The best small business loan is the one that matches three things: how fast you need the money, how much you need, and how strong your revenue and credit are. Get those three straight and most of this list rules itself out.
Speed costs money. A lender that funds in a day or two usually charges far more than a bank, and it wants the money back in months, not years. A government-backed loan is the cheapest money here, but it takes patience, paperwork and solid credit. In between sit lines of credit, real estate project loans and marketplaces that shop your application around.
We checked every lender below against its own site as of this update and cut the ones that stopped lending or left the market. Where a lender does not publish a number, we say so instead of guessing. The quick picks show what each one is best for; tap one to jump to its card and the fine print.
13 Best Small Business Loans
Our pick is Fora Financial: up to $1.5 million, a decision in as little as 4 hours, and a 570 credit score to qualify, with only a soft credit check to apply. The trade is cost. Terms top out at 18 months and it is priced higher than a bank loan, so if you can wait and your credit is strong, price an SBA loan first.
Fora FinancialOur pick for fast funding on fair creditup to $1.5M · funds in 24 hours2
National FundingBest for smaller working capital loans$6K to $500K3
GroundfloorBest for fix-and-flip and rental projects$75K to $2.5M+4
SBABest for the lowest capped ratesup to $5M5
BluevineBest line of credit for newer businessesup to $250K6
OnDeckBest for same-day funding with published rates$5K to $400K7
Biz2CreditBest for larger loans with $100K in revenue$25K to $2M+8
QuickbridgeBest for young businesses with strong salesup to $500K9
BusinessLoans.comBest for comparing several offers at onceup to 5 matches10
Finance FactoryBest for 700+ credit and card-based fundingup to $100K11
Amex Business BlueprintBest if you were looking for Kabbageline of credit12
PNC BankBest for a traditional bank relationshipbank loans13
TAB BankBest for an FDIC-insured bank lenderbank loans1. Fora Financial
Our pick for fast funding on fair credit
Best if you need money this week on fair credit.
Fora Financial funds up to $1.5 million, with a decision in as little as 4 hours and money as soon as 24 hours after you accept. The catch is cost and payback speed. Terms run 4 to 18 months with daily or weekly payments, and it is priced with a factor rate, so it costs more than a bank or SBA loan.
Fill out the 5-minute online application and send 3 months of business bank statements
A Capital Specialist calls, and a decision can come back in as little as 4 hours
Accept an offer and the lump sum can land in as little as 24 hours
Want the fine print? Rates, fees, and what you need to qualify
Costs more than a bank loan. Soft check to apply, no prepayment penalty.
2. National Funding
Best for smaller working capital loans
Best if you need a smaller amount fast.
National Funding offers working capital loans from $6,000 to $500,000 and equipment financing up to $150,000. You can apply without a hard credit check and, if approved, get funded in as little as 24 hours. National Funding requires at least $250,000 in annual sales.
Apply online with no hard credit check
National Funding weighs your full business profile, not one number
If approved, funding can arrive in as little as 24 hours
Want the fine print? Terms, speed, and what you need to qualify
Rates are not published. Daily or weekly payments on working capital.
3. Groundfloor
Best for fix-and-flip and rental projects
Best if you are financing a real estate project.
Groundfloor is not a general business lender. It makes short-term loans for fix-and-flip, fix-and-rent and new construction projects, from $75,000 to $2.5 million or more, at rates starting around 9% on 6 to 18 month terms.
Bring a property worth at least $50,000 and your project plan
Groundfloor weighs the deal and your track record more than your FICO
Close, with fees of 2.75% to 4% that can be rolled into the loan
Want the fine print? Rates, fees, and what you need to qualify
Rates from about 9%, plus 2.75% to 4% in fees.
4. U.S. Small Business Administration
Best for the lowest capped ratesBest if you can wait for the cheapest money.
The SBA does not lend money directly. Approved banks and other lenders make the loan and the government guarantees part of it, which is how the flagship 7(a) program caps both the loan size at $5 million and the rate you can be charged.
Find an SBA-approved bank or lender
Apply with your financials, credit history and collateral
Wait out the slower review in exchange for a capped rate
Want the fine print? Rate caps, terms, and what you need
Maximum rate of roughly 10.0% to 13.5% as of this update.
