
National Funding business loans
Finder score: 4.65 / 5 ★★★★★
Loan amount | $5,000 – $500,000 |
---|---|
APR | Starting at 6.25% |
Min. Credit Score | 600 |
Trucking companies have slightly different financing options than other types of small businesses. That’s because many banks see the industry as too risky to fund. Loans backed by the Small Business Administration (SBA) and online lenders are often a better fit than a bank — especially if you’re an owner-operator, or have bad credit.
The best type of financing for your trucking company depends on what you need to fund. But certain types of financing like equipment loans and factoring can meet the most common needs in the industry. You may want to consider all of these options before you apply for a loan.
We also selected a best lender for each type of financing, based on factors like rates, terms and fees compared to other similar products. We focused on choosing lenders with a fast turnaround time compared to similar providers. And we made sure all are willing to work with the trucking industry.
A good choice for when you want to buy a new semi, trailer or straight truck is equipment and vehicle financing. When it comes to truck financing, you can usually get between 80% and 100% of the vehicle’s value. The bigger the down payment you make the better the deal you can get.
Since most auto loan providers don’t offer financing for trucks, you’ll have to look elsewhere. Equipment loans from a lender that works with a high-risk industry or companies that specifically offer financing to trucking companies are your two main options.
National Funding business loans
Finder score: 4.65 / 5 ★★★★★
Loan amount | $5,000 – $500,000 |
---|---|
APR | Starting at 6.25% |
Min. Credit Score | 600 |
Factoring involves selling your unpaid invoices to another company at a discount to cover overhead costs while you’re filling an order. Typically the factoring fee depends on your client’s credit and how long they take to pay their invoices.
Invoice factoring companies offer this service to businesses in general, while freight factoring offers this service specifically for the transport industry. Both can be expensive compared to other loan options, so save it for when you’re out of other options.
Fundbox lines of credit
Finder score: 4.2 / 5 ★★★★★
Loan amount | $1,000 – $150,000 |
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APR | Not stated |
Min. Credit Score | 600 |
These government-backed loans are designed to help businesses that can’t qualify for bank financing access low-cost loans. Trucking companies might want to consider the following SBA programs:
SBA loans might come with lower rates than most options available to trucking companies. But they can take over a month to fund and can still be difficult to qualify for.
SmartBiz business loans
Finder score: 4.5 / 5 ★★★★★
Loan amount | $30,000 – $500,000 |
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APR | 11.25% to 12.25% |
Min. Credit Score | 650 |
Term loans give your business financing all at once, which you repay plus interest in installments — with or without collateral. Since lenders consider trucking to be a high-risk industry, you may want to consider alternatives to bank term loans.
Both can get you financing within 24 hours and usually don’t require more than a year or two in business. But they’re often expensive compared to other options — especially SBA loans. Like invoice financing, short-term loans in particular should be reserved for emergencies.
Fora Financial business loans
Finder score: 4.1 / 5 ★★★★★
Loan amount | $5,000 – $1,500,000 |
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APR | Varies |
Min. Credit Score | 500 |
Lines of credit offer your business access to cash for working capital and unexpected expenses. Having an open credit line can be a good way to avoid short-term loans in an emergency. Like with term loans, online lenders can be a good choice for the trucking industry, since you might struggle to qualify at a bank.
OnDeck business lines of credit
Finder score: 4.7 / 5 ★★★★★
Loan amount | $6,000 – $100,000 |
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APR | 29.9% to 65.9% |
Min. Credit Score | 625 |
Fuel cards are credit cards offering cashback rewards when you purchase fuel. They can be particularly useful to trucking companies, since gas is such a big business expense.
Some gas stations like Speedway also offer fleet cards, which offer discounts on fuel purchases and can help you manage spending purchases. These often have lower credit score requirements than fuel cards. But they only only work at specific gas stations and might not offer as much in savings.
Whichever you choose, both offer more savings for the trucking industry than you might find with a business loan or line of credit.
Each lender has different requirements. In most cases, you’ll need to meet the following requirements — though there are still options if you don’t meet all of them.
If you want to apply for an SBA loan, you often need to have a credit score of at least 620 and have at least three years in business.
While there’s no way to guarantee approval for your trucking company. In fact, no legitimate lender should guarantee approval for a trucking loan before looking at your finances. But these four tips can improve your chances of getting your application across the line.
Yes, you can get a business loan for your trucking company with bad credit. These tips can help you get approved.
Read about our top picks for bad credit business loans to learn about more options that may be available to your company.
Company |
Best for … |
Starting APR |
Next steps |
National Funding |
Equipment and vehicle financing |
Starting at 6.25% | |
Factoring alternative |
Not stated |
|
|
SBA loans |
11.25% to 12.25% | ||
Term loans |
Varies |
|
|
Lines of credit |
29.9% to 65.9% |
|
Your next cashflow solution or truck could be just around the corner. Take your time and review your finances, your business plan and your needs before settling with any one lender. Shop around, compare your business loan options and make the decision that’s best for your business.
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