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Newtek Review

Matt D'Angelo
Matt D'Angelo Contributing Writer
Updated Apr 18, 2019

Newtek is an alternative lender that provides term loans, lines of credit and commercial real estate loans. The website is easy to navigate, and finding a loan option for your company is as simple as browsing the Solutions tab. While there is a lot of information about loan opportunities on Newtek’s website, there isn’t much about its prequalification requirements. We also found limited customer reviews online.

Newtek Review


The Verdict

Newtek provides compelling term loans and lines of credit, but its lack of online reviews and short-term lending options are major limitations.

To view all our recommendations for small business financing, visit our best picks page.

Newtek has a loan specialist who works with you throughout the loan process. Business owners who are approved receive funding in as little as 24 hours. The company can lend to all the major industries, and its qualifications aren’t as stringent as some of the other lenders we evaluated; Newtek assesses your earnings rather than your credit score.

Rates and Terms

Newtek breaks its loans down into three types: term loans, revolving lines of credit and commercial real estate. This is consistent with several other lenders we evaluated. Newtek doesn’t offer equipment financing, but its term loans can serve the same function.

Term Loans

Businesses can take out term loans ranging from $10,000 to $10 million. Terms range from seven to 25 years. These are much longer terms compared to the other lenders we considered, as some companies provide financing terms as short as six months. There’s little to no prepayment penalty if you pay your loan off before the end of the term.

Revolving Lines of Credit

A revolving line of credit is offered to a business owner for an indefinite amount of time. It can be drawn on, paid off and drawn on again. Businesses can get up to $1.5 million, but it must be secured with some form of collateral. Newtek secures its lines of credit with accounts receivable, inventory or healthcare receivables. Newtek specialists can help you determine the best form of collateral for your business. However, what you put up as collateral could affect the maximum loan amount. Several lenders provide lines of credit on accounts receivable, which can be viewed as a type of invoice financing. Newtek can provide advances up to 80% on your outstanding invoices.

Commercial Real Estate

This type of loan is for small business owners looking to finance property. Newtek provides loans ranging from $125,000 to $10 million for purchasing or refinancing real estate. Terms reach up to 25 years and up to 90% loan-to-value.

Individual rates vary based on your business’s financial situation, as do the fees.


Businesses can prequalify and apply for a loan online with Newtek. You can also get a quick quote from a loan specialist. While this isn’t necessarily unique to Newtek, small business owners can get a quick idea of how much they could qualify for with Newtek and what the interest rate and terms would look like.

Loan Process

Businesses apply for a loan from Newtek over the phone, by email or online. This flexibility is ideal for business owners looking to apply for financing without going to a bank. The first step is filling out your contact information on the site or getting in touch with a Newtek loan agent. You’ll then get prequalified and have a better idea of what type of funding and rate you’ll receive. After completing this process, you then fill out an application.


Terms depend on your business’s financial situation, but Newtek provides longer-term loans than many of its competitors. Term loans range from seven to 25 years, and the commercial real estate loans can reach 25 years. 


Newtek doesn’t provide a lot of concrete information on its website about the criteria for qualifying for their loans. For term loans, it says it works with businesses that can provide two to three years of tax returns. Further, Newtek states that it prefers lending to U.S.-based businesses that have “repayment ability from earnings.” Other alternative lenders we evaluated typically cite specific monthly or yearly revenue benchmarks.


Depending on the type of loan you sign up for, you’ll likely have to put up some type of collateral. For lines of credit, that entails accounts receivable or inventory. Newtek isn’t as clear for term loans, but it likely requires some form of collateral.

Time Until Deposit

The approval process can take as little as 48 hours, and you can receive the money shortly after that.

Special Documentation

As mentioned above, Newtek requires you to provide tax returns going back two to three years, if you’re applying for a term loan. You may need to provide additional documentation, depending on your business’s financial history. Newtek says it more closely scrutinizes earnings over credit when reviewing loan applications, but the company may still conduct a credit check. If you’re concerned about this, ask the Newtek loan specialist. In addition to tax returns, it’s good to locate basic financial documents like monthly bank statements, so they are at your fingertips if you need to provide that information.

When to Use This Type of Loan

Newtek loans can be used for a variety of purposes, such as purchasing new inventory, managing cash flow, expanding your business, acquiring another business, increasing working capital, opening new locations, investing in advertising campaigns, renovating your business or refinancing existing debt.

Reputation and Customer Reviews

We couldn’t find a lot of customer reviews for Newtek online. As of March 2019, The Better Business Bureau (BBB) has a page for the company, but it’s not an accredited business. It does have an A rating, but it only scored one out of five stars on four customer reviews. It has received two complaints within the last year. We couldn’t find any reviews on Google or Facebook, and other review websites like Trustpilot and Fundera lacked customer reviews for it. This makes it hard to research the experience other customers have had with Newtek and verify that you’d be working with a reliable service.


Besides lack of reviews, Newtek doesn’t provide short-term lending options. Many companies provide a variety of loan terms, but Newtek’s shortest term is seven years. This isn’t ideal for small business owners seeking quick capital that they can remove from their books in a year or less.

Editor’s note: Need a business loan? Click the Compare Quotes button below to have our sister site BuyerZone connect you with vendors that can help.

Newtek Review


The Verdict

Newtek provides compelling term loans and lines of credit, but its lack of online reviews and short-term lending options are major limitations.

Matt D'Angelo
Matt D'Angelo Contributing Writer
I've worked for newspapers, magazines and various online platforms as both a writer and copy editor. Currently, I am a freelance writer living in NYC. I cover various small business topics, including technology, financing and marketing on and Business News Daily.