Best Small Business Loans of 2026

Personalized, fast funding

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• Required time in business: 12+ months
• Required annual revenue: $180k+
• Min credit score: 550+

Best for small businesses

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• Required time in business: 6+ months
• Required monthly revenue: $8k+
• Min credit score: 520+

Easy, fast funding options

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• Required time in business: 1+ years
• Required annual revenue: $120k+
• Min credit score: 580+

A business loan can help you purchase inventory, boost cash flow or even open a new location. And when comparing options, interest rates are one of the most important factors to watch.

As of December 2025, the average fixed rate for a bank prime term loan sits at 6.83%,⁽¹⁾ about a point lower than a year ago. That slight drop, tied to the Federal Reserve’s most recent cut, could signal more favorable borrowing conditions for small business owners.

Traditional banks still tend to offer the lowest rates overall, though business loan APRs can range anywhere from 3% to 60% or higher, depending on the lender and loan type.

No matter what kind of financing you’re after, our picks for the best business loans highlight options with competitive rates, low fees and fast approvals and funding.

11 best small business loans

• Best for online business loans: Fundera business loans
• Best small business loan marketplace: Lendzi
• Best microloan: Kiva business loans
• Best equipment financing: National Funding business loans
• Best line of credit: Bluevine business lines of credit
• Best for fast funding: OnDeck short-term loans
• Best merchant cash advance: Credibly business financing
• Best bank loan: Bank of America business loans
• Best for high-risk industries: United Capital Source business term loans
• Best for startups: Finance Factory business loans
• Best for SBA loans: SmartBiz business loans

