The Wells Fargo Unsecured Business Line of Credit is generally suitable for existing Wells Fargo customers or small business owners who want to supplement cash flow, cover daily expenses, and expand or jump on unexpected business opportunities through a traditional bank compared to an online lender.
With Wells Fargo’s unsecured line of credit, business owners can access lines of credit ranging from $5,000 to $100,000 with payments made monthly. Unlike the other lines of credit on our list, Wells Fargo charges an annual fee of $95 or $175, waived for the first year. Lines of credit between $10,000 and $25,000 charge an annual fee of $95 while lines of credit between $25,001 and $100,000 have an annual fee of $175.
Wells Fargo also offers a Small Business Advantage line of credit (supported by the United States Small Business Administration), which is suitable for businesses operating for less than two years. However, credit limit amounts range from $5,000 to $50,000. Furthermore, established businesses with annual sales of $2-5 million can apply for a major line of credit, which is a guaranteed line of credit of between $100,000 and $500,000. This, however, does not satisfy most small businesses.
Eligibility – Eligibility: Business owners applying for an unsecured business line of credit must have worked for at least two years. However, if you apply for a Small Business Advantage credit line, your business may have been in operation for less than two years. Wells Fargo does not publicly disclose the minimum credit score and annual revenue requirements for its unsecured options.
Wells Fargo’s main line of credit requires a minimum annual turnover of between $2-5 million and sufficient business assets to serve as security for the loan.
Time period: Business owners who have a Wells Fargo checking or savings account that has been open for at least one year can apply online; All other potential borrowers must apply at a nearby Wells Fargo branch. If you apply for an Unsecured Business Credit Line or a Small Business Advantage credit line, you will receive a decision within 10 business days. However, Prime Line of Credit applications take up to two weeks to process after submitting the required documents.