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$1 million business loans

Compare lenders and find out your monthly payments for a $1,000,000 business loan before applying.

Best for small businesses

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  • Required time in business: 6+ months
  • Required monthly revenue: $20k+
  • Min credit score: 550+

For a variety of finance options

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  • Required time in business: 6+ months
  • Required monthly revenue: $10k+
  • Min credit score: No credit needed

Best for business line of credit

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  • Required time in business: 1+ years
  • Required monthly revenue: Average of at least $3,000
  • Min credit score: 660

To help you choose the best $1 million business financing for your company, we’ve reviewed over 130 providers — including SBA loans, term loans, lines of credit, merchant cash advances and more.

Narrow down your choices by comparing rates and requirements, selecting Compare on up to four lenders to weigh the benefits side by side. Select Learn more to visit the lender’s site or More info to read our review.

Name Product Filter Values Min. Amount Max. Amount APR Requirements
Lendio business loans
Finder Score: 4.8 / 5: ★★★★★
Lendio business loans
$1,000
$5,000,000
Varies by lender
Operate business in US or Canada for 6 months or more, have a business bank account, minimum 500 personal credit score, at least $20,000 in monthly revenue
Submit one simple application to potentially get offers from a network of over 75 legit business lenders.
Fundible
Finder Score: 4.9 / 5: ★★★★★
Fundible
$1,000
$10,000,000
Rates start at 1% per month
500+ FICO score, $200,000 annual revenue, 6 months in business, most recent business bank statements
Same day approval
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Fundera business loans
Finder Score: 4.9 / 5: ★★★★★
Fundera business loans
$2,500
$5,000,000
Varies based on lenders
$60,000+ of annual revenue, 550+ personal credit score, in business for 6+ months
Get connected with short-term funding, SBA loans, lines of credit and more.
SMB Compass
Finder Score: 4.4 / 5: ★★★★★
SMB Compass
$25,000
$5,000,000
Starting at 5.99%
2 years in business, $25,000 monthly revenue, business bank account
Enjoy personalized solutions and a consultative approach for businesses with at least $25,000 in monthly revenue.
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How to get a $1 million business loan

Although each lender has its own process, these steps should help guide your business toward the right loan option:

  1. Compare lenders. Your first step should be to compare business loan lenders. Not every lender offers loans of $1 million, and those that do will have different requirements that could make the difference between approval and rejection.
  2. Prepare financial documents. Lenders want to see your business plan, annual revenue projections, bank statements, tax documents and other information that demonstrates your business’s ability to repay a loan.
  3. Speak with a financial advisor. Loop a financial advisor into your plan for a $1 million business loan to ensure your business can afford it and develop a plan to repay it.
  4. Apply for preapproval. This lets you see your loan’s potential terms before your personal or business credit is officially checked. Not all lenders offer preapproval, but if it’s available, take advantage of it.
  5. Review and sign the loan contract. If approved, review your loan contract with your partners and financial advisor to ensure the terms benefit your business.

Where can I get a $1 million business loan?

Banks, credit unions and online lenders frequently offer loans up to $1 million for established businesses. The Small Business Association (SBA) also backs loans of $1 million, but to apply for funding, you will need to submit an application through an SBA-approved lender.

$1 million SBA loans

Since the federal government guarantees SBA loans, they’re one of the most affordable options for a small business owner looking for a large loan. They’re also one of the most difficult loans to qualify for. Only 100,000 applicants were approved across all SBA programs in 2019, according to data from the SBA.

Here’s how a $1 million loan breaks down for the SBA 7(a) program:

  • Percent guaranteed: 75%
  • Amount guaranteed: $750,000
  • Closing costs: Guaranty fee equal to 3.5% of the amount guaranteed, or $26,250, plus any additional charges by the bank or lender
  • Maximum interest rate: Prime + 2.75%
  • Terms: 5 to 10 years for working capital and equipment; up to 25 years for real estate

How hard is it to get a $1 million business loan?

