Small Business Loans & Financing · Reviewed

Funding Circle

Online term loans and SBA financing up to $500K for established HVAC shops

★ 4.2 / 5|From APRs typically from 10.64% to 31.85%|Small Business Loans & Financing

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Overview

Funding Circle launched in the US in 2010 as a marketplace lender and, after its US operations were acquired by iBusiness Funding (a Ready Capital subsidiary) in 2024, it continues to operate as a go-to online lender for established small businesses. The platform pairs Funding Circle's traditional term loan product with Ready Capital's SBA 7(a) origination engine.

HVAC owners typically turn to Funding Circle for growth-stage uses: hiring a new crew, expanding into a new service territory, refinancing higher-cost MCAs, and acquiring smaller competitors. Term loan amounts between $25K and $500K with repayment terms as long as 84 months make monthly payments manageable.

Pricing sits in a middle ground: APRs typically run roughly 11%-32% on non-SBA term loans.

Key Features

Monthly repayments

Mirror traditional bank loans and are easier on HVAC cash flow than daily debits.

SBA integration

With Ready Capital for SBA 7(a) loans up to $5M.

Dedicated loan specialist

Walks the contractor through documentation.

Fast decisioning

Usually within 24-48 hours of a complete application.

Longer amortizations

5-7 year amortizations lower monthly debt service.

No prepayment penalty

Contractors can retire debt early without fees.

Online portal

Statements, payments, and future borrowing.

Pros & Cons

Pros

+Lower APRs than most online competitors (Bluevine, OnDeck)
+Monthly payments instead of daily debits
+Longer terms up to 7 years improve cash flow
+Access to both non-SBA and SBA loans

Cons

−Origination fees up to 8.49% add meaningfully to cost
−Requires established business, typically 2+ years
−Personal guarantee required
−Not a fit for startup HVAC shops

Best For These Industries

HVAC & Plumbing
established-contractors
growing-service-businesses
mca-refinance-candidates

Alternatives to Funding Circle

Bluevine

★ 4.3

Fast, flexible business lines of credit up to $250K for small contractors

Fintech lender offering fast, online business lines of credit up to $250,000 with approval in minutes, geared toward small contractors including HVAC shops needing flexible working capital.

From Simple interest rates from 6.2% (approx. 20%-50% APR)Read review →

OnDeck

★ 4.2

Fast online term loans and lines of credit built for HVAC and other small contractors

Online small business lender (part of Enova International) offering term loans up to $400K and lines of credit up to $200K with same-day funding and an explicit HVAC contractor vertical.

From Term loan APRs from 35.4%; line of credit APRs from 39.9%Read review →

Live Oak Bank (HVAC & Plumbing Contractor Loans)

★ 4.7

America's #1 SBA lender with a dedicated HVAC and plumbing contractor team

The nation's top SBA 7(a) lender with a dedicated HVAC, plumbing, and electrical contractor lending team offering SBA loans up to $5M at traditional bank rates.

From SBA 7(a) rates priced at Prime + a negotiated margin (variable)Read review →

Navitas Credit Corp