What type of loan is best for starting a business?

The best type of loan depends on your goals for your business and the loan purpose. For example, if you need vehicles or machinery to grow your business, an equipment loan might be a smart move. Equipment loans can be easier to get because the purchase secures the loan.

Is it difficult to get a business startup loan?

It can be harder to get a loan when you're not an established business, but it's not impossible. Many alternative and online lenders have more lenient requirements to qualify than traditional banks and are willing to work with newer businesses, although they may charge higher rates.

Can you get a personal loan for startup costs?

If you're just getting up and running, consider getting a personal loan to pay startup costs. Personal loans can be easier to qualify for, loan amounts can reach as high as $100,000 and interest rates usually range from 6% to 36%, with the best rates going to those with higher credit scores.