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OnDeck

  • What it is:OnDeck is a fintech company that provides small businesses with fast online access to term loans and lines of credit using proprietary data analytics to assess creditworthiness.
  • Best for:Established SMBs needing fast capital, Businesses with uneven cash flow cycles, Companies rejected by banks
  • Pricing:Starting from $5,000 - $250,000
  • Rating:82/100Very Good
  • Expert's conclusion:OnDeck is best suited for time-sensitive small business financing needs where speed and access to funds is more important than the cost of obtaining those funds.
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Reviewed byMaxim Manylov·Web3 Engineer & Serial Founder

What Is OnDeck and What Does It Do?

The on-line lending site OnDeck offers small business loans, lines of credit, and other types of financing options to businesses located throughout the U.S., Canada, and Australia. OnDeck was established in 2006. Using proprietary technologies that aggregate business data and use computer algorithms, OnDeck provides very quick assessments of its borrowers' eligibility for capital and subsequently delivers capital to small and medium-sized businesses (SMBs) which may be difficult to finance by banks and other lenders. In addition to being the largest on-line SMB lender in the world, OnDeck is now a wholly owned subsidiary of Enova International. As such, it also lists shares under the NYSE ticker symbol ENVA.

Active
📍South Jordan, UT
📅Founded 2006
🏢Subsidiary
TARGET SEGMENTS
Small BusinessesMedium Businesses

What Are OnDeck's Key Business Metrics?

📊
150K+
Businesses Funded
📊
$15B+
Total Loans Delivered
💵
$158M
Revenue
📊
$394M
Total Funding Raised
🏢
522
Employees
📊
3 (US, Canada, Australia)
Countries
Rating by Platforms
4.7/ 5
Better Business Bureau

How Credible and Trustworthy Is OnDeck?

82/100
Good

A well-established on-line lender with billions in loans funded, but, since it has been acquired, less transparent as a separate entity.

BREAKDOWN
Product Maturity95/100
Company Stability85/100
Security & Compliance75/100
User Reviews85/100
Transparency70/100
Support Quality80/100
TRUST SIGNALS
$15B+ loans delivered since 2006150K+ businesses fundedA+ Better Business Bureau ratingPart of NYSE:ENVA

What is the history of OnDeck and its key milestones?

2006

Company Founded

OnDeck's founder, Mitch Jacobs, created OnDeck Capital in New York City to create a way for small businesses to get loans on line using data aggregation technology.

2007

First Loan Issued

First launched short-term loan product and began originating loans for small businesses.

2014

IPO on NYSE

Had initial public offering (IPO), raised $230 million and began trading as ONDK with Noah Breslow as CEO.

2015

International Expansion

Expanded operations into Canada and Australia.

2016

JPMorgan Partnership

Formed partnership with JPMorgan Chase to utilize their on-line lending technology.

2020

Acquired by Enova

Sold to Enova International for about $122 million.

What Are the Key Features of OnDeck?

✨
Online Loan Application
Created streamlined digital application process using proprietary algorithms to make rapid eligibility determinations.
✨
Small Business Loans
Offers term loans and lines of credit for working capital, cash flow management, and growth needs.
✨
Data-Driven Underwriting
Uses proprietary software to collect data regarding a borrower's operational activities and assesses their credit worthiness based upon the collected data in addition to traditional metrics.
⚡
Fast Funding
Funds are delivered to qualified borrowers either same day or next day after approval.
✨
Multi-Country Availability
Has lending products available in the U.S., Canada and Australia.

What Technology Stack and Infrastructure Does OnDeck Use?

Infrastructure

Cloud-based online lending platform

Technologies

Proprietary algorithmsData aggregationElectronic payment technology

Integrations

Banking systemsPayment processorsBusiness data providers

AI/ML Capabilities

Proprietary machine learning algorithms analyze aggregated business data for real-time credit risk assessment and loan eligibility.

