How much do you need?
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.
Here are 8 inventory financing loans
Lender | NerdWallet Rating▼ | Max loan amount▼ | Min. credit score▼ | Next steps |
---|---|---|---|---|
SBA 7(a) loan with Fundera by NerdWallet | Best for SBA Inventory Financing | $5,000,000 | 650 | with Fundera by NerdWallet |
Bluevine - Line of credit with Fundera by NerdWallet | 5.0/5 Best for Fast inventory line of credit | $250,000 | 625 | with Fundera by NerdWallet |
OnDeck - Line of credit with Fundera by NerdWallet | 5.0/5 Best for Inventory line of credit for startups | $100,000 | 625 | with Fundera by NerdWallet |
Fora Financial - Online term loan with Fundera by NerdWallet | 4.5/5 Best for Inventory loan for borrowers with bad credit | $1,500,000 | 570 | with Fundera by NerdWallet |
Fundbox - Line of credit | 5.0/5 Best for Startup inventory financing | $150,000 | 600 | |
American Express® Business Line of Credit | 5.0/5 Best for Businesses with low revenue | $250,000 | 660 | |
National Funding - Online Term Loan with Fundera by NerdWallet | 4.0/5 Best for Fast inventory term loan | $500,000 | 600 | with Fundera by NerdWallet |
Funding Circle - Online term loan with Fundera by NerdWallet | 4.5/5 Best for Inventory term loan with no minimum revenue requirement | $500,000 | 660 | with Fundera by NerdWallet |
Here are 8 inventory financing loans
Best for SBA Inventory Financing
Best for Fast inventory line of credit
Best for Inventory line of credit for startups
Best for Inventory loan for borrowers with bad credit
Best for Startup inventory financing
Max Amount
$150,000
Min. Credit Score
600
Best for Businesses with low revenue
Max Amount
$250,000
Min. Credit Score
660
Best for Fast inventory term loan
Best for Inventory term loan with no minimum revenue requirement
I'M INTERESTED IN:
Our pick for
SBA Inventory Financing
SBA 7(a) loans are issued by banks and credit unions and secured by the U.S. Small Business Administration. These loans have long terms and low interest rates but require strong credentials to qualify.
SBA 7(a) loan
with Fundera by NerdWallet
Max loan
$5,000,000
Min. Credit score
650
Apr range
11.50-15.00%
with Fundera by NerdWallet
Our pick for
Fast inventory line of credit
BlueVine offers fast lines of credit and repayment terms up to 12 months. You may be able to qualify with a credit score of 625 or higher.
Bluevine - Line of credit
with Fundera by NerdWallet
Max loan
$250,000
Min. Credit score
625
Apr range
20.00-50.00%
with Fundera by NerdWallet
Our pick for
Inventory line of credit for startups
OnDeck offers lines of credit for businesses that have been operating for one year and have at least $100,000 in annual revenue.
OnDeck - Line of credit
with Fundera by NerdWallet
Max loan
$100,000
Min. Credit score
625
Apr range
35.90-84.90%
with Fundera by NerdWallet
Our pick for
Inventory loan for borrowers with bad credit
Fora Financial offers inventory loans that can be used for a variety of purposes. You may be able to qualify with a credit score of 570 or higher.
Fora Financial - Online term loan
with Fundera by NerdWallet
Max loan
$1,500,000
Min. Credit score
570
with Fundera by NerdWallet
Our pick for
Startup inventory financing
Fundbox provides short-term lines of credit with funding as fast as the next business day. You need only six or more months in business to qualify.
Fundbox - Line of credit
Max loan
$150,000
Min. Credit score
600
Apr range
36.00-99.00%
Our pick for
Businesses with low revenue
The American Express Business Blueprint Line of Credit offers lines up to $250,000 for businesses who have been operating for at least a year with average monthly revenue of at least $3,000.
American Express® Business Line of Credit
Max loan
$250,000
Min. Credit score
660
Our pick for
Fast inventory term loan
National Funding serves businesses in almost every industry, and offers inventory loans to help with seasonal expenses, access bulk discounts or expand your business. If approved, your funds may be deposited as quickly as the next business day.
National Funding - Online Term Loan
with Fundera by NerdWallet
Max loan
$500,000
Min. Credit score
600
with Fundera by NerdWallet
Our pick for
Inventory term loan with no minimum revenue requirement
Funding Circle is an online lender that offers term loans to finance inventory. Loan terms range from six months to five years, and there are no minimum revenue requirements.
Funding Circle - Online term loan
with Fundera by NerdWallet
Max loan
$500,000
Min. Credit score
660
Apr range
15.22-45.00%
with Fundera by NerdWallet
What is inventory financing?
How does inventory financing work?
- Purchase inventory to prepare for your busy season.
- Cover short-term cash flow gaps.
- Buy additional stock to meet increased customer demand.
- Update product offerings or launch products.
- Purchase products in bulk at a discount.
Types of inventory financing
Inventory loans
Inventory lines of credit
Pros and cons of inventory financing
Pros
Cons
Where to get inventory financing
How to get inventory financing
- Business and personal bank statements.
- Business and personal tax returns.
- Business financial statements (e.g., profit and loss statement, balance sheet).
Alternatives to inventory financing
- Invoice financing or factoring: Both invoice financing and invoice factoring can help cover gaps in cash flow by advancing money on your unpaid customer invoices. With invoice financing, your unpaid invoices serve as collateral on a loan until your customer pays you. With factoring, a company purchases your unpaid invoices at a discount, and takes over collecting the money from your customers.
- Business credit card: Similar to a line of credit, a business credit card is a revolving line that only charges interest on money you have spent on the card. As you pay down the card, you can spend money on it again.
- Purchase order (PO) financing: Similar to inventory financing, purchase order financing is a lump sum of money that can be used to cover cash flow gaps. While inventory financing can be used for general inventory needs, however, PO financing is tied to the needs of a specific purchase order.
- Equipment financing. If your business is not inventory-heavy, but you want a self-collateralizing loan option, equipment financing allows you to purchase business equipment and use it to secure your loan.
Find the right business loan
Methodology
Wondering if you qualify?
It’s possible to get a business loan even if you have bad credit. Bad-credit business loans are available from alternative sources, like online or nonprofit lenders.