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The 8 Best $5K Small Business Loans

A quick $5K infusion might be what your small business needs to thrive. These loans are easier to qualify for and offer fast funding. Which one is right for you?

    Erica Seppala
  • UPDATED

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If your business needs a cash flow boost, you may want to consider taking out a $5K small business loan. These loans are often easier to qualify for and have minimal paperwork requirements, and funds can be in your bank account in as little as one day.

Start your search with our top picks for $5K small business loans. Whether you need a short-term loan to purchase additional inventory or a line of credit for unexpected emergencies, these eight lenders make it easy to get the $5,000 you need for your business fast.

Learn More About Our Top Picks

CompanyBest ForNext StepsBest For
Lendio

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  • Term loans, short-term loans, MCAs, LOCs, equipment financing, invoice financing
  • FICO: No minimum
  • APR: Varies by lender
  • Term loans, short-term loans, MCAs, LOCs, equipment financing, invoice financing
  • FICO: No minimum
  • APR: Varies by lender

Apply Now

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LoanBuilder

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  • Short-term loans
  • FICO: 620+
  • Fees: 2.9%+ of borrowing amount
  • Short-term loans
  • FICO: 620+
  • Fees: 2.9%+ of borrowing amount

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Accion

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  • Term loans
  • FICO: No minimum
  • APR: 5.99%+
  • Term loans
  • FICO: No minimum
  • APR: 5.99%+

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Credibly

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  • Term loans, short-term loans, MCAs, LOCs, equipment financing, invoice factoring
  • FICO: 500+
  • APR: Varies by product
  • Term loans, short-term loans, MCAs, LOCs, equipment financing, invoice factoring
  • FICO: 500+
  • APR: Varies by product

Visit Site

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Fundbox

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  • Lines of credit
  • FICO: 600+
  • Fees: 4.66%+ of borrowing amount
  • Lines of credit
  • FICO: 600+
  • Fees: 4.66%+ of borrowing amount

Apply Now

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Kiva U.S.

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  • Crowdfunded term loans
  • FICO: No minimum
  • APR: 0%
  • Crowdfunded term loans
  • FICO: No minimum
  • APR: 0%

Visit Site

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Fora Financial

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  • Short-term loans, MCAs
  • FICO: 500+
  • Factor Rate: 1.1+
  • Short-term loans, MCAs
  • FICO: 500+
  • Factor Rate: 1.1+

Apply Now

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OnDeck

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  • Term loans, lines of credit
  • FICO: 625+
  • APR: 29.9%+
  • Term loans, lines of credit
  • FICO: 625+
  • APR: 29.9%+

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Read more below to learn why we chose these options.

Table of Contents

The 8 Best $5K Loans For Small Businesses

Fast funding, easy application processes, and relaxed borrowing requirements are just a few features you’ll find among the best $5K small business loans. Whether you want an installment loan with a lump sum payment or a flexible line of credit, here are our top picks for $5K loan from lenders like Lendio, OnDeck, LoanBuilder, Fundbox, and more.

Lendio: Best Marketplace For $5K Loans

Lendio


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Pros

  • Multiple types of financing are available
  • The application process is fast and easy
  • Applicants can quickly be prequalified
  • Customer service is helpful

Cons

  • Rates can be expensive

Why We Chose Lendio For 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 Services

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.

Lendio Rates & Fees

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 Eligibility Requirements

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.

Get Started With Lendio

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LoanBuilder: Best $5K Loans For New Businesses

LoanBuilder


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Pros

  • Borrower qualifications are lower than banks
  • The application process is fast and easy
  • No extra fees
  • Funds get disbursed quickly

Cons

  • No discounts for repaying early
  • A blanket lien is required

Why We Chose LoanBuilder For Best $5K Small Business Loans

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 Services

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

LoanBuilder Rates & Fees

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.

LoanBuilder Eligibility Requirements

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.

