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Take a look at our picks for the best small business loans for cash flow issues, business expansion, debt consolidation, and bank financing.
Erica has been writing about small business finance and technology since 2008. She joined Merchant Maverick in 2018 and specializes in researching and reviewing business software, financial products, and other topics to help small businesses manage and grow their operations. Her expertise has been cited in MSN, Reader's Digest, Vox, U.S. News & World Report, and Real Simple. She is a Certified ProAdvisor for QuickBooks Online and QuickBooks Payroll, a graduate of Limestone University, and currently resides in Greenville, South Carolina.
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Erica SeppalaErica has been writing about small business finance and technology since 2008. She joined Merchant Maverick in 2018 and specializes in researching and reviewing business software, financial products, and other topics to help small businesses manage and grow their operations. Her expertise has been cited in MSN, Reader's Digest, Vox, U.S. News & World Report, and Real Simple. She is a Certified ProAdvisor for QuickBooks Online and QuickBooks Payroll, a graduate of Limestone University, and currently resides in Greenville, South Carolina.
Editor & Senior Staff Writer
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Chelsea Krause is a writer who specializes in accounting, payroll, and small business loans. She has been helping small business owners manage their finances since 2016. She is a QuickBooks Certified User and former eCommerce store owner. Her accounting expertise has been quoted in Forbes and her work appears in Startup Nation, Small Business Bonfire, and Women on Business. Chelsea graduated summa cum laude with a BA in English & Creative Writing from George Fox University and studied abroad at the University of Oxford as well.
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Chelsea KrauseChelsea Krause is a writer who specializes in accounting, payroll, and small business loans. She has been helping small business owners manage their finances since 2016. She is a QuickBooks Certified User and former eCommerce store owner. Her accounting expertise has been quoted in Forbes and her work appears in Startup Nation, Small Business Bonfire, and Women on Business. Chelsea graduated summa cum laude with a BA in English & Creative Writing from George Fox University and studied abroad at the University of Oxford as well.
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Our content reflects the editorial opinions of our experts. While our site makes money through referral partnerships, we only partner with companies that meet our standards for quality, as outlined in our independent rating and scoring system.
A small business loan is an easy way to increase your business capital, but how do you choose the right funding option? Start your search with our picks for the best small business loans.
Whether you’re purchasing new equipment, expanding your business, or covering an emergency expense, there’s small business funding out there for any situation. Keep reading to learn more about our picks for the best small business loans.
The best small business loans should have competitive rates, good repayment terms, and transparent terms and fees. From flexible lines of credit and low-interest loans to fast funding options, here are the best small business lenders.
BusinessLoans.com: Best Small Business Loans For Bad Credit Borrowers
Why We Chose BusinessLoans.com For Best Loans For Bad Credit
BusinessLoans.com is a small business lending marketplace that connects business owners with numerous lenders and financial products. We like that BusinessLoans.com offers funding options for businesses that may have challenges getting funded elsewhere due to low credit scores or a short time in business.
While BusinessLoans.com does work with borrowers with less-than-stellar credit, it offers a wide variety of funding for all businesses. Applicants with higher credit scores and a longer time in business may qualify for funding with more favorable terms.
BusinessLoans.com Services
BusinessLoans.com works with lending partners to provide a wide variety of services, including:
Term loans
Short-term loans
Lines of credit
Merchant cash advances
BusinessLoans.com Rates & Fees
Rates and fees vary based on the lender and financial product you qualify to receive.
BusinessLoans.com Eligibility Requirements
To qualify for funding through BusinessLoans.com, you must meet these requirements:
BusinessLoans.com
Time In Business
6 months
Business Revenue
$100,000/year
Credit Score
N/A
Note that even if you don’t meet the revenue or time in business requirements, BusinessLoans.com may be able to connect you with a financial product that works for your business.
Choose BusinessLoans.com If...
