds like a good deal? Well, lots of customers agree with you. BlueVine has pretty positive reviews across the web.
BlueVine has a 4.6 out of 5 on Trustpilot.1 It also has more than four stars (out of five) from reviewers on its Better Business Bureau page―a pretty impressive feat, honestly.2
Most BlueVine reviews praise its helpful customer service. Many borrowers rave about their account managers, with many reviewers mentioning quick and clear communication. Business owners also seem to like BlueVine’s quick application and funding process, and some of them mention BlueVine’s competitive rates.
So what don’t people like? Well, some negative BlueVine reviews complain about the automated application, saying it failed to properly identify their business’s revenue or other details. We saw several complaints about unexpected freezes on credit lines (because of revenue changes, missed payments, or surprise underwriting process problems). And at least one business owner didn’t realize that BlueVine would place a lien on their business (see the FAQs below) and was upset about that.
Again, most BlueVine reviews are positive. And while there are negative reviews out there, BlueVine does seem to actively respond to them with promises to address the problem. Whether or not it makes good on those promises, we can’t say. But at least it’s making the effort.
FAQs about BlueVine
Does BlueVine offer unsecured loans?
BlueVine doesn’t require specific collateral to secure its loans, but it does require a lien on your business assets and a personal guarantee (as most lenders do).
Does BlueVine report to credit bureaus?
Yes, BlueVine does report to credit bureaus. That means that paying off your BlueVine loan on time could improve your credit score (but it also means that late payments or defaulting on your loan can hurt your credit).
Either way, you’re likely to see some effect on your FICO score.
Is BlueVine safe?
Yes, BlueVine is safe. As we discussed above, you can find many positive reviews for the company. In fact, BlueVine has funded more than 20,000 businesses.3 In other words, it’s definitely not a scam. So as long as you borrow responsibly, you should be fine.
BlueVine has three different kinds of financing, low starting interest rates, and positive customer reviews―all great reasons for small-business owners to choose this lending company for their financing needs. Sure, its moderate revenue requirements mean that BlueVine might not be the best fit for every business out there.
But for many businesses―including yours?―BlueVine’s advantages will make it an excellent financing choice.
Don’t have the revenue to qualify for BlueVine yet? Check out some other great options on our list of the best small-business loans for startups.
At Business.org, our research is meant to offer general product and service recommendations. We don’t guarantee that our suggestions will work best for each individual or business, so consider your unique needs when choosing products and services.