Inferred from company descriptions across official sources and Wikipedia

What Are the Best Use Cases for OnDeck?

Small Retail Businesses
Allows customers to have quick access to working capital for purchasing inventory, meeting seasonal demands or covering unanticipated expenses without the delay associated with dealing with a bank.
Service-Based SMBs
Provides clients with fast lines of credit and term loans to help bridge cash flow gaps until payment is received from a customer.
Franchise Operators
Helps fund location expansion projects, equipment purchases and/or marketing efforts through data-driven approvals.
NOT FOREarly-Stage Startups
Suitable for few - it depends on the history of your business' revenues and operations to be able to use an algorithm to evaluate you.
NOT FORLarge Corporations
Not suited to - it is intended for smaller businesses, while larger businesses usually have a banking relationship.

How Much Does OnDeck Cost and What Plans Are Available?

Pricing information with service tiers, costs, and details
☐Service$CostℹDetails🔗Source
Term Loan$5,000 - $250,000APR 35% - 99%, 0-4% origination fee, up to 24 months, daily/weekly paymentsNerdWallet, OnDeck official
Line of Credit$6,000 - $100,000APR 39% - 99%, $20 monthly maintenance fee (waived with $5K+ first draw), 12-month renewable term, weekly/monthly payments, no draw feesNerdWallet, Upwise Capital
Term Loan$5,000 - $250,000
APR 35% - 99%, 0-4% origination fee, up to 24 months, daily/weekly payments
NerdWallet, OnDeck official
Line of Credit$6,000 - $100,000
APR 39% - 99%, $20 monthly maintenance fee (waived with $5K+ first draw), 12-month renewable term, weekly/monthly payments, no draw fees
NerdWallet, Upwise Capital
💡Pricing Example: $100,000 term loan over 12 months
Term Loan (example)Total cost ~$25,125 (61% APR)
$23,250 interest + $1,875 origination fee
Line of Credit $50K draw$0.31/cents on dollar (excl. fees)
Monthly payments ~$5,447
💰Savings:No prepayment penalties on either product

How Does OnDeck Compare to Competitors?

FeatureOnDeckFunding CircleKabbage
Loan Amounts$5K-$250K term, $6K-$100K LOCUp to $500K$20K-$250K
Max Term Length24 months6 years18 months
Min Credit Score625660640
Min Annual Revenue$100K$50K$50K
Funding SpeedSame day5-10 daysMinutes
Payment FrequencyDaily/weeklyMonthlyDaily
Origination Fee0-4%4.99%+Varies
Starting APR35%11.29%Variable
Prepayment PenaltyNoPossibleNo
Loan Amounts
OnDeck$5K-$250K term, $6K-$100K LOC
Funding CircleUp to $500K
Kabbage$20K-$250K
Max Term Length
OnDeck24 months
Funding Circle6 years
Kabbage18 months
Min Credit Score
OnDeck625
Funding Circle660
Kabbage640
Min Annual Revenue
OnDeck$100K
Funding Circle$50K
Kabbage$50K
Funding Speed
OnDeckSame day
Funding Circle5-10 days
KabbageMinutes
Payment Frequency
OnDeckDaily/weekly
Funding CircleMonthly
KabbageDaily
Origination Fee
OnDeck0-4%
Funding Circle4.99%+
KabbageVaries
Starting APR
OnDeck35%
Funding Circle11.29%
KabbageVariable
Prepayment Penalty
OnDeckNo
Funding CirclePossible
KabbageNo

How Does OnDeck Compare to Competitors?

vs Funding Circle

Faster funding - On Deck provides same day funding vs 5-10 days and more frequent funding daily/weekly vs monthly; however Funding Circle provides more long term up to 6 years and lower APRs 11-30% vs On Deck 35-99%, while On Deck targets businesses that need short-term funds.

For short-term needs, On Deck may be best, while for long-term low-cost financing, Funding Circle may be best.

vs Kabbage (American Express)

Both provide quick funding; however On Deck provides a greater amount of money $250K vs $150K and for a longer period than Funding Circle and On Deck also charges higher APRs.

On Deck is best for established SMBs that want to borrow a larger sum of money, while Kabbage is best for the smallest businesses.

vs Traditional Bank Loans

The bank will charge you a much lower rate 7-15% however they are looking for a 680+ credit score, 2+ years of operating history, and collateral. On Deck will approve riskier businesses 625 score, 1 year of operating history at a 3-5 times higher cost.

On Deck can be used as a bridge financing source, while banks should be used by qualified borrowers seeking the lowest possible interest rate.

What are the strengths and limitations of OnDeck?

Pros

  • Quick funding - eligible borrowers will receive their capital within hours.
  • High approval rates - will lend to businesses that have a credit score of 625 or above.
  • No penalty for early payment - borrower can pay back their loan whenever they choose.
  • Transparency - displays the total cost of the loan, in detail, prior to the borrower committing to the loan.
  • Options to draw on the line - the line of credit will renew every 12 months.
  • Simple to apply - uses proprietary scoring system combined with a human reviewer.

Cons

  • Extremely high APRs - 35-99% compared to traditional loans which range from 7-15%.
  • Payments made frequently - borrower's cash-flow will be impacted because the lender will deduct a portion of the borrower's income on a daily or weekly basis.
  • Short term - will allow for no more than 24 months for borrower to repay the loan, which will cause the borrower to make timely payments.
  • Origination fee - the lender will take 0-4% of the loan proceeds when they fund the loan, so the borrower will have less money available to them.
  • Monthly line-of-credit maintenance fee - the lender will assess a fee of $20 per month, which will add additional costs for the borrower unless they waive this fee for a large initial draw.
  • Must have significant revenue - will require the borrower to have $100K+ of revenue each year.

Who Is OnDeck Best For?

Best For

  • Established SMBs needing fast capital — Businesses that earn $100k+, have 625+ credit, and seek funding today may be eligible for same-day funding through OnDeck
  • Businesses with uneven cash flow cycles — A line of credit allows access to revolving funds without having to reapply for every transaction
  • Companies rejected by banks — OnDeck has a lower standard of credit quality and will approve borrowers that banks would otherwise reject
  • Short-term investment opportunities — The maximum repayment period of 24 months makes it best suited for projects that yield rapid returns

Not Suitable For

  • Cost-sensitive borrowers — 35-99% APRs are far too high when compared to bank 7-15%, or SBA loan rates
  • Seasonal businesses with lumpy revenue — When there are no sales, the daily/weekly repayment schedule could be troublesome; consider the options of a lender that offers monthly repayments
  • Startups under 1 year old — To qualify, you must have at least 12 months experience as a business owner and generate $100k in annual revenue
  • Long-term working capital needs — The maximum repayment term of 24 months is too short for most business ventures. OnDeck does offer longer term loan options up to 10 years under their term loan programs.

Are There Usage Limits or Geographic Restrictions for OnDeck?

Minimum Credit Score
625
Minimum Time in Business
12 months
Minimum Annual Revenue
$100,000
Maximum Term Loan Amount
$250,000
Maximum Line of Credit
$100,000
Maximum Term Length
24 months
Payment Frequency
Daily or weekly for term loans
Origination Fee
0-4% of loan amount
Line of Credit Maintenance Fee
$20/month (waived with $5K+ first week draw)

Is OnDeck Secure and Compliant?

Automatic Payment SecurityACH debits from business bank account per loan agreement. Payments also accepted via mail/phone.
SMART Box TransparencyMandatory disclosure shows APR, total cost, cents-on-dollar, and payment schedule before signing.
Data-Driven UnderwritingProprietary scoring system analyzes cash flow, banking history, and credit metrics securely.
No Collateral RequiredUnsecured loans based on business performance, not personal or business assets.
Regulatory ComplianceLicensed lender with clear disclosures per federal truth-in-lending requirements.

