Become.co – aka “Become” – is a relatively new player in the online lending field, offering financial solutions for owners looking to optimize profits and obtain funding to grow their business.
The offer has received mostly positive reviews with a Trustpilot rating of 4.6 (believe it or not, this is impressive for a financial offer). Users have praised their services, highlighting quick and effective funding solutions. They’ve also mentioned friendly and professional staff, as well as seamless processes.
Become seems to go above and beyond traditional business lenders, but is the offer real or hype?
That’s what I intend to explain (in detail). Let’s explore everything Become might be able to help you achieve, and see how they stack up next to competitors.
Here’s what’s in store:
- What is Become.co?
- What Type of Business Loan Can You Get Through Become?
- eCommerce Loans
- Industry-Specific Loans
- LendingScore™ & MatchScore™
- Frequently Asked Questions
What is Become.co?
Become was founded in 2016 by Amir Leitersdorf, Daniel Katz, Eden Amirav, Guy Zipori, Iri Amirav, Ofer Ariel, and Uri Sittan. The company is based in San Mateo, California, and has received Series A funding totaling $15.2 million.
The offer is an end-to-end financial optimization platform and loan marketplace for small and medium-sized businesses (SMBs). In a word, it uses advanced algorithms to provide customized funding offers to SMBs, helping them scale and grow their businesses.
We’ve seen comparable business funding algorithms before – from companies like Divvy (credit card), Fundbox (loans/credit lines), and Lendio (funding marketplace), to name a few. But, Become doesn’t just use technology to match business owners with lenders.
Become goes a bit farther with their offer, and gives business owners access to solutions that help them scale:
- A vast array of business loans from various lenders
- Transparent LendingScore™ dashboard
- MatchScore™ to pair SMBs with lenders
- Automated application review
- The BeProfit app (to help track and analyze eCommerce profits)
Let’s peek behind the curtain at the solutions you might want to take advantage of.
What Type of Business Loan Can You Match With Through Become?
As I said, Become can get you access to an array of loans. But, in straightforward terms, what’s this mean for you?
Here are the types of business loans Become can match you with:
- Commercial vehicle loans
- Startup business loans
- Asset-based loans
- SBA loans
- Lines of credit
- Business equipment loans
- Unsecured business loans
- Invoice factoring & merchant cash advances (MCAs)
As you first dive-in to the offer, it appears that Become is like a Credit Karma for business (though they’ve referred to themselves as the “Tinder” for business).
How to Qualify for Funding
In sum, Become wants to see your credit score (it seems that they use their own proprietary LendingScore™ as opposed to Paydex or FICO), time in business, and revenue.
Keep in mind that since Become works with so many lenders, a poor credit score won’t necessarily disqualify you from obtaining funding. But, it might limit you to certain types of loans (probably high-interest funding like MCAs or invoice factoring).
If you’re based in America, you’ll need a business that’s been operational for at least 3 months. This qualification doesn’t seem to be negotiable, and the only way around it would be a creative solution like purchasing a shelf company.
Finally, Become wants to see that your business brings in an average of $5K in revenue per month.
Now, if you don’t qualify for funding through the platform, you will be informed about why, and shown how you might improve your business health and improve your LendingScore.™
Working in the eCommerce space? If you sell on Amazon or Shopify, you can connect your store to the platform (no paperwork required) and find out if you qualify for funding – you can potentially receive up to $100K within a day.
You may also need to connect to your online advertising channels to rate your marketing efforts.
Currently, Become partners with Kapitus, Everlasting Capital, and Pearl Capital to match funding offers with online sellers who qualify.
Here’s what you should know about these partners:
- Kapitus requires a 625 credit score, 2+ years in business, and $250K annual revenue
- Everlasting Capital primarily offers MCAs & equipment financing, which are likely high-interest
- Pearl Capital is a technology partner that probably makes Become’s business analysis possible
This should give you an idea whether or not it’s worth applying for an eCommerce loan through Become – Keep in mind that the platform will show you personalized areas for improvement if you aren’t currently eligible for financing through one of their partners.
The BeProfit™ App for Online Sellers
Next, let me introduce BeProfit: It’s an app that helps you dig deep into your online sales profits, so you’re not just guessing about your financial health.
BeProfit gets all your expenses, from shipping to discounts, neatly organized in one place. You can quickly spot what’s boosting your profit and what’s dragging it down, so you can make smart decisions.
