Bookkeeping for Small Businesses Cleveland

QuickBooks Loans vs. Traditional Financing: What’s Best for Your Small Business?

Written by Kathy Dise | Apr 21, 2025 6:21:11 PM

Understanding QuickBooks Loans 

QuickBooks loans pop up on your dashboard and offer quick approval and funding within 1-2 business days. However, interest rates can be high, ranging from 9.99% to 34% APR with terms from 6 to 24 months. This can lead to financial strain, especially if your business isn't generating consistent revenue. Plus, signing for the loan personally adds personal financial risk1. 

Comparing Loan Options 

It's important to compare loan options, including traditional bank loans and SBA loans, which usually have lower interest rates and longer repayment terms. For example, bank term loans range from 6.43% to 12.45%, and SBA loans can have rates as low as 7.98%. Staying informed helps you make better financial decisions and avoid unnecessary strain2. 

Best Loan Options at the Moment 

  • American Express has a fast low interest loans with rates as low and 3%.   
  • ECDI (an Ohio SBA Lender) periodically makes small loans available. The current rate is 2%. 
  • Dollar Bank offers quick loans based on your tax return. They are easy to apply for and will term out the loan over 10 years. 

Do you need a bookkeeper to help make sense of your accounting? Contact us today, we are here to help! 

 

We've been fairly dismayed when we see our clients with intuit or QuickBooks loans and when we looked into it we saw that a recent one is paying 26% was that it 96.5 yeah 26.5% and so we got to thinking it's so easy to apply for these loans I just went in and did it did take less than a minute and I was approved for $90,000 the interest rate was 13.99 for a line of credit for me. So that got us to thinking some more what a line of credit would be at our local bank and it turns out the line of credit would be 10.55% let's like 3 1/2 percent difference. This is a big topic among some of my fellow business owners they even had a special get together this week I don't know they might throw me out for something like this many of them are going to Amex I wonder.