5. Bluevine
Best line of credit for newer businesses
Best if you want a reusable line of credit.
Bluevine’s business line of credit tops out at $250,000, and funded borrowers can see cash in 12 to 24 hours. It is friendlier to newer businesses than a bank, but you still sign a personal guarantee.
Confirm a 625+ FICO, 12 months in business and $120,000 in annual revenue
Apply online to get your actual rate
Draw only what you need from the line
Want the fine print? Rates, speed, and what you need to qualify
Rates are not published. Get your quote before you compare.
6. OnDeck
Best for same-day funding with published rates
Best if speed matters more than cost.
OnDeck, now part of Enova, offers term loans from $5,000 to $400,000 and lines of credit from $6,000 to $200,000, with same-day funding once you are approved. It also publishes what its borrowers actually pay, and it is a lot.
Have a 625 credit score, one year in business, $100,000 in revenue and a business checking account
Apply online for a term loan or a line of credit
Approved borrowers can be funded the same day
Want the fine print? Rates, speed, and what you need to qualify
Average APR of 53.2% on term loans and 59.8% on lines of credit.
7. Biz2Credit
Best for larger loans with $100K in revenue
Best if you need a bigger loan.
Biz2Credit offers a term loan, revenue-based financing and a line of credit. Term loans and revenue-based financing run $25,000 to $2 million or more, and the line of credit goes up to $500,000.
Check that you have a 650 FICO score and $100,000 in annual revenue
Apply to see an actual offer
Confirm the line of credit is offered in your state
Want the fine print? Rates, speed, and what you need to qualify
Rates come with your offer. The line of credit is not in every state.
8. Quickbridge
Best for young businesses with strong sales
Best if sales are strong and history is short.
Quickbridge funds up to $500,000 for businesses with at least 6 months of history and $250,000 or more in annual sales. A credit decision typically comes within a few hours, and funding can follow as fast as 24 hours after approval.
Confirm 6 months in business and $250,000 in annual sales
Apply and get a credit decision, typically within a few hours
Funding as fast as 24 hours after approval
Want the fine print? Rates, speed, and what you need to qualify
Rates are not published. Get a quote first.
9. BusinessLoans.com
Best for comparing several offers at once
Best if you want lenders to compete.
BusinessLoans.com is a marketplace, not a lender. A short prequalification questionnaire matches you with up to five funding partners, with no hard credit pull to start.
Answer the short prequalification questionnaire
Get matched with up to five funding partners
Compare the offers and check each lender’s real terms
Want the fine print? Loan types and what to expect
Terms depend on the partner. Check each offer.
10. Finance Factory
Best for 700+ credit and card-based fundingBest if your personal credit is 700 or higher.
Finance Factory has funded over $2 billion for small business owners since 2006. It now leans heavily on business credit card funding up to $100,000, which takes a 700+ personal credit score.
Confirm your personal credit score is 700 or higher
Start with no upfront cost and no hard credit pull
Finance Factory lines up card funding or brokers another product
Want the fine print? What it brokers and who it fits
Up to $100,000 in business credit card funding.
11. American Express Business Blueprint
Best if you were looking for KabbageBest if you were searching for Kabbage.
Kabbage is gone as an independent lender. American Express bought its underwriting technology out of bankruptcy in 2020 and folded it into American Express Business Blueprint, a business line of credit built on the old Kabbage engine.
Go to the Business Blueprint page for current terms
Ignore the old Kabbage numbers, they no longer apply
Apply only after you see the real rate and limit
Want the fine print? What changed and what to check
Current rates and limits are not confirmed. Check the lender.
12. PNC Bank
Best for a traditional bank relationship
Best if you want a bank, not a fintech.
PNC Bank offers a business line of credit, term loans, SBA loans and commercial real estate financing. As a traditional bank it is slower and more document-heavy than an online lender, in exchange for what is typically a lower rate if you qualify.
Call a PNC business banker at 1-877-BUS-BNKG or start online
Gather your documents for a bank-style review
Get real numbers before you compare
Want the fine print? What is published and what is not
Rates and minimums are not published online.