It depends on you and your business. If you exceed a lender’s minimum requirements, you might not have any trouble. But if your business is less than a year old, not yet profitable or you have poor personal credit, you may be unable to qualify for such a large loan. Having an unpredictable cash flow or low revenue can also get your business rejected.

How do I qualify for a $1 million dollar loan?

Your business needs to prove it can afford a $1 million business loan. While requirements vary by lender, you’ll typically need to meet the following criteria to be considered:

  • Good to excellent credit. Lenders look for high personal and business credit scores. The better your credit scores, the more likely you are to be approved.
  • Two years in business. Lenders are generally wary of giving this amount to businesses that are new to the game, especially if you’re applying with a bank.
  • $10 million in annual revenue. The higher your loan amount, the higher your revenue requirements. It might be possible to secure $1 million in financing with revenue under this amount, but it won’t be easy.
  • Large profit margin. On top of having a strong annual revenue, many lenders want to see that your business is actually making money rather than breaking even.
  • Personal guarantee. Many business loans require the owner or owners to back the amount they’re borrowing with a lien on their personal assets. You and your business partners will likely need to have at least $1 million in equity on your homes, cars and other investments.

How much will it cost to pay back a $1 million business loan?

$1 million business loans tend to come with longer terms — typically between 10 to 25 years — and lower rates. But monthly repayments tend to be high because the principal is so large. On average, online lenders tend to offer higher rates than local banks, so you might want to go with a bank you trust if keeping the cost down is your top priority. Use our calculator to estimate your loan’s monthly cost.

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Bottom line

Well-established enterprises with high annual revenues are most likely to qualify for business loans of $1 million or higher. To find more lenders and learn about your other financing options, check out our business loans guide. To learn more about what rates to expect, read our guide to interest rates on business loans to learn more about what to expect.

Frequently asked questions

Can I find an unsecured business loan for $1 million?
It depends on your business’s revenue, age and profit. In general, lenders require your business to back your loan with an asset, but some lenders offer both secured and unsecured loans for loans of $1 million or larger.

Are startups eligible for $1 million business loans?
Probably not. Even business loans for startups typically stop well under $1 million. Instead, you might want to tap into other resources like crowdfunding, investors or grants.

Can I get a $1 million business loan with bad credit?
It’s possible, though it might not be cheap or easy to find a lender willing to offer that amount. Typically, you need good or excellent credit to qualify for the most competitive rates on large loans.

Can I buy a business with a $1 million loan?
Yes. Many lenders offer financing designed to cover business acquisition costs.

Other business loan amounts:

Written by

Anna Serio

Anna Serio was a lead editor at Finder, specializing in consumer and business financing. A trusted lending expert and former certified commercial loan officer, Anna's written and edited more than 1,000 articles on Finder to help Americans strengthen their financial literacy. Her expertise and analysis on personal, student, business and car loans has been featured in publications like Business Insider, CNBC and Nasdaq, and has appeared on NBC and KADN. Anna holds an MA in Middle Eastern studies from the American University of Beirut and a BA in Creative Writing from Macaulay Honors College at Hunter College, CUNY. See full profile

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2 Responses

    Default Gravatar
    SybilFebruary 9, 2019

    what is the lowest interest rate one can get for a one million dollar unsecured loan?

      AvatarFinder
      JoshuaFebruary 10, 2019Finder

      Hi Sybil,

      Thanks for getting in touch with finder. I hope all is well with you. :)

      As of now, we currently don’t have this specific information since most lenders would not go far from the average market interest rate. However, generally speaking, online lenders tend to charge a higher interest rate compared to traditional banks. Perhaps, you can also take into consideration SBA loans. They could be the one that offers the lowest interest rate since they are partly backed up by the government. However, getting approved by them is not that easy.

      I would highly recommend that you consider all your options. Check terms and conditions and eligibility requirements. From there, you should be able to find the right loan for you.

      I hope this helps. Should you have further questions, please don’t hesitate to reach us out again.

      Have a wonderful day!

      Cheers,
      Joshua

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