What questions should I ask a business lender?
Before signing anything, ask a business lender five things: the APR (not just the rate), the total dollar amount you'll repay, every fee, what happens if you pay early, and what you're personally pledging. Lenders quote pricing in different formats, simple interest, factor rates, weekly payments, and skipping these questions is how a $50,000 advance quietly becomes $65,000 of repayment. Quordx Capital puts every lender's full terms side by side so the answers are in front of you before you commit, and we'll translate any confusing pricing into plain dollars.
Last updated · Reviewed by Cody Dreis
50+ Lenders|Funding in as little as 24 hours
The questions that protect you
"What is the APR?"APR captures interest plus fees over a year, making offers comparable."What fees apply?"Origination, draw, wire, late, and renewal fees all change the real cost."What if I pay early?"Some products discount for early payoff; MCAs typically don't: paying early doesn't reduce the cost."Is there a personal guarantee or collateral?"Know what's at stake if the business struggles."What's the payment frequency?"Daily or weekly payments hit cash flow very differently than monthly ones.
Products to compare with eyes open
Business term loans: $10K-$500K+, fixed monthly payments over 1-5 years. Best for predictable budgeting and easy comparison.
Business lines of credit: $10K-$250K+, pay interest only on what you draw. Best for flexible needs; ask about draw fees and renewal terms.
Merchant cash advances: $5K-$500K with factor rates typically 1.15-1.50, repaid via a daily or weekly slice of revenue. Fast but expensive: ask every question above before taking one.
How Quordx Capital Works
Complete one application in about 5 minutes and upload your documents, typically 3-6 months of bank statements and your latest business tax return. Our AI screens 50+ vetted lenders and matches you to the 3-7 with the highest approval probability for your profile. Most decisions land within 24-48 hours, with funding in 3-7 business days.
What to Expect
You won't have to interrogate anyone alone. Every Quordx Capital-matched offer comes with the fees and terms disclosed, and we'll break down total cost of capital on each so you're comparing apples to apples. If you're worried a lender will dodge these questions, some do, that itself is your answer, and we'll tell you when an offer's economics don't make sense. Reviewing offers is free, with no obligation to accept any of them.
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Written by
Cody Dreis
Founder, Quordx Capital
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Important Disclosures
Quordx Capital is a business funding broker, not a lender. We facilitate introductions between U.S. small and medium-sized businesses and lenders or capital providers in our network. All credit decisions, funding amounts, rates, fees, repayment terms, and timelines are determined solely by individual lenders based on their own underwriting criteria.
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