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Finder Score	Loan amount	Loan term	APR
Best for online business loans
9.5 Excellent Fundera business loans	9.5 Excellent	$2,500 – $5,000,000	Varies by lender	Varies by lender	Go to site View details Compare product selection Compare	loading	Why we like it Fundera by NerdWallet is a business loan marketplace that connects small business owners with multiple lenders through a single application. The platform offers access to term loans, SBA loans, lines of credit, equipment financing and more, with loan amounts ranging from $2,500 to $5 million. With a quick online application using only a soft credit check, Fundera has helped over 77,000 small businesses secure more than $5.4 billion in funding. The platform provides dedicated loan specialists for personalized guidance, and funding can be as fast as one business day. Pros & cons Pros Free service Single application connects you with multiple lenders Soft credit check won't impact credit score Fast funding possible within 24 hours Cons Rates and fees aren't disclosed upfront Not a direct lender, terms set by partners Limited network compared to larger marketplaces
Best small business loan marketplace
9.5 Excellent Lendzi	9.5 Excellent	$5,000 – $20,000,000	6 months to 25 years	Varies by lender	Go to site View details Compare product selection Compare	loading	Why we like it Lendzi is a convenient option for business owners looking to streamline the loan search process. As a loan marketplace with over 60 lending partners, Lendzi helps connect you with lenders offering financing from $5,000 to $20 million. With a quick online application, you can explore loan options tailored to factors like your credit history, business revenue, and overall financial profile. Lendzi works with borrowers across all credit scores and has earned strong reviews on platforms like Trustpilot and the BBB, pointing to excellent customer service. Just keep in mind that working with multiple lenders may result in follow-up marketing calls and emails, even after securing a loan. Pros & cons Pros Fast funding possible Options for poor credit In-house loan specialists to guide you Cons Rates and fees aren't disclosed Some loan options are pricey Full list of partners isn't available
Best microloan
7.4 Great Kiva business loans	7.4 Great	$1,000 – $15,000	6 months to 3 years	0%	Go to site View details Compare product selection Compare	loading	Why we like it Kiva's interest-free microloans are ideal for entrepreneurs looking to turn an idea into reality. It doesn't have any time-in-business requirements, and you can borrow up to $15,000 without paying interest or fees. Borrowers are also granted a six-month grace period before payments are due. But know that Kiva is a nonprofit crowdfunding platform — so if you don't have a large social network willing to contribute, you may not get anything. Loans that aren't fully funded aren't dispersed. Pros & cons Pros No interest or fees No credit or residency requirements Loans as low as $1,000 Cons No loans over $15,000 Relies on crowdfunding
Best equipment financing
9.6 Excellent National Funding business loans	9.6 Excellent	$5,000 – $500,000	4 to 24 months (working capital); 2 to 5 years (equipment)	Not listed	View details Compare product selection Compare	loading	Why we like it National Funding offers customized loans directly and with its lending partners. It offers equipment financing and leasing of up to $150,000 for new or used equipment. It guarantees you won't find a lower monthly payment elsewhere, or it pays $1,000 toward the equipment lease. And there's no down payment requirement. National Funding advertises fast approvals and funding in as soon as 24 hours, with early payment discounts and excellent customer reviews. Pros & cons Pros Quick funding on new and used equipment financing No down payment required Highly rated by customers and BBB Cons Low maximum loan amount
Best line of credit
8.6 Great Bluevine business lines of credit	8.6 Great	$5,000 – $250,000	Not listed	Not listed	View details Compare product selection Compare	loading	Why we like it BlueVine offers lines of credit up to $250,000 and with its low starting APR and lack of fees – it could be a good choice for small businesses that need frequent access to funds. After you're approved, you can pay a $15 wire transfer fee to accelerate your funds in a few hours. Otherwise, withdrawals take one to three business days to process. Its lines of credit are revolving, so you can borrow and repay as needed. But repayments are weekly if you go with the line of credit — which may strain your budget during slow seasonal periods. Pros & cons Pros Starting APR compares to banks Flexible credit and revenue requirements Funding within 24 hours for a fee Cons Weekly repayments on line of credit High revenue requirements Not all industries qualify
Best for fast funding
9.2 Excellent OnDeck short-term loans	9.2 Excellent	$5,000 – $400,000	12, 18, or 24 months	Not listed	View details Compare product selection Compare	loading	Why we like it OnDeck offers short-term loans and lines of credit to businesses looking for quick funding and who might not qualify for a bank loan. Its line of credit requires very little documentation to apply, and funding could be as soon as the same business day. Requirements are in line with other providers, requiring one year in business and $100,000 in annual revenue. And it may accept credit scores as a low 625, so borrowers with fair credit have a shot. There are no prepayment penalties or draw fees on the line of credit (LOC), but repayments may be weekly. Pros & cons Pros Low-doc application Same-day funding may be available No prepayment or draw fees Cons Daily or weekly repayments Not available to all industries
Best merchant cash advance
7.6 Great Credibly business financing	7.6 Great	$5,000 – $600,000	Not listed	Not listed (factor rates as low as 1.11)	View details Compare product selection Compare	loading	Why we like it With factor rates starting at As low as 1.11, Credibly is among the least expensive merchant cash advances out there. It's also more transparent about its rates and fees than similar providers, and you can access your funds as soon as the day you're approved. While its $15,000 monthly minimum revenue requirement is higher than other competitors like Fora Financial, it's not restricted to credit card sales. But like other merchant cash advances, it's still an expensive product. Pros & cons Pros Same-day funding available Requires only 6 months in business 500 credit score requirement Cons Doesn't disclose remittance percentage One-time 2.5% fee added to balance at funding Admin fee of $50 per month No advances over $600,000+
Best bank loan
7.2 Great Bank of America business loans	7.2 Great	$10,000 – $5,000,000	Not listed	Fixed rates as low as 7.00%	View details Compare product selection Compare	loading	Why we like it Bank of America offers a wide range of secured and unsecured loans and lines of credit for most business needs. It even offers business auto loans — which can be hard to find at large banks. This nationwide lender has some of the lowest starting rates for unsecured financing and generous relationship discounts. But, as with most big banks, it can be difficult to qualify – especially if you aren't already a customer. Smaller businesses might have more luck with a community bank or online lender. Pros & cons Pros SBA preferred lender Relationship rate discounts available Low rates on unsecured loans compared to other banks Financing program for healthcare practices Available in all 50 states Cons $150 origination fee Not transparent about maximum APR Smaller businesses may not qualify More strict eligibility requirements than other lenders
Best for high-risk industries
9.6 Excellent United Capital Source business term loans	9.6 Excellent	$1,000 – $10,000,000	3 months to 25 years	Varies by lender and loan type	View details Compare product selection Compare	loading	Why we like it If you own a newer business, work in a high-risk industry or have poor credit, United Capital Source could be a helpful stop. It's an alternative business loan connection service that helps borrowers who struggle to qualify for traditional lending options. Search for a business line of credit, merchant cash advance, SBA loan or invoice and receivables factoring. It's cannabis-business friendly, accepts bad credit borrowers and customers give it generally high reviews. You could even qualify if you've been in business for just a few months. Pros & cons Pros High-risk industries OK Compare lenders quickly Multiple loan types BBB accredited Cons Not a direct lender Payments may be weekly or daily
Best for startups
8.2 Great Finance Factory business loans	8.2 Great	$35,000 – $500,000	Up to 30 years	0% (for up to 21 months) to 15%	View details Compare product selection Compare	loading	Why we like it Finance Factory is an online lender marketplace with multiple financing options for startups. Entrepreneurs can also find services to roll over a retirement account into a new venture and personal loans to fund a new business. While it's not a direct lender, it's uniquely transparent about terms and rates — which are lower than average. But some financing options may require good to excellent credit, and funding can take a few weeks. Pros & cons Pros Multiple options for startups Transparent with rates across products Award-winning support team Cons Not a direct lender Few options for fair or bad credit Funding can take weeks
Best for SBA loans
9 Excellent SmartBiz business loans	9 Excellent	$50,000 – $350,000	Up to 10 years	Prime Rate, plus 3% to 5.75%	View details Compare product selection Compare	loading	Why we like it SmartBiz speeds up the SBA application process by streamlining the information you need to provide. By working with multiple banks and online lenders, it may take just a few weeks to get funding — rather than the normal multimonth waiting period. Prequalification takes a few minutes, and the rates its lenders offer start low. But you'll need to borrow at least $50,000, and the process isn't free: SmartBiz charges a 2% referral fee and 2% packaging fee if you're approved. Pros & cons Pros Compare bank and SBA loans Helps with SBA loan applications 5-minute online application Highly rated by past customers Cons 2% referral fee and 2% packaging fee No SBA loans under $50,000 High starting APR on non-SBA loans