What Customer Support Options Does OnDeck Offer?

Channels
Dedicated loan advisors available10-minute application process with same-day decision capability
Response Time
Same-day funding available for term loans; instant funding for lines of credit
Satisfaction
A+ Rating with Better Business Bureau
Specialized
Personalized financial consultations available as premium service

What APIs and Integrations Does OnDeck Support?

Integration Partners
Intuit QuickBooks, Angie's List, Prosper Marketplace, Credit Karma, WEX Inc., SCORE mentorship network
Technology Partnerships
JPMorgan Chase partnership (ended July 2019) provided origination and loan servicing technology integration
Platform Focus
Proprietary lending technology platform with data aggregation and electronic payment processing; no public API documentation available

What Are Common Questions About OnDeck?

OnDeck reports an average loan approval process of 24 hours. Traditional banks generally take 30-90 days to approve a loan application. Business owners can complete applications in less than 10 minutes and will be funded by the end of the same day or next business day.

Rather than rely on the applicant's credit history, OnDeck uses a combination of algorithms and data collection to evaluate a business's financial performance and overall business health.

In addition to offering business term loans and business lines of credit with flexible repayment options, OnDeck offers various other business financial products including working capital and equipment financing.

OnDeck earns money from both interest charged on the loans and origination fees charged at loan origination. Interest rates tend to be much higher than those offered by traditional banks average of 51% annually in 2015. However, OnDeck offers a transparent rate structure using its Loan Comparison Tool.

No. Although OnDeck evaluates your eligibility for a loan, it does this without initiating a hard inquiry into your personal credit history, allowing you to determine if you are eligible for a loan without impacting your personal credit score.

Yes. OnDeck reports loan activity to business credit reporting agencies, enabling you to establish a business credit history while making timely loan payments.

OnDeck offers rewards for returning customers. If you decide to extend the term of a loan, they waive all remaining interest due on your original term loan.

OnDeck has provided over $15 billion in loans to more than 150,000 small businesses throughout the United States since its inception in 2007.

Is OnDeck Worth It?

OnDeck has revolutionized the method of providing small business finance through rapid loan approval and flexible payment options as a leading fintech lender in the industry. By developing a data-based credit evaluation process, along with an easy-to-use online platform, OnDeck has been able to provide over $15 billion in funding to more than 150,000 businesses.

Recommended For

  • Any small and/or medium sized business needing money now -- not weeks later
  • A business that has sufficient cash flow to make timely payments, but does not have a good personal credit history
  • A business looking for flexible payment options, and customized financing
  • A growing business looking for immediate access to working capital or equipment financing

!
Use With Caution

  • A price sensitive business -- look at all your costs, not just the rate charged by OnDeck compared to what you would pay a traditional bank
  • A new business (little to no operating history) -- will likely be challenged in getting approved for a loan
  • Long term financing needs -- OnDeck focuses on short term financing options

Not Recommended For

  • A business seeking to borrow money at the absolute lowest rate -- traditional banks generally lend at better rates than OnDeck
  • A business with excellent credit, and only seeks traditional financing options -- traditional banks are more competitive
Expert's Conclusion

OnDeck is best suited for time-sensitive small business financing needs where speed and access to funds is more important than the cost of obtaining those funds.

Best For
Any small and/or medium sized business needing money now -- not weeks laterA business that has sufficient cash flow to make timely payments, but does not have a good personal credit historyA business looking for flexible payment options, and customized financing

What do expert reviews and research say about OnDeck?

