A closer look at our top fast business loans
Credibly working capital loan: Best for early repayment discounts
Overview: Credibly is an online lending platform that connects small business owners with funding opportunities. It services companies in more than 325 industries nationwide and provides direct working capital loans of up to $300,000, along with merchant cash advances.
Why Credibly is the best for early repayment discounts: Credibly is one of few lenders that will give you an early repayment discount on a loan that uses factor rates. If you qualify, you could receive a 20 percent discount on your remaining factor.
Who Credibly is good for: Credibly is good for companies with relatively low credit scores thanks to its low minimum score requirement. Companies with good credit may find cheaper loans elsewhere.
Fora Financial small business loan: Best for bad credit
Overview: Fora Financial is a direct lender offering small business lending solutions. Its term loans provide between $5,000 and $1.4 million in working capital with four- to 15-month terms. Plus, you won’t have to put up collateral. Fora Financial also offers revenue advances to help manage cash flow.
Why Fora Financial is the best for bad credit: Unlike traditional banks and many other lenders, Fora Financial gives small business owners with bad credit a chance. The minimum credit score requirement of 500 is far lower than you’ll find with a bulk of its competitors.
Who Fora Financial is good for: Fora Financial offers high maximums and low minimums, making it good for credit-challenged borrowers that need to customize the amount they borrow.
Funding Circle term loans: Best for flexible repayment terms
Overview: Funding Circle is an online lender that offers quick applications with low rates for companies with strong credit. Unlike most fast business loans, its loans are secured by business assets.
Why Funding Circle is the best for long repayment terms: Funding Circle allows borrowers to stretch payments for up to seven years or pay them off in as little as six months.
Who Funding Circle is good for: Funding Circle is best for companies that have strong credit and a long operating history. It offers low-cost loans. But companies that need money as soon as possible may want to look elsewhere.
Bluevine line of credit: Best for unsecured fast loan
Overview: Established in 2013, Bluevine is a financial technology company offering innovative business banking and funding solutions. Its business line of credit lets you access up to $250,000. You can repay borrowed amounts weekly or monthly and then borrow again.
Why Bluevine is the best for unsecured fast loans: You don’t need perfect credit to qualify for this loan product, nor do you need to put down collateral. But if you have a solid credit rating, you can qualify for a simple interest rate as low as 6.2 percent. Another key benefit of this loan product is the ability to receive a lending decision and access to capital in as soon as one business day.
Who Bluevine is good for: Bluevine is good for larger companies that can meet its revenue requirements of $40,000 per month.
SMB Compass bridge loans: Best for large loan amounts
Overview: SMB Compass offers a variety of loan types through lending partners with stating rates of just 5.25 percent APR and terms up to 25 years. Some loans are open to business owners with a 600 credit score, and you could receive funding in as little as 24 hours.
Why SMB Compass is the best for large loan amounts: SMB Compass offers several small business loans with high maximum loan amounts. Its bridge loan can be as high as $5,000,000, while loan amounts for invoice financing and purchase order financing can go over $10,000,000.
Who SMB Compass is good for: SMB Compass has nine types of loans that can cover the needs of many types of businesses. All have competitive rates and high loan amounts. Some even have relaxed eligibility requirements, making them a good fit for businesses with bad credit.
Triton Capital equipment loans: Best for fast equipment loans
Overview: Triton Capital is a loan marketplace. It partners with financial institutions to provide funding solutions to small businesses in as soon as one business day. Secured equipment loans range from $10,000 to $500,000 and feature competitive interest rates. Borrowers can also access working capital loans and SBA loans through this platform.
Why Triton Capital is the best for fast equipment loans: It’s not uncommon for lenders to have a minimum time in business requirement to qualify for equipment financing. But that’s not the case with Triton Capital, which offers equipment loans to startup businesses. Plus, Triton's funding time of one or two days is much faster than many equipment loans.