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Methodology: How we choose the best business loans

Our lending experts analyze dozens of business loan providers to determine the best for business owners and startups. We search for lenders that suit a range of lending needs, highly-rated lenders that offer loans of $100,000 or less because most small business loans fall into that range.

We weigh lenders against 12 key metrics:

Compare other small business loans

7 of 7 results

Updated regularly

Finder Score	Min. Amount	Max. Amount	APR	Requirements
Promoted 9.9 Excellent Pinnacle Funding	9.9 Excellent	$10,000	$5,000,000	Varies by loan type	525 credit score, 6+months in business, $180,000+ annual revenue	Apply in minutes with funding as fast as 24 hours and zero impact to your credit score.	Go to siteView details Compare product selection Compare	loading
Promoted 9.6 Excellent Lendio business loans	9.6 Excellent	$1,000	$10,000,000	Varies by lender	Operate business in US for 6 months or more, have a business bank account, minimum 520 personal credit score, at least $8,000 in monthly revenue.	Submit one simple application to potentially get offers from a network of over 75 legit business lenders.	Go to siteView details Compare product selection Compare	loading
Promoted 9.5 Excellent Lendzi	9.5 Excellent	$5,000	$20,000,000	Varies by lender	Minimum credit score of 500, minimum annual revenue of $120,000, preferably one to two years in business	Compare lending options and get funded fast.	Go to siteView details Compare product selection Compare	loading
9.5 Excellent Fundera business loans	9.5 Excellent	$2,500	$5,000,000	Varies by lender	$60,000+ of annual revenue, 600+ personal credit score, in business for 6+ months	Get connected with short-term funding, SBA loans, lines of credit and more.	Go to siteView details Compare product selection Compare	loading
8.8 Great PayPal LoanBuilder	8.8 Great	$5,000	$300,000	Fixed fee (amount not disclosed)	Minimum credit score not disclosed, 9+ months in business, at least $33,300 in annual revenue	Go to siteView details Compare product selection Compare	loading
8.8 Great Fora Financial business loans	8.8 Great	$5,000	$1,500,000	Factor rate of 1.05-1.5	6+ months in business, $240K+ annual revenue, 570 minimum credit score	Get approval decision for funding in minutes for up to $1,500,000 without affecting your credit score. Best for companies seeking large business loans.	Go to siteView details Compare product selection Compare	loading
8.9 Great Best Money	8.9 Great	$5,000	$5,000,000	Varies by lender	Depends on the lender	Apply in minutes. Get funded fast.	Go to siteView details Compare product selection Compare	loading

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How we picked these

What is the Finder Score?

