Getting a small business loan has become both easier and more dangerous. But when you practice basic due diligence, there is little to worry about. So, let’s go over how you can get a small business loan.
How To Go About Getting A Small Business Loan
Getting a small business loan is easy. Just follow a few simple steps and remember to always compare lenders.
- Decide on the amount of money you need and the loan type that satisfies your needs
- Find a few potential lenders that you qualify for
- Gather the necessary documents the lenders ask for
- Send the lenders applications
- Assess any offers you receive
- Compare the different offers
- Apply for a small business loan
Why Getting A Small Business Loan Is Easy
The rise of alternative lenders has made business financing faster and simpler. Application processes can leverage automation and fast access to information. Sharing your business financial information is easy online. Also, it’s very simple for a lender to pull your credit score. With all this information available so easily, there is no need for business loan applications to take a long time.
Getting a small business loan online takes just minutes. With the necessary information on hand, you can submit many online business loan applications in 15 minutes. After that, many lenders can assess you in a matter of hours. If your business financials look good and your credit score is high, they will be enthusiastic to provide you with a loan at a good rate.
Not all lenders will provide good rates to high credit borrowers, but most will. To find the best rates, consider using a marketplace, like Become:
| Lender | Minimum Revenue | Time In Business | Minimum Credit | Next Steps |
|---|---|---|---|---|
 |
$10,000/mo | 3 months | n/a | See if you qualify |
Why You Must Be Careful When Getting A Small Business Loan
The alternative lending world has its ups and downs. There are many hidden fees you can run into and extremely expensive loans you can take out. For a more thorough explanation of the risks in the alternative business loan world, you can refer to our articles on fast business loans and merchant cash advances.
The Best Small Business Loans
Not all small business loans are equal. Some options offer you better rates and terms. Other options are simply easier to get. Here are some of the more flexible and affordable small business loan options.
Small Business Administration Loans
The best small business loans are the loans are without a doubt the loans approved by the Small Business Administration (SBA).
SBA loans are federally guaranteed loans provided by a wide range of lenders. Many alternative lenders offer them as well. The main catch is that you must have a good credit history and an established business to qualify.
The benefits of an SBA loan are:
- Federally guaranteed loans
- Loan sums of up to $5.5 million
- Repayment terms of up to 25 years
SBA loans are harder to qualify for. But their terms and rates are always more manageable than other business loans.
Small Business Lines Of Credit
Small business lines of credit offer you more freedom than other business financing options.
With a line of credit, you have more flexibility over how you borrow. If you remain within your credit limit, you can borrow however much you need, whenever you need it. This allows you to handle major expenses and occasional cash flow problems.
The best business lines of credit are the ones that don’t charge you hidden fees. Ideally, the only payments you have to make to the lender are the ones that come when you draw funds.
Kabbage is an example of a line of credit with no hidden fees:
| Lender | Minimum Revenue | Time In Business | Minimum Credit | Next Steps |
|---|---|---|---|---|
 |
$50,000/yr | 1 year | 560+ | See if you qualify |
Getting A Small Business Loan With Fast Small Business Lenders
Small business lenders of all types can get you a business loan. Getting a small business loan fast is very easy online. These lenders can get your business funds to you in a matter of a few business days.
Loanbuilder
| Lender | Minimum Revenue | Time In Business | Minimum Credit | Next Steps |
|---|---|---|---|---|
 |
$42,000/yr | 9 months | 550+ | See if you qualify |
Loanbuilder is a PayPal service for fast business loans. They offer loans to a wide range of borrowers with credit scores of at least 550. Loanbuilder is best known for transparency and a tool that allows you to customize your loan. They also charge a hefty borrowing fee. But like most PayPal services, Loanbuilder is secure, transparent, and straightforward.
See our LoanBuilder review here.
Main Street Finance Group
| Lender | Minimum Revenue | Time In Business | Minimum Credit | Next Steps |
|---|---|---|---|---|
 |
$10,000/mo | 1 year | n/a | See if you qualify |
Main Street Finance Group offers fast cash advances and debt consolidation. If you are struggling with debts from other merchant cash advances, Main Street Finance Group has a product that can help. They can offer you one large, single cash advance meant to pay off all your other advances. This allows you to pay one simple advance off with a potentially better rate and a longer repayment term that is easier to manage.
See our Main Street Finance Group review here.
Last Thoughts
Getting a small business loan is easy and can be very fast. This is why you should take the time to compare loans and find the best one for you.
