Small Business Loan Bracketology: Game 4, ACH vs. Peer-to-Peer Lending

1 min read • Mar 20, 2015 • Erik Larson

In the fourth and last game of Round 1, we’ve got Peer-to-Peer lending taking on ACH financing.

Remember, we’re seeing who has the best small business loan option for a restaurant with one year in operation, an average of $20,000 in monthly revenue and good credit. This business is looking for $50,000 for working capital and needs the funds within 3 weeks.

Peer-to-Peer comes into the match as the most talked about in the alternative lenders’ division. A huge member of the P2P team, Crowd Funding is a hot new approach to raising funds. Taking on Peer-to-Peer is ACH (Automated Clearing House), which offers quick funding and flexible requirements.

Final: ACH wins! ACH gets the funds quicker for an established business, without having to give away equity in the business.

Next Monday, we’re going to be starting off Round 2 of Small Business Loan Bracketology.


Erik Larson

Erik Larson frequently writes for Lendio about SEO, Digital Marketing, Social Media Marketing, Business Loans, and whatever else strikes his fancy. He can be found on Google+ and Twitter.