If you’ve lived or done business in New England at any point since People’s Bank was founded in 1842, then odds are you’re familiar with the tried-and-true financial institution. Indeed, People’s Bank is a regional go-to for many Northeasterners looking for financial solutions. But are People’s Bank business loans a good option for small business owners searching for financing? Their various loan products include:
- SBA loans
- Business term loans
- Business lines of credit
- Equipment financing
- Commercial mortgages
- Business credit cards
- Commercial loans
We’ve compiled a guide to help you figure out the answer to this question for yourself. From forms of funding as complicated as SBA loans to those as simple as business credit cards, the People’s Bank business loan suite has a lot to offer. So, let’s dive into the details on all there is to know about People’s Bank business loans.
People’s Bank Business Loan Options
The People’s Bank small business loan suite consists of six different funding options for you to look into. All of these options will require you to visit a People’s Bank branch to apply for funding, so if you’re based outside of the Northeast, we suggest you skip ahead to the top, non-regional alternatives to People’s Bank business loans. Otherwise, let’s take a closer look at what People’s Bank has to offer.
Other than the fact that they do indeed offer SBA loans, People’s Bank doesn’t provide many details on their SBA lending offerings. Unfortunately, you’ll need to make a trip to a People’s Bank branch or take the time to contact one of their business banking experts to get more information on which SBA loan programs they participate in, what they require of borrowers, and how long they typically take to fund.
On the other hand, People’s Bank is more upfront about the details of their term loans. For one, these loans can come with repayment terms of as long as 10 years. Additionally, they can be either secured or unsecured by collateral. Borrowers will also access either fixed or variable APRs for this funding option. Plus, if you have a business checking account from People’s Bank, they’ll automatically debit your monthly payments.
Nonetheless, because underwriting is based on what People’s Bank calls “local decision making” for their business term loans, there’s no way to tell how likely you are to qualify for this type of People’s Bank business loan until you take the time to visit a branch and apply.
Lines of Credit
Alternatively, if you need more sustained access to capital—and you don’t mind a shorter-term form of funding—then consider People’s Bank business lines of credit. Although they don’t provide details on the exact terms they offer for their business lines of credit, they do disclose that their business line of credit offers a revolving credit limit from which you can make multiple draws at a time. However, that’s true of most business lines of credit on the market these days
Again, though, whether or not you qualify for a People’s Bank business line of credit will be based on “local decision making,” so you’ll need to visit your closest People’s bank branch to find out whether or not you qualify.
People’s Bank equipment financing is where it gets a little more complicated. Two subsidiaries handle People’s Bank equipment financing: People’s Capital and Leasing Corporation provides equipment financing of over $250,000 with repayment terms of three to 15 years. Meanwhile, People’s United Equipment Finance Corp provides equipment financing specifically for construction, transportation, and refuse businesses.
If you need capital to invest in commercial real estate, there’s a People’s Bank business loan for that, as well. People’s Bank commercial mortgages can come with repayment terms of up to 20 years, and they can be secured by either commercial and even residential real estate. This type of People’s Bank business loan will also be determined by “local decision making,” so you’ll need to visit your People’s Bank branch to learn more about this product and whether it’s the right fit.
Business Credit Cards
If you’re looking for credit, then you should definitely consider the two People’s Bank business credit cards. Their Business Advantage Card offers credit lines of up to $50,000, while their BusinessCard operates more like a charge card, where you don’t have a set limit per se, but must pay off your balance in full each month—no rolling it over from month to month.
If you’re looking for larger amounts of funding from a People’s Bank business loan, then you should definitely consider your People’s Bank commercial lending options. Their commercial finance department offers up much larger sums of capital than People’s Bank small business loans can. According to their website, their commercial lending program handles financing amounts of $1.5 million or more in multiple forms like:
- Real estate financing
- Equipment loans
- Asset-based lending
- Warehouse lending
Essentially, if you need larger-scale financing than People’s Bank business loans can provide, then People’s Bank commercial loans can be your next stop.
Top People’s Bank Small Business Loans Alternatives
Not quite convinced that any of the People’s Bank business loans or commercial loans are right for your business needs?
That’s okay—there’s a whole market of business funding options out there, each offering their own unique spin. Plus, most of your alternatives will fund much quicker and be much easier to qualify for than funding from a traditional bank.
If you’re not perfectly qualified, you’re looking for quick funding, or you simply don’t do business near a People’s Bank branch, consider these top three alternatives to People’s Bank business loans.
The Bottom Line
Now that you’ve made it through this comprehensive guide to all six of your People’s Bank business loan options, what’s the verdict?
Just like any other bank offering small business loans, People’s Bank can offer pretty stellar rates and terms—if you’re able to qualify for a People’s Bank business loan in the first place. Unfortunately, small business loans from traditional banks are notoriously hard to qualify for.
Plus, if you need funding fast, then the People’s Bank business loan application and underwriting processes will likely take too long to address your need for quick funding.
So, unless you’re a hyper-qualified small business with the time to wait for capital, we suggest you consider an alternative lender instead.