5 Best Small Business Loans of April 2026

*Rates and APYs may have changed. Use the provided links for the specific lenders to contact the lender and confirm current terms.

What to Know About the Best Small Business Loans

• Biz2Credit matches small businesses with financing products based on their financial standing
• Bluevine has a quick funding time and a high credit line limit
• Fundbox has lower income and business history requirements than most options
• Lendio offers large loan amounts, particularly on startup loans
• OnDeck offers fast and, sometimes, even instant funding

How we chose our top picks

Since 2020, our writers and editors have invested hundreds of hours finding the best small business loans. For this report, we vetted 29 lenders for more than 20 data points each, including their qualification requirements, application process and funding options. Based on this research, we selected five top companies, including BlueVine, OnDeck and Fundbox.

Our Top Picks for Best Small Business Loans

The companies listed below are in alphabetical order.

• Biz2credit – Best Financing Platform
• Bluevine – Best for Lines of Credit
• Fundbox – Best for New Businesses
• Lendio – Best for Large Loan Amounts
• OnDeck – Best for Fast Funding

Best Small Business Loans Reviews

Pros

• Direct lender and marketplace all in one
• Many financing products
• Low credit score minimums
• Large loan amounts

Cons

• At least one year of business history required

HIGHLIGHTS

Types of loans:

Business term loans, revenue-based financing, lines of credit and commercial real estate loans

Rates:

Not disclosed.

Terms:

12 to 36 months, 5 to 20 years for commercial real estate loans

Min. credit score:

650 for term loans, commercial real estate loans and lines of credit, 575 for revenue-based financing

Min. revenue:

$250K for lines of credit; $100K for revenue-based financing and term loans

Max. loan amount:

Up to $2M for term loans and revenue-based financing, $500k for lines of credit and $6M for commercial real estate loans

Fees:

None disclosed

Why we chose it: Biz2credit is both a direct lender, and it matches small business owners with a variety of external funding options tailored to the business’s needs.

Business owners can apply in as few as four minutes, get approval in just 24 hours and obtain funding as quickly as 72 hours. Of course, this will depend on the lender, loan type and specific qualifications for financing.

To qualify for a revenue-based financing through Biz2credit, you will need a minimum credit score of 575. Your business must also be at least 1 year old and have a minimum of $100,000 in annual revenue. For a term loan, you’ll need the same minimum revenue but a credit score of at least 650 and to have been in business for at least 15 months.

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Pros

• Zero monthly fees
• Funds deposited into account in just a few hours
• Can apply for a credit line or external term loans all in one
• Decisions in just 24 hours

Cons

• $15 fee applies to bank wire transfers
• Not available in all 50 states
• Requires 12 months in business

HIGHLIGHTS

Types of loans:

Lines of credit, term loans, SBA loans

Rates:

Starting at 7.8%

Terms:

6 or 12 months

Min. credit score:

625

Min. revenue:

$120K annually

Max. loan amount

$250,000 for lines of credit, $350,000 for SBA loans, $500,000 for term loans

Fees:

$15 for bank wires

Why we chose it: Bluevine’s quick funding time — between one and three business days — and high credit line limit make it our top loan provider for lines of credit. Bluevine customers can get up to $250,000 in revolving credit.

To qualify for a Bluevine line of credit (issued by Utah-based Celtic Bank), your business must be an LLC or corporation that’s been in operation for at least 12 months. The business must also make at least $10,000 in monthly revenue and have a personal credit score of at least 625. The Bluevine line of credit comes with high annual percentage rates and autopayments are required weekly or monthly.

Business owners interested in same-day funding should note that Bluevine charges a $15 fee for direct wire transfers. ACH transfers are free, but the funds may take up to three days to be reflected in your account.

Bluevine also offers term and SBA loans through partner lenders, as well as business accounts, invoicing tools and payment solutions.

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Pros

• No prepayment penalty or origination fee
• No inactivity fees
• Only requires three months in business
• Funds are available within two business days

Cons

• Charges draw fees and late fees
• Payments required weekly on most accounts

HIGHLIGHTS

Types of loans:

Lines of credit

Rates:

Not disclosed

Terms:

12 to 104 weeks

Min. credit score:

600

Min. revenue:

$30K annually

Max. loan amount:

Up to $250K for lines of credit

Fees:

Late payments, non-sufficient funds and credit line draws

Why we chose it: Fundbox offers lines of credit up to $250,000 and funding within two days. It does not charge prepayment penalties or origination fees but does charge draw fees.

To qualify for a line of credit with Fundbox, your business only needs to have been in business for three months before applying — a much shorter requirement than other lenders. You also need to have a minimum personal credit score of 600, a business bank account and at least $30,000 in annual revenue.

Pros

• Startup loans for up to $10 million
• Compare over 75 online and bank lenders
• Up to $2 million for term loans and $3 million for lines of credit
• Up to $5 million for business acquisition loans, SBA loans and equipment financing and $10 million in accounts receivable financing
• Funding as fast as 24 hours for some products

Cons

• Prepayment penalties vary by lender
• Online application requires several documents including three months of business bank statements

HIGHLIGHTS

Types of loans:

SBA loans, business term loans, short-term loans, revenue-based financing, commercial mortgages, equipment financing, start-up loans, acquisition loans, lines of credit, business credit cards, accounts receivable financing

Rates:

3% to 60% depending on funding type

Terms:

3 months to 30 years depending on loan type

Min. credit score:

Depends on lender and type of funding, but 580 and up for many

Min. revenue:

Depends on lender and type of funding

Fees:

Prepayment penalties and origination fees, depending on lender

Why we chose it: Lendio is among the few marketplaces that offer startup loans with terms of up to five years, and at competitive rates.

As a marketplace, Lendio offers a broad range of small-business loan products. Chief among them are startup loans, which not all lenders offer and can be instrumental in building a new business from the ground up. You can obtain a startup loan through Lendio for amounts of up to $10 million and terms of up to five years.

Another advantage of working with Lendio is that the marketplace offers loans from more than 75 different lenders, including Bank of America, American Express®️, On Deck Capital, Mulligan Funding, Funding Circle and Ready Capital. Borrowers can apply online in as few as 15 minutes and obtain funding within 24 hours, depending on the type of funding. Depending on the lender, collateral in the form of business or personal assets may be required.

Pros

• Credit lines often come with instant funding, paying out in seconds
• No opening, closing, prepayment or draw fees

Cons

• Instant funding only available up to $10k
• Requires a business lien and personal guarantee
• Origination fees apply
• Not available in North Dakota

HIGHLIGHTS

Types of loans:

Short term business loans, business lines of credit

Rates:

Average interest rate for term loans is 56.4% and for lines of credit is 56.6% APR

Terms:

Up to 24 months

Min. credit score:

625

Min. revenue:

$100K annually

Max. loan amount:

$400,000 for term loans and $200,000 for lines of credit

Fees:

Origination fees of 0 to 4%

Why we chose it: OnDeck’s Instant Funding may be a good choice if you need cash fast. The program offers qualifying line of credit borrowers funding via ACH in seconds. For those who don’t qualify, there’s also same-day funding, offering funding by 5 p.m. that business day.

To qualify with OnDeck, you must have a minimum FICO score of 625, make at least $100,000 in annual revenue and have been in business for at least one year. However, the company claims their average customer has been in business for over three years, makes $300,000 in annual revenue and has a credit score of 650 or higher.

Applicants with less-than-stellar credit and lower annual revenue streams may want to look elsewhere, especially considering OnDeck’s high average interest rates. Another important consideration is that OnDeck requires customers to sign a personal guarantee and agree to a blanket lien on their business assets. This means you would be liable to repay your business’s debts if your company defaults on the loan.

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Other small business loan companies we considered

When researching small business lending, we found countless options, especially in the online lending sphere, and it wasn’t possible to include them all in our top picks. You’ll find short reviews of our “honorable mentions” below, as well as the pros and cons of each lender and why they didn’t make it to our top picks.

National Funding

Pros

• Approval in 24 hours, subject to lender requirements
• Only six months in business required
• Variety of product options
• Early payoff discount for certain loan options
• No collateral required

Cons

• No information about average interest rates or fees
• High revenue requirement
• Requires daily or weekly payments for working capital loans

National Funding features a simple online application and fast access to funds. In addition, the lender uses alternative credit data to evaluate businesses with less-than-stellar credit and has an entire section with tips on improving your chances of approval for a small business loan with bad credit. Finally, National Funding’s early payoff discount can cut costs for borrowers who pay off their remaining balance within 100 days of signing their contract.

Why it didn’t make the cut: Business owners may find that the company’s website lacks information compared to other lenders. National Funding does not disclose average rates or fees, for example, and its annual revenue requirements are on the high side.

Quickbridge

Pros

• No minimum credit score required to apply
• No collateral requirements
• Funding in as few as 24 hours

Cons

• Charges origination fees
• Limited information about borrower requirements and loans

Quickbridge, owned by National Funding, offers business owners term loans, working capital loans, lines of credit, receivables financing, inventory financing and equipment financing. Applicants don’t have to put up collateral and don’t need a perfect credit score to apply — Quickbridge’s credit scoring model considers time in business and average monthly revenue in its credit decision. After receiving your online application, a loan specialist will work with you to find the right funding option. As with other online lenders, funds may be available within 24 hours after approval.

Why it didn’t make the cut: Quickbridge’s website has less information than most lenders about borrower requirements, loan terms and funding options. Business owners will need to apply for prequalification (which includes a soft credit pull) and contact a loan specialist to review loan terms and rates.

Kiva

Pros

• Supports artisans, small businesses and developing communities
• Zero interest
• Available in over 80 countries
• No minimum credit score requirement
• No fees

Cons

• Longer waiting period since loans are crowdfunded
• Direct sales, financial investing and franchise businesses are ineligible
• Loans disbursed through microlenders (MFI) have higher interest rates
• 10-15 day approval timeline
• Not available in Nevada or North Dakota

Kiva operates on a crowdfunding model, where individual donors finance loans. Kiva first assesses applicants’ creditworthiness in an unconventional way. Candidates must obtain between five and 40 endorsements from their community, demonstrating that they are deemed creditworthy by their support network.

Once this prerequisite is met, the fundraiser is posted on Kiva’s public lending platform, where you’ll have 35 days to meet your fundraising goal. Once you reach the goal, the funds are disbursed, and you can begin repaying the loan over time, free of interest.

Why it didn’t make the cut: Kiva is an excellent option for individuals with low credit scores or limited access to capital. However, as a crowdfunding platform, if the targeted amount is not reached within 35 days, investors will be refunded and the person hosting the fundraiser will not receive any funds.

Small Business Loans Guide

Table of Contents

• How do small business loans work?
• Pros and cons of small business loans
• Types of small business loans
• How to get a small business loan
• Business credit vs. personal credit
• How to get a small business loan with bad credit
• Where to get a small business loan
• SBA loans and how they work

Small businesses — defined as those with 500 employees or fewer by the U.S. Small Business Administration (SBA) — typically reach a point in their development where additional capital is required to continue growing. In the past, such funding primarily came from traditional banks or credit unions. Now, online lenders and lending marketplaces provide new alternatives for small-business funding.

This guide walks you through the different types of small business loans, how they work and how to qualify for them. We also dedicate a section to SBA-backed business loans. These loans have caps on interest rates, long repayment terms and more lenient credit requirements than traditional bank loans.

How do small business loans work?

Small business loans provide funding to entrepreneurs, whether they need capital to expand, cover payroll, purchase real estate, or acquire new equipment or inventory.

As with personal loans, small business loans have minimum qualification requirements that vary by lender and loan type. In general, however, small business owners will need to have a good credit score and evidence of business revenue to qualify.

There are many different funding options available to small business owners, and these can come from several sources:

• Bank lenders – Traditional banks typically have lower rates but more stringent qualification requirements. Funding times may also take longer.

• Non-bank online lenders – Online lenders offer quick funding times and have more flexible qualification requirements. However, rates tend to be much higher than those offered by bank lenders.

• Peer-to-peer lending – Lending platforms connect business owners to potential investors. This type of lending is riskier for investors, who may not recover their investment if the borrower defaults. Borrowers, on the other hand, may find lower interest rates and better loan terms.

Pros and cons of small business loans

Pros

• Money can be used to finance everything from equipment to payroll
• Builds business credit history
• Fund your business without involving investors
• Lump sum of money improves cash flow
• Lower interest rates compared to personal loans

Cons

• Requires strong personal and business credit
• Lenders generally require a minimum revenue and time in business
• Long underwriting process and may require collateral

Types of small business loans

Business loans are available from a variety of funding sources, including online lenders, brick-and-mortar institutions, banks and credit unions. The loans are designed to serve a diverse range of business types, from startups to established family enterprises. The various financing options can replace or supplement personal loans with various loan types, including lines of credit, term loans and invoice solutions.

The best fit depends on your business type, loan purpose, credit history and financial background. Application processes and eligibility requirements vary by lender, as do requirements such as the need for a business plan and the minimum annual revenue. Here’s a rundown of the key loan options:

Commercial real estate loans

These loans offer business financing for the purchase or renovation of commercial property. Often, you’ll need to occupy at least half of the property’s space to qualify.

Invoice factoring

This option involves selling your invoices to a factoring company at a discount. The buyer then pays you a percentage upfront (think 90%) and collects from your customers. Once collected, the company releases the remaining funds minus a fee.

Invoice financing

Unlike invoice factoring, invoice financing involves borrowing against unpaid invoices. You use them as collateral for a cash advance, and repay the invoices when your customers pay you. Unlike factoring, you retain ownership of your invoices and the responsibility to collect on them.

Equipment loans

This loan option provides you with working capital to acquire equipment without upfront costs. The equipment itself acts as collateral — if you can’t repay, the lender takes it — which can allow greater leeway in the loan amount.

Business lines of credit

Business lines of credit function like credit cards; they offer a pool of funds that refills as you repay. These products are ideal for short-term needs or to meet unexpected expenses. You only pay interest on what you use, with regular repayments.

Business credit cards

Business credit cards allow you to keep personal expenses distinct from those of your business. Your business can then enjoy higher credit limits, authorized user cards for employees and rewards programs for common purchases. Using these cards can also help with monthly cash flow and build the business’s credit history. That means as a business owner, you needn’t rely solely on your personal credit and credit score, although blemishes on your individual record, such as bad credit, may still hurt you and the business.

Term loans

With a business term loan, you receive a lump sum upfront to repay over a set period (the term). These loans can have fixed or variable interest rates with repayment terms up to five years. SBA loans, which are guaranteed by the Small Business Administration, are a type of term loan.

Merchant cash advances

These allow you to get a lump sum in exchange for a percentage of your future credit and debit card sales. MCAs offer same-day funding, making them attractive for emergencies, but beware of their terms: MCA rates can be very high, and they require daily or weekly repayments.

Franchise loans

Franchise loans allow you to get upfront financing to cover franchise fees, legal fees, real estate costs and other day-to-day expenses related to starting a franchise.

How to get a small business loan

If you’re an entrepreneur on a search for a small business loan, whether for working capital to expand or to solve a short-term funding gap, here’s a battle plan to secure the best business financing for your enterprise.

1. Decide which loan type is best

Every business borrower has particular needs at particular times, and there should be a funding option to fit every scenario. Are you expanding or plugging a hole in your cash flow? Or starting a new business and need working capital in order to expand? Microloans, short-term loans, equipment loans, a business line of credit and real estate financing are just a few of the loan options at your disposal. Consider an SBA loan (from the U.S. Small Business Administration) for a government-backed loan through a bank, or explore online lenders and peer-to-peer platforms. All of these loan programs can work for both established businesses and startups.

2. Compare the various lenders

From traditional banks and credit unions to modern online options and peer-to-peer lending, your business financing options and the financial institutions you choose are vast. Start by researching reputation and reliability. Once you have a shortlist, consider your qualification, loan type, and preferred banking experience (online vs. traditional) to find the perfect match.

3. Compare interest rates

Shop around. Different lenders offer differing annual percentage rates. Generally, revolving loans, business credit cards, accounts receivable financing, and merchant cash advances carry higher interest rates than the other options. Non-bank online lenders often have steeper rates than traditional banks as well. When comparing rates, consider the lender‘s maximum loan amounts and term lengths.

4. Beware hidden costs

Be mindful of the varying fees associated with lenders and loan types. While most lenders have origination fees, some waive prepayment penalties and closing charges. Other potential charges include fees for funding, opening an account, closing a loan, maintaining an account and sending a wire transfer. Naturally, you will also want to scrutinize the repayment terms for each loan option.

5. Prepare to apply

Credit history counts during the loan application process. You’ll need a strong business credit score or personal credit score (ideally above 660; lower scores may be considered to be bad credit) and a business checking account. Eligibility often requires meeting a minimum revenue threshold (many online lenders require at least $100,000) along with essential documentation:

• Loan application form
• Evidence of business history
• Business plan
• Business credit report
• Personal and business tax returns
• Bank statements
• Financial statements, such as accounts receivable and accounts payable
• Collateral in the form of business or personal assets
• Legal documents such as articles of incorporation

Business credit vs. personal credit

When applying for a business loan, lenders will look at your business credit score as well as your personal credit score. While these scores are different, both measure creditworthiness and the ability to repay loans.

The table below shows a summarized comparison between the two:

Since most business lenders require you to have solid personal credit to qualify, consider improving your credit score before applying for a loan.

You can improve your credit on your own at no cost or pay for help from the best credit repair companies.

If you need financial assistance now and don’t have time to work on credit repair, take a look at our selection of the best loans for bad credit.

How to get a small business loan with bad credit

First, what counts as bad credit? According to FICO’s scoring chart, scores lower than 670 will limit your lender options, while scores under 580 are considered “poor.” VantageScore, on the other hand, sets the cutoff point a little lower: scores lower than 661 aren’t considered “good,” while 600 or lower is considered “bad.”

Poor credit can make qualifying for a business loan difficult, but not impossible. Follow these steps if you need a business loan but don’t meet the credit score requirements yet:

Evaluate your credit

Take a close look at your credit score to identify areas that need improvement. There are no short-term fixes for negative marks, such as late payments, but you can improve your score in various ways. For example, lowering your credit utilization ratio (how much of your available credit you are using) below 30% may increase the score as soon as the next reporting cycle (which is usually a month). You can also request credit reports from the three major credit bureaus — Experian, Equifax and TransUnion — and dispute any errors.

Look for lenders with flexible credit requirements

Many lenders set lower credit score requirements and consider alternative credit when evaluating your creditworthiness. For example, robust savings and a positive rent payment history may be enough to offset a low credit score. The downside to such loans is that lenders charge higher interest rates and fees, so a clear business plan and repayment strategy are crucial.

Get a cosigner

Loan approval and favorable rates and terms are possible with a cosigner who has good to excellent credit. This financial relationship requires trust, especially on the cosigner’s part, since they’ll be responsible for the debt if you default. To get a cosigner on board, we recommend writing a thorough business plan that includes how you plan to repay the debt.

Put up collateral

Business owners can leverage unpaid invoices or future credit and debit card transactions to secure credit lines and cash advances. Such collateral indicates to lenders that the business will have sufficient assets to repay its debts, even if it currently has a lower credit score.

Having a steady cash flow also works to your advantage. You can improve your chances of approval if you use that cash towards a large down payment.

Consider an SBA microloan

The SBA offers microloans of up to $50,000 to support small businesses and eligible childcare centers. Microloan lenders — unlike other SBA lenders — generally accept borrowers who wouldn’t qualify for a standard SBA 7(a) loan due to limited capital and lack of credit history.

The average such microloan is approximately $13,000, making this option best suited for startups and enterprises that require only a modest injection of funds.

Where to get a small business loan

You can apply for a small business loan through a bank (also known as a traditional lender), a non-bank online lender or a credit union.

Another form of lending that’s become popular for small businesses is peer-to-peer lending.

Traditional lenders

The term “traditional lender” typically refers to established brick-and-mortar banks. These institutions generally offer business loans with lower rates as well as access to a professional banker or loan officer at a local branch.

The downside to working with traditional lenders is that most require a good credit score and collateral. Borrowers will also be required to complete additional paperwork and wait longer for funds to be disbursed.

Credit unions

Unlike banks or online lenders, credit unions are member-owned financial institutions. These generally provide the same services as banks and are known to offer financial products with lower interest rates and lower transaction costs.

Many credit unions are also certified as Community Development Financial Institutions (CDFI), a designation given to lenders that promote economic growth for individuals, organizations and businesses in underserved communities through affordable grants and financing. In fact, credit unions are the second-largest group of CDFIs in the United States, according to the list of certified institutions published in 2023.

If you’re interested in working with a credit union, know that you’ll have to meet membership requirements and the institution may have a smaller branch network than a bank.

Online lenders

Business owners may seek funding through online services (also known as non-bank lenders). These companies offer multiple financing options, which are issued by a partner bank or financial institution. Business owners can complete the application and loan processing online and receive funds within a few days. Online lenders tend to have flexible eligibility requirements, which may benefit borrowers who wouldn’t qualify for business loans elsewhere.

However, online lenders set higher interest rates than traditional banks or credit unions and, obviously, lack in-person customer service. The latter may be a dealbreaker for business owners who prioritize building a relationship with their bank and getting personalized advice and customer support.

P2P loans

Peer-to-peer loans are funded by individual investors rather than lending institutions. These loans are available through peer-to-peer (P2P) lending platforms that act as intermediaries, matching investors with qualified borrowers.

SBA loans and how they work

The SBA backs small business loans provided by traditional banks by covering a portion of the loan if the borrower defaults. Since lenders face less risk, SBA-backed loan rates are more competitive and may offer better terms.

For example, during the COVID-19 pandemic, the SBA extended several relief programs to assist small business owners impacted by the health crisis. In addition to deferring principal and interest payments for disaster loans, the SBA created the Economic Injury Disaster Loan (EIDL), the Shuttered Venues Grant and the Paycheck Protection Program (PPP). Although applications for these programs are now closed, some small business owners can still apply for PPP loan forgiveness (as long as their PPP loan is no older than five years).

It’s important to note that the SBA does not lend money directly to small businesses unless they are located in a declared disaster area. Instead, the SBA sets lending guidelines for small business lenders, including banks, community organizations, and microlenders.

Many SBA loan programs also require businesses to have the appropriate insurance policies in place. If you’re applying for an SBA loan and you’re missing insurance coverage, check out our list of the best small business insurance companies.

Types of SBA loans

The following are some common types of SBA loans:

SBA 7(a) loans: The most common type of small business loan. This loan is best suited for real estate acquisition. Yet it can also be used for short- and long-term working capital, furniture and supplies, acquisition and expansion.

Real Estate and Equipment loans (CDC/504): A loan that provides fixed-rate financing of up to $5 million to promote business growth and employment development. Borrowers can also use funds to purchase land, build facilities, obtain equipment and fund renovations. The loan may not be used as working capital, to pay or refinance debt, or for investments or rental properties.

Microloans: A loan designed to assist small businesses and specific non-profit childcare centers. These are microloans available for up to $50,000. This type of loan can be used as working capital and to acquire supplies, equipment, furniture and inventory.

Disaster loans: Low-interest loans offered to small businesses located in declared disaster areas. Disaster loans can be used to repair or replace real estate, personal property, machinery, equipment, inventory or business assets.

Difference between SBA loans and other small business loans

Small business loans guaranteed by the SBA have lower down payments, flexible requirements and, in some cases, do not require collateral. However, it can take up to three months after applying to receive an SBA-backed loan.

The SBA guarantees loans of $30,000 to $5 million, with annual percentage rates typically ranging from 9.75% to 14.75%. The actual rate will depend on the loan program, loan amount and repayment term. SBA loans are best suited for long-term investments, buying real estate or equipment, purchasing other businesses and refinancing existing loans.

How to get an SBA loan forgiven

Business owners who received funding through the SBA’s Paycheck Protection Program (PPP) can have their loans forgiven under one condition: the funds must have been used for qualifying expenses, such as employee payroll or overhead costs.

To get SBA loan forgiveness, you first need to use up all the funds you’d like to have discharged. Unused funds aren’t eligible. After that, the SBA accepts loan forgiveness applications anytime up until the loan term’s end date.

Be prepared to submit evidence of how you used the funds, both for payroll and non-payroll expenses. This includes but isn’t limited to:

• Evidence of compensation to employees (bank statements or tax forms)

• Contributions to employee health insurance or retirement plans

• Invoices, receipts or evidence of payment for overhead expenses like utilities, rent or mortgage interests

You can submit the application through the SBA PPP Direct Forgiveness portal if your bank is on the list of lenders participating in direct forgiveness. Borrowers whose banks aren’t listed have to contact their lender directly and fill out the necessary forms.

Please visit the SBA’s main support page for more information.

Latest News on Small Business Loans

The Federal Reserve cut its benchmark interest rate three times in 2025 and signaled that more reductions may be coming. Interest rate cuts tend to have a ripple effect on small business loans, since the Fed rate influences the prime rate, which lenders use to determine how much to charge borrowers. In general, lowering the benchmark interest rate is good for those looking to borrow money, though the impact on small-business loans will depend on the type of loan.

Tariffs and other economic challenges have hit small businesses hard. Owners told Money they are having to get creative with sourcing, product offerings, pricing and more.

In March, the Small Business Administration banned foreign nationals and non-U.S. citizens from accessing SBA financing. “With our lending authority capped annually by Congress and amid record demand for access to capital, our responsibility is clear: the limited resource of SBA financing must prioritize American citizens who are building businesses and creating jobs here at home,” ​​SBA Administrator Kelly Loeffler said in a statement.

Best Small Business Loans FAQs

How to get a small business loan?

Building a business from the ground up with a loan may be difficult because most banks require businesses to operate for a few years and provide evidence of revenue. That’s not the case with many startups.

To get a bank loan to start a business, you might need to put up personal assets as collateral. If that’s not viable, consider alternative funding sources such as venture capital, crowdfunding or loans targeted toward startups. Keep in mind that such loans may come with higher interest rates and fees.

How to apply for a small business loan?

You can apply for a small business loan online through a non-bank lender but most traditional lending institutions require you to submit your application in person at a branch.

As with any other type of loan, you will need to complete an application form and have your financial and legal documentation at hand. This could include your business and personal tax returns, personal financial statements, bank statements and business license and permits, among others.

How hard is it to get a small business loan?

It depends on several factors. If you’re just starting out, have a limited credit history, no collateral and no cosigner, it may be very difficult to get a business loan, especially from a traditional bank. The economic climate and your area of industry also play a role — lenders set stricter lending requirements during difficult economic times and they may hesitate to lend to newcomers in high-risk industries like retail or restaurants.

That said, there are institutions willing to work with borrowers who don’t meet the requirements of traditional banks. You can further increase your chances of approval by developing an iron-clad business plan and building up your credit history.

Where to get a small business loan?

You can get a small business loan from traditional banks or financial institutions as well as non-bank online lenders, including lending marketplaces and peer-to-peer lending platforms.

Check out our current top picks for small business loans if you’re unsure where to start.

Can an LLC get a small business loan?

Yes, a limited liability company can get a small business loan if the company meets the eligibility requirements for said loan. Aside from meeting the size requirements and proving it can pay back the loan, the LLC must be a for-profit entity.

How We Chose the Best Small Business Loans

To compile this list of the best business loans and lenders for 2025, we considered the following:

• Application process. We sought lenders that offer a quick and simple online application, particularly those that provide same-day approval.

• Funding times. Our top lenders provide funding in as little as 24 hours or up to three days after approval.

• Qualification requirements. We gave precedence to lenders that accept credit scores of around 660 or below and require that you’ve been in business for only between three and 12 months.

• Range of funding options and high loan amounts. With few exceptions, we favored lenders that offer a variety of funding options and higher-than-average loan amounts.

Summary of Money’s Best Small Business Loans of 2026

The companies listed below are in alphabetical order.

• Biz2credit – Best Financing Platform
• Bluevine – Best for Lines of Credit
• Fundbox – Best for New Businesses
• Lendio – Best for Large Loan Amounts
• OnDeck – Best for Fast Funding

* Disclosure for American Express®️ Business Line of Credit™: All businesses are unique and are subject to approval and review.

*Rates and APYs may have changed. Use the provided links for the specific lenders to contact the lender and confirm current terms.
What to Know About the Best Small Business Loans

Biz2Credit matches small businesses with financing products based on their financial standing
Bluevine has a quick funding time and a high credit line limit
Fundbox has lower income and business history requirements than most options
Lendio offers large loan amounts, particularly on startup loans
OnDeck offers fast and, sometimes, even instant funding

How we chose our top picks
Since 2020, our writers and editors have invested hundreds of hours finding the best small business loans. For this report, we vetted 29 lenders for more than 20 data points each, including their qualification requirements, application process and funding options. Based on this research, we selected five top companies, including BlueVine, OnDeck and Fundbox.
Our Top Picks for Best Small Business Loans
The companies listed below are in alphabetical order.

Biz2credit – Best Financing Platform
Bluevine – Best for Lines of Credit
Fundbox – Best for New Businesses
Lendio – Best for Large Loan Amounts
OnDeck – Best for Fast Funding

Best Small Business Loans Reviews

Pros

Direct lender and marketplace all in one
Many financing products
Low credit score minimums
Large loan amounts

Cons

At least one year of business history required

HIGHLIGHTS

Types of loans:
Business term loans, revenue-based financing, lines of credit and commercial real estate loans

Rates:
Not disclosed.

Terms:
12 to 36 months, 5 to 20 years for commercial real estate loans

Min. credit score:
650 for term loans, commercial real estate loans and lines of credit, 575 for revenue-based financing

Min. revenue:
$250K for lines of credit; $100K for revenue-based financing and term loans

Max. loan amount:
Up to $2M for term loans and revenue-based financing, $500k for lines of credit and $6M for commercial real estate loans

Fees:
None disclosed

Why we chose it: Biz2credit is both a direct lender, and it matches small business owners with a variety of external funding options tailored to the business’s needs.
Business owners can apply in as few as four minutes, get approval in just 24 hours and obtain funding as quickly as 72 hours. Of course, this will depend on the lender, loan type and specific qualifications for financing.
To qualify for a revenue-based financing through Biz2credit, you will need a minimum credit score of 575. Your business must also be at least 1 year old and have a minimum of $100,000 in annual revenue. For a term loan, you’ll need the same minimum revenue but a credit score of at least 650 and to have been in business for at least 15 months.
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Pros

Zero monthly fees

Funds deposited into account in just a few hours

Can apply for a credit line or external term loans all in one

Decisions in just 24 hours

Cons

$15 fee applies to bank wire transfers

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