You want to compare lender offers
You operate a new business and don’t qualify for funding elsewhere
You have a low credit score and don’t qualify for funding elsewhere
Why We Chose Lendio As Best Small Business Loan Marketplace
We like that Lendio helps you compare lenders using one simple 15-minute application. You can receive loan offers from 75+ lenders within 72 hours. This allows you to easily compare offers to ensure you get the best rates and terms. Lendio’s loan matching service is completely free to use.
Lendio also offers a wide variety of financial products, even providing options for borrowers with less-than-stellar credit.
Lendio Services
Lendio offers nearly any type of funding you need for your business, including:
Short-term loans up to $500,000
Term loans up to $2 million
Lines of credit up to $500,000
Merchant cash advances up to $200,000
SBA loans up to $5 million
Equipment financing up to $5 million
Lendio Rates & Fees
Lendio’s rates and fees vary based on product type and the lender you select. Lendio has low-interest options such as SBA loans, as well as more expensive funding like MCAs for borrowers with bad credit or other challenges.
Lendio Eligibility Requirements
Lendio works with multiple lenders, and each lender has its own set of eligibility requirements for funding. The more revenue, higher credit score, and longer time in business you have, the better odds you have for qualifying for better rates and terms.
Choose Lendio If...
You want to compare offers from 75+ lenders with one application
You’re unsure of what type of funding you’ll qualify for
You have credit, time in business, or revenue challenges that prevent you from getting funded elsewhere
Why We Chose AdvancePoint Capital For Loans With Excellent Customer Service
AdvancePoint Capital is a loan marketplace that stands out for its great customer service. In addition to offering numerous ways to get in touch, AdvancePoint has been praised by users for its helpful, friendly, and knowledgeable customer support reps that help businesses find the right funding for any situation.
Good customer support isn't all AdvancePoint has going for it, either. High borrowing limits of up to $5 million, a wide selection of funding products through a network of lenders, and an easy application process make AdvancePoint Capital a great choice for nearly any business.
AdvancePoint Capital Services
AdvancePoint Capital is a loan marketplace with lending partners that offer:
Term loans
SBA loans
Short-term loans
Business lines of credit
Invoice financing
Equipment financing
Merchant cash advances
Business cash advances
AdvancePoint Capital Rates & Fees
Rates and fees vary based on the products and lenders you are matched with in AdvancePoint’s network.
Low-interest, long-term options for qualified borrowers are available, while short-term, higher-cost products are available for businesses that don’t meet traditional borrowing requirements.
AdvancePoint Capital Eligibility Requirements
Borrowing requirements vary by product and lender. AdvancePoint Capital does disclose that you must have a minimum credit score of 520 to qualify for short-term loans and a score of at least 550 to qualify for business cash advances.
Some products, such as invoice financing and equipment financing, may have lower minimum requirements, while term loans and SBA loans have higher credit score, revenue, and time in business requirements.
Unfortunately, AdvancePoint is not very upfront about time in business and revenue requirements.
Choose AdvancePoint Capital If...
You want to work with a team of knowledgable, helpful reps to find the best loan for your business
You want to choose the best offer from multiple lenders with a single application
You don’t qualify for traditional loans and want to explore your options
Why We Chose Revenued For Best Funding With No Credit Checks
While most business funding relies on a strong personal credit score, Revenued is different. Revenued uses your business revenue to qualify you for its Flex Lines, making this a great option for business owners with fair credit, poor credit, or no credit at all -- provided you've been in business for at least 1 year and have $20,000+ monthly cash flow.
With a Flex Line, you can receive a flexible spending line up to $750,000. The application process is quick and easy, and you can get approved in as little as one hour. Once approved, you can use the Revenued Business Card to access your funds.
Revenued Services
Revenued offers spending lines up to $750,000.
Revenued Rates & Fees
Revenued charges factor rates from 1.1 – 1.5. This is only charged on the funds you’ve used, not the entire line.