13. TAB Bank
Best for an FDIC-insured bank lender
Best if you prefer an FDIC-insured bank.
TAB Bank is an FDIC-insured industrial bank that lends to small businesses, with business term loans and lines of credit alongside its personal banking products.
Contact TAB Bank for a direct quote
Compare that quote to the other lenders here
Apply once the numbers work
Want the fine print? What is published and what is not
Rates and minimums are not published. Get a direct quote.
How to Qualify for a Business Loan
If you’re not sure how to finance your business yourself, the first step is understanding how you can qualify for business loans. These loans are similar to personal loans but are tailored to small business owners. They even cater to small business owners with bad credit or even no credit.
Qualifying for a business loan begins with meeting the eligibility requirements set out by a particular opportunity, specifically the institution offering the loan. Requirements may include:
- A minimum (business) credit score
- Total number of years in business
- Records proving annual revenue
- Business and industry type
- A business plan
If your business is young enough that it doesn’t have an established credit score yet, most institutions will verify your credit score. They may also consider your company’s ability to pay back the requested loan amount based on its current circumstances. Demonstrating that ability often comes with putting up collateral in some form.
A Note About Personal Guarantees
As you read through the fine details of each loan you encounter, you’re likely to see the phrase “personal guarantee.” This phrase does not refer to a signed written statement with the words “I guarantee it!” Instead, it’s a guarantee that the lender can seize personal assets should you default on the loan.
It’s important to note that this guarantee supersedes any limited liability corporation (LLC) status. It gives lenders the right to come after you personally. Keep this in mind as you peruse small business bank loans.
Types of Small Business Loans
With so many banking terms thrown around, it can be difficult to figure out which type of loan is best. There are also rising interest rates to consider, as well as determining whether or not you believe online banking is safe. Let’s take a closer look at what types of small business loans you can take advantage of.
Business Term Loans
A term loan, whether it’s for business purposes or not, simply describes a loan with a determined end date. For example, car loans are term loans, because you have to pay the loan back in full by a specific date. As with a car loan, business term loans are best for large sums potentially used for a single investment.
Finding an online term loan to fit your business needs is a bit like having a net 30 account. You know how much you’re going to spend and when you’ll need to pay it back. Online lenders can often approve you faster for a term loan, as long as you have established good credit and a solid financial history.
Term loans are often categorized as short- or long-term. It’s easier to qualify for a short-term loan, especially for quick funding. However, long-term loans can offer lower monthly payments, though you will need to meet potentially stringent criteria to qualify.
Bank Lines of Credit
As with any line of credit, you only owe money on a business line of credit if you pull from it. Bank lines of credit can be more flexible than a term loan. You only pay interest on the amount you borrowed, so you have some control over how much you spend overall.
Bank lines of credit are best for established businesses. Both traditional and online banks offer lines of credit, though online lenders tend to work more with fledgling companies than traditional banks.
SBA Loans
These loans are partially guaranteed by the U.S. Small Business Administration. Virtually any lender can make up the rest of the loan, depending on the circumstances. Most SBA loans offer rates and terms tailored to small businesses. However, you will need good personal credit and plenty of time on hand if you want to go this route. Though funding can be large and long-term, application and approval processes can be slow.
Equipment Financing
This type of loan is nearly self-explanatory. Some small businesses require large machines to compete with the market and equipment financing can help bridge that gap. The best part of the deal is that the equipment acts as collateral, so small business owners don’t have to put up as much personal collateral to qualify. It’s often easier to qualify for an equipment financing loan than it is for other types of small business loans.
Small Business Loan FAQs
Fora Financial has one of the lowest published bars on this page: a 570 FICO score, 6 months in business and $240,000 in annual revenue, and applying only takes a soft credit check. The catch is cost. Terms run 4 to 18 months and it is priced higher than a bank loan, so check the offer before you accept. If you need a smaller amount, National Funding lends from $6,000 and says most of its customers have a FICO of 600 or higher.
