Small Business Loans - Best Lenders and Loans for 2018

Get information on the best types of loans for small business, and the best lenders you should consider. Includes interest rates, max loan amounts, and more.

7 min read • Last updated on October 19th, 2018

Small business loans are used to purchase equipment, inventory, real estate or to start a business. Small business lending includes bank loans, credit cards, venture capital, SBA-backed loans, microloans, and crowdfunding.

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Best Small Business Loans:

Loan Type

Interest Range

Max Loan

Business Line of Credit

7 - 25%

$1,000,000

Equipment Financing

8 - 30%

$500,000

Invoice Financing

8 - 30%

$500,000

Merchant Cash Advance

1.2 - 2.0 (factor)

$250,000

Personal Loan for Business

5.99 - 36%

$40,000

SBA Loan

4 - 6.75%

$500,000

Short-Term Loan

9 - 40%

$250,000

Small Business Startup Loan

4.88 - 5.15%

$150,000

Term Loan

7 - 30%

$500,000

Top Small Business Lenders:

Lender

Loan Types

Max Line of Credit

Accion

Term loans.

$20,000 to $100,000

Bank of America

Term loans, lines of credit.

$100,000

Capital One

Business installment, commercial real estate, equipment financing, lines of credit, and SBA loans.

$500,000

Fundation

Term loans, lines of credit.

$500,000

Fundbox

Invoice financing, line of credit.

$100,000

Funding Circle

Term loans.

$500,000

JPMorgan Chase

Term loans, lines of credit.

$250,000

Kabbage

Line of credit.

$250,000

LendingClub

Term loans.

$300,000

OnDeck

Term loans, lines of credit.

$500,000

US Bank

Commercial real estate, equipment financing, lines of credit.

$250,000, and the repayment term goes up to five years. The loan is called “quick” because t

Wells Fargo

Term loans, lines of credit.

$100,000

Lendr

Merchant Cash Advances

$500,000

Small Business Loan FAQs:

How should I decide where to get a small business loan?

It depends on what you're after. There are many types of small business loans, including loans to cover equipment purchase, loans to help start a business, loans for buying commercial real estate, invoice financing and more. Decide what type of loan you need, and you'll be able to narrow your list of what lenders to consider.

Who are some small business loan lenders to consider?

  • Wells Fargo.
  • Bank of America.
  • Fundation.
  • Kabbage.
  • OnDeck.
  • Accion.
  • Funding Circle.
  • JPMorgan Chase.
Are Small Business Loans Hard To Get 420X320 20180604
Are small business loans hard to get?

It can be difficult to get a small business loan if your company has been in business for less than two years, has no significant revenue, has no collateral, or has bad or no credit. However, there are lenders like Accion that specialize in loans to businesses that don't meet these standards.

What are alternative business loans?

Alternative business loans include a business line of credit (similar to a credit card), loans from private lenders, invoice factoring - which allows you to borrow money in the amount that you expect to receive from a client in advance - and peer-to-peer lending. These are also known as non-traditional small business loans.

What companies specialize in alternative business lending?

  • Kabbage.
  • Accion.
  • RapidAdvance.
  • OnDeck.
  • Fundbox.
  • Fundation.
What Do You Need To Apply For A Small Business Loan
What do you need to apply for a small business loan?
  • A detailed business plan.
  • Financial statements.
  • Business credit report.
  • Income tax returns.
  • Accounts receivable and accounts payable.
  • Collateral document.
  • Business licenses and registrations.
  • Articles of incorporation.
  • Copies of third party contracts.
  • Franchise agreements.
  • Commercial leases.

Are business loans for small business available to startups?

It depends on what stage you're in. Typically a startup is in the very early stages of a business, often before there are revenues or collateral. You may qualify for specialized small loans for small business, but otherwise, you'll be looking for investment funding or alternative business loans.

What kind of small business financing loan should I apply for to buy work vehicles?

You'll probably want to apply for equipment loans, or a business auto loan like the ones Bank of America offers.

Where Can I Get A Business Loan
Where can I get a business loan?
  • Wells Fargo.
  • Funding Circle.
  • Kabbage.
  • Bank of America.
  • Lending Club.
  • OnDeck.
  • JPMorgan Chase.
  • Accion.

Is there anyone who makes loans to small business if I've been rejected by banks?

Try some of the alternative financial tech small business loan companies if you need a loan for small business and are having trouble with banks. These include Funding Circle, Kabbage, Lending Club, Accion, and others. They use new tools, such as crowdfunding, to make loans available to companies that might otherwise have trouble.