Plus, it’s super user-friendly. No need to drown in complicated numbers and reports. BeProfit simplifies everything into easy-to-understand reports, giving you more time to focus on growing your business.
Now, is it relevant or right for you?
BeProfit is available on Shopify, Woo, and Amazon, and costs from $20 to $2000 per month to use (though you can use it for free on Shopify if you have fewer than 5 monthly orders).
Note: All plans include features related to shipping, discount, products, inventory, marketing, and returns.
|Monthly Price||Yearly Price||Orders||Shops||Features|
|Basic||$20||$240||200||1||Profit Dashboard, Custom Expenses|
|Advanced||$60||$720||600||1||Advanced Analytics, 3 Team Members|
|Pro||$120||$1440||1200||1||Retention Analytics, 5 Team Members|
|Plus (Custom)||Starts at $200||–||Unlimited||Unlimited||Deep Analytics, VIP Support|
Please note that the prices mentioned are subject to change, and it’s always a good idea to check the latest pricing for the most up-to-date information.
While their offer for online sellers stands out, eCommerce isn’t the only niche that Become caters to. The company is all about helping businesses get the right funding they need. They offer tailored loans for various industries.
Whether you’re in the hotel business, a contractor, a realtor, or even run a restaurant, they’ve got you covered. Construction companies can find financing options that suit their needs, and the same goes for trucking businesses. It’s like a one-stop-shop for business funding.
What’s cool is that they use technology to match you with the best lender for your specific industry. So, you’re not dealing with a generic loan but one that understands the challenges and opportunities in your field.
Plus, they make it easy to apply, and you can compare offers to choose what works best for your business. So, if you’re in one of these industries and need financing, it might be worth checking out – It’s all about making business funding as simple as walking into a convenience store.
LendingScore™ & MatchScore™
Before we wrap up, let’s get a quick overview of how LendingScore and MatchScore work.
LendingScore is like a financial fitness tracker for your business. It delves into your financial details, analyzing your credit, income, and history to determine how prepared you are for a loan. Instead of filling out numerous loan applications, LendingScore™ streamlines the process by allowing you to submit just one. Then, it takes on the role of matchmaker, connecting you with top lenders who are more likely to approve your loan application. It’s akin to having a personal coach for your business finances, helping you navigate the world of loans with ease.
On the other hand, MatchScore is your loan cupid. This tool takes your business’s financial profile and starts swiping right on lenders who are a perfect fit. Think of it as a dating app, but for loans! Instead of you scouring the market for lenders, MatchScore does the legwork for you. Its primary goal is to find the loan that aligns perfectly with your business needs. No more blind dates with banks – MatchScore ensures that you and the lender are a match made in financial heaven.
In summary, LendingScore assesses your loan readiness, while MatchScore acts as your personal loan matchmaker. With these handy tools, you can navigate the loan application process effortlessly and discover the ideal financing option that suits your business like a glove.
Frequently Asked Questions
Can you get a loan for eCommerce?
Yes, you can get a loan for your eCommerce business. Many lenders offer small business loans for eCommerce, like Become and Stripe Capital.
Can you do eCommerce with no money down?
It’s tough but possible. Consider options like drop shipping or print-on-demand, where you don’t need upfront funds for inventory. And, some people who don’t want to pay to host a website, sell manually on Instagram, Facebook Marketplace, and Craigslist.
How to get a loan to start an eCommerce business?
To get an eCommerce loan, prepare a solid business plan, demonstrate your ability to repay, and find a lender that fits your needs.
How much money do you need for eCommerce?
The amount varies, depending on your niche and plans. Costs can include website development, inventory, and marketing.
Do you need a lot of money to start eCommerce?
Not necessarily. Many start small and reinvest profits to grow over time. Careful planning can help you start with a lean budget.
So, is Become the real deal or just a bunch of hype?
My opinion: it appears to be a promising financial optimization and funding platform for SMBs – Their tailored funding solutions and the positive Trustpilot reviews are strong indicators of their effectiveness in helping businesses grow.
However, as with any financial service, you need to do your due diligence and thoroughly assess whether Become’s offer aligns with your needs, and if it’s necessary.
So, do you prefer convenience or control – In my opinion, Become is one of the most convenient business funding offers out there, but it doesn’t give SMBs the ultimate control over their finances.
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