If you receive the Revenued Business Card, there are no monthly or annual fees.
Revenued Eligibility Requirements
One of the best things about Revenued is that your personal or business credit score is not a factor in approval. Instead, Revenued looks at your business revenue and other factors to determine eligibility, the amount you’re approved for, and your factor rate.
To qualify, you must have a US-based businesses with at least $20,000+ monthly cash flow and a time in business of at least 1 year. Unfortunately, sole proprietors are not eligible.
Choose Revenued If...
You want funding based on your business revenue, not your credit score
You want fast and easy funding (potentially within 24 hours)
You want flexible funding that’s available when you need it
Speed is what helps OnDeck stand out from the crowd of small business lenders. The application process for a loan or line of credit is fast and easy, and once you accept your loan, you can be funded as quickly as the same business day. One thing to note is that same-day funding isn’t available in all states, so make sure to check OnDeck’s terms before you apply.
OnDeck also provides excellent customer support, transparent fees and terms, and funding options for businesses that may not qualify with other lenders. OnDeck reports to business bureaus, so timely payments can help you boost your business credit score to qualify for better rates, terms, and products in the future.
OnDeck Services
OnDeck offers term loans up to $250,000 with repayment terms up to 24 months. OnDeck also offers lines of credit up to $100,000 with repayment terms up to 24 months.
OnDeck Rates & Fees
For OnDeck’s term loans, APRs start at 29.9%, with most borrowers paying an average of 55.8%. An origination fee of 0% – 5% may apply.
OnDeck’s lines of credit APRs start at 29.9%, with the average borrower paying about 52.6%. There are no origination fees, but a $20/monthmaintenance fee will apply to most borrowers.
OnDeck Eligibility Requirements
To qualify for an OnDeck term loan or line of credit, you must meet these requirements:
OnDeck
Time In Business
12 months
Business Revenue
$100,000/year
Credit Score
625
Choose OnDeck If...
You want fast (possibly same-day) funding
You don’t qualify for a loan or line of credit from other lenders
You want a loan that will improve your business credit
SmartBiz simplifies the SBA loan process, working with a network of bank lenders that can help eligible small businesses receive low-cost, long-term SBA small business loans.
In addition to SBA loans, SmartBiz offers other small business solutions including custom funding — all with just one single application.
SmartBiz Services
SmartBiz offers the following products through its lending partners:
SBA loans up to $500,000
Bank terms loans up to $350,000
Lines of credit up to $150,000
Custom financing up to $500,000
ERC refunds
SmartBiz Rates & Fees
Interest rates for SBA loans range from 11.25% to 13.25%. Term loans have interest rates starting at 9.99%.
SmartBiz Eligibility Requirements
SmartBiz’s eligibility requirements are as follows:
SmartBiz
Time In Business
2 years
Business Revenue
Sufficient cash flow to support repayments
Credit Score
650 for SBA loans
660 for bank term loans
If you don’t meet these requirements, SmartBiz may be able to find a custom solution for your business.
Choose SmartBiz If...
You want a low-cost, long-term SBA loan
You have good credit and want to receive a bank term loan
We like that Fundera works with numerous lenders to provide funding to many businesses, even new businesses or borrowers with low credit scores. Fundera makes it easy to compare numerous offers to get the best rates and terms while also providing good customer support throughout the process.
Fundera also gives you access to a wide variety of funding products, including equipment financing. With an equipment loan, you can receive up to 100% financing with rates starting at around 4% and repayment terms up to six years.
Fundera Services
As a loan matchmaker, Fundera can connect businesses to multiple products, including:
Equipment financing
Installment loans
Short-term loans
Lines of credit
SBA loans
Invoicing financing
Merchant cash advances
Fundera Rates & Fees
Rates and fees vary based on the funding product and lender you select.
For equipment financing, rates range from 4% to 40% with repayment terms of five to six years.