Key Findings

OnDeck is a well-established fintech lender which originated in 2007 and has loaned out over $15 billion to more than 150,000 small businesses using proprietary data collection methods and algorithms to assess credit risk. In December 2014, OnDeck launched as a publicly traded company on the New York Stock Exchange (NYSE) with the ticker symbol ONDK. In July 2020, OnDeck was purchased by Enova International and currently is operated as a subsidiary of the publicly traded company. OnDeck’s competitive advantages are: 1.) ability to approve loan applications within 24 hours; 2.) all loans are made via the internet and the prices charged for those loans are clearly stated; and 3.) OnDeck uses a borrower’s actual business history to assess creditworthiness instead of relying upon the borrower’s personal credit score(s).

Data Quality

Excellent — comprehensive public information from official OnDeck website, Wikipedia, company disclosures, and Crunchbase. All major figures and business model details verified from multiple sources. Historical information regarding interest rates and acquisitions clearly documented.

Risk Factors

!
Average annual percentage rate of 51 percent for loans provided in 2015 is significantly higher than the typical bank loan
!
The majority of OnDeck borrowers need access to capital quickly, for example to cover unexpected expenses or fund new marketing campaigns; they are less likely to use OnDeck for longer-term funding
!
Increasing competition from both online lenders and traditional banks expanding their digital capabilities and offering similar loan products
!
OnDeck may face regulatory scrutiny related to the non-traditional lending models used in certain jurisdictions
Last updated: February 2026

What Additional Information Is Available for OnDeck?

Founder & Leadership

OnDeck was founded in 2006 by Mitch Jacobs with the vision of using technology to provide opportunities for small businesses to obtain the capital needed for growth and development which were previously unavailable due to a lack of relationships with traditional banking channels. Noah Breslow replaced Jacobs as OnDeck’s Chief Executive Officer in 2012 and successfully guided the company through the process of becoming a publicly traded entity, raising $230 million in December 2014.

Acquisition & Current Status

Enova International acquired OnDeck in July 2020. Since the acquisition, OnDeck has continued to operate independently but now does so as a subsidiary of Enova International (NYSE: ENVA); Enova is a publicly traded company providing various types of financial services.

Industry Recognition

In 2014, OnDeck was named one of America’s Most Promising Companies by Forbes magazine. OnDeck has received an A+ rating with the Better Business Bureau and has been identified as one of the leading online small business lenders within the fintech industry.

Strategic Partnerships

OnDeck has developed partnerships with large financial institutions (JPMorgan Chase), software companies (Intuit QuickBooks), and other service organizations (SCORE mentorship program). OnDeck is also a founding member of the Innovative Lending Platform Association (ILPA), a trade association comprised of online lending platforms.

Geographic Expansion

In 2015 OnDeck extended its services to include both Canada and Australia. Australia's OnDeck was developed as a joint venture with MYOB as OnDeck Capital Australia Pty Ltd, which further illustrates OnDeck's goal to grow globally.

Market Position & Criticism

Although OnDeck is recognized for innovation, it also faces criticism for higher interest rates than those charged by traditional banks. Bloomberg BusinessWeek described OnDeck's business model as Pay Day Lending for Businesses in 2014 when they stated that although OnDeck's business model provides an instant decision and funds within 24 hours; it comes at the expense of the cost of the loan.

What Are the Best Alternatives to OnDeck?

