Best business loans for minorities in December 2025

Who it's for: If you have good or excellent credit, you can generally get a line of credit from Wells Fargo. They also offer Small Business Administration (SBA) 7(a) and 504 loans. 

• Rewards program
• No annual fee for first year
• Multiple lines of credit

Accion Opportunity Fund helps a range of minorities looking for affordable business loans. With the competitive, low rates, borrowing becomes more affordable compared to other lenders, making repayment easier to manage. To qualify, you’ll need 12 months in business, $50,000 in annual revenue and own at least 20% of the business. 

• Online application
• No prepayment penalties
• Customized repayment plans
• Mentoring, coaching and other resources

For marginalized communities who can’t access traditional business lending, Kiva’s crowdfunding offers an alternative. You won’t be able to raise too much with the $15,000 cap, and it will require some work, but the 0-percent interest rate may make it worth it. 

• Online application and prequalification
• Zero-percent interest
• Builds business credit

For minority-owned businesses located in one of the eleven states that Huntington Bank serves, the Lift Local program could be a good fit.

• Lending options available to startups
• No origination fees
• Free entrepreneurial training course
• Business checking account with no monthly service fee and a 24-hour overdraft grace period

If your business is located in a metropolitan area with historically disadvantaged communities, the special purpose credit program could make it easier to get approved with more favorable credit terms.

• Streamlined application for loans under $500,000
• One-on-one coaching
• Online resource center

If you’ve been in business for two years or more and want to partner with a lender that works with a pioneering Black-owned fintech, look into OneUnited Bank’s business loans.

• Highest Bank Enterprise Award 
• Online application
• Available in all 50 states
• No past banking relationship required

With a variety of small business loans to choose from, Hope Credit Union could be the right option if you’re looking to fund a business venture or make a big business purchase that can help you grow your business.

• Established in 1994
• Phone and in-person application
• Secured loan options

For businesses seeking a traditional lender, U.S. Bank offers a customized approach. With its Business Diversity Lending Program, access to business loans and lines of credit is easier thanks to the adjusted credit standards, welcoming a broader range of business owners.

• Online application, depending on loan
• Secured loan options
• Personalized lending experience
• No origination fee

The U.S. Small Business Administration guarantees SBA loans, which helps to make them more affordable. Small business lenders can work with the SBA to provide traditional SBA 7(a) loans and SBA microloans, which can be helpful to business owners in historically disadvantaged communities. 

With term loans, the lender gives you a lump sum and you have a set amount of time (the loan term) to pay it back, usually in monthly installments. These are typically long-term options that have lower interest rates than other types of loans.

These loans are generally on the smaller side, less than $50,000. They can be through the SBA or nonprofit lenders, or they can be crowdfunded through platforms like Kiva. 

Business lines of credit are a lot like a credit card. As you pay back what you borrowed, you can use it again. If you need cash flow on an ongoing basis, this might be right for your business. 

Access to small business funding is a challenge for many business owners. Rate hikes and bank turmoil have led to lenders tightening credit standards and eligibility requirements. This can make it difficult for startups, bad-credit borrowers and business owners in underserved areas to get approved for small business loans. 

Our experts consider several factors in this category and award higher scores to lenders that offer flexible loan amounts, fast approval and funding and inclusive time in business and annual revenue requirements.

The affordability of a business loan often depends on a business owner's financial profile. A business with high revenue and a flexible budget will likely be able to afford most loan options. Businesses considered high risk, such as startups or those with bad credit, may struggle to find loans with affordable interest rates and reasonable fees. 

We consider a business loan affordable if the payments are manageable, you have the lowest possible rate based on your creditworthiness and there are minimal fees. Lenders that have lower rates, offer rate or fee discounts and have minimal fees receive higher scores. 

A good customer experience requires a lender to be transparent, efficient and responsive. Reputable lenders that value their customers are easy to communicate with, responsive to your questions and concerns and willing to go the extra mile to make sure you have a positive experience for the life of the loan.

Lenders offering online accounts and applications and a range of customer support availability score higher in this category. 

While the Truth in Lending Act (TILA) protects consumers against unfair or harmful lending practices, it doesn’t apply to business loans. This can make it harder to get straightforward and upfront information on loan costs when comparison shopping. We score lenders that make it easy to find rates and fees, as well as eligibility and credit score requirements, higher than those who do not disclose information.

Loan flexibility is finding a loan to meet your needs, even if you don’t have high annual revenue, several years in business or the best credit score. Loan flexibility can look like lenders that offer multiple lending products, variety in loan terms or unique options to give business owners the opportunity to fund their businesses in a way that works for them.

Lenders scoring high in this category offer varied products and services to cater to all types of borrowers and businesses.