Pros Explained

• Earn rewards on your line of credit: Wells Fargo’s unsecured business lines of credit offer a rewards program similar to what you’d find on a rewards credit card. You’ll get a Mastercard access card to make purchases from your line of credit and earn 1 point for every $1 spent, which you can use toward travel, gift cards, and other items. You’ll also get 1,000 bonus points for every month you make $1,000 or more in qualifying purchases.
• Line of credit options for all levels of business: For newer business owners, those that have been in business for two or more years, or larger organizations with $2 million or more in sales, Wells Fargo has a line of credit product to match.
• Good choice if you prefer in-person assistance: As a traditional bank with many locations throughout the U.S., Wells Fargo can offer a more human approach to business lending than you might find with an online lender that is focused on a more digital experience.

Cons Explained

• Wells Fargo business term loans are no longer available: The bank used to offer four different business loans (Equipment Express loan, Wells Fargo BusinessLoan term loan, FastFlex small business loan, and Advancing term loan), but they have been discontinued. You can apply for an SBA term loan with Wells Fargo, however.
• Ability to apply online is limited: If you’re aiming for a credit line of over $100,000, you’ll need to call for an appointment at a branch.
• Credit requirements are relatively strict: A 680 credit score, which is what Wells Fargo says their borrowers should have, is in the “good” credit range. This leaves out business owners who may have issues with their personal credit. In addition, anyone who is a guarantor on the loan will be held to the same standards.

Types of Business Loans Offered by Wells Fargo

Wells Fargo offers three 🀅different business lines of credit p⛦roducts as well as SBA loans. 

Unsecured Lines of Credit

Wells Fargo BusinessLine

This line of credit is for businesses that have been operating for at least two years. You can get a $10,000 to $150,000 revolving credit line with rates starting at Prime + 1.75%. There is an annual fee but it’s waived the first year.

Wells Fargo Small Business Advantage

If you’ve been in business less than two years, this is the product for you, with credit lines from $5,000 to $50,000. There’s no annual fee, but you’ll pay a higher rate (starting at Prime + 4.50%).

Secured Line of Credit

Prime Line of Credit 

Businesses with between $2 million and $10 million in annual sales with larger borrowing needs can apply for this secured line of credit from $100,000 to $1,000,000. It’s backed by your assets such as accounts receivable, inventory, or equipment, and you’ll pay a 0.50% origination fee at account opening and each year.

SBA Loans

Wells Fargo offers SBA 7(a) and SBA 504 loans. These small business loans are for businesses with net worth below $15 million and an average net income below $5 million.

Time to Receive Funds

Wells Fargo business lines of credit do take a bit of time to process. For an unsecured line, you’ll have to wait for written notification from Wells Fargo to find out if you’re approved and for how much. For the Wells Fargo Prime Line of Credit, expect the underwriting to take up to two weeks after you submit all of the documents required. 

Borrower Requirements

• Minimum recommended credit score: 680
• Time in business: The Wells Fargo BusinessLine line of credit requires a minimum of two years in business. Newer businesses can apply for the Wells Fargo Small Business Advantage line. For the latter, you’ll also need to meet SBA requirements, which includes having household personal liquid assets below $500,000.
• Personal guarantees are required from any owner with 25% or more ownership; the Small Business Advantage line requires the same from owners with 20% or more ownership.
• Prime Line of Credit requires businesses to have $2 to $10 million in annual sales.

Wells Fargo Business Loan Features

Secured line of credit available: Wells Fargo Prime Line of Credit utilizes collateral including accounts receivable, inven𓆏tory, or equipment.

Smaller lines of credit can apply online: If you're looking to apply for a line of credit of $100,000 or less, you can apply online. Otherwise you'll need to go to a branch.

Customer Service

Customer service is available by phone seven days a week. There is no online chat available, but the has all of the pertinent contact informati🎀on. 🐟

Customer Satisfaction

Wells Fargo has had some reputational challenges including scandals, legal trouble, and lawsuit payouts. It also scores below average in J.D. Power’s 2024 Small Business Banking Satisfaction Study.

Applying for a Wells Fargo Business Loan

Applications for a Wells Fargo business line of credit can be done online or in the branch. However, to apply online your desired line of credit must be $100,000 or less.

You’ll need to provide general business information including the date the business opened, your business tax ID, the number of owners, and gross annual revenue. Each owner will have to provide a personal guarantee along with their𝔉 personal contact information and annual household income. 

If you’re applying for a Wells Fargo Prime Line of Credit, you will need to show two years of personal and business tax returns, a personal financial statement, and two years of a company-prepared, year-end financial statement.

Once all of your information is submitted, processing can take a couple of weeks.

Alternative Business Loan Lenders

Final Verdict

Wells Fargo offers business lending products to established businesses that prefer an in-person banking relationship. If you’re looking for a line of credit in particular, there are three options available that cater to most business needs. For term loans, however, Wells Fargo only offers SBA loans. If you meet the lending requ🌼irements, you could qualify for favorable rates and terms. Should problems arise, stay on top of them and document everything since Wells Fargo’s customer service reputation is reporteꦑd to be shaky at best.

What Types of Business Loans Does W꧟ells Fargo Of🐠fer?

Wells Fargo offers SBA business loans and business lines of credit.

Is Wells Fargo a Preferred SBA Lender?

Yes, Wells Fargo is a 澳洲幸运5官方开奖结果体彩网:Preferred SBA Lender, offering SBA 7(a) and SBA 504 loa🍃ns. As a preferred lender, Wells Fargo can approve and process a loan application more rapidly than a non-preferred lender.

Does Wells Fargo Give Business Loan🧜s🍰 With Bad Credit?

Wells Fargo typically offers business lines of credit to borrowers with 680 or above credit scores, which makes it an unlikely choice for a business loan with 澳洲幸运5官方开奖结果体彩网:bad credit. SBA loans also tend to have good credit score requirements, thougಌh specifics ar💖e not disclosed. 

How Do You Qualify for a Business Loan at Wells ꧒F🌄argo?

Each Wells Fargo business lending product has its own requirements, but 澳洲幸运5官方开奖结果体彩网:to qualify,🔯 borrowers usually have to have a 680 credit score or above. You’ll also have to have two years in business if you’re applying for the Wells Fargo BusinessLine line of credit, or have between $2 million and $10 million in ✃annual sales for the Prime line of credit.