Key takeaways

  • Backd and Credibly both offer financing solutions for businesses with less-than-perfect credit
  • Choose Backd for high loan amounts
  • Choose Credibly for short-term loans

Finding the right lender can make all the difference in your company’s growth and success.

If you’re considering Backd as a potential lender, it’s the ideal choice for substantial loan amounts. But if you’re looking into Credibly, this lender is perfect for short-term financing needs.

We’ll take a more in-depth look at Backd and Credibly to shed light on their unique offerings and determine the better fit for your business needs.

Backd vs. Credibly at a glance

As two highly rated lenders, Backd and Credibly offer business financing options that fit varying business needs. In terms of loan amounts, Backd caters to businesses seeking substantial capital, with offerings ranging from $10,000 to $2 million, while Credibly offers significantly lower financing, providing loans from $5,000 to $400,000.

When it comes to lending requirements, Backd has a slightly higher minimum credit score requirement, at 600, compared to Credibly’s requirement of 550. Additionally, Backd offers loan terms ranging from three to 16 months, whereas Credibly provides more flexibility with terms extending up to 24 months.

Backd Credibly
Bankrate Score 4.6 4.6
Best for High loan amounts Short-term funding
Number of loan products 3 6
Loan amounts $10,000 to $2 million $5,000 to $400,000
Interest rates 1.10 Factor rate <br />18.00% Simple interest 1.09 Factor rate
Term lengths 3 to 16 months 3 to 24 months
Personal credit score 600 550
Minimum time in business 1 year 6 months
Minimum business revenue $100,000 $300,000

Backd business loans

Backd is an online lender offering working capital loans, business lines of credit and a buy now, pay later option — called BackdPay — that offers flexibility with repayment periods and the opportunity to avoid interest if repaid within 12 weeks.

The lender’s fast business loans provide a quick funding process, with loan approvals granted instantly and funds disbursed within 24 hours, which is excellent for businesses needing immediate cash. However, it’s mostly an attractive choice for businesses seeking substantial loan amounts, even with fair credit, requiring a minimum credit score of 600 and just one year in operation. The maximum loan amount offered is $1.5 million, with repayment terms spanning three to 16 months. Depending on the loan type, Backd charges simple interest or factor rates, which can be expensive.


  • High maximum loan amounts
  • Funding within 24 hours
  • Buy now, pay later option


  • Short-term loans only
  • Limited loan types
  • Potentially high costs with factor rates

Credibly business loans

Credibly has a wide array of options to suit varying business needs. Alongside its traditional loans, it provides convenient alternative financing options like invoice factoring and merchant cash advances. Credibly’s low minimum credit score requirement of 550 makes it accessible to startups and businesses with bad credit. However, it has an annual revenue requirement of $300,000, which might be difficult for businesses to meet.

What sets Credibly apart is its short-term loan options spanning from three to 24 months. Coupled with its same-day funding, the lender gives businesses quick access to the cash they need to manage a variety of business-related costs. Similar to Fundible, Credibly charges factor rates, which start as low as 1.09.


  • Speedy funding
  • Low credit score requirement
  • Loan variety


  • Fees
  • Expensive factor rates
  • Significant annual revenue requirement

How to choose between Backd and Credibly

Backd and Credibly are well-known online lenders with lenient lending requirements that make their products accessible to various businesses, but businesses can expect to see different loan products, amounts, terms and more.

Even though Credibly’s three to 24-month loan terms are longer than Backd’s three to 16-month terms, both are considered short-term options. However, the extra eight months Credibly customers get to repay their loans is an advantage since payments, although frequent, will likely be smaller.

Unlike Credibly, Backd can approve loans beyond $400,0000. Its $2 million loan cap makes it a better fit for companies seeking substantial loan amounts. Additionally, Backd’s buy now, pay later option — which is capped at $1.5 million — permits borrowers to repay within 12 weeks without incurring interest charges, providing a unique advantage for cost-conscious businesses.

Choose Backd for high loan amounts

Backd’s high loan amounts are perfect for businesses pursuing substantial growth opportunities, investing in critical assets or managing cash flow for expansion and development.

Credibly caps its loans at $400,000, but Backd offers up to $2 million to qualified businesses.

Borrowers will appreciate Backd’s transparency and efficiency in their lending process, ensuring speedy access to cash. Surprisingly, despite its high loan amounts, Backd requires an annual revenue of $100,000, depending on the loan.

Choose Credibly for short-term loans

Credibly is the preferred choice for businesses seeking short-term funding solutions. Its streamlined application process and rapid approval times are tailored to the urgency often associated with short-term financial needs.

Although Backd offers terms between three and 16 months, its higher loan amounts come with higher payments, making managing the loan difficult. Credibly’s repayment flexibility is a notable advantage for businesses needing short-term funding between three and 24 months. Their repayment schedules are often more accommodating, helping companies successfully manage their loan and cash flow.


When comparing Backd and Credibly to other lenders, it’s essential to consider factors like lending requirements, loan amounts, repayment terms and the speed of funding to determine which option aligns best with your specific business needs and financial situation.

Several alternative lenders cater to small businesses, each with its unique advantages. For example, businesses with less-than-perfect credit seeking long-term financing may find Fundbox or Fora Financial to be viable options.

Fundbox only offers lines of credit to help give businesses access to working capital fast. They have a minimum credit score of 600 and only have a minimum time in business of six months. If you’re looking for more options, Fora Financial offers several types of financing with a lower time in business requirement and a minimum personal credit score of 500.

Business credit cards

Business credit cards are a flexible alternative to traditional term loans. They provide access to funds as needed, allowing companies to manage cash flow efficiently and respond to immediate expenses. You aren’t required to take out a lump sum, so your borrowing adapts to changing financial demands without the constraints of fixed monthly payments.

SBA loans

Both Credibly and Backd offer working capital loans, but types of SBA loans, specifically 7(a) loans, may be a better fit for working capital needs, offering favorable terms and flexibility. Additionally, the SBA offers microloans and Community Advantage loans, specifically designed to assist underserved communities with lower eligibility requirements and affordable rates.

While Credibly provides access to SBA loans, it’s not part of the SBA Preferred Lender program, so the loan approval process may be significantly longer than with a Preferred Lender.

Bottom line

Backd and Credibly bring unique strengths to the table. Backd provides substantial loan amounts, making it ideal for businesses with larger financing needs, but Credibly shines as a reliable source for short-term financing. When deciding which of these two is the better option, consider your business needs, ensuring that your choice provides you the capital you need to propel your business forward.

Frequently asked questions

  • The minimum credit score for Credibly is 550.
  • When securing a loan from Credibly, a business completes an application, providing financial details about their business. Lenders then assess creditworthiness and risk, considering factors like credit history and business revenue. Once approved, businesses can review and agree to terms and interest rates. Funds are disbursed for business use, and repayments follow a set schedule until the loan is fully repaid.
  • To secure a Backd business loan, an application is completed using essential business financial data. Lenders evaluate creditworthiness, revenue and other criteria, then approve the application. Businesses agree to the terms and confirm the repayment schedule, which is structured over a predetermined term, and soon receive funds.