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Best Small Business Loans of February 2024

Small business loans are financial tools designed to support entrepreneurs and business owners in managing and growing their ventures. These loans are tailored to meet the unique needs of small businesses, providing a vital lifeline for both new and established companies. When starting a business, these loans can be instrumental in covering initial costs such as acquiring equipment, leasing office space, or hiring staff. For businesses looking to expand, they offer the necessary capital for scaling operations, increasing inventory, or even marketing and advertising initiatives.

William Stern
William Stern

Editor, Working Capital Staff

November 20, 2023

Editor’s note: At WorkingCapital, our revenue is partly generated through commissions earned from affiliate links. It’s important to clarify that these commissions have no impact on the views or evaluations made by our editorial team.

Our editorial integrity is paramount. We offer unbiased evaluations and insights, unaffected by advertisers. Our method is based on a data-driven approach, guaranteeing uniform and equitable evaluation of all financial entities and products. To gain insight into our editorial principles and the particular criteria employed in our reviews, please consult our Evaluation Method.

Best Small Business Lenders

Best 0% APR Credit Card

Wells Fargo Active Cash® Card
Wells Fargo Active Cash Card
5.0
5/5
WorkingCapital Logo
Unlimited 2% Rewards Rate

Earn unlimited 2% cash rewards on purchases

Welcome Bonus

$200 Cash Rewards

Annual Fee

$0

Regular APR

20.24%, 25.24%, or 29.99% variable APR

Credit Score

Excellent, Good (700 - 749)

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BEST FOR FLEXIBLE LINES OF CREDIT

BlueVine

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On BlueVine's Website

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On BlueVine's Website

Loan Amounts

$6,000 to $250,000

APR range

Not disclosed

Minimum Credit Score

$625

Why We Picked It
Pros & Cons
Details

BEST FOR SHORT-TERM LOANS

Driven Funding

Loan Amounts

$5,000 to $250,000

APR range

Not disclosed

Minimum Credit Score

625

Why We Picked It
Pros & Cons
Details

BEST FOR SHORT-TERM LOANS

Elevator Funding

Loan Amounts

$5,000 to $250,000

APR range

Not disclosed

Minimum Credit Score

625

Why We Picked It
Pros & Cons
Details

BEST FOR SMALL BUSINESS FINANCING & EQUIPMENT FINANCING

Cardiff

Loan Amounts

$10,000 to $500,000

APR range

7.49%

Minimum Credit Score

550

Why We Picked It
Pros & Cons
Details

BEST FOR LOAN OPTIONS

Biz2Credit

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On Biz2Credit's Website

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On Biz2Credit's Website

Loan Amounts

$25,000 to $500,000

APR range

Not disclosed

Minimum Credit Score

660

Why We Picked It
Pros & Cons
Details

BEST FOR ESTABLISHED BUSINESSES

Funding Circle

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On Business Loans's Website

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On Business Loans's Website

Loan Amounts

$25,000 to $500,000

APR range

As low as 7.49%

Minimum Credit Score

660

Why We Picked It
Pros & Cons
Details

BEST FOR HEALTHCARE PROFESSIONALS

TD Bank

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On Business Loans's Website

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On Business Loans's Website

Loan Amounts

$10,000 to $1 million

APR range

Not disclosed

Minimum Credit Score

660

Why We Picked It
Pros & Cons
Details

BEST FOR QUICK APPROVALS

Fundbox

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On Fundbox's Website

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On Fundbox's Website

Loan Amounts

$1,000 to $150,000

APR range

Start at 4.66%

Minimum Credit Score

600

Why We Picked It
Pros & Cons
Details

BEST FOR SMALL- TO MID-SIZED BUSINESSES

National Funding

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On National Funding's Website

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On National Funding's Website

Loan Amounts

$10,000 to $500,000

APR range

Buy rates start at 1.11%

Minimum Credit Score

$600

Why We Picked It
Pros & Cons
Details

BEST FOR SHORT-TERM LOANS

Meltzer Funding

Loan Amounts

$5,000 to $250,000

APR range

Not disclosed

Minimum Credit Score

625

Why We Picked It
Pros & Cons
Details

BEST FOR SMALL AND LARGE LINES OF CREDIT

American Express® Business Line of Credit

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On American Express's Website

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On American Express's Website