Fundera Eligibility Requirements
Because Fundera works with multiple lenders, there are no set eligibility requirements in terms of annual revenue, personal credit score, and time in business. However, borrowers with good credit, a longer time in business, and higher revenues may qualify for better offers.
To qualify for equipment financing specifically, you must have been in business for over two years, have over $130,000 in annual revenue, and have a personal credit score of at least 600.
Choose Fundera If...
You need financing that covers up to 100% of the cost of your equipment
You want to compare various loans and lenders
You have a low credit score, operate a newer business, or other challenges that prevent you from obtaining funding elsewhere
Why We Chose Fundbox For Best Lines Of Credit For Bad Credit
Fundbox is a lender with low borrower requirements, making it a viable funding option for businesses that have been in operation for as little as 3 months. Fundbox also lends to business owners with credit scores as low as 600.
Fundbox’s application process is quick, with some borrowers getting an approval decision in as little as three minutes. The funding process is just as speedy, with some borrowers receiving funds as quickly as the next business day after approval.
Fundbox Services
Fundbox offers business lines of credit up to $150,000.
Fundbox Rates & Fees
Fundbox’s rates start at 4.66%+ (12-week terms) or 8.99%+ (24-week terms).
Fundbox Eligibility Requirements
To qualify for a Fundbox line of credit, you must meet these requirements:
Fundbox
Time In Business
3 months
Business Revenue
$30,000/year
Credit Score
600
Choose Fundbox If...
You want a flexible line of credit to draw from as needed
You have a low credit score and don’t qualify for funding elsewhere
You’ve only been in business 3 months and need funding
Why We Chose Wells Fargo For Best Bank Lines Of Credit
If you want competitive rates for your business line of credit, you can’t go wrong with Wells Fargo. Wells Fargo offers low-interest lines of credit for credit-worthy borrowers. Options are even available for businesses that have been in operation for less than two years.
For businesses that want a more traditional loan option, Wells Fargo also offers SBA 7(a) and SBA 504 loans with repayment terms up to 25 years.
Wells Fargo Services
Wells Fargo offers the following services to businesses:
BusinessLine lines of credit up to $150,000 for businesses in operations for 2+ years
Small Business Advantage lines of credit up to $50,000 for businesses in operations for less than 2 years
SBA 7(a) loans up to $5 million
SBA 504 loans up to $6.5 million
Wells Fargo Rates & Fees
Rates and fees vary by financial product. BusinessLine LOCs have rates starting at Prime + 1.75%. Small Business Advantage LOCs have rates starting at Prime + 4.5%. SBA loans may be fixed or variable and are based on the current SBA rates.
Wells Fargo Eligibility Requirements
To qualify for lending through Wells Fargo, you must meet these requirements:
Wells Fargo
Time In Business
2 years
Business Revenue
$1.50 in cash flow for every $1 borrowed
Credit Score
680
Choose Wells Fargo If...
You want a low-interest line of credit
You want a low-interest, long-term SBA loan
You have a good credit score and want to get the best rates and terms
Borrower qualifications are lower than what banks offer
Low credit score requirements
No extra fees
Cons
No long-term financing options are available
A blanket lien is required
A personal guarantee is required
Why We Chose LoanBuilder Loans For New Businesses
What makes LoanBuilder stand out is that businesses that have been in operation for as little as 9 months may qualify for funding, making this a good option for newer businesses. Borrower requirements across the board are also more relaxed than banks, making it easier for more businesses to qualify.
LoanBuilder Services
LoanBuilder offers short-term business loans of $5,000 to $100,000, although repeat borrowers may qualify for up to $150,000. Loans are repaid over 17 – 52 weeks.
LoanBuilder Rates & Fees
LoanBuilder does not use a traditional interest rate. Instead, it charges a one-time fee. Though these fees are no longer disclosed, previous fee ranges disclosed were 2.9% – 18.72% of the borrowing amount.
