National Funding

Best for: Businesses with six months or more of operating history and roughly 600+ personal credit that want to buy or lease new or used equipment up to $150,000, with monthly payments over 2 to 5 years and money in about a day.

Not for: Owners who want a published rate before applying, need more than $150,000 of equipment, or are in one of the 16 states where National Funding offers only sales-based financing. Bad-credit borrowers should look elsewhere.

Lender List verdict: National Funding makes equipment financing fast and light on paperwork, with third-party-reported rates from 4.99%. Its working capital loans cost far more: the lender's own factor-rate example works out to about 46% APR.

National Funding at a glance

National Funding offers equipment financing and leases up to $150,000 and working capital loans of $6,000 to $500,000.

What is National Funding?

National Funding is a San Diego small-business lender, in business since January 1999, that reports more than $7 billion funded for over 100,000 businesses. It lends under California Financing Law license 603A169; owner David Gilbert is CEO.

Its two lines are equipment financing (loans and leases) and working capital, backed by a $60 million bank warehouse line and $55 million of rated notes added in 2021.

How National Funding equipment financing works

National Funding equipment financing pays for new or pre-owned machines worth up to $150,000, repaid monthly over 2 to 5 years. You choose between two structures:

• Equipment loan: You own the equipment from day one and pay it off like a car loan.
• Equipment lease: You make fixed payments, then renew, return or buy the equipment at the end. National Funding does not publish its buyout options ($1 or fair market value).
• Down payment: None required, per Bankrate and LendingTree; bring a vendor quote.
• Lowest-payment promise: Show a lower comparable payment within seven days and National Funding matches it or pays you $1,000 (leases over $10,000), per Merchant Maverick.

Working capital loans run from $6,000 to $500,000 over 4 to 24 months, repaid by daily or weekly ACH debits on business days. Its equipment page notes eligible buyers may deduct up to $2,560,000 under Section 179 (not tax advice).

National Funding rates and fees: what it really costs

National Funding does not publish equipment rates; Bankrate and Finder report simple-interest rates starting at 4.99%, plus an origination fee of 1% to 3%. Working capital is priced with a factor rate starting around 1.10 to 1.11, per third parties.

• Charged: interest (equipment) or a factor-rate fee (working capital); origination fee of 1% to 3% (Bankrate, Merchant Maverick); late fees of $50 on short-term loans and 15% of the missed payment on equipment (LendingTree)
• Not charged: prepayment penalty
• Not published: the rate range, the maximum rate, and the exact origination fee

Worked example: finance a $75,000 machine over 60 months at 4.99% and the payment is $1,415 a month, $84,900 in total, or $9,900 in interest. Add a 3% origination fee ($2,250) and the full cost is about $12,150, roughly 6.25% APR. Treat 4.99% as a best case for strong credit.

Working capital costs far more: the lender's own example, $50,000 at a 1.25 factor rate repaid as $62,500 over 12 months, is about 46% APR whether paid daily or weekly (Lender List est.).

National Funding requirements

National Funding requires six months in business and fair to excellent credit; most customers have a 600+ FICO.

National Funding weighs the whole business profile, not just a score. In AK, CO, MA, MN, MT, NV, NJ, NY, ND, OK, OR, PA, RI, SD, TN and VT, its equipment page limits financing to sales-based products.

Pros and cons

National Funding wins on speed and reported equipment rates and loses on unpublished, costly working capital pricing.

Pros

• Equipment rates reported from 4.99% for strong credit
• No down payment, and used equipment qualifies
• Same-day approval with only six months in business
• Early payoff discounts and no prepayment penalty
• 27 years in business with a 4.6/5 Trustpilot score from 2,215 reviews

Cons

• No rates or fees published on its site
• Equipment financing caps at $150,000
• Working capital factor pricing runs about 46% APR on the lender's own example
• Only sales-based financing in 16 states; personal guarantee on working capital loans (Merchant Maverick)

National Funding vs. Balboa Capital vs. OnDeck

National Funding caps equipment financing at $150,000, versus $500,000 at Balboa Capital (now Ameris Bank Equipment Finance); OnDeck term loans reach $400,000.

Balboa Capital and OnDeck figures are from their own sites, checked 2026-10-26.

Choose National Funding for equipment under $150,000 with six months of history. Choose Balboa Capital for bigger equipment deals. Choose OnDeck for a term loan with a published average APR.

National Funding alternatives on Lender List

The closest National Funding alternatives on Lender List are Bluevine and Fundbox for working capital.

• Bluevine — lines of credit up to $250,000 at 625+ FICO
• Fundbox — a revolving line for smaller, short-term needs
• Browse all equipment financing and leasing lenders on Lender List
• Browse all online term loans on Lender List

Frequently asked questions about National Funding

National Funding is a legitimate lender, active since 1999, offering equipment financing up to $150,000 and working capital up to $500,000.

Is National Funding Legit? Yes. National Funding has operated since 1999 under California Financing Law license 603A169. It holds a BBB A+ rating (accredited since 2013) and 4.6/5 on Trustpilot from 2,215 reviews; its 12 BBB reviews average 1/5, mostly about unwanted calls and mailers. We found no regulatory actions.

What Are National Funding's Interest Rates? National Funding doesn't publish rates. Third-party reviewers report equipment financing from 4.99% simple interest and working capital factor rates from about 1.10, plus a 1% to 3% origination fee. The lender's own $50,000 working capital example at a 1.25 factor rate equals about 46% APR.

How Does National Funding Work? You apply online in minutes with no credit-score impact, and a U.S.-based funding specialist walks you through the offers. Approval can come the same day and funds as soon as the next business day. Equipment is repaid monthly over 2 to 5 years; working capital daily or weekly.

What Credit Score Do You Need for National Funding? There is no published minimum. National Funding says most of its borrowers score 600+, and it asks equipment applicants for fair to excellent credit. Bankrate cites 660. You also need at least six months in business; third parties cite $250,000 in annual revenue.

Does National Funding Finance Used Equipment? Yes. National Funding finances or leases new and used equipment up to $150,000, with no down payment according to third parties. It covers heavy equipment, computers, office and printing gear, plus trucking, medical, restaurant, farm and construction equipment. Bring a vendor quote for the item.

Is National Funding a Direct Lender? Yes, for most borrowers. National Funding funds deals under its own California lending license and credit facilities, and Finder lists it as a direct lender. If it can't approve you, it may refer you to a partner lender, so ask who the lender of record is.

Can I Pay Off National Funding Early? Yes. Reviewers report no prepayment penalty, and National Funding may also offer an early payoff discount, disclosed before you accept. To get it, you must pay the full balance while current and in good standing. The size of the discount is not published.

Last verified 2026-10-26. Pricing and terms are provider-stated or third-party-reported and vary by offer; confirm with the lender before applying.