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Best short-term business loans in June 2025

Written by
Marlese Lessing
Edited by
Rob Watts
Reviewed by
Thomas Brock, CFA, CPA

Updated June 18, 2025

What to know first: If you need a business loan for only a few weeks or months, then a short-term business loan might be for you. With quick approval and fast repayment periods, short-term business loans can help you cover emergencies, bulk up your inventory or hire more staff for a seasonal rush. Check out Bankrate’s top picks for short-term business loans based on requirement, interests, terms and perks from lenders.

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National Funding: Best for early payoff discount

4.4
Bankrate Review
Loan amount
$5k-$500K
Term: 4 - 24 months
Interest rate
Factor Rates Starting at 1.10
Fastest funding
1 business day
Apply nowArrow Right

on partner site

Credibly: Best for merchant cash advances

4.6
Bankrate Review
Loan amount
$5k-$600K
Term: 3 - 24 months
Interest rate
1.11 factor rate
Fastest funding
1 business day
Apply nowArrow Right

on BusinessLoans.com

QuickBridge: Best for flexible funding

4.2
Bankrate Review
Loan amount
Term: 4 - 24 months
Interest rate
Varies
Fastest funding
1 business day
Apply nowArrow Right

on partner site

iBusiness Funding: Best for secured loans

4.6
Bankrate Review
Loan amount
$25k-$500K
Term: 6 - 84 months
Interest rate
Starting at 7.49% simple interest
Fastest funding
2 business days
Apply nowArrow Right

on BusinessLoans.com

Fora Financial: Best for fast approval

4.5
Bankrate Review
Loan amount
$5k-$1.5M
Term: 6 - 18 months
Interest rate
Starting at 1.10 factor rate
Fastest funding
1 business day
Apply nowArrow Right

on BusinessLoans.com

Backd: Bankrate 2025 Award Winner Best lender for short-term business loans
4.6
Bankrate Review
Loan amount
$10k-$2M
Term: 6 - 16 months
Interest rate
Starting at 30.00% APR
Fastest funding
1 business day
Apply nowArrow Right

on BusinessLoans.com

Bluevine: Best for established businesses

4.4
Bankrate Review
Loan amount
$5k-$250K
Term: 6 - 12 months
Interest rate
Starting at 7.80%
Fastest funding
1 business day
Apply nowArrow Right

on BusinessLoans.com

eCapital: Best for invoice factoring

3.8
Bankrate Review
Loan amount
Up to $30m
Interest rate
Starting at 1.00% discount rate
Fastest funding
1 business day
Read our reviewArrow Right

on Bankrate

OnDeck: Bankrate 2025 Award Winner Best lender for startups
4.5
Bankrate Review
Loan amount
$5k-$250K
Term: 12 - 24 months
Interest rate
Starting at 35.90% APR
Fastest funding
1 business day
Apply nowArrow Right

on BusinessLoans.com

American Express Business Blueprint: Best for lines of credit

4.3
Bankrate Review
Loan amount
$2k-$250K
Interest rate
N/A
Fastest funding
Not disclosed
Apply nowArrow Right

on BusinessLoans.com

SmallBusinessLoans.com: Best for personalized funding

4.4
Bankrate Review
Loan amount
$5k-$500K
Term: 3 - 24 months
Interest rate
8.49%+
Fastest funding
1 business day
Apply nowArrow Right

on partner site

On This Page

A closer look at Bankrate’s top short-term business  lenders

After comparing lenders, take a closer look at Bankrate’s expert picks here to help you choose the right option for your business. We’ll review what each lender is best for, when to consider them and any standout features that can make your decision to select a lender easier.

Badge Icon

Best for early payoff discount: National Funding

National Funding specializes in short-term business loans and equipment loans or leases if you’re in the market for them. The lender provides a discount for paying off your loan early, a huge perk that helps you save money on interest.