LoanBuilder Eligibility Requirements
You must meet these requirements to qualify for LoanBuilder’s short-term loans:
LoanBuilder
Time In Business
9 months
Business Revenue
$33,300
Credit Score
Undisclosed
Choose LoanBuilder If...
You want a fast and easy loan
You’ve been in business for less than one year
You want a loan with a simple, one-time fee that’s easy to understand
Borrower qualifications are lower than what banks offer
Financing is available to qualified startups
Monthly repayments
Cons
Rates can be expensive
Some additional fees are charged
Why We Chose Accion For Startups & Underserved Borrowers
Accion is a nonprofit lender that looks beyond just credit scores. Accion is startup-friendly and also provides funding to underserved borrowers, including women, minorities, and immigrants.
In addition to offering funding, Accion can also connect you to small business coaching, educational resources, and support networks to help your business succeed.
Accion Services
Accion offers small business loans from $5,000 – $250,000 for eligible borrowers.
Equipment financing of $5,000 – $250,000 is also available.
Accion Rates & Fees
Interest rates start at 8.49%. An origination fee of 3% – 5% will also apply. Repayment terms are from 12 – 60 months.
Rates and terms are not disclosed for equipment financing.
Accion Eligibility Requirements
To qualify for a loan from Accion, you must meet these requirements:
Accion
Time In Business
12 months
Business Revenue
$50,000/year
Credit Score
600
To qualify for equipment financing, you must have a minimum credit score of 600 and have a CDL or six months of driving experience.
Choose Accion If...
You’re an underserved borrower that can’t qualify for funding elsewhere
You own a startup business and don’t qualify for other funding
You want to work with a lender that provides other resources, including support and coaching
It’s not every day that you find small business loans with 0% interest rates, but that’s exactly what you can get with Kiva U.S. This crowdfunding platform helps small business owners get funded up to $15,000with 0% interest.
There are no credit score requirements to qualify. Friends and family lend to you through the platform to prove your creditworthiness over a 15-day period. Next, you’ll enter a 30-day public funding period to connect to over 1.6 million lenders.
Kiva U.S. Services
Kiva U.S. offers small business loans up to $15,000with repayment terms up to 36 months.
Kiva U.S. Rates & Fees
Unlike other loans, Kiva U.S. small business loans have 0% interest and no additional fees.
Kiva U.S. Eligibility Requirements
Kiva U.S. does not have any requirements in terms of minimum credit scores, revenue, or time in business. The only requirements are that you are at least 18, have a U.S.-based business that isn’t in bankruptcy, and have friends and family willing to loan money to you.
Choose Kiva U.S. If...
You have friends and family willing to loan money to you
You’re willing to raise money and wait for funding in exchange for a 0% interest rate
Business Loan & Funding Products Review Methodology
We spend hours researching and evaluating each business loan and funding product that we review at Merchant Maverick, placing special emphasis on key characteristics to generate our ratings.
Weighted Rating Breakdown
Rates & Fees 20%
Services 20%
Eligibility Requirements 20%
Application 15%
Sales & Advertising Transparency 10%
Customer Service 10%
User Reviews 5%
When rating lenders and funding providers, we use a 31-point rubric that looks at rates and fees, services, eligibility requirements, application, sales and advertising transparency, customer service, and user reviews. We weigh each section differently to calculate the total star rating. This rubric is applied to traditional term loans, as well as short-term loans, start-up loans, lines of credit, online lending products, merchant cash advances, and equipment financing products.
Rates & Fees: 20% of the total star rating
Services: 20% of the total star rating
Eligibility Requirements: 20% of the total star rating
Application: 15% of the total star rating
Sales & Advertising Transparency: 10% of the total star rating
Customer Support: 5% of the total star rating
User Reviews: 5% of the total star rating
Each section is further broken down into granular, weighted subsections, in which we examine specific attributes like terms lengths, conditions of repayment, credit score and revenue requirements, ease of application, length of time to funding, the ethics involved in promoting the lending product, customer support, and the overall reputation of the lender or funding provider.
