The 8 Best $5K Small Business Loans

With over 75+ lending partners, Lendio makes it easy to find the $5,000 loan your business needs. Well-qualified borrowers can compare multiple offers to find the best rates and terms. New businesses, bad-credit borrowers, and other applicants can also be connected with loan options they couldn’t get elsewhere.

Lendio connects businesses to numerous financial products for nearly any business purpose. And if you need a larger loan in the future, Lendio can help you secure up to $5 million in funding.

Lendio is a small business loan marketplace that offers numerous funding options for businesses that need $5,000, such as:

• Term loans from $5,000 to $2 million
• Business lines of credit from $1,000 to $500,000
• Short-term loans from $2,500 to $500,000
• SBA loans up to $5 million
• Equipment financing from $5,000 to $5 million
• Commercial mortgages from $5,000 to $5 million
• Startup loans from $500 to $750,000
• Business acquisition loans from $5,000 to $5 million
• Business credit cards up to $150,000
• Accounts receivable financing

Lendio’s loan matching service is available at no cost.

Rates and fees vary based on lender, type of funding, and other factors including credit score. Lendio’s lending partners offer long-term, low-interest options as well as short-term loans with higher rates and fees.

Lendio’s lending partners have their own sets of eligibility requirements. However, Lendio does recommend that borrowers have a personal credit score of 550+. Established businesses with high credit scores and revenues will be eligible for more offers with better rates and terms.

LoanBuilder is a great option for newer businesses that may not qualify for funding elsewhere. While many small business lenders require 2+ years in business, LoanBuilder provides short-term loans to businesses that have been in operation for as little as nine months.

LoanBuilder also funds loans quickly, with some businesses receiving funds the next business day after the loan is approved.

LoanBuilder offers short-term business loans from $5,000 to $500,000. Term lengths range from 13 to 52 weeks.

Borrowers that receive a LoanBuilder loan will pay a one-time fee. These fees range from 2.9% to 18.72% of the borrowing amount. There are no additional fees or hidden costs.

To be eligible for a LoanBuilder loan, borrowers must meet these minimum requirements:

• U.S.-based business
• Minimum personal credit score of 620
• At least $42,000/year in revenue
• At least nine months in business
• No active bankruptcies

There are some industries that are ineligible to receive LoanBuilder loans, including attorneys, credit bureaus, financial services, and nonprofit organizations.

Accion Opportunity Fund makes this list because this nonprofit lender provides small business loans to underserved borrowers, including women, minorities, veterans, and foreign-born business owners.

In addition to providing funding and resources to underserved borrowers, Accion has relaxed borrower requirements. Newer businesses and borrowers with low credit scores may be eligible to receive funding through this lender.

Accion Opportunity Fund provides eligible borrowers with installment loans from $5,000 to $100,000. Repayment terms range from 12 to 60 months.

Accion’s installment loan interest rates range from 5.99% to 25.99%. Origination fees of 3% to 5% are charged.

To qualify for an Accion loan, you must meet these basic requirements:

• At least 12 months in business
• At least $50,000/year in revenue

There are no minimum credit score requirements. Accion loans aren’t available in all states, and some states have higher minimum borrowing amounts.

Credibly has a variety of financial products suited for business owners with bad credit. Credibly provides small business funding to borrowers with credit scores as low as 500.

In addition to its relaxed borrowing requirements, Credibly stands out for its great customer service, fast and easy application process, and excellent public reputation.

Credibly provides several small business funding options, including:

• Short-term working capital loans from $5,000 to $400,000
• Merchant cash advances up to $400,000
• Long-term installment loans up to $250,000
• Secured & unsecured lines of credit
• SBA loans

Credibly doesn’t publicly disclose much about its rates and fees. Some of its products use a factor rate starting at 1.11. Additional fees, including underwriting fees and origination fees, may apply.