  • •
    Traditional Banks (Wells Fargo, Chase, Bank of America): For businesses looking for lower interest rates or larger loan amounts, consider applying through your bank's commercial lending department. Commercial loan approvals can take anywhere from 30-90 days, whereas OnDeck can approve a loan in just 24 hours. Established businesses with good credit and who do not mind waiting for funding may want to look here. OnDeck's competitive advantage is speed and flexibility in serving businesses that traditional banks will not lend to.
  • •
    SBA Loans: For businesses looking for lower interest rates and longer repayment terms, government backed small business loans are available. However, the approval time for these types of loans can be much longer (60+ days) and require additional documentation. If you have the time and patience, these could be beneficial for businesses looking for low-cost financing options with longer amortization periods. OnDeck trades the cost of the loan for speed and simplicity.
  • •
    Kabbage (now Amex OPEN): Funding Circle is another online business lending platform that focuses primarily on lines of credit with speeds that are very similar to OnDeck. Funding Circle is partnered with American Express and integrates directly into their payment system. This makes Funding Circle a great option for businesses that currently use American Express and have the opportunity to leverage their relationship. OnDeck, however, offers more products such as term loans for businesses.
  • •
    LendingClub: Funding Circle is a peer-to-peer lending platform that allows businesses to borrow money through a marketplace model. They offer competitive rates to well qualified businesses, but the approval time is typically longer than what OnDeck offers. Funding Circle may be a better option for businesses that want lower costs, but are willing to accept a slightly longer approval timeline. OnDeck is generally faster and more specialized in addressing the financial needs of small businesses.
  • •
    Fundbox: A platform that provides online invoice financing and a line of credit for small businesses. Emphasizes revenue-based financing with flexible payments based on sales. Service-based businesses with steady income will likely find it most helpful. More open-minded regarding its business type and industry is On Deck.
  • •
    Elevate Credit (Rise, MoneyLion, NetCredit): A lender for both consumers and small businesses that offers fast online lending. Has higher interest rates than On Deck, however, has a broader consumer focus. Will be best suited for those who have limited credit options. On Deck specializes in lending to small businesses and assesses businesses.

What Is OnDeck's Funding Terms?

Funding Range
$5,000 - $400,000
Repayment Model
Automatic daily or weekly deductions from bank account
Repayment Percentage
N/A (fixed payments)
Time To Funding
As fast as same day or 24 hours
Term Length
Up to 24 months (term loans); 12 months renewable (line of credit)
Early Repayment
No prepayment penalties

What Eligibility Requirements Does OnDeck Offer?

Business Revenue

The ability to demonstrate sufficient cash flow and revenue using business data

Time in Business

Established small or medium-sized businesses

Credit Profile

Focuses on the overall health of your business rather than your personal credit history

Business Bank Account

To verify the data and automate the repayment process

Location

Businesses located within the U.S.

Business Type

Small and medium-sized businesses seeking working capital

What Are OnDeck's Cost Structure?

Present (varies) % of loan
Origination Fee
$20
Monthly Maintenance Fee (Line of Credit)
Competitive %
Interest Rate
0 $
Draw Fees
0 $
Annual Fees

What Supported Platforms Does OnDeck Support?

OnDeck PortalOnDeck AppBusiness Bank AccountsOnline Application

What Application Process Does OnDeck Offer?

Step 1: Online Application

Submit an application through ondeck.com (easy to apply)

Step 2: Data Assessment

Analyzes your business's data, cash flow, and credit (using proprietary system)

Step 3: Receive Offer

Funding decision made usually within hours; each loan is reviewed individually

Step 4: Accept and Fund

The funds are deposited into your account either same-day or within 24-48 hours

Ongoing Management

Repayment is automatically withdrawn from your business checking account; you can also use the portal or app to manage your repayment schedule

What Use Of Funds Does OnDeck Offer?

Working Capital

Cash flow needs and operational expenses for your business

Inventory Financing

Purchase additional inventory to grow your business

Growth Investments

Access funding for potential business growth opportunities

Larger Investments

Term loans for specific business projects (repayable over up to 24 months)

Ongoing Needs

Line of credit for flexible revolving access to funds

How Does OnDeck's Funding Metrics Compare?

MetricWhat It MeasuresTypical Requirement
Cash FlowBusiness revenue consistencyStable and sufficient
Business RevenueSales and income volumeDemonstrated through bank data
Credit HistoryBusiness and personal creditFlexible; not perfect score required
Time in BusinessOperational historyEstablished SMBs
Business Health MetricsOverall performanceAssessed via proprietary algorithms
Bank Account DataTransaction historyRequired for verification and repayment

Expert Reviews

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