The Finder Score crunches 12+ types of business loans across 35+ lenders. It takes into account the product's interest rate, fees and features, as well as the type of loan eg investor, variable, fixed rate - this gives you a simple score out of 10.

To provide a Score, we compare like-for-like loans. So if you're comparing the best business loans for startups loans, you can see how each business loan stacks up against other business loans with the same borrower type, rate type and repayment type.

Read the full breakdown

What are the benefits of a small business loan?

There are several benefits to using a small business loan or another type of financing:

• Keep control of your business after receiving funds
• Get funds to expand operations and meet demand
• Cover operating expenses during a slow season
• Deduct interest on your business tax returns

How to get the best small business loan

While small business loan requirements depend on the financing you need, you’ll get the lowest rates and strongest terms by meeting general requirements that include:

• Good credit. If you don’t have a score of at least 670, consider bringing a cosigner along for better approval odds.
• At least $50,000 in revenue. If your business is new or still in the startup phase, look into our top editorial picks for startup business loans.
• At least one year in business. One year in business is pretty standard for most business loans. However, startup loans and other types of financing may only require six months or less in business.
• A low-risk industry. High-risk industries like adult entertainment, cannabis and gambling may struggle to find financing.
• Collateral requirements. If you’re looking for a secured business loan, know what collateral you’ll use to secure it. For example, with equipment financing, the loan is secured by the asset you’re financing.
• Personal and business documentation. When applying, lenders ask for tax returns, profit and loss statements and more. Know what you’ll need to have on hand ahead of time.

Don’t meet these requirements? Visit our guide to business loans to learn more about your options. You can also set up an appointment at a local bank. Community banks tend to have more flexible requirements than their larger counterparts. Even if you don’t qualify for financing, the bank can point you toward other options and advise you on strengthening your application. Or, consider a personal loan from a lender like Upstart if you need funding fast.

Business loan documentation checklist

Prepare to submit personal and business documents when applying for a small business loan, including:

• Business and personal tax returns for your business and all owners
• Government-issued identification and Employer Identification Number (EIN)
• Profit and loss statements and balance sheets for up to three years
• Business and personal bank statements
• Business plan and future projections
• The credit score requirement is typically 670+

Frequently asked questions

Can I get a business loan with bad credit?

Yes, it’s possible to get a business loan with bad credit. Some lenders — especially online lenders — will accept scores as low as 500 on certain short-term loans, like merchant cash advances. And other financing options, like invoice financing or factoring, may not consider your credit score at all.

As long as you can show sufficient revenue or invoice value, you could qualify. But rates can often run high on these types of bad credit business loans and are best used in a cash crunch.

Can I get a business loan with self-employment income?

Many banks and credit unions offer loans to the self-employed, including business loans. But your odds might be better with an online lender. If you’ve exhausted these options, consider applying to the US Small Business Administration (SBA).

The following SBA loans are available to sole proprietors or independent contractors:

• SBA microloan, which offers up to $50,000 in funding
• SBA express loan, which offers up to $500,000 in funding
• SBA 7(a) loan, which offers up to $5 million in funding

Different SBA loans come with varied eligibility requirements. To qualify for an SBA loan, you must typically have a 680 FICO score, operate your for-profit business in the US, and have exhausted all other funding options.

Can I get a business loan for my startup business?

Startup loans for brand-new businesses with no track record are hard to come by. Most lenders want to see at least six months in business and a certain level of revenue. This presents a catch-22 if you haven’t earned anything yet.

Instead, you could look into getting a personal loan to fund a new business or borrow against your assets, like your home or 401(K) — but these options come with financial risks. If you’re more entrepreneurial, consider a microlender like Kiva, an angel investor or a crowdfunding campaign.