Get Started With LoanBuilder

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Accion Opportunity Fund: Best $5K Loans For Underserved Borrowers

Accion


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Pros

  • Borrower qualifications are lower than banks
  • The application process is fast and easy
  • Customer service is helpful
  • Low credit score requirements

Cons

  • Some additional fees are charged
  • Rates can be expensive

Why We Chose Accion Opportunity Fund For Best $5K Small Business Loans

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 Services

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

Accion Opportunity Fund Rates & Fees

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

Accion Opportunity Fund Eligibility Requirements

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.

Get Started With Accion

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Credibly: Best $5K Loans For Bad Credit

Credibly


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Pros

  • Low credit score requirements
  • The application process is fast and easy

Cons

  • Some additional fees are charged
  • Rates can be expensive

Why We Chose Credibly For Best $5K Small Business Loans

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 Services

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 Rates & Fees

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.

Credibly Eligibility Requirements

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

Get Started With Credibly

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Fundbox: Best $5K Lines Of Credit For Startups

Fundbox


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Pros

  • Funds are disbursed quickly
  • Discounts for repaying early
  • Few extra fees

Cons

  • Rates can be expensive

Why We Chose Fundbox For Best $5K Small Business Loans

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 Services

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

Fundbox Rates & Fees

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.

Fundbox Eligibility Requirements

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

Get Started With Fundbox

Read our in-depth review

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Kiva U.S.: Best $5K Crowdfunded Loans

Kiva U.S.


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Pros

  • No interest
  • No credit score requirements
  • No additional fees

Cons

  • Lengthy application process
  • Funds can take a while to disburse

Why We Chose Kiva U.S. For Best $5K Small Business Loans

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. Services

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 U.S. Rates & Fees

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

Kiva U.S. Eligibility Requirements

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

Get Started With Kiva U.S.

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Fora Financial: Best For $5K Loans With Excellent Customer Support

Fora Financial


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Pros

  • Low credit score requirements
  • The application process is fast and easy
  • Funds are disbursed quickly

Cons

  • Rates can be expensive
  • Repayments are required frequently

Why We Chose Fora Financial For Best $5K Small Business Loans

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 Services

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

Fora Financial Rates & Fees

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.

Fora Financial Eligibility Requirements

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

Get Started With Fora Financial

Read our in-depth review

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OnDeck: Best For Fast $5K Loans

OnDeck


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Pros

  • Borrower qualifications are lower than banks
  • The application process is fast and easy
  • Funds are disbursed quickly

Cons

  • Rates can be expensive
  • Financing isn’t available in some states

Why We Chose OnDeck For Best $5K Small Business Loans

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 Services

OnDeck provides two financial products:

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

OnDeck Rates & Fees

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.

OnDeck Eligibility Requirements

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

Get Started With OnDeck

Read our in-depth review

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Our Methodology For Choosing The Best $5,000 Loans

When reviewing business financing products, Merchant Maverick gathers and examines pertinent data points on each lender (interest rates, term length, fees, borrower requirements, customer reviews, etc.). We compare the lender to other similarly situated companies in the industry and assign them a score based on our research.

For this list, we’ve pinpointed some of the primary motivations for seeking business financing, identified the lenders that best fulfill those motivations based on the data we’ve collected, and presented them to you! Of course, we encourage you to compare business lenders to find the product that best suits your business needs, but we hope this list provides you with a well-substantiated starting point in your search.

Why We Don't Recommend These Loan Options

IOU Financial

IOU Financial was previously on our list as one of the best lenders for $5,000 business loans. However, the minimum borrowing amount from this lender is now $15,000.

Kabbage

Kabbage previously made our list for its business lines of credit. With no credit score requirements, Kabbage was a great choice for small business funding, even for borrowers with credit challenges. However, the company has undergone some changes in recent months.

Kabbage is now owned by American Express, and borrowing requirements have changed — including a required minimum personal credit score of 640.

QuarterSpot

QuarterSpot is another lender that dropped off of our list since our last update. After an acquisition by Lendio in 2021, QuarterSpot is no longer originating small business loans.

