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Best working capital business loans in July 2025
Updated July 10, 2025
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Compare working capital loans
Bankrate gathers top lenders and compares their offerings. You can use this information to browse pros and cons, loan amounts, terms and other details that are important to you.
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A closer look at our top working capital business loans
Get more detail on Bankrate’s lender here with highlights and unique features. Bankrate’s expert insights include each lender's loan offerings and what we like about them.
Best for unsecured working capital loans: National Funding
National Funding offers high loans with favorable terms to businesses that don’t want to put up any assets as collateral. Additionally, borrowers can get funding in as little as 24 hours.
Pros and cons
- Fast funding
- Early payoff discount
- Limited monthly payment option
- Potentially high interest rates
- $250,000 minimum annual revenue required
Best for flexible funding: QuickBridge
QuickBridge offers a wide range of loans to meet the needs of businesses of different sizes and industries.. And repayment terms are available on a daily or weekly repayment schedule, making it highly flexible.
Pros and cons
- Streamlined application process
- Fast funding times
- Early payoff discount
- Interest rates and fees not stated online
- $250,000 minimum annual revenue requirement
Best for fast approval: Fora Financial
Fora Financial can approve loans in as fast as 24 hours and provide cash shortly thereafter. That, combined with loans ranging from $5,000 to $1.5 million, make Fora Financial a great lender for startups.
Pros and cons
- Possible early repayment discount
- Soft credit check at application
- Minimum FICO score of 570
- Maximum factor rate is fairly high
- Few types of loans
- Steep annual revenue requirement
Best for merchant cash advance: Lendzi
Lendzi doesn’t have high requirements when it comes to personal credit score and revenue. While Lendzi is not a direct lender, the company works with many partners to connect borrowers with loan options that suit their needs, and their merchant cash advance options can help companies that can get approved for a traditional loan.
Pros and cons
- Fast funding
- High lending amounts
- Potentially high interest rates and fees
- Mixed loan details from representatives
Bankrate 2025 Award Winner Best lender for startups: OnDeck
OnDeck can provide fast funding with reasonable terms to businesses that have only been active for one full year. As such, it is our 2025 award winner for best lender for startups.
Pros and cons
- Same-day funding
- Early repayment incentives
- Helps build business credit
- High APRs
- Loan origination fees
- Requires personal guarantees
Best for bridge loan: SMB Compass
In addition to traditional business loans, SMB Compass offers bridge loans of up to $5 million for eligible businesses. Additionally, these loans can show up in borrower’s accounts in as little as 24 hours.
Pros and cons
- Fast funding
- Competitive interest rates
- Not available to sole proprietorships
- Not available in all 50 states
Best for personalized funding: SmallBusinessLoans.com
SmallBusinessLoans.com is a platform that matches borrowers with lenders based on their size, revenue, credit and other factors. As a result, SmallBusinessLoans.com can give business owners a highly personalized experience that meets their needs perfectly.
Pros and cons
- Low minimum annual revenue requirement
- Variety of lending partners
- Personalized funding options
- Must fill out an application to know what you qualify for
- May not be eligible for every product
- Limited information online
Bankrate 2025 Award Winner Best lender for good-to-excellent credit: Wells Fargo Business
Wells Fargo is our 2025 Bankrate award winner for best lender for good-to-excellent credit. For those who qualify, Wells Fargo offers large loan amounts at attractive rates.
Pros and cons
- Competitive rates
- Rewards program
- Multiple lines of credit
- High credit score requirements
- Personal guarantee or collateral required
- Annual fee for some products
Bankrate 2025 Award Winner Best CDFI for small business loans: Accion Opportunity Fund
Accion Opportunity Fund is an organization with a mission to help fund businesses in historically underserved communities. Their fair terms and resources offered to entrepreneurs helped Accion Opportunity Fund win our 2025 Bankrate Award for best CDFI for small business loans.
Pros and cons
- Low interest rates
- Help minority businesses
- Mentoring and educational support
- Only offers two loan options
- Only offers loan amounts up to $250,000
Best for fair credit: American Express Business Blueprint
American Express is a well-known financial institution that offers many financial services for consumers and businesses alike. And with a business line of credit available to applicants with a FICO score of just 660, American Express could be a good fit for business owners that need capital but only have fair credit.
Pros and cons
- Online application
- Flexible access to funds
- Multiple term options
- High fees on longer terms
- Personal guarantee required
- Minimum draw amounts
How Bankrate chooses our best working capital business loan lenders
Bankrate's trusted small business loan industry expertise
57
years in business
30
lenders reviewed
22
loan features weighed
770
data points collected
To choose the best fast business loans, Bankrate ensured all loans featured are broadly available across the United States, have a funding time of three days or less and offer an online application process. We then considered features that make loans affordable and accessible to businesses with different characteristics and needs, including interest rates, credit score requirements, minimum annual revenue and fees.
How to get a working capital business loan through Bankrate
Working capital loans can help get the funds to keep your business up and operating, even when times are tough. Let Bankrate walk you through the process.
