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Best Business Loan Lenders of 2026 —
Our Expert Picks

#1 Editor's Pick

OnDeck

⭐⭐⭐⭐⭐

9.2 / 10

5,473 reviews
92% Excellent

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OnDeck

Same-Day Funding Fair Credit OK Direct Lender

Best for fast funding with fair credit

Apply in 10 minutes with no hard credit pull — get funded as fast as the same business day

Reports to all 3 business credit bureaus, helping you build credit with every on-time payment

Renew after 6 months — outstanding interest may be waived for loyal borrowers

$5K – $400K

Loan Amount

12+ Months

Time in Business

$8,333+

Monthly Revenue

625+

Min. Credit Score

No Hard Credit Pull Builds Business Credit Daily or Weekly Repayment

Pros

Same-day or next-business-day funding available

Reports to 3 business credit bureaus

Streamlined 10-minute application, no hard pull

Renew after 6 months — interest may be waived

Cons

APRs can be high (avg. 57.9% for term loans)

Maximum term limited to 24 months

Not available in North Dakota

#2 Top Rated

Lendio

⭐⭐⭐⭐⭐

9.4 / 10

21,744 reviews
89% Excellent

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Lendio

75+ Lenders SBA Loans Marketplace

Best for one application, multiple offers

Single application connects you to 75+ vetted lenders — saves hours of individual applications

Covers every loan type: SBA, equipment, line of credit, term loans, commercial real estate

Dedicated loan advisor assigned to every borrower throughout the process

$1K – $5M

Loan Amount

6+ Months

Time in Business

$8,000+

Monthly Revenue

560+

Min. Credit Score

11 Loan Products Dedicated Advisor $10B+ Approved

Pros

One application reaches 75+ lenders

Widest range of loan products available

SBA, equipment, real estate loans supported

Dedicated loan advisor for every applicant

Cons

Lendio is not the lender — final rates vary by partner

May charge a funding fee for its matching service

SBA loans can take 2–4 weeks to fund

#3 Rank

Biz2Credit

⭐⭐⭐⭐⭐

9.5 / 10

15,637 reviews
Fast Turnaround

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Biz2Credit

Fast Approval Up to $6M Direct Lender

Best for established businesses needing large capital

Apply in as few as 4 minutes — get approval in 24 hours and funding within 72 hours

Access up to $6M through CRE-backed loans — one of the highest limits in online lending

Business credit score analysis included to help identify the best financing fit for your profile

$50K – $6M

Loan Amount

18+ Months

Time in Business

$10K+

Monthly Revenue

650

Min. Credit Score

4-Min Application 24hr Approval 200K+ Businesses Served

Pros

Apply in as few as 4 minutes

Up to $6M through CRE-backed loans

Approval in 24 hours, funding in 72 hours

Business credit score analysis included

Cons

Requires $250K+ annual revenue to qualify

Charges underwriting fee at time of funding

Rates not always disclosed upfront

#4 Rank

SoFi

⭐⭐⭐⭐⭐

9.4 / 10

11,292 reviews
National Bank

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SoFi Business Loans

No Hard Pull Regulated Bank Same-Day Funding

Best for good-credit borrowers comparing top rates

Compare offers from top lenders in 3 steps — no SSN required to start, no hard credit check

SoFi Bank is a fully regulated national bank with 5.5M+ members and competitive starting rates from 7.74%

Covers startup loans, lines of credit, and equipment financing up to $2M — all through one free application

$5K – $2M

Loan Amount

12+ Months

Time in Business

$10K+

Monthly Revenue

680

Min. Credit Score

No SSN to Start Free to Compare From 7.74% APR

Pros

No SSN required to start the application

No hard credit pull to compare loan offers

Registered national bank — fully regulated

Competitive rates starting from 7.74% APR

Cons

Not a direct lender — rates vary by partner

Requires good to excellent credit (680+)

Business loan complaints mixed on BBB

#5 Rank

Fundera

⭐⭐⭐⭐⭐

8.8 / 10

$2.5B+ Approved
A+ BBB Rating

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Fundera by NerdWallet

A+ BBB Expert Guidance SBA Specialist

Best for first-time borrowers wanting expert guidance

A dedicated loan specialist reviews your profile and guides you through offers — ideal for first-time borrowers

Strong SBA loan expertise: specialists on staff to navigate 7(a) and 504 loan programs

A+ BBB rated with $2.5B+ approved — backed by NerdWallet's editorial credibility

$2.5K – $5M

Loan Amount

6+ Months

Time in Business

$8K+

Monthly Revenue

600

Min. Credit Score

SBA Specialists On Staff 4–6 Min Application A+ BBB Rated

Pros

Dedicated loan advisor for every borrower

SBA loan specialists on staff

A+ BBB rating — highly trusted brand

Wide range: SBA, LOC, equipment, invoice financing

Cons

Smaller lender network compared to Lendio

Funding can take up to 7 days

No personal loan products offered

#6 Rank

Lendzi

⭐⭐⭐⭐⭐

9.1 / 10

1,440 reviews
98% Excellent

Visit Lendzi

Lendzi

No Funding Fee 500+ Credit OK 60+ Lenders

Best for low/no-credit borrowers declined elsewhere

60+ lender network with a single application and no hard credit check — accepts scores as low as 500

Zero funding fee charged — completely free matching service, unlike many competing marketplaces

98% Excellent on Trustpilot across 1,440 reviews — praised for outstanding loan officers and service

$10K – $4M

Loan Amount

6+ Months

Time in Business

$10K+

Monthly Revenue

500

Min. Credit Score

No Funding Fee No Hard Credit Check 98% 5-Star Reviews

Pros

No funding fee — completely free to use

Accepts credit scores as low as 500

No hard credit check to get matched

98% Excellent on Trustpilot — 1,440 reviews

Cons

APRs not disclosed on the website

Newer platform — smaller overall track record

Low-credit loans typically carry higher rates

Advertiser Disclosure: Rankings reflect our editorial assessment based on rates, approval criteria, funding speed, and verified customer reviews — not paid placement. APRs and loan details vary by creditworthiness and lender. Always review full terms before applying. Logos and trademarks belong to their respective companies.

Compare Business Loan Lenders

	OnDeck OnDeck★ #1 Pick	Lendio Lendio#2 Ranked	Biz2Credit Biz2Credit	SoFi SoFi	Fundera Fundera	Lendzi Lendzi
Eligibility
Loan Amount	$5K – $400K	Up to $5M	$50K – $6M	$5K – $2M	Up to $5M	$10K – $4M
Time in Business	12+ mo.	6+ mo.	18+ mo.	12+ mo.	6+ mo.	6+ mo.
Monthly Revenue	$8,333+	$8,000+	$10,000+	$10,000+	$8,000+	$10,000+
Min. Credit Score	625	560	650	680	600	500
Loan Details
Starting APR	35%–99%	From 6%	Varies	7.74%+	7%–30%	Varies
Funding Speed	Same Day	24 hrs+	24–72 hrs	Same Day	1–7 days	24–72 hrs
Features
No Hard Pull	✓	✓	✕	✓	✓	✓
SBA Loans	✕	✓	✓	✕	✓	✕
Platform Fee	0–4%Origination	Applies	Underwriting	Free	Varies	None
Rating
Trustpilot	★★★★★4.8 5,473 reviews	★★★★★4.7 21,744 reviews	★★★★★4.5 15,637 reviews	★★★★☆4.3 11,292 reviews	★★★★☆4.2 A+ BBB	★★★★★4.8 1,440 reviews
	Apply Now	Apply Now	Apply	Apply	Apply	Apply

Data sourced from lender websites. Green highlights indicate best value per row. APRs vary by creditworthiness. Not paid placement.

The Fundamentals

What Is a Business Loan?

Capital borrowed from a verified lender, repaid over time with interest — used to start, stabilize, or scale your company.

A business loan is a fixed sum of capital provided by a bank, credit union, SBA-approved lender, or online lender. You repay it in regular installments — monthly or weekly — over an agreed term, with interest.

Unlike personal loans, approval is based on your company's revenue, credit history, and time in business — not just your personal finances. Loan amounts range from $5,000 for microloans to $5 million+ for SBA-backed programs.

In May 2026, with the prime rate at 6.75%, well-qualified businesses can access some of the most competitive rates in three years.

6.8%Bank APR from

$5K–$5MLoan range

6.75%Prime rate, May 2026

How it works

Apply with a lender

Share your revenue, credit score, time in business, and how you'll use the funds.

Get an offer with terms

The lender quotes your APR, repayment term, and total cost of borrowing.

Receive funds, repay over time

Capital is deposited — from same-day to 90 days depending on lender type. You repay in fixed installments.

Rates by lender type — May 2026

🏦 Traditional Bank6.8% – 11% APR

🏛️ SBA 7(a) Loan9.75% – 13.25% APR

⚡ Online Lender14% – 36% APR

💳 Merchant Cash Advance50% – 150%+ APR

680+

Credit score needed for most bank and SBA loans. Online lenders accept as low as 525.

2 min

To compare verified lenders on our platform — no impact to your credit score.

$2B+

Facilitated annually through platforms like ours. Over 50,000 businesses matched to lenders.

💡

Always compare on APR — not just interest rate. Origination fees, SBA guarantee fees, and closing costs are all baked into APR. Two loans with the same interest rate can cost thousands more apart once fees are included. The APR is the only apples-to-apples comparison.

Business Loans IQ

Types of Business Loans, Explained

Six common financing products — what each one is, how it works, and which businesses it's designed for.

Up to $5,000,000

Working Capital Loans

Working capital loans give your business fast access to cash for day-to-day operational expenses — payroll, rent, inventory restocks, and short-term gaps in cash flow. No collateral is required, there's no bureau reporting so your credit score isn't impacted, and most businesses receive funds within 24 hours of approval. Repayment terms are typically 3 to 18 months.

24-hour fundingNo collateralNo bureau reporting3–18 month terms

Up to $5,000,000

Small Business Loans (Term Loans)

A term loan delivers a lump sum upfront that you repay in fixed monthly installments over 1 to 5 years. Rates can be fixed or variable, and most lenders don't charge early repayment penalties. Best for planned, one-time investments: opening a new location, hiring staff, renovating, or purchasing inventory in bulk.

$25K – $5M1–5 year termsFixed monthly paymentsNo early-pay penalty

Up to $5,000,000

SBA Loans

SBA loans are issued by banks and partially guaranteed by the U.S. Small Business Administration — typically up to 85% of the loan amount. That government backing reduces the lender's risk, delivering lower interest rates and longer repayment terms (up to 25 years). The SBA 7(a) program covers working capital, equipment, real estate, and debt refinancing. Funding typically takes 2 to 8 weeks.

$50K – $5M10–25 year termsLowest rates available2–8 week approval

Up to $2,000,000

Business Lines of Credit

A business line of credit gives you a pre-approved credit limit you can draw from whenever you need it and repay as you go. You only pay interest on what you draw, not the full limit. Once repaid, the funds become available again — ideal for managing unpredictable cash flow, seasonal dips, or time-sensitive opportunities. Funds typically available within 1 to 3 days.

Revolving creditDraw on demandInterest on drawn only1–3 day funding

Finance up to 100%

Equipment Financing

Equipment financing is purpose-built for purchasing machinery, vehicles, technology, or tools. Because the equipment itself serves as collateral, lenders take on less risk — enabling easier approval, competitive rates between 4% and 30% APR, and financing up to 100% of the purchase price. Loan terms typically align with the asset's useful life — often 2 to 7 years.

Up to 100% financedAsset-securedEasier approval580+ credit score

Up to 90% advance rate

Invoice Financing

Invoice financing lets you unlock cash tied up in outstanding invoices without waiting 30, 60, or 90 days for customers to pay. A lender advances up to 90% of each invoice's value upfront. Once your customer settles, you receive the remainder minus a small fee (typically 1–3%). Approval is based on your customers' creditworthiness, not yours. Funding typically arrives within 24 to 48 hours.

Up to 90% advance24–48h fundingYou control collectionsNo min. credit score

FAQ

Business Loan
Questions, Answered.

Clear answers to the most common questions before you apply — rates, eligibility, process, and more.

What credit score do I need to qualify for a business loan?

The minimum credit score depends on the lender type. Here's what each tier typically requires:

Traditional banks — Require 680+ for the most competitive rates and terms.

SBA loans — Generally need a personal FICO of 620–680. A score of 720+ gives you the best approval odds.

Online lenders (OnDeck, Lendio) — Accept scores as low as 560–625, ideal for fair-credit borrowers.

Marketplace lenders (Lendzi) — Some accept scores from 500+, though expect higher interest rates.

Pro tip: Credit score isn't the only factor. Lenders also weigh annual revenue, time in business, and debt-to-income ratio. Strong cash flow can offset a lower score.

How much can I borrow with a business loan?

Loan amounts vary widely based on lender type, your revenue, and the product you choose:

Online term loans — Typically $5,000 to $500,000. OnDeck lends up to $400K.

Lending marketplaces — Connect you to lenders offering $1,000 up to $5M+ (Lendio, Fundera).

SBA 7(a) loans — Up to $5 million, ideal for established businesses with strong financials.

Revenue-based financing — Often capped at 3–6x your average monthly revenue.

Lenders cap your loan at an amount your business can comfortably repay — based on annual revenue, existing debt, and cash flow.

What are typical business loan interest rates in 2026?

Rates vary significantly by lender type and your credit profile. Current 2026 benchmarks:

Traditional bank loans — 6.7% – 11.5% APR for well-qualified borrowers.

SBA 7(a) loans — 9.75% – 13.25% variable, based on the current prime rate of 6.75%.

Online lenders — 7% – 30%+ APR. Higher rates come with faster access and easier approval.

Short-term / alternative lenders — 35% – 99% APR. Only suitable when speed is critical.

Key rule: If the return your borrowed capital generates exceeds what you're paying in interest, the loan is working in your favour. Always calculate the total cost — not just the monthly payment.

How fast can I get funded after applying?

Funding timelines depend on the lender type. Speed and rate are usually a trade-off:

Online direct lenders (OnDeck, Biz2Credit) — As fast as the same business day. Apply in the morning, receive funds by evening.

Lending marketplaces (Lendio, Lendzi) — Typically 24 hours to a few days, depending on the partner lender.

Traditional banks — Usually 2–4 weeks. Stricter documentation slows underwriting considerably.

SBA loans — 30–90 days. The most thorough process, but worth it for the lowest rates and longest terms.

If speed is your priority, online lenders are your best option. If rate matters more, explore SBA programmes or traditional bank products.

What documents do I need to apply for a business loan?

Document requirements vary by lender. Preparing these in advance speeds up your approval:

Bank statements — Last 3–6 months of business bank statements showing consistent cash flow.

Tax returns — 2–3 years of business and personal tax returns to verify income history.

Financial statements — Profit and loss statement and balance sheet, ideally for the last 2 years.

Identification and registration — Government-issued ID, EIN, and business formation documents.

Business plan (SBA only) — A formal business plan with financial projections is required for SBA loans.

Online lenders typically require far less — some only need 3 months of bank statements and a 10-minute application.

Will applying for a business loan affect my personal credit score?

It depends on how you apply and which lender you use. Two types of credit checks to be aware of:

Soft pull — no impact on your score. Most online lenders and marketplaces (OnDeck, Lendio, SoFi, Lendzi) let you check eligibility without a hard inquiry.

Hard pull — temporary dip of 5–10 points. This happens once you formally accept a loan offer and the lender carries out full underwriting.

Best practice: Start with lenders that offer pre-qualification via soft pull. Only trigger a hard inquiry once you have identified the offer you want to proceed with.

What is the difference between a term loan and a line of credit?

These are the two most common business loan products, each suited to different funding needs:

Term loan — You receive a lump sum upfront and repay in fixed instalments. Best for one-time investments such as equipment purchases, renovations, or expansion.

Business line of credit — A revolving credit limit you draw and repay as needed. You only pay interest on what you use. Best for managing cash flow gaps or ongoing operational costs.

If you know exactly how much you need and why, a term loan is usually more cost-effective. If your needs are unpredictable, a line of credit gives you flexibility without reapplying each time.

What is an SBA loan and is it right for my business?

SBA loans are government-backed loans issued through approved lenders. The SBA guarantees a portion of the loan, reducing lender risk and enabling more businesses to qualify at better rates:

SBA 7(a) — The most common. Up to $5M, terms up to 25 years, rates from 9.75%–13.25%. Suitable for working capital, equipment, or real estate.

SBA 504 — Designed for major fixed assets like commercial real estate and heavy equipment. Long terms, fixed rates tied to Treasury bond rates.

SBA Microloans — Up to $50,000 for startups and nonprofits. Ideal for businesses needing a smaller injection of capital.

SBA loans offer the lowest rates and longest terms available to small businesses — but require the most documentation and take 30–90 days to fund.

Do I need collateral to get a business loan?

Not always. Whether collateral is required depends on the loan type and lender:

Unsecured loans — Based on creditworthiness and cash flow only. Available from most online lenders. Usually come with higher rates.

Secured loans — Backed by business assets such as equipment, real estate, or receivables. Offer lower rates and larger amounts.

Personal guarantee — Many lenders require a personal guarantee even on "unsecured" loans, meaning your personal assets could be at risk.

If your business has limited assets, start with unsecured options from online lenders. If you have assets and want the lowest rate, a secured loan will give you better terms.

What fees should I watch out for beyond the interest rate?

The interest rate is only part of the true cost. These common fees can significantly increase what you pay:

Origination fee — Typically 1%–4% of the loan amount, often deducted from your disbursement before funds reach you.

Closing costs — Apply to SBA and real estate-backed loans. Cover legal, appraisal, and title fees. Usually 2%–5%.

Prepayment penalty — Some lenders charge 3%–5% of the remaining principal if you repay before the end date.

Platform or funding fee — Charged by some marketplaces for connecting you with a lender. Lendzi charges none; Lendio does apply a funding fee.

Late payment fee — A flat charge or percentage triggered when a payment is missed or made after the due date.

Always request the full APR — not just the stated interest rate. APR includes most fees and gives you an accurate picture of the true annual cost of borrowing.

How do lenders decide whether to approve my application?

Most lenders use the Five C's of Credit to evaluate your application:

Character — Your credit history, both personal and business. Shows your track record of repaying debt on time.

Capacity — Your ability to repay, measured by revenue, cash flow, and your debt-to-income ratio. Often the most heavily weighted factor.

Capital — How much of your own money is invested in the business. Greater personal investment signals lower risk to the lender.

Collateral — Assets available to secure the loan if you default. Providing collateral improves your rate and approval chances.

Conditions — The loan's stated purpose, your industry's risk profile, and the broader economic environment.

Strengthen your application by clearly documenting your business plan, showing consistent revenue, and explaining exactly how the loan will be used and repaid.

What types of business loans are available?

The right loan type depends on what you need the money for and how quickly:

Term loan — A lump sum with a fixed repayment schedule. Best for planned, one-time investments.

Business line of credit — Revolving access to funds. Best for managing cash flow or unexpected expenses.

SBA loans — Government-backed with the lowest rates and longest terms. Best for established businesses.

Equipment financing — Equipment serves as collateral, making approval easier. Best for purchasing machinery or vehicles.

Invoice financing — Advance up to 90% on outstanding invoices. Best for businesses with slow-paying clients.

Revenue-based financing — Repayment tied to monthly revenue. Best for businesses with strong sales but limited credit history.

Merchant cash advance (MCA) — Fast funding against future card sales. High cost — suitable only as a last resort.

Best Business Loan Lenders of 2026
Compare Top Lenders & Get Funded Fast

Best Business Loan Lenders of 2026 —
Our Expert Picks

Compare Business Loan Lenders

What Is a Business Loan?

Apply with a lender

Get an offer with terms

Receive funds, repay over time

Types of Business Loans, Explained

Business Loan
Questions, Answered.

Your Next Business Loan
Starts Here.

Best Business Loan Lenders of 2026Compare Top Lenders & Get Funded Fast

Best Business Loan Lenders of 2026 —Our Expert Picks

Compare Business Loan Lenders

What Is a Business Loan?

Apply with a lender

Get an offer with terms

Receive funds, repay over time

Types of Business Loans, Explained

Business LoanQuestions, Answered.

Your Next Business LoanStarts Here.

Best Business Loan Lenders of 2026
Compare Top Lenders & Get Funded Fast

Best Business Loan Lenders of 2026 —
Our Expert Picks

Business Loan
Questions, Answered.

Your Next Business Loan
Starts Here.