Skip to content

Can You Get a Business Loan With No Credit Check?

Online lenders may offer business loans with no credit check, but this financing will likely be expensive.
Last updated on November 22, 2023

Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money.

⏰ Estimated read time: 8 minutes

If you have a rocky credit history, you may be able to get a business loan with no credit check. Although most lenders will check your credit as part of the application process, some may waive this requirement, and others will perform only a soft inquiry, which doesn’t affect your credit score.
These no credit check business loans, however, are typically expensive — with high interest rates, fees and short terms. You should also be careful because some predatory lenders promise “no credit check” or “guaranteed approval” to try to take advantage of borrowers who are having trouble qualifying for a small-business loan.
Generally, there are a few types of business loans that don’t require credit checks, including invoice factoring, payment processor loans and merchant cash advances. Compare the following options for business loans with no credit check and learn how to choose the right funding for your needs.

How much do you need?

with Fundera by NerdWallet

We’ll start with a brief questionnaire to better understand the unique needs of your business.

Once we uncover your personalized matches, our team will consult you on the process moving forward.

Best business loans with no credit check

Although no credit check business loans are few and far between, alternative online lenders can be more flexible with their credit requirements and offer quick access to capital. But these loans are often structured as merchant cash advances and carry high interest rates, so be sure you understand the true cost of borrowing before signing an agreement. Our business loan calculator can help.
Here are a few loan options to consider:

PayPal Working Capital

Best for PayPal users.
The PayPal Working Capital loan doesn’t require a credit check; instead, it considers your PayPal account history. You need to have a PayPal Premier or Business account for at least 90 days to qualify.
You also must process at least $20,000 in annual PayPal sales if you have a Premier account and at least $15,000 if you have a Business PayPal account.
The loan offers flexible payments, and funding can arrive in minutes. The fixed fee you pay at application is based on your loan amount, selected repayment percentage and your business's PayPal account history. Like a typical merchant cash advance, you dedicate a portion of your sales to automatically repay the loan.

Square loans

Best for Square sellers.
Similar to PayPal, Square offers loans to business owners who sell on its platform. To qualify, you must process payments through Square — and ideally $10,000 or more per year.
Square also evaluates applications based on payment frequency, customer mix and payment disputes, among other factors. Applying for a Square loan does not affect your credit score.
These loans are available in amounts ranging from $300 to $250,000. You repay the loan automatically with a percentage of your daily credit card sales through Square. The fixed fee you pay varies based on your loan size and processing volume.
Once you’re approved, you can receive funds in one to three business days or instantly if you have a Square checking account.


Best for invoice factoring.
If you have a shaky credit history and capital tied up in unpaid invoices, FundThrough may be able to provide the financing you need. FundThrough offers invoice factoring for business-to-business companies that have outstanding invoices that are less than 90 days old.
FundThrough advances you capital and collects payment from your customer — in exchange for a fee that varies based on the net terms of your invoice. To qualify, you should have an outstanding invoice of at least $100,000 in accounts receivable or invoices to one customer. FundThrough does not require a credit check; instead, it evaluates your application based on the value of your invoices as well as your banking history and tax history.
After you’ve submitted your invoices and received approval, capital can be available as quickly as the next day.

Pros and cons of business loans with no credit check

  • Potential access to funding even with bad credit.
  • No credit check business loans often come with high interest rates.
  • May pay additional fees.
  • May be easier to borrow in the future if you pay back the loan on time.
  • You can end up spending a lot on interest, which may outweigh the benefits of the loan.
  • Not all lenders report on-time payments to credit bureaus — meaning getting a loan won’t help you build credit.

Compare easy business loans

Find the business funding you need. Check out NerdWallet's picks for the best easy business loans and compare your options.

Can you get guaranteed startup business loans with no credit check?

Getting a startup business loan can be difficult — but even more so if your credit is less than ideal.
Some lenders offer startup business loans for borrowers with bad credit, but they’ll likely check your credit history — performing a soft pull, for example — in some way. Like other bad credit loans, these options typically come with high interest rates and short terms.
Certain lenders may promise “guaranteed” startup business loans, but you should tread lightly around these offers. Credible business lenders are unlikely to promise guaranteed approval and instead will evaluate your loan application (including your credit score) before making a decision.

🤓 Nerdy Tip

A bad credit score by industry standards typically means a score between 300 and 629 (on a scale of 300 to 850). Many things can affect your credit score, including length of credit history, your mix of credit account types and delinquencies or bankruptcies.

Alternatives to no credit check business loans

If you can wait to get business financing until your credit score has grown, you’ll likely be able to receive more competitive interest rates and repayment terms. However, there are options you can consider that don’t necessarily require a good credit score, such as:

Small-business grants

Business grants are available from federal and state agencies as well as private companies. You don’t typically need good credit to qualify for a business grant, and certain grants are available specifically for startups.
Depending on the company offering the funding, you may have to meet other criteria. Small Business Innovation Research grants from the federal government, for example, are available only to companies that perform research and development for technology innovation and scientific research.
It can take time and effort to find and apply for a small-business grant, but if you can secure one, you’ll have access to free financing.

Nontraditional lenders

An alternative, or nontraditional lender, is technically any lender that’s not a bank or credit union. Many nontraditional lenders, such as nonprofit lenders, online lenders or community development financial institutions (CDFIs), offer safe and fair options that don’t require stellar credit. For example, Accion Opportunity Fund is a nonprofit small business lender with a minimum credit score requirement of 570, but may work with lower scores on a case-by-case basis. Similarly, OnDeck is an online lender that offers term loans and lines of credit and requires a minimum credit score of 625.


Crowdfunding can be a good option for startups and other businesses to raise money through the power of the internet and social media. You set up a campaign using a crowdfunding platform and provide information about your business and funding goals.
Once your campaign is published, you market your business to friends, family and anyone else that you think might donate to help your company. In exchange for donations, you might offer a perk, such as exclusive access to products or discounts on purchases.
On the other hand, you can offer equity crowdfunding, in which you sell partial ownership in your company in exchange for funds.

Friends and family

If you have individuals in your network who have the means to provide capital, you might reach out to them for your funding needs. Borrowing money from friends or family can be tricky, however, so you’ll want to set up a clear financial agreement upfront.
You’ll need to specify whether the financing is a donation or loan or whether you’re receiving funds in exchange for equity. No matter which option you choose, your agreement should detail any stipulations regarding the money to prevent strain on your relationship with friends or family.

Frequently Asked Questions

Compare small business loans without affecting your credit

Tell us about your business and get personalized lending options — in about 3 minutes.