Determine if a working capital loan is right for your business
A working capital loan is designed to infuse cash into the business for everyday operations, such as marketing, inventory or payroll. These loans boost your business’s working capital, which is your current assets minus liabilities. The positive amount left over is the amount you can use for day-to-day purchases or to expand your business.
Working capital business loans can help bolster your cash reserves when your cash flow gets low, or help weather a period of slow sales. You don’t have to limit yourself to a working capital loan. You can use other loans to boost your business’s working capital, including short-term loans and business lines of credit.
Depending on the type of loan, working capital loans may be easier to qualify for than standard term loans. They may require only a year in business and a personal FICO score of 500 to 600.
Most working capital loans will have a set repayment schedule with fixed payments. If you open a business line of credit, your credit limit will reset as you pay off the loan, allowing you to borrow more funds as needed.
In general, working capital loans can be a good idea for your business if:
- If you need cash on a short-term basis.
- You plan to use funding for operational expenses.
- You have a lower credit score or time in business.
- You can handle a shorter, more aggressive repayment period.
When is it a good idea to get a working capital loan instead of a fast loan or using a business credit card?

Thomas Brock, CFA, CPA
Expert Reviewer
"Fast loans and business credit cards are known for their quick approval processes and widespread accessibility. They can be sensible when you need to quickly access a relatively small amount of money on a short-term basis. However, they have relatively high interest rates and unfavorable terms. If you require a more significant amount of money and anticipate needing several months to repay the debt, working capital loans are more cost-effective. These loans have lower interest rates and more flexible repayment schedules than fast loans and business credit cards."
Pros and cons of a working capital loan
Working capital loans work well for small businesses needing fast funding to cover everyday expenses and gaps in cash flow. But you might pay for the convenience. Make sure to consider the pros and cons of working capital loans before you apply for one.
Pros
- Get cash fast. Many lenders fund working capital loans fast — usually within a few days — though it depends on the type of loan and how much you need.
- Typically used as needed. Unless you go with a term loan, your business can typically use the funds for any expenses. You may have to state the reason you need the funds for a term loan.
- Relaxed eligibility requirements. Businesses with bad credit can find loans to increase working capital, including alternative loan options tied to accounts receivable.
Cons
- Short, aggressive repayment terms. Most working capital loans require repayment within a few months, such as six or 18 months. They may also require daily or weekly payments, an aggressive schedule that cuts into profits.
- Potentially high interest or fees. Some working capital loans come with high interest rates, upwards of 75.00 percent, while others charge factor rates and additional fees like processing fees. Factor rates are known for converting to a high interest rate since they’re often used with risky types of loans.
- Low loan amounts. The loan amount that you qualify for may be lower than a standard business loan. This may be due to aggressive repayments or a risky credit profile.

What is a working capital loan
Working capital loans can help you cover short-term operating expenses. Here’s what you need to know.
Learn moreCalculate how much debt your business can take on
How much you’ll pay for a working capital loan will depend on your credit history, revenue, loan amount and the type of loan in question. As of March 2025, average loan rates for standard loans are between 6 and 75 percent APR, between 6 and 8 percent APR for lines of credit and 1.04 to 1.32 factor rates for merchant cash advances.
As a rule of thumb, you shouldn’t borrow more than 36 percent of your business’ annual revenue when taking out a loan. If your business makes $250,000 annually, for example, you shouldn’t borrow more than $90,000.
Your monthly, weekly or daily payment will also be an important factor in determining how much you can afford, as missing a payment due to lack of funds can result in fees and the possibility of default. Using a loan calculator can help you calculate how much your monthly payment will be based on your loan amount.
For example, if you want to cap your monthly payment at $1,000 with a 1.1 factor rate, monthly-paid, 12-month loan, then your maximum loan amount would be $10,849.
Make sure you meet requirements
Every lender sets its own standards for granting working capital loans to small businesses. In general, these loans have lenient eligibility criteria since they’re meant for small, everyday purchases.
Requirements you can expect include:
- Annual revenue: Lenders require your business to make a specific amount monthly or annually to show steady cash flow. For working capital loans, these can range from $36,000 to $250,000 annually.
- Time in business: Most lenders prefer businesses to show they have several years in the market. But working capital loans can offer loans to businesses with three months to two years in business.
- Credit score: The minimum credit score is based on how much risk individual lenders are willing to take on. It’s typically set between a 625 and 680 FICO score, but some lenders go as low as 500.
- Industry: Lenders evaluate your business’s financial statements and risks for your industry. In some cases, the lender posts a list of industries it won’t work with, such as consulting or financial services.
Lenders often use your personal credit score to determine creditworthiness, though a business credit score may be weighed for more established businesses.
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 working capital business loans
Working capital loans can differ in their borrowing costs, lender terms and other factors that impact how the loan works for you. Which loan works best for you will depend on your priorities. Check out Bankrate’s rate cards for a one on one look at different factors and interest rates for a detailed comparison.
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Types of working capital business loans
From SBA loans to invoice factoring, here’s what you have to pick from.
Learn more