Specific borrower requirements vary based on the type of funding you’re seeking. Basic requirements for Credibly funding include:

• At least six months in business
• Minimum personal credit score of 500

Fundbox’s application process is quick and easy, and borrowing requirements aren’t too difficult to meet. Businesses only have to be in operation for six months, and borrowers with credit scores as low as 600 may be eligible to receive a Fundbox line of credit.

Businesses that need flexible funding won’t be disappointed with Fundbox’s revolving lines of credit. Borrowers can receive funds as quickly as the next business day after approval and can make multiple draws up to their credit limits.

Fundbox has small business lines of credit from $1,000 to $150,000. Payment terms are set at 12 or 24 weeks.

Fundbox charges borrowing fees starting at 4.66% for 12-week terms and 8.99% for 24-week terms. Upgrading to Fundbox Plus for $99/month can help you save 20% on fees and extend your terms to 52 weeks.

To qualify for a Fundbox line of credit, you must meet these basic requirements:

• U.S.-based businesses
• Minimum personal credit score of 600
• At least $100,000/year in revenue
• At least 6 months in business
• Business checking account

Kiva U.S. is unique in that it offers crowdfunded small business loans with no interest or additional fees. There are also no minimum credit score, time in business, or revenue requirements. To qualify for $5,000, borrowers must be in business for at least one year. Newer businesses can qualify for smaller loans.

The application process takes some work, and it can take a while to receive your funds after launching your campaign. However, receiving a no-interest loan, which is virtually unheard of, may be well worth the effort for small businesses in need of smaller loans.

Kiva U.S. provides small businesses with no-interest installment loans from $25 to $15,000. Repayment terms range from six months to three years.

Kiva’s crowdfunded loans have 0% interest and no fees.

Unlike other small business loans, Kiva U.S. does not have minimum credit score, time in business, or revenue requirements. To qualify, eligible business owners must:

• Be at least 18 years old
• Have a U.S.-based business
• Use the funding for business purposes
• Not have a business engaged in multi-level marketing, direct sales, financial investing, or illegal activities
• Not have liens, foreclosures, or bankruptcies

With relaxed borrowing requirements, Fora Financial provides funding opportunities for newer businesses and borrowers with poor credit scores. The application process is easy, and funds are disbursed quickly for businesses that need access to fast cash.

Aside from these reasons, Fora Financial also makes this list for its excellent customer service. Numerous customers have posted positive reviews about the company’s customer support, noting that reps are honest and transparent without being too pushy.

Fora Financial provides businesses with short-term loans and merchant cash advances from $5,000 to $1.4 million.

Fora Financial charges a one-time factor rate for its loan products. Factor rates range from 1.1 to 1.4. Repayments are made daily or weekly, and while MCAs don’t have set term rates, loans are generally repaid within 4-15 months.

To be eligible for funding through Fora Financial, you must meet these basic requirements:

• Minimum personal credit score of 500
• At least $15,000/month in revenue
• At least six months in business
• No open bankruptcies

The speed of funding its term loans and lines of credit is what puts OnDeck on this list. In some cases, you can even receive funding the same day you’re approved.

LoanDeck has borrowing requirements that are fairly easy to meet, making its financial products an ideal choice for businesses that don’t qualify for funding elsewhere.

OnDeck provides two financial products:

• Term loans from $5,000 to $250,000
• Lines of credit from $6,000 to $100,000

OnDeck’s rates for its term loans range from 29.9% to 97.3%. The average APR for an OnDeck term loan is 62.1%. Repayment terms are up to 24 months. Origination fees may apply.

OnDeck’s lines of credits have APRS from 29.9% to 65.9%. The average APR for an OnDeck line of credit is 48.9%. Repayment terms are up to 12 months. Borrowers may be required to pay a $20/month maintenance fee.

To qualify for OnDeck funding, you need:

• Business bank account
• Minimum personal credit score of 625
• At least 12 months in business
• At least $100,000/year in revenue