Online lenders can move in a day or two. Fora Financial can give a decision in as little as 4 hours and fund as soon as 24 hours after you accept. OnDeck funds approved borrowers the same day, and Bluevine can get cash to funded borrowers in 12 to 24 hours. Bank and SBA loans cost less but take much longer, so apply early if you want the lower rate.
No, small business loans don’t require perfect credit. Though a higher credit score (personal or business) will get you a better interest rate, it’s not necessarily a determining factor by itself. Most lenders will consider businesses with less-than-perfect credit, especially online lenders.
Most small business loans are used for startup funding. It takes an enormous amount of capital to get even a small business going, so these types of loans help make up the difference. One company might use the funds to purchase inventory while another may invest in machines to make their inventory instead.
Depending on the business, it can be hard to qualify for a small business loan. Owners are at the mercy of lenders and must meet eligibility requirements to even be considered. However, many small businesses credit these types of loans as a stepping stone to becoming a full-fledged, successful business. If your credit and paperwork can clear a slower process, an SBA loan is the one option on this list with a legally capped rate.
Take the Money and Fund Your Business
Here’s a small business tip for you as you look over these business loans: having a small business budget can help you make the most of your new business loan.
At the same time, taking advantage of free business checking accounts and other business checking account promotions with the business loan money can also get you further ahead. If you haven’t picked a bank yet, compare the best business checking accounts and, if you’re structured as an LLC, the accounts built specifically for LLCs before you deposit a loan check into a personal account.
Opening a business can be scary, especially without any guarantees. At the same time, there are plenty of banks out there willing to lend a hand (and money) to boost your success.
We hope you’ve found this article helpful in figuring out what the best small business loans are and how you can qualify. With so many options to choose from, you’re bound to find one that fits your needs. Once you’ve received your new small business loan, all that’s left is to chase the dream.
All 13 at a glance
| Lender | Loan amount | Time to fund | Min. credit or revenue | Best for | Get started |
|---|---|---|---|---|---|
4.5 | Up to $1.5M | 24 hours | 570 FICO, $240K revenue | Fast funding on fair credit | |
4.0 | $6K to $500K | 24 hours | 600 FICO typical | Smaller, fast loans | |
4.0 | $75K to $2.5M+ | Check the lender | None published | Real estate projects | |
4.5 | Up to $5M | Slowest here | Check the lender | Lowest capped rates | |
4.0 | Up to $250K | 12 to 24 hours | 625 FICO, $120K revenue | Line of credit | |
4.0 | $5K to $400K | Same day | 625 FICO, $100K revenue | Same-day funding | |
4.0 | $25K to $2M+ | Check the lender | 650 FICO, $100K revenue | Larger loans | |
3.5 | Up to $500K | 24 hours | $250K sales, 6 months | Young, high-sales businesses | |
3.5 | Check the lender | Check the lender | Check the lender | Comparing offers | |
3.5 | Up to $100K | Check the lender | 700 FICO | 700+ credit | |
3.5 | Check the lender | Check the lender | Check the lender | Former Kabbage users | |
3.5 | Check the lender | Slower | Check the lender | Bank relationship | |
3.5 | Check the lender | Check the lender | Check the lender | FDIC-insured bank |
| Lender | Amount | Speed | Best for | Go |
|---|---|---|---|---|
| 4.5 | Up to $1.5M | 24 hours | Fast, fair credit | |
| 4.0 | $6K to $500K | 24 hours | Smaller loans | |
| 4.0 | $75K to $2.5M+ | Check lender | Real estate projects | |
| 4.5 | Up to $5M | Slowest | Capped rates | |
| 4.0 | Up to $250K | 12 to 24 hrs | Line of credit | |
| 4.0 | $5K to $400K | Same day | Same-day funding | |
| 4.0 | $25K to $2M+ | Check lender | Larger loans | |
| 3.5 | Up to $500K | 24 hours | Strong sales | |
| 3.5 | Check lender | Check lender | Comparing offers | |
| 3.5 | Up to $100K | Check lender | 700+ credit | |
| 3.5 | Check lender | Check lender | Former Kabbage | |
| 3.5 | Check lender | Slower | Bank loan | |
| 3.5 | Check lender | Check lender | Bank lender |
