Best Long-Term Business Loans
Long-term business loans can finance large purchases and are offered by banks and online lenders.
| Lender | NerdWallet rating | Best For | Max loan amount | Min. time in business | Min. interest rate | Term length | Learn more |
|---|---|---|---|---|---|---|---|
 with Fundera by NerdWallet | Read expert review | Best for fast funding | $500,000 | 24 months | 15.22% | 6 months to 7 years | with Fundera by NerdWallet |
 with Fundera by NerdWallet | Read expert review | Best for repayment terms up to 25 years | $5,000,000 | 24 months | 10.5% | Up to 25 years | with Fundera by NerdWallet |
 with Fundera by NerdWallet | Read expert review | Best for startups | $250,000 | 12 months | 8.49% | 12 months to 5 years | with Fundera by NerdWallet |
 with Fundera by NerdWallet | Read expert review | Best for low interest rates | Undisclosed | 24 months | Undisclosed | 12 months to 5 years | with Fundera by NerdWallet |
with Fundera by NerdWallet | Read expert review | Best for bad credit | $50,000 | Undisclosed | 8% | Up to 7 years | with Fundera by NerdWallet |
 with Fundera by NerdWallet | Best for equipment financing | Undisclosed | 6 months | 7.5% | 24 months to 6 years | with Fundera by NerdWallet | |
| Read expert review | Best for financing commercial real estate | $5,000,000 | 24 months | 5% | 10 to 25 years |
long-term business loans: More details
iBusiness Funding: Best for fast funding
May fund quickly
iBusiness Funding - Online term loan
with Fundera by NerdWallet
Max loan amount
$500,000
Min. credit score
660
Term length
6 months to 7 years
Pros
- Cash can be available within two business days.
- Competitive rates among online lenders.
- Terms up to seven years.
- iBusiness Funding also offers SBA loans up to $5 million.
Cons
- Charges an origination fee.
- Must be in business for a minimum of 24 months.
- Minimum credit score is higher than some other lenders.
Pros
- Cash can be available within two business days.
- Competitive rates among online lenders.
- Terms up to seven years.
- iBusiness Funding also offers SBA loans up to $5 million.
Cons
- Charges an origination fee.
- Must be in business for a minimum of 24 months.
- Minimum credit score is higher than some other lenders.
with Fundera by NerdWallet
U.S. Small Business Administration: Best for repayment terms up to 25 years
Low interest rate
SBA 7(a) loan
with Fundera by NerdWallet
Max loan amount
$5,000,000
Min. credit score
650
Term length
Up to 25 years
Pros
- Large borrowing maximums.
- Interest rates are capped.
- Long repayment terms available.
Cons
- Collateral is typically required.
- Longer processing times than online lenders.
Pros
- Large borrowing maximums.
- Interest rates are capped.
- Long repayment terms available.
Cons
- Collateral is typically required.
- Longer processing times than online lenders.
with Fundera by NerdWallet
Accion: Best for startups
Accion Opportunity Fund Small Business Working Capital Loan
with Fundera by NerdWallet
Max loan amount
$250,000
Min. credit score
600
Term length
12 months to 5 years
Pros
- Loan amounts from $5,000 to $250,000.
- Customized loan terms.
- No prepayment penalty.
Cons
- Slower processing speed compared with online lenders.
- Charges an origination fee.
- Not available in all U.S. states.
Pros
- Loan amounts from $5,000 to $250,000.
- Customized loan terms.
- No prepayment penalty.
Cons
- Slower processing speed compared with online lenders.
- Charges an origination fee.
- Not available in all U.S. states.
with Fundera by NerdWallet
Bank of America: Best for low interest rates
Bank of America Business Advantage Unsecured Term Loan
with Fundera by NerdWallet
Max loan amount
Undisclosed
Min. credit score
700
Term length
12 months to 5 years
Pros
- Bank loan with competitive interest rates.
- No collateral required.
- Bank of America’s Preferred Rewards program can offer interest rate discounts and other perks.
Cons
- Can be slow to fund.
- Prepayment fees may apply to early repayments.
- Must be an existing Bank of America customer to apply online.