Fast funding
Info Icon
Rating: 4.4 stars out of 5
4.4
Bankrate review
See personalized rates
Est. APR
Not disclosed
Max loan amount
$5k–$500k
Min credit score
660
Time in business
6+ months

Pros and cons

✓ Pros
  • Access to high loan amounts
  • Fast funding
  • Funding specialists available to help
× Cons
  • Potentially high interest rates
  • $250,000 minimum annual revenue
  • Limited monthly payment option
Badge Icon

Best for flexible funding: QuickBridge

QuickBridge provides flexible secured and unsecured loan options with terms up to 24 months. It also boasts a streamlined application process, helping you apply in minutes and receive funding within 24 hours. With its dedicated funding advisors guiding you along the way, you should receive the loan you need in no time.

Fast funding
Info Icon
Rating: 4.2 stars out of 5
4.2
Bankrate review
See personalized rates
Est. APR
Not disclosed
Max loan amount
Not specified
Min credit score
660
Time in business
Not specified

Pros and cons

✓ Pros
  • Easy application process
  • Fast funding
  • Early payoff discount
× Cons
  • Not accessible to all borrowers
  • High annual revenue requirement
Badge Icon

Best for established businesses: Bluevine

Bluevine offers low-interest business lines of credit to established businesses with at least one year in business. Once the line is open, you can access funding whenever you need it, and get instant funding if you have a Bluevine checking account.

Fast funding
Info Icon
Low interest rate
Info Icon
Rating: 4.4 stars out of 5
4.4
Bankrate review
See personalized rates
Est. APR
Not disclosed
Max loan amount
$5k–$250k
Min credit score
625
Time in business
24+ months

Pros and cons

✓ Pros
  • Relatively low rates
  • Fast funding times
× Cons
  • Significant eligibility requirements
  • Lines of credit, not traditional loans
  • Not available in all states
Badge Icon

Bankrate 2025 Award Winner Best lender for startups: OnDeck

Providing short-term loans and lines of credit, OnDeck has helped over 150,000 businesses get the funding their businesses need. But unlike most lenders, OnDeck can fund loans the same day you apply, significantly speeding up the process for receiving your loan.

Fast funding
Info Icon
Rating: 4.5 stars out of 5
4.5
Bankrate review
See personalized rates
Est. APR
Not disclosed
Max loan amount
$6k–$100k
Min credit score
625
Time in business
12+ months

Pros and cons

✓ Pros
  • Same-day funding
  • Reports to credit bureaus
  • Open to fair credit borrowers
× Cons
  • High annual percentage rates (APRs)
  • Not available in all 50 states
  • Loan origination fees
Badge Icon

Best for personalized funding: SmallBusinessLoans.com

SmallBusinessLoans.com is a go-to source for comparing business loans from multiple lenders. You can fill out one simple application and get matched with business loans and lenders personalized to your funding needs.

Fast funding
Info Icon
Rating: 4.4 stars out of 5
4.4
Bankrate review
See personalized rates
Est. APR
Not disclosed
Max loan amount
$5k–$500k
Min credit score
660
Time in business
6+ months

Pros and cons

✓ Pros
  • Low minimum annual revenue requirement
  • Variety of lending partners
  • Personalized funding options
× Cons
  • Must fill out an application to know what you qualify for
  • May not be eligible for every product
  • Limited information online
Badge Icon

Best for lines of credit: American Express Business Blueprint™

American Express Business Blueprint specializes in its business line of credit with flexible terms of six, 12, 18 or 24 months. It offers one of the most lenient requirements for revenue, accepting just $3,000 in monthly revenue. But it pays off to go with the shortest term possible as its monthly fees go up the longer the term.

Rating: 4.3 stars out of 5
4.3
Bankrate review
See personalized rates
Est. APR
Not disclosed
Max loan amount
$2k–$250k
Min credit score
660
Time in business
12+ months

Pros and cons

✓ Pros
  • Accessible minimum loan amount
  • Relatively fair eligibility requirements
  • No maintenance or annual fee
× Cons
  • Fee structure can be confusing
  • Requires collateral
  • Requires personal guarantee
Badge Icon

Best for merchant cash advances: Credibly

If you’re in the market for a merchant cash advance, Credibly offers MCAs with flexible terms and loan amounts. You can get terms from three to 24 months, and funding goes up to $600,000. Credibly also offers fast funding within 24 hours from the time you apply.

Fast funding
Info Icon
Rating: 4.6 stars out of 5
4.6
Bankrate review
See personalized rates
Est. APR
Not disclosed
Max loan amount
$5k–$600k
Min credit score
500
Time in business
3+ months

Pros and cons

✓ Pros
  • Fast approvals
  • Funding in as little as 24 hours
  • Available in all states
× Cons
  • Daily or weekly repayment
  • High fees
  • $25K+ in monthly revenue required
Badge Icon

Best for secured loans: iBusiness Funding

iBusiness Funding grants secured business loans to businesses with low revenue and fair credit. Its loans offer low interest rates starting at 7.49 percent interest, helping you keep borrowing costs low.

Fast funding
Info Icon
Low interest rates
Info Icon
Rating: 4.6 stars out of 5
4.6
Bankrate review
See personalized rates
Est. APR
Not disclosed
Max loan amount
$25k–$500k
Min credit score
660
Time in business
24+ months

Pros and cons

✓ Pros
  • Flexible repayment terms
  • Low revenue requirement
  • Helps build business credit
× Cons
  • Requires two years in business
  • No unsecured loan option
  • High origination fee
Badge Icon

Bankrate 2025 Award Winner Best lender for short-term business loans: Backd

Backd is known for its unusually large loan amounts, funding up to $2 million if you qualify. In addition to short-term loans and lines of credit, it offers a unique Buy Now, Pay Later loan that allows you to finance a purchase for 12 months with no money down.

Fast funding
Info Icon
Rating: 4.6 stars out of 5
4.6
Bankrate review
See personalized rates
Est. APR
Not disclosed
Max loan amount
$10k–$2000k
Min credit score
600
Time in business
12+ months

Pros and cons

✓ Pros
  • Same-day application decisions
  • Soft credit check for preapproval
  • Large lending amounts
× Cons
  • Interest rates can be high
  • Not suitable for brand-new startups
  • Need at least fair credit to qualify
Badge Icon

Best for invoice factoring: eCapital

eCapital’s mainstay is alternative financing, specifically various types of asset-based lending. You can borrow against valuable assets your business owns, like accounts receivable, equipment or real estate. This lender works best for businesses looking for large loans from $250,000 to $50 million.

Fast funding
Info Icon
Low interest rates
Info Icon
Rating: 3.8 stars out of 5
3.8
Bankrate review
See personalized rates
Est. APR
Not disclosed
Max loan amount
Up to $30m
Min credit score
600
Time in business
12+ months

Pros and cons

✓ Pros
  • Funding in 24 hours after onboarding
  • High advance rates
  • No invoice upload fees
× Cons
  • Fees not disclosed on website
  • Need creditworthy customers
  • Lengthy onboarding process
Badge Icon

Best for bad credit: Fora Financial

Fora Financial offers large loans up to $1.5 million, but without the slow processing times that big banks require. You can get a lending decision within four hours, and you’ll receive funding within 24 hours.

Fast funding
Info Icon
Rating: 4.5 stars out of 5
4.5
Bankrate review
See personalized rates
Est. APR
Not disclosed
Max loan amount
$5k–$1500k
Min credit score
570
Time in business
6+ months

Pros and cons

✓ Pros
  • Possible early repayment discount
  • Soft credit check at application
  • Minimum FICO score of 570
× Cons
  • Maximum factor rate is fairly high
  • Few types of loans
  • Steep annual revenue requirement

How Bankrate chose the best short-term loan lenders

Bankrate's trusted small business loan industry expertise

Read our full methodology

57

years in business

30

lenders reviewed

22

loan features weighed

770

data points collected

To choose the best short-term business loans, we ensured all loans featured are broadly available across the United States, have a minimum term of no longer than 12 months and offer a minimum funding speed of fewer than five days. We then considered features that make loans affordable and accessible to businesses with different characteristics, including interest rates, loan amounts, credit score requirements, minimum annual revenue and fees. We selected a variety of loan types to best serve businesses with differing needs.
 
When evaluating lenders, we use a 22-point scale to measure quality in five key areas:

How to get a short-term business loan through Bankrate

If you need cash fast, then Bankrate can help you find and get the right short-term loan for your business. Here’s how to apply.

Determine if a short-term loan is right for your business

Short-term business loans are loans with shorter, more aggressive repayment periods. They’re often referred to as working capital loans, though lenders may use the term for different products. Typically, the lender will want you to repay the loan in three to 18 months, though you may find terms up to 24 months.

Due to their short repayment terms, some loans require weekly or even daily payments rather than monthly payments. The payment may also be higher than a loan with a longer term. Before committing, make sure your business can keep up with the repayment schedule.

Consider a short-term business loan if:

  • You’re facing a budget shortfall. A short-term loan can give you an infusion of cash if you need funds to buy inventory or cover emergencies.
  • You want to take advantage of an opportunity. Sometimes, a great deal falls into your lap and it could be a boon for your company, if only you could afford it. Imagine you own a restaurant and the chance to open a new location in a popular area appears, but you need cash tomorrow. A short-term loan could help.
  • You don’t have collateral. Many short-term loans don’t require collateral, making them an option for newer companies or those without significant assets.
  • You can handle an aggressive repayment period. Keep in mind that short-term business loans can have weekly or even daily payments.

Keep in mind that short-term business loans can be expensive and, in some cases, dangerous for your company’s future. You might want to avoid them in these situations:

  • You have long-term cash flow issues. If you’re facing a more long-term or repeated problem with your company’s cash flow, a loan will only make it worse by saddling you with payments.
  • You can’t find a reasonable rate. Since most short-term loans are accessible to startups and borrowers with fair or bad credit, they come with high interest rates.
  • You can’t handle the repayment period. If your cash flow or cash reserves aren’t going to cover the daily, weekly or monthly repayments, consider a different loan.
The best way to manage an aggressive loan payback period is to establish a prudent budget and a detailed cash flow forecast to manage your obligations, including the short-tailed loan. For good measure, implement auto-pay for the loan. Doing so will mitigate the possibility of missing a due date, incurring penalties and damaging your firm’s credit. If the aggressive payback period begins to strain your firm’s finances, reach out to the lender. You may be able to obtain some short-term relief or restructure the terms of the loan.
Bankrate logo Thomas Brock: CFA, CPA

Pros and cons of short-term business loans

Short-term financing can get your company through a rough patch or unexpected expense, but there are also some downsides to tapping into this type of funding. Here’s a look at the pros and cons of short-term business loans.

Green circle with a checkmark inside

Pros

  • Fast funding. Whether you need money to cover payroll, inventory or other urgent expenses, many business term loans are funded within a few days.
  • Flexible financing. Short-term loans often have flexible financing options, giving a borrower a variety of options for financing — from weekly to monthly repayments and repayment terms ranging from weeks to two years.
  • Simple application process. These loans are usually offered by online lenders, who let you submit your application through their website. The entire process takes just a few minutes in some cases.
  • Easier to qualify for than some other business loans. It depends on the specific loan, but some short-term small business loans accept applicants with bad credit. Others work with startups that haven’t yet established a track record of business success.
Red circle with an X inside

Cons

  • Smaller loan amounts. Short-term loan amounts from online lenders tend to have smaller limits than longer term loans. Expect most short-term loans to have a maximum borrowing limit of $250,000 to $500,000, whereas long-term business loans often have maximum amounts in the millions.
  • Rates and fees can be steep. Lenders know that the companies applying for these types of loans are often desperate for cash. As a result, they may charge high interest rates or origination fees in exchange for the speed and convenience that they offer.
  • Tight repayment schedules. Since short-term business loans need to be repaid faster than other types of loans, you’ll have to make more frequent payments. Weekly or daily payments are common.
  • Can create a cycle of debt that’s hard to overcome. If you’re focusing on repaying your loan every day or week, you might not be able to put as much money toward other debts or business needs.

When to consider a short-term business loan

When your business needs capital and needs it quickly, a short-term business loan may be the way to go. Here’s what you need to know.

Learn more

Calculate how much debt your business can handle

One thing to keep in mind is that the cost of a short-term business loan can be higher than other types of loans. This will limit how much you can borrow and make your payments somewhat more expensive in proportion to traditional loans. 

Some short-term loans use a factor rate rather than interest. To determine how much you’ll owe using factor rates, multiply your loan amount by the factor rate. For example, if you borrow $10,000 at a factor rate of 1.15, you’ll have to repay $11,500.

Factor rates are common for high-risk loans like merchant cash advances and business lines of credit open to borrowers with fair or bad credit. Other costs include business loan fees like origination fees and early repayment fees, so be sure to read the fine print to determine the full cost of a short-term business loan.

In general, you should avoid more than a 36 percent debt-to-business-income ratio when it comes to taking out a loan. This means that for every $100,000 you earn annually, you should aim to take on no more than $36,000 in total. 

Your monthly payment will also determine how much you can borrow. If you can only afford $2,000 a month in loan payments, then for a 5 month, 1.1 factor rate loan paid on a weekly basis, you’d be able to afford a loan maximum of $9,861. 

You can use a business loan calculator to look at your loan amount, interest rate and fees and determine how much you can and are comfortable with borrowing. 

How much will a short-term business loan cost?

A short-term business loan can help your business cover gaps in funding, pay for an emergency expense or jump on the opportunity to grow on short notice.

Learn more

Make sure you meet requirements

Lenders have different eligibility requirements for short-term financing.

  • Length of time in business: Typically, the lender will require six months to two years.
  • Annual revenue: Typically, you’ll need at least $100,000 in yearly revenue to qualify though some lenders let you apply for a short-term business loan with just $50,000 in annual revenue.
  • Credit score: Most short-term loans require you to have a personal credit score over 600, though some lenders have more lenient standards in exchange for a higher interest rate or lower loan amounts.
  • Personal guarantee: Since these types of loans are often targeted at businesses in need of fast access to cash, many lenders require a personal guarantee, which secures the loan with your personal assets.

Documents needed for a short-term loan

Before applying for a short-term business loan, you’ll need to have some important information and key documents ready to share with your lender.

  • Personal information, such as your address and social security number
  • Employer identification number (EIN)
  • Recent business bank statements
  • Appraisal of business assets
  • Recent personal and business tax returns
  • Balance sheet with assets and liabilities
  • Profit and loss statement
  • Business licenses
  • Business plan
  • Business formation documents
  • Franchise agreement, if relevant

What documents are required to apply for a short-term business loan?

Getting ready to apply for a loan? Get your paperwork in order and get approved more quickly.

Learn more

Prequalify through Bankrate

When shopping for loans, consider prequalifying with us. Bankrate offers multiple benefits if you decide to prequalify on our site, including:

  • Instant prequalification based on your credit profile
  • Compare multiple lenders at once instead of one lender at a time
  • No hard checks
  • Get expert insights based on unbiased reviews and analyses 
  • Access loan information and applications in one place
  • Build a profile you can access later in the process

How to compare short-term business loans

Different types of short-term loans will have different advantages, depending on your business priorities. Here’s what you should know. 

Most important factor What to consider
Borrowing costs
  • Lower-interest loans can come from online lenders or alternative lenders.
  • SBA loans have a fixed interest rate, though they can be competitive.
  • Short-term loans tend to have much higher interest rates, so discounts can go a long way.
  • Having a good credit score and high annual revenue can snag you a lower interest/factor rate.
Speed of approval
  • Online lenders tend to offer speedy approvals and disbursements.
  • Unsecured loans can have a faster approval process as there’s no collateral to appraise.
Repayment terms
  • Short-term loans often come with a daily or weekly repayment schedule.
  • Some lenders offer a variety of repayment options when you apply.
Requirements
  • Most lending options will come with minimum revenue, credit score and time-in-business requirements of varying amounts.
  • Some lenders offer relaxed requirements for qualifying minority-owned businesses.
Approval odds
  • Some lenders will relax credit requirements if you have a high annual revenue.
  • You can boost your odds of approval by increasing your revenue or credit score.
  • Backing your loan with collateral can improve your approval chances.
Funding amounts
  • How much you can borrow will depend on your revenue, credit score and collateral.
  • Make sure to only borrow as much as you can handle for the daily/weekly/monthly payment.
Industry
  • Some lenders will work with specific types of industries, like restaurants or shipping, and offer terms favorable to industry-based needs.
  • Certain lenders won’t work with high-risk businesses, such as gambling.

FAQs about short-term business loans