OnDeck has been funding small businesses since 2007 and is one of the largest alternative lenders in the U.S. They primarily offer term loans and lines of credit, with funding decisions in 1-3 days for most applications. Westline Funding is a direct funder of merchant cash advances — a different financial product with a different fit.
If you can qualify for an OnDeck term loan and the rate works for your business, take it. Term loans are generally cheaper than MCAs. The honest comparison below shows where each lender fits, who qualifies for what, and the situations where one is materially better than the other.
When OnDeck Is the Better Choice
Three scenarios where OnDeck wins clearly:
- You have a 700+ FICO and at least 2 years in business. You'll qualify for OnDeck's lowest APR tier (often 9-25%), which is materially cheaper than any MCA.
- You can wait 3 days for funding. The lower cost typically outweighs the speed difference unless you have an immediate revenue-generating use for the capital.
- You want predictable monthly term-loan payments rather than daily ACH withdrawals. Some owners prefer the cash-flow shape of a traditional loan over a daily debit pattern.
When Westline Is the Better Choice
- FICO under 625. OnDeck declines you. Westline funds 520+ FICOs every week.
- Less than a year in business. OnDeck requires 12 months. Westline minimum is 6.
- You need same-day or next-day funding. A walk-in cooler dies on Friday. A truck blows a transmission. A vendor demands COD on a $40K order. Westline funds these in 24 hours; OnDeck takes 2-3 days.
- You have an open lien or existing advance. OnDeck requires clean balance sheets. Westline can pay off existing advances as part of the funding.
- You need over $250K. OnDeck caps at $250K for term loans. Westline goes to $2M.
A Worked Example
A restaurant doing $90K/month in revenue, 580 FICO, 14 months in business, walk-in cooler died last night, $7K in repair quotes:
OnDeck: 580 FICO is below their 625 minimum. Likely declined. If approved (less common at this score), expect a high-end APR (60%+) and 2-3 day funding. Walk-in stays broken through Saturday service. Lost weekend revenue: ~$8,000.
Westline: Approved on cash flow. $8,000 advance at 1.25 factor rate ($10,000 total payback over 4 months). Wired in 24 hours. Walk-in fixed Saturday morning. Saturday service runs normally.
In this scenario, Westline's higher cost-of-capital is paid back many times over by the lost revenue avoided. The relevant comparison isn't Westline vs. OnDeck — it's Westline vs. losing the weekend.
The Honest Bottom Line
OnDeck is a real, established lender. If you qualify for them, take the term loan — you'll pay less. We'd rather lose a deal to OnDeck than fund a merchant who would have been better served by a cheaper product.
Westline exists for the businesses OnDeck declines, the situations where 2-3 days is too slow, and the loan amounts beyond OnDeck's $250K cap. We don't compete with OnDeck on price. We compete on speed, eligibility, and accessibility.
Apply to OnDeck. If they decline or the timing won't work, apply with us. We'll have an answer for you the same day.
Sources & References
- Bank denial and small business credit access figures cited in this piece are derived from the Federal Reserve Small Business Credit Survey. Approval rates for small business credit applications at large banks have ranged from approximately 13%-31% across recent survey years, depending on bank category and reporting period.
- Small business finance landscape and lending program data: SBA Office of Advocacy.
- Merchant cash advance industry standards and disclosure practices: Small Business Finance Association (SBFA).
- Commercial financing disclosure regulations referenced (NY FAIR Act, CA SB 1235/666/362, VA, UT) are summarized from the published statutes; consult counsel for specific compliance application.