Loan Amounts

$2,000 to $250,000

APR range

N/A

Minimum Credit Score

At least 660 FICO at the time of application

Why We Picked It
Pros & Cons
Details

BEST FOR FAST FUNDING

QuickBridge

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On QuickBridge's Website

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On QuickBridge's Website

Loan Amounts

Up to $500,000

APR range

Factor rates start at 1.11

Minimum Credit Score

$600

Why We Picked It
Pros & Cons
Details

BEST FOR A LENDER COMPARISON SITE

Lendio

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On Lendio's Website

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On Lendio's Website

Loan Amounts

$500 to $5 million

APR range

As low as 3%

Minimum Credit Score

560

Why We Picked It
Pros & Cons
Details

BEST FOR SHORT-TERM LOANS

ondeck

Learn More

On ondeck's Website

Learn More

On ondeck's Website

Loan Amounts

$5,000 to $250,000

APR range

Not disclosed

Minimum Credit Score

625

Why We Picked It
Pros & Cons
Details
CompanyBest ForLoan AmountAPRMin. Credit Score
BlueVine

BlueVine

Best for flexible lines of credit$6,000 to $250,000Not disclosed$625
Driven Funding

Driven Funding

Best for short-term loans$5,000 to $250,000Not disclosed625
Elevator Funding

Elevator Funding

Best for short-term loans$5,000 to $250,000Not disclosed625
Cardiff

Cardiff

Best for small business financing & equipment financing$10,000 to $500,0007.49%550
Biz2Credit

Biz2Credit

Best for loan options$25,000 to $500,000Not disclosed660
Funding Circle

Funding Circle

Best for established businesses$25,000 to $500,000As low as 7.49%660
TD Bank

TD Bank

Best for healthcare professionals$10,000 to $1 millionNot disclosed660
Fundbox

Fundbox

Best for quick approvals$1,000 to $150,000Start at 4.66%600
National Funding

National Funding

Best for small- to mid-sized businesses$10,000 to $500,000Buy rates start at 1.11%$600
Meltzer Funding

Meltzer Funding

Best for short-term loans$5,000 to $250,000Not disclosed625
American Express® Business Line of Credit

American Express® Business Line of Credit

Best for small and large lines of credit$2,000 to $250,000N/AAt least 660 FICO at the time of application
QuickBridge

QuickBridge

Best for fast fundingUp to $500,000Factor rates start at 1.11$600
Lendio

Lendio

Best for a lender comparison site$500 to $5 millionAs low as 3%560
ondeck

ondeck

Best for short-term loans$5,000 to $250,000Not disclosed625
Guidelines for Evaluating Small Business Loans

Keep these key points in mind when assessing small business loans:

  • Prequalification Opportunities: Many lenders specializing in business financing offer a prequalification step. Prospective borrowers can share key details such as their funding requirements, business revenue, and other pertinent information. This step helps to gauge eligibility for specific loan amounts, interest rates, and repayment plans. Importantly, prequalification usually involves a soft credit check, which doesn’t impact your credit score.

  • Choosing Your Funding Method: There are typically two main ways to access business funds: either as a lump-sum payment or on an as-needed basis. For upfront capital, a traditional working capital loan or a term loan might be suitable. Alternatively, if you prefer to draw funds as required, a business line of credit could be more appropriate.

  • Repayment Terms and Flexibility: Different lenders have varied repayment structures. Some might ask for monthly repayments, while others could have daily or weekly repayment schedules. This is a crucial factor to consider when selecting a lender and loan type that aligns with your business’s cash flow and financial planning.

  • Awareness of Additional Fees: While some business loans come without any additional fees, such as origination, late payment, or prepayment penalties, others might include these charges. It’s essential to fully understand a lender’s fee structure when comparing loan options. Incorporating potential extra costs into your decision-making process is vital for a comprehensive financial plan.

  • Assessing Lender’s Customer Support: Once you’ve found a lender offering the necessary funds on agreeable terms, don’t overlook their customer support capabilities. Effective customer support can be invaluable, particularly if you face challenges with repayments or other loan-related issues. Research the lender’s customer service resources thoroughly and peruse reviews from other borrowers to ensure that the lender’s support system aligns with your expectations and needs.
Evaluation Method

In our analysis of 25 renowned lending institutions, we evaluated them based on 16 distinct data points across five key categories: specifics of the loan, costs associated with the loan, criteria for eligibility and accessibility, overall customer experience, and the efficiency of the application process. Our selection of the top nine lenders was informed by the relative importance assigned to each of these categories:

  • Loan Costs: 35%
  • Loan Details: 25%
  • Customer Experience: 20%
  • Eligibility and Accessibility: 10%
  • Application Process: 10%


Our comprehensive review within these primary categories included examining factors such as available loan amounts, the terms for repayment, and any relevant fees. We also assessed lenders based on their minimum credit score requirements, the required duration of business operation, and the lender’s geographical reach. Additionally, we looked into each provider’s customer support capabilities, advantages offered to borrowers, and features that streamline the loan process, like online application facilities, prequalification features, and mobile application availability.

Lenders were scored on a nuanced scale, with partial points awarded based on their performance against each specific criterion.