High borrowing amounts, long repayment terms, used to purchase commercial property
How To Choose The Best Business Loan
Not all business loans are created equal, and even loans you’ve used in the past may not be the most suitable for your current situation. To choose the best business loans, keep the following factors in mind:
Borrowing amount
Purpose of the loan
Repayment terms (monthly, weekly, etc.)
Term length
The total cost of borrowing (interest, fees, and other costs)
Personal credit score and credit history
Time in business
Collateral requirements
Armed with an understanding of your business, credit history, and loan options on the market, you can make a more informed decision before committing to a loan and signing on the dotted line.
Which small business lender has the lowest fees?
Chelsea Krause is a writer who specializes in accounting, payroll, and small business loans. She has been helping small business owners manage their finances since 2016. She is a QuickBooks Certified User and former eCommerce store owner. Her accounting expertise has been quoted in Forbes and her work appears in Startup Nation, Small Business Bonfire, and Women on Business. Chelsea graduated summa cum laude with a BA in English & Creative Writing from George Fox University and studied abroad at the University of Oxford as well.
LoanBuilder has no hidden fees and only charges a one-time borrowing fee, so if you’re looking for low fees, this is a good option.
FAQs: Small Business Loans
What is the easiest small business loan to get?
Typically, short-term loans and business lines of credit are the easiest types of small business loans to receive. Many lenders offer easy applications, fast or even same-day business loans, and more relaxed borrower requirements. However, be aware that the total cost of borrowing may be much higher and repayment terms much shorter with these types of loans.
Is a small business loan hard to get?
With so many alternative lenders, it’s possible for most small businesses to qualify for a loan. Be aware, however, that loans with better terms and interest rates are more difficult to qualify for, and the application and funding process may be much lengthier.
Are online lenders safe?
Online lenders are safe, provided you work with a reputable company, like the lenders on this list. Make sure you do your research on any lender you’re considering, including checking out user reviews, looking for contact information, and checking with the Better Business Bureau.
What credit score do you need for a small business loan?
Credit score requirements for small business loans vary widely based on the type of loan you’re looking to receive (i.e., SBA and bank loans require a higher credit score of 650+, whereas short-term loans may only require a credit score of 600 or below). Borrowers with less-than-perfect credit may be eligible for business loans. However, the borrowing amount will typically be lower, interest rates will be higher, and repayment terms may not be as favorable as they are with a more creditworthy borrower.
Erica has been writing about small business finance and technology since 2008. She joined Merchant Maverick in 2018 and specializes in researching and reviewing business software, financial products, and other topics to help small businesses manage and grow their operations. Her expertise has been cited in MSN, Reader's Digest, Vox, U.S. News & World Report, and Real Simple. She is a Certified ProAdvisor for QuickBooks Online and QuickBooks Payroll, a graduate of Limestone University, and currently resides in Greenville, South Carolina.
View Erica Seppala's professional experience on LinkedIn.
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The vendors that appear on this list were chosen by subject matter experts on the basis of product quality, wide usage and availability, and positive reputation.
Merchant Maverick’s ratings are editorial in nature, and are not aggregated from user reviews. Each staff reviewer at Merchant Maverick is a subject matter expert with experience researching, testing, and evaluating small business software and services. The rating of this company or service is based on the author’s expert opinion and analysis of the product, and assessed and seconded by another subject matter expert on staff before publication. Merchant Maverick’s ratings are not influenced by affiliate partnerships.
Our unbiased reviews and content are supported in part by affiliate partnerships, and we adhere to strict guidelines to preserve editorial integrity. The editorial content on this page is not provided by any of the companies mentioned and has not been reviewed, approved or otherwise endorsed by any of these entities. Opinions expressed here are author’s alone.
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