- Charges an origination fee.
Pros
- Bank loan with competitive interest rates.
- No collateral required.
- Bank of America’s Preferred Rewards program can offer interest rate discounts and other perks.
Cons
- Can be slow to fund.
- Prepayment fees may apply to early repayments.
- Must be an existing Bank of America customer to apply online.
- Charges an origination fee.
with Fundera by NerdWallet
U.S. Small Business Administration: Best for bad credit
SBA microloan
with Fundera by NerdWallet
Max loan amount
$50,000
Min. credit score
620
Term length
Up to 7 years
Pros
- Can be used for a variety of funding purposes.
- Designed to finance traditionally underserved businesses.
- Startups and business owners with bad credit may be able to qualify.
- Competitive interest rates, low fees and long repayment terms.
- Intermediaries typically offer business training and educational resources.
Cons
- Loan amounts max out at $50,000.
- Can’t be used to pay existing debt or purchase real estate.
- Collateral is likely required.
- Slow funding timeline.
Pros
- Can be used for a variety of funding purposes.
- Designed to finance traditionally underserved businesses.
- Startups and business owners with bad credit may be able to qualify.
- Competitive interest rates, low fees and long repayment terms.
- Intermediaries typically offer business training and educational resources.
Cons
- Loan amounts max out at $50,000.
- Can’t be used to pay existing debt or purchase real estate.
- Collateral is likely required.
- Slow funding timeline.
with Fundera by NerdWallet
eLease: Best for equipment financing
eLease - Equipment financing
4.0 NerdWallet rating
with Fundera by NerdWallet
Max loan amount
Undisclosed
Min. credit score
550
Term length
24 months to 6 years
Pros
- No loan or leasing maximums.
- No minimum revenue requirement.
- Startups and low credit scores accepted.
Cons
- Must apply over the phone.
Pros
- No loan or leasing maximums.
- No minimum revenue requirement.
- Startups and low credit scores accepted.
Cons
- Must apply over the phone.
with Fundera by NerdWallet
U.S. Small Business Administration: Best for financing commercial real estate
SBA CDC/504 loan
Max loan amount
$5,000,000
Min. credit score
680
Term length
10 to 25 years
Pros
- Low down payment required.
- Repayment terms of up to 25 years.
- Competitive interest rates.
Cons
- Must meet job creation or public policy goals to qualify.
- Longer processing times than online lenders.
Pros
- Low down payment required.
- Repayment terms of up to 25 years.
- Competitive interest rates.
Cons
- Must meet job creation or public policy goals to qualify.
- Longer processing times than online lenders.
A deep dive into our top picks
iBusiness Funding online term loan
Best for fast funding
Key details:
- Maximum term length: 84 months.
- Starting interest rate: 15.22%.
- Maximum loan amount: $500000.
Qualifications
Pros and cons
SBA 7(a) loan
Best for repayment terms up to 25 years
Key details:
- Maximum term length: 25 years.
- Starting interest rate: 10.5%.
- Maximum loan amount: $5 million.
Qualifications
Pros and cons
Accion Opportunity Fund Small Business Working Capital Loan
Best for startups
Key details:
- Maximum term length: 60 months.
- Starting interest rate: 8.49%.
- Maximum loan amount: $250000.
Qualifications
Pros and cons
Bank of America Business Advantage Unsecured Term Loan
Best for low interest rates
Key details:
- Maximum term length: 60 months.
- Starting interest rate: 6.75%.
Qualifications
Pros and cons
SBA microloan
Best for bad credit
Key details:
- Maximum term length: 84 months.
- Starting interest rate: 8%.
- Maximum loan amount: $50000.
Qualifications
Pros and cons
eLease equipment financing
Best for equipment financing
Key details:
- Maximum term length: 72 months.
- Starting interest rate: 7.5%.
Qualifications
Pros and cons
SBA CDC/504 loan
Best for financing commercial real estate
Key details:
- Maximum term length: 25 years.
- Starting interest rate: 5%.
- Maximum loan amount: $5 million (up to $5.5 million for select projects).