Who Triton Capital is good for: Triton Capital is good for startup companies that need equipment to get up and running and credit-challenged borrowers. It is willing to offer loans to recently established businesses and business owners with credit scores as low as 600.
OnDeck term loans: Best for fast short-term loans
Overview: OnDeck is a business lender that offers same-day funding, making it one of the fastest available lenders. Eligibility guidelines for its term loans and business lines of credit are also less stringent compared to other lenders. You only need one year in business, FICO score of 625 or higher and $100,000 in annual revenue to be considered for funding.
Why OnDeck is the best for fast short-term loans: OnDeck offers same-day funding to eligible borrowers. So you don’t have to wait to receive your funds if approved. Plus, terms of up to 24 months are available, which lengthy compared to other lenders that only offer 6 to 18 repayment periods on short-term fast business loans.
Who OnDeck is good for: OnDeck is good for companies seeking fast funding options with extended terms. Borrowers get a longer repayment period, which helps make loan payments more manageable and possibly prevent cash flow issues.
Types of fast business loans
There’s no shortage of fast business loan options to meet your company’s needs. Popular solutions include:
These loans can be secured or unsecured and give you a lump sum of money. Most come with fixed interest rates and are payable over one to five years in equal monthly installments. They can be used to cover an assortment of business expenses but generally come with stringent eligibility requirements and steep interest rates for newly established companies.
Lines of credit
Lines of credit are more flexible. You can pull what you need on an as-needed basis, and you’ll only pay interest on what you borrow. They operate similarly to business credit cards and reset as you pay down the balance. But you may be subject to a draw period: a limited amount of time during which you can access funds.
Merchant cash advances
Merchant cash advances (MCAs) are a short-term financing solution. The amount you can borrow with an MCA is based on your credit card sales volume. This can be a good option if you don’t have good credit or high annual revenue. But this is a type of high-risk alternative loan that uses factor rates instead of interest rates to determine costs.
Factor rates are typically fixed: Interest doesn’t compound on the amount you borrow and paying off your debt early doesn’t save you money. The cost of a loan that uses factor rates can be steep. To make sure this is the right loan for you, make sure to convert a factor rate to an interest rate. That will help you compare a merchant cash advance with similar loans.
Invoice factoring and financing
These funding solutions, while not technically loans, allow you to use outstanding invoices to secure working capital in a jiffy. You can borrow up to 85 percent of the total invoice amount, but there’s a key difference between the two.
Invoice factoring requires you to sell the invoice directly to the lender, and they will remit the remaining balance that’s owed minus factor fees. But if you choose invoice financing, you’ll collect the funds and repay the lender the advanced amount and any applicable fees.
Equipment financing is a type of business loan you can use to purchase business-related equipment. The equipment you purchase acts as collateral for the loan, making it easy for business owners who don’t already have assets to help secure the loan. You’ll also generally get a fixed interest rate, loan term of up to 10 years and a set, predictable monthly payment.
You can get an equipment loan through a bank, credit union or equipment financing company. Some equipment manufacturers also offer in-house financing. Regardless of which you choose, you may be required to make a down payment between 10 and 20 percent to secure a loan.
Where to get a fast business loan
If you’re looking for a fast business loan, there are a few different places you can look.
Two of the most common types of fast business lenders are online banks and financial technology companies. These companies have quick applications and funding processes, but may charge higher interest rates.
Fintechs, in particular, may set flexible eligibility requirements and use algorithms to make funding decisions. These steps for approval allows fintech to approve borrowers who can’t qualify with traditional lenders.
Traditional banks and credit unions can offer relatively fast business loans, but they usually take longer to approve and fund loans than online lenders. You won’t typically find same-day funding, but some can fund within one or two days.
Traditional lenders also tend to have stricter requirements. The benefit of these lenders is that their loans usually have lower interest rates.
Invoice factoring or financing companies are also an option to get fast funding for your business. These options are ideal for business owners with lower credit scores since the customer’s credit rating is used to determine eligibility. Still, it can be rather costly and should only be used if other alternatives with more attractive terms are available.