Fast Business Loans: Best Options For Quick Funding
Cash flow issues and business emergencies can pop up at any time. Luckily, if you need a quick loan for your business, some online lenders can offer funding in just a few days or less. With the right loan, it will be business as usual in no time.
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Getting a loan from a bank typically requires heavy paperwork and a long decision process. But online lenders leverage technology to provide small business loans faster. Whether you’re dealing with a disaster or just a seasonal slump, a fast business loan can help. You can enjoy a quick application and fast funding without leaving home. However, some online lenders are better than others. Our team of experts reviewed and ranked the best online lenders to help you get funded, fast.
In this review we highlight the terms, rates and fees of each lender, and explain what makes them a good option. We also share potential downsides of each lender, and provide a rating methodology you can use to select the best option for your needs.
Industry best factor rate for MCA - as low as 1.10
APR for the Line of credit product starts at 35%
Flexible repayment terms up to 16 months
Get funding in as little as 24 hours
Check your rate with a soft credit pull
Pros & Cons
Easy online application
Fast lending decision and funding times
No collateral required
Soft pull on credit when applying
Flexible payment options
Startups will not qualify
Must have at least $100,000 in annual revenue
Rates not disclosed prior to application
Backd offers working capital loans up to $2 million that can be used for any business expense. It takes just a few minutes to fill out the application and you’ll receive a lending decision almost instantly. If you decide to move forward with the loan, funds can be in your account within 24-48 hours, making them one of the fastest and most convenient ways to secure a large amount of business funding.
Main Features Backd has funded more than $1 billion to over 10,000 small businesses and counting. They currently offer two different lending products - a working capital loan and a business line of credit. Working capital loans range from $10,000 to $2 million with terms up to 16 months. Payments can be made daily, weekly, or semi-monthly. Business lines of credit range from $10,000 to $750,000 with unlimited terms. With a line of credit, you draw funds anytime, pay them back, and can draw on them again. Neither option requires collateral, but you will need to be in business at least one year and have $100,000 or more in annual revenue. There is no minimum credit score mentioned; however, it’s safe to assume that the higher your score, the better your rate will be. Other requirements include being based in the U.S. and having a business bank account.
Backd was created to give more small businesses access to the funding they need, and so far, they’ve succeeded. If you’ve been in business at least one year and are in need of a large loan amount - and fast - we recommend Backd as your lender of choice.
Excellent customer reviews on independent review sites
Pros & Cons
Funding in as little as 24 hours
Bad credit accepted
Application takes just a few minutes to fill out
Excellent customer reviews
Multiple loans and lenders to choose from
Startups may not qualify
Income requirements can be high
Lendzi is our top pick for fast loans for businesses with high revenue. Lendzi was founded in 2020 and is on a mission to help small business owners acquire the funding they need, regardless of credit score or if they’ve been denied a loan elsewhere. The company is a direct lender and is partnered with 75 other lenders, which increases your odds substantially of qualifying for a loan. Currently, Lendzi offers seven different types of small business loans, three of which have very low credit score requirements.
The fastes loans Lendzi offers are working capital loans, merchant cash advances, and equipment financing. Working capital loans and merchant cash advances allow you to borrow up to $400,000 with a credit score of 500 or higher. Terms vary between three and 15 months, and factor rates start at 1.10. Equipment financing goes up to $2 million with rates starting at 3.49%. Minimum credit score required for equipment financing is 550. To qualify for any type of loan, you need to be in business for at least six months and have $180,000 or more in annual revenue. Applying takes just a few minutes and does not impact your credit score. If approved, Lendzi can get your funds in your account in as little as 24 hours.
Lendzi offers fast business loans for businesses with high revenue. Not only that, but they rank excellent in terms of customer service, with more than 2,000 5-star reviews on Google, TrustPilot, and Better Business Bureau. If you’re in need of a small business loan, head on over to Lendzi and fill out their online application to get started.
Fundbox provides a business line of credit up to $150,000 with quick funding as soon as the next business day after approval. Applying is especially easy for business owners who have a Stripe account and doesn’t require a credit check, though a hard inquiry will be performed when you use your credit line for the first time.
Main Features Fundbox offers a business line of credit up to $150,000. You repay your draws in 12 or 24-week terms. Fees vary based on your creditworthiness, but can be as low as 4.66% for 12-week terms or 8.99% for 24-week terms. Your business will need to have at least $100,000 in annual revenue and six months of business history. You’ll also need a 600 personal FICO score and a business checking account. Fundbox allows you to see your fees and payment total upfront, and offers a convenient calculator that breaks down your weekly payments so you know what to expect before you even get started. There are no origination or prepayment fees, but there are late payment and non-sufficient funds fees.
Fundbox is best for on-the-go business owners who love technology. The highly-rated mobile app and Fundbox Stripe app make it easy to apply and draw funds, and the straightforward application and quick funding time make the company ideal for fast business loans.
Bluevine offers credit lines up to $250,000. Once you’re approved, you can get funded as quickly as just a few hours. What’s more, Bluevine’s website provides several self-guided resources, and a live chat is coming soon to make it easier for customers to connect with the support team. Bluevine also has excellent customer service reviews.
Main Features You can get a line of credit up to $250,000 from Bluevine and only pay fees on the money you draw. Standard pricing is 1.7% per week or 7% per month, but these fees can vary depending on your business and your creditworthiness. You can choose a six or 12-month term, and there are no setup or maintenance fees, but you will be charged a fee if you submit a late payment. While you can qualify for a line of credit if your business has been established for six months, the revenue requirements are higher than at some other lenders. You’ll need at least $10,000 in monthly revenue to apply. You’ll also need a 625 FICO score. With Bluevine’s quick loans for small businesses, you can get your funds within a few hours of approval if you choose the $15 bank wire option, or as quickly as the next business day for ACH transfers.
Bluevine offers a quick application and the fastest funding time of the lenders we reviewed, making the company ideal for businesses looking for an instant business loan. The company also has great customer service reviews and a live chat feature on the way.
National Funding offers business loans for a variety of purposes, including equipment financing. Funds can be delivered as soon as 24 hours after approval. National Funding offers some unique perks, like a lowest payment guarantee for equipment leasing and an early payoff discount.
Main Features You can get a small business loan from National Funding, with amounts ranging from $5,000 to $500,000, or you can finance new or used equipment up to $150,000. Working capital loans can be repaid weekly or monthly for 4 months to 24 months, and equipment financing loans are repaid monthly over two to five years. National Funding uses a factor rate rather than an interest rate, and rates begin at 1.10. You’ll need at least six months in business for a small business loan or two years in business for equipment financing, and for each your business will need to have $250,000 or more in annual revenue. While National Funding doesn’t specify a minimum credit score, the lender claims to be accepting of fair credit borrowers.
National Funding is a well-reviewed lender that offers fast small business loans with perks. It’s best for businesses that need a larger term loan or help with equipment financing rather than a line of credit.
Uncapped offers high borrowing limits and gives business owners the option of paying back their funding in fixed monthly payments or flexible payments as a percentage of their sales. You can get funding as soon as the next business day after you sign your agreement. However, Uncapped only works with an online model, such as e-commerce websites and mobile apps.
Main Features You can borrow between $100,000 and $10 million from Uncapped and repay it either in fixed payments over a term of three to 24 months or as a share of your revenue with no fixed due date. Whichever option you choose, you’ll only be subject to a fee ranging from 2% to 12% of the loan amount. There are no origination fees, maintenance fees, or prepayment penalties. However, Uncapped has relatively strict business and revenue requirements. There’s no minimum credit score, since Uncapped makes decisions based on your business information rather than a credit check, and you can qualify after being established for only six months. But you’ll need at least $100,000 in monthly revenue and an online sales model, such as an ecommerce website, subscription, D2C, mobile app, or SaaS.
Uncapped is a great option for small businesses with an online model that need a larger business loan rather than a line of credit and want repayment flexibility. And since you can get a decision in as little as 24 hours, it’s also ideal for business owners who need fast cash.
Loan Features: We evaluated the range of loan terms and loan amounts available, along with repayment optionality
Application Process: We assessed the ease of the application process, including whether a hard credit pull was required and the funding time once approved
Interest Rates & Fees: We compared the cost of borrowing across lenders, including the range of interest rates and any origination, prepayment, late payment, or maintenance fees
Qualification Process: We compared eligibility requirements across lenders, including credit score, annual revenue, and business history requirements
Customer Support: We looked at the resources each lender offered to borrowers, including online tools and multi-channel support, as well as the accessibility of speaking to a customer service representative
Online User Reviews: We considered scores on third-party review sites like Trustpilot and ConsumerAffairs to assess customer satisfaction for each lender
Perks and Bonuses: We paid attention to distinctive offerings like payment flexibility and evaluated each lender for advertising transparency and the use of advanced technology, giving bonus points to lenders that satisfy the criteria
A fast business loan is a way to get financing for your business quickly. Typically, quick loans for a business come from online lenders. Fast business loans can be any type of funding that is delivered faster than average. We chose to include lenders offering one-day funding for at least some applicants in our roundup of the best fast business loans.