Qualifications
Pros and cons
How to compare long-term business loans
The best long-term loan for your business is the one with the most affordable rates you can qualify for and that meets your needs. Here are some factors to consider as you compare loan options:
💼 Loan types. You should consider the types of business loans business auto loans
🗓️ Repayment terms. Some long-term business loans offer repayment terms up to 10 — or even 25 — years. Although longer repayment terms will have smaller monthly payments, keep in mind that you’ll also pay more in interest over the total loan period.
📈 Interest rates. To get the most competitive business loan rates Online lenders
⏱️ Funding speed. Long-term business loans can be slower to fund, especially when issued by banks and SBA lenders. Online lenders can offer faster business loans
🤝 Customer service. Customer support options and additional perks vary from lender to lender. Credit unions
What is a long-term business loan?
A long-term business loan is one with a lengthy repayment period, often defined in years instead of months. The repayment period typically ranges from three to 10 years; although, some loans, like SBA loans
Long-term small-business loans can be a good option for purchasing real estate, financing equipment
Overview of long-term loans
Long-term business loans vs. short-term business loans
Not sure if you need a long-term loan or if a short-term business loan
| Long-term business loans | Short-term business loans | |
|---|---|---|
| Repayment schedule | Monthly payments. | Weekly or daily payments. |
| Repayment terms | Three to 10 years. | Three to 24 months. |
| Interest rates | Lower annual percentage rates (varies by lender and qualifications). | Higher annual percentage rates (varies by lender and qualifications). |
| Borrower requirements | Stricter requirements: strong revenue, multiple years in business and good personal credit. | More lenient: may accept startups and borrowers with bad credit. |
| Funding speed | Slower funding, especially for | Faster funding, sometimes within 24 hours. |
| Use cases | Large investments for business growth, expansion or renovation. | Working capital needs and |
How do long-term business loans work?
Long-term business loans provide borrowers with lump sums of capital. They are usually repaid on a monthly basis, with fixed, equal payments over the course of the term. Generally, this type of financing follows an amortization schedule, where you pay more toward interest at the beginning of the loan and more toward the principal at the end.
Depending on the loan, you may have a choice between a fixed or variable interest rate. Long-term business loans are offered by banks, online lenders and credit unions, among other types of lenders.
Types of long-term business loans
Here are some of the most common types of long-term business loans:
SBA loans
These government-backed small-business loans typically have some of the lowest rates and the longest repayment terms on the market (up to 25 years, for some of them). To qualify for an SBA 7(a) or 504 loan, you work with banks and other lenders, approved by the U.S. Small Business Administration.
Bank and credit union business loans
Traditional lenders provide long-term business loans, often with repayment terms between five to seven years. Bank business loans lowest interest rates
Online business loans
If you need fast funding — or can’t qualify for an SBA or bank loan — consider a long-term business loan from an online lender. iBusiness Funding (formerly Funding Circle
How to get a long-term business loan
You can follow these steps to get long-term financing for your small business.
1. Evaluate your financing needs
You’ll want to determine how much funding you need and why you need it. This will help you orient your loan search in the right direction. If you’re looking to purchase a truck for your business, for example, dedicated semi-truck financing
2. Review your qualifications
To qualify for a long-term business loan, you may need to meet strict requirements. Many lenders want to see at least two years in business, good credit and strong finances. You may also need to provide collateral.
If you have a lower credit score or less than one year in business, consider some alternative options:
- Compare the
best business loans for bad credit - Learn more about
startup business loans
3. Compare business lenders
Once you have an understanding of your financing needs and qualifications, you can start researching and comparing lenders. The best small-business lender
When comparing loan options, consider how the length of the repayment term affects the overall loan cost.
Say, for example, you get a $100,000 term loan with an APR of 10% and a term of 10 years. With this loan, you’ll make monthly payments of approximately $1,322, for a total repayment of $158,581, including $58,581 in interest.
But if you repay this same loan over seven years, you’ll have a larger monthly payment (about $1,660); however, you’ll save over $19,000 in interest costs over the life of the loan. Your total interest costs would be $39,450 for a total repayment of $139,450.
🤓 Nerdy Tip
Use our business loan calