Headway Capital offers one product: a revolving business line of credit from $5,000 to $100,000, with each draw repaid over 12, 18 or 24 months in weekly or monthly payments. It publishes a $50,000 annual revenue minimum, checks credit with a soft pull, and says funds typically arrive the next business day. Headway Capital is part of Enova International, the same parent company as OnDeck. It suits small businesses that want a modest line with longer repayment than many short-term lenders offer.
This review is part of the SMB Compass lender reviews series. SMB Compass is a financing broker, not a lender: we help owners compare offers from a panel of lending partners. The figures below come from Headway Capital’s and Enova’s own websites, checked on September 21, 2026.
Who owns Headway Capital?
Headway Capital’s website states: “We are part of Enova International (NYSE: ENVA), a publicly traded company.” Enova’s brands page lists OnDeck and Headway Capital as its small-business lending brands, describing Headway as “a dedicated small business lender offering revolving lines of credit designed to help with everyday small business needs.” The company is based in South Jordan, Utah.
Because they share a parent, owners often compare the two. OnDeck offers term loans as well as lines of credit, while Headway focuses on lines of credit. Our OnDeck vs Headway Capital comparison sets them side by side.
Headway Capital at a glance
| Feature | What Headway Capital says |
|---|---|
| Product | Revolving business line of credit (“True Line of Credit™”) |
| Line size | $5,000 to $100,000 |
| Repayment per draw | 12, 18 or 24 months; weekly or monthly payments |
| Pricing (as Headway quotes it) | Monthly interest rate on funds drawn, set by application; the calculator assumes 3.3% a month. Interest does not compound |
| Fees | Draw fee of 2% depending on state (none in CO, GA, IN, NJ and OK); late fees; no annual or monthly service fee |
| Time in business | At least six months (FAQ) or at least one year (line of credit and rates pages) |
| Revenue | $50,000 a year or more |
| Credit check | Soft pull at application |
| Speed | Funds typically by the next business day after approval |
| Prepayment | No prepayment penalties |
| Availability | Listed states only; check the FAQ for yours |
How the line works
Once approved, you “draw when you need and pay interest only on funds drawn.” Each time you draw, Headway says “you will either be offered a choice of repayment terms or given a predetermined repayment term, depending upon the requested draw amount,” and “you can choose whether to make weekly or monthly recurring payments.” Payments are auto-debited from your business bank account by ACH. As you repay, the credit becomes available to draw again.
Headway’s rates and terms vary by state. Its rates and terms page lets you choose a state to see the loan terms, maximum and minimum credit limit, minimum first draw amount and repayment period options that apply there.
What Headway Capital costs
Headway prices draws with an interest rate quoted per month, plus a draw fee in most states. A monthly rate is not an APR (annual percentage rate), which states the yearly cost including fees; a monthly rate multiplied by 12 gives a rough annual figure before fees. Headway does not publish a rate range; its calculator “assumes a monthly interest rate of 3.3% and a 2% draw fee,” and “your interest rate and credit limit may vary based on your application.” Ask for the APR and every fee in writing before you draw.
In its calculator example, a $26,000 credit limit on a 12-month term comes to a weekly payment of $424.00, using those assumptions. The FAQ adds: “Interest does not compound and there is no annual or monthly service fee. Draws from your line of credit may be subject to a 2% draw fee depending upon your state, and you may be assessed a late fee for late payments.” There is no draw fee in Colorado, Georgia, Indiana, New Jersey or Oklahoma.
Early payoff: “you can repay your outstanding balance at any time without incurring any additional fee.” Because interest accrues on the balance, paying early reduces interest. Our guide to fees, factor rates and APR explains how to compare pricing across lenders.
Who qualifies
Headway’s FAQ says “your business must have been in operation for at least six months, have a minimum annual revenue of $50,000,” and be located in one of the states it lists. Its line of credit page and rates and terms page say at least one year in business. Headway gives two figures, so confirm which applies before you apply.
Headway’s published requirements don’t include a minimum credit score. It says “we perform a soft credit pull at the time of the application submission. This will not leave a footprint on your credit report and will not impact your credit score unless your credit file is restricted.” If your file is restricted, Headway asks you to have the bureau lift the restriction, which “may result in a hard pull.”
How fast is Headway Capital?
Headway says you can “apply online for a True Line of Credit™ in minutes,” and “once approved, funds will typically be deposited into your business bank account by the next business day.”
Pros and cons
Pros:
- Revolving line: pay interest only on what you draw
- Repayment of 12 to 24 months, longer than many short-term lines
- Choice of weekly or monthly payments
- Soft credit pull at application
- No prepayment penalties, no compounding interest and no annual or monthly service fee
- Backed by Enova, a publicly traded company
Cons:
- Line capped at $100,000
- Rates quoted monthly, and no published rate range
- 2% draw fee in most states
- Not available in every state
- Line of credit only; no term loans, equipment or SBA loans
Who Headway Capital suits, and who should look elsewhere
Headway Capital suits businesses with at least $50,000 in annual revenue that want a line of up to $100,000 for recurring needs such as inventory, payroll timing or repairs, and that prefer to repay each draw over a year or two with weekly or monthly payments.
Look elsewhere if:
- You need more than $100,000 or a term loan. Compare the OnDeck review and OnDeck alternatives.
- You have strong credit and want a line from a bank. See our American Express Business Line of Credit review.
- You want to compare other online lines. See Bluevine vs Headway Capital and our Fundbox review.
- Your business is in a state Headway does not serve. Our business line of credit page covers other routes.
Pitfalls to watch
- Reading a monthly rate as an annual one. Ask for the APR and compare it with other offers.
- Forgetting the draw fee. Several small draws each carry the fee in states where it applies.
- Treating the calculator as a quote. The 3.3% monthly rate and $424 weekly payment are assumptions.
- Assuming Headway and OnDeck will give the same terms. They are separate brands with separate products.
Frequently asked questions
Is Headway Capital part of OnDeck?
They are sister brands. Both are small-business lending brands of Enova International, according to Enova’s website.
What credit score do you need for Headway Capital?
Headway lists no minimum score. It uses a soft credit pull at application, and its published requirements are time in business, $50,000 in annual revenue and location in a state it serves.
How much can I borrow from Headway Capital?
Headway offers lines of credit from $5,000 to $100,000. Minimum and maximum limits vary by state.
Does Headway Capital charge prepayment penalties?
No. Headway says you can repay your outstanding balance at any time without an additional fee.
Next step
If you are considering Headway Capital, get your state’s terms and a written APR, then compare them with at least one other line of credit. Our business line of credit page explains how SMB Compass can help you compare offers from our lending partners.
Sources
- Headway Capital, homepage and disclosures: headwaycapital.com
- Headway Capital, line of credit: headwaycapital.com/line-of-credit
- Headway Capital, FAQ: headwaycapital.com/faq
- Headway Capital, rates and terms: headwaycapital.com/rates-terms
- Headway Capital, about us: headwaycapital.com/about-us
- Enova International, brands: enova.com/brands
About this page. Written by Ezra Cabrera, Content Team Lead at SMB Compass. Figures were checked against each lender’s own website on September 21, 2026; lenders change their terms, so confirm current terms before you apply, and let us know if you spot a figure that has changed. SMB Compass is a business financing broker: we don’t lend our own money, and we are paid by the lenders we place loans with. This page is general information, not financial, legal or tax advice.