When to Get a Fast Business Loan
Business owners often use financing to expand their physical location or hire new workers. A loan can also be used to acquire a new business. Here are some other common reasons why a business might need working capital quickly:
Covering emergency expenses
Replacing essential equipment
Managing seasonal fluctuations
Covering unpaid invoices
Paying for insurance
Launching a marketing campaign
How to Get a Fast Business Loan
While the process will vary across online lenders, getting a fast small business loan is typically painless. With many lenders, you’ll just need to connect your accounts rather than submitting paperwork. In general, here’s how it works:
Decide what type of financing you need
Get rate quotes from a handful of lenders you qualify for
Accept the offer that best meets your needs
Submit additional documents and/or agree to a hard inquiry, if required
Once approved, sign your loan documents
Wait to receive the money, typically by wire or ACH transfer
Types of Fast Business Loans
If you need funding for your business fast, there are several types of loans you can choose from. Determine which financing option best meets your needs:
Term Loans: Term loans provide you with a lump sum that you repay in fixed installments. These can be short-term loans repaid quickly, or the term may be several years.
Business Line of Credit: With a business line of credit, you are approved for a credit limit and can draw up to that amount as needed. You only pay interest or fees on the funds you use, and your line of credit replenishes as you pay it off.
Equipment Financing: Equipment loans are used to purchase business equipment. They are often secured by the equipment and sometimes require a downpayment, but they often have lower rates than other types of business loans.
Revenue-Based Financing: With revenue-based financing, you borrow a lump sum and repay the money as a percentage of your sales over time.
When to Consider Alternatives
There are a few reasons why you may want to choose an alternative to a fast small business loan.
You don’t need money fast: If you can wait to get your funding, you may get better rates and terms with a loan backed by the Small Business Administration. SBA-backed loans also come with ongoing support for your business.
You only need a small amount: If you only need a small amount that you expect to be able to pay back quickly, you might consider using a business credit card instead. A business credit card is another type of revolving credit line that allows you to spend money up to your credit limit and repay it over time. Business credit cards come with a grace period during which you do not accrue interest. Some also come with an interest-free introductory period that can last for months.
A quick loan won’t meet your needs: If you’re purchasing commercial real estate or acquiring another business, a fast business loan likely won’t work for your needs.
You prefer working with a lender in-person: Some people prefer to go to a bank branch and work with a loan officer face-to-face. You can’t get that experience with a quick online lender.
Alternatives to Fast Business Loans
A quick business loan isn’t the perfect solution for every business. Below are some alternatives you may consider:
Business credit card
Commercial real estate loan
Business acquisition loan
Bank term loan
Sometimes, it makes sense for small businesses to pursue SBA-backed loans for their competitive rates and terms. But other times, when the cash need is urgent, an online business loan fits the bill. Rest assured, options are available for businesses that need a quick injection of cash. It’s possible to check your rate in minutes and have your money in a day. Just make sure you understand the terms and have a repayment plan before signing a loan agreement.
Frequently Asked Questions(FAQ)
How Fast Can I Get a Business Loan?
If you go through an online lender, you can get a credit decision in a few minutes. If you accept the offer and you qualify for instant approval without supporting documentation, you can often receive your money within one business day of signing your loan documents. Some lenders may even be able to deliver the funds by bank wire in a few hours. Altogether, it generally takes between one and three days to get a business loan from an online lender that offers quick funding.
What Is the Easiest Place to Get a Business Loan?
That depends on your business, since every lender has different requirements. However, online lenders tend to have looser requirements and a more streamlined application process than banks or credit unions. It’s generally easiest to get a business loan online.
How Long Do Business Loans Take to Get Approved?
It depends where you get your funding from. Some online lenders can approve your application in a day, while the approval process for SBA-backed loans can take one to three months.
Can You Get Quick Business Loans for Startups?
Startup businesses with six months or one year of business history can easily qualify for a fast online business loan. But getting a loan to start a business can be tricky and often takes longer. Some entrepreneurs may choose to take out a personal loan to start their business quickly or use crowdfunding to get off the ground.
How Can I Get a Business Loan Fast?
You can start with this guide and narrow down your options to lenders you’re eligible for. Get a few rate quotes and apply for the lender that best fits your business needs. Make sure to check your email and be responsive to questions along the way, or you could delay the process.