BlueVine

BlueVine previously offered invoice financing and business lines of credit. Borrowing requirements were easy to meet, even for new businesses and borrowers with low credit scores. Now, invoice financing is no longer available.

Requirements to receive a line of credit have also changed, requiring applicants to have a 625+ credit score, $40,000 monthly revenue, and a time in business of two years.

Can I Get A $5K Small Business Loan With Bad Credit?

It’s possible for small business owners with bad credit to qualify for a $5,000 loan. Many of the lenders on our list have very low personal credit score requirements, provided you meet other requirements such as a minimum time in business and steady revenue.

Short-term loans, business credit cards, and crowdfunding are top options for borrowers with credit challenges.

To qualify for lower rates, longer terms, and higher borrowing amounts, you’ll need to raise your personal credit score.  Build your personal credit score by:

  • Obtaining your free credit score to find out where you stand
  • Reviewing your credit report and disputing any errors
  • Using a secured business credit card responsibly
  • Paying all bills on time as agreed
  • Reducing your credit utilization

The Bottom Line On $5,000 Small Business Loans

Finding a $5,000 loan for your business shouldn’t be too difficult. However, you should go into the process knowing that smaller loans come with shorter repayment terms and may also be accompanied by high fees and interest rates.

Calculate the affordability of the loan to ensure that taking out a loan is a smart financial move. If this is your first time applying for a small business loan, educate yourself before you start submitting applications to lenders. Finally, be sure to shop around to ensure you get the most affordable financing products that work best for your business.

FAQs: $5K Small Business Loans

Is it hard to get a $5,000 business loan?

Since the loan amount is so low, many small business owners will be able to get a $5K small business loan. While not exactly difficult, one thing to remember is that $5,000 loans usually come with short repayment terms and higher interest rates.

Can I get a $5,000 SBA loan?

It is possible to get an SBA loan for $5,000. The SBA 7(a) program doesn’t have minimum limits, and the SBA Microloan program is ideal for smaller loans of $50,000 or less. SBA loans have low interest rates and good repayment terms, but these loans have stricter requirements and a more difficult application process.

How do you qualify for a $5,000 small business loan?

Eligibility requirements vary by lender and product. In general, you should be able to show steady revenue and have a credit score of at least 500 to qualify for a $5K small business loan.

In Summary: The 8 Best $5K Loans For Small Businesses

  • Lendio:
    • Term loans, short-term loans, MCAs, LOCs, equipment financing, invoice financing
    • FICO: No minimum
    • APR: Varies by lender
  • LoanBuilder:
    • Short-term loans
    • FICO: 620+
    • Fees: 2.9%+ of borrowing amount
  • Accion:
    • Term loans
    • FICO: No minimum
    • APR: 5.99%+
  • Credibly:
    • Term loans, short-term loans, MCAs, LOCs, equipment financing, invoice factoring
    • FICO: 500+
    • APR: Varies by product
  • Fundbox:
    • Lines of credit
    • FICO: 600+
    • Fees: 4.66%+ of borrowing amount
  • Kiva U.S.:
    • Crowdfunded term loans
    • FICO: No minimum
    • APR: 0%
  • Fora Financial:
    • Short-term loans, MCAs
    • FICO: 500+
    • Factor Rate: 1.1+
  • OnDeck:
    • Term loans, lines of credit
    • FICO: 625+
    • APR: 29.9%+
Erica Seppala

Erica Seppala

Editor & Senior Staff Writer at Merchant Maverick
Erica began writing on small business topics in 2008. She joined Merchant Maverick in 2018 and focuses on loans, accounting, and POS. She is a Certified ProAdvisor for QuickBooks Online and QuickBooks Payroll. She has been cited in MSN, Reader's Digest, Vox, U.S. News & World Report, and Real Simple. She is a graduate of Limestone University and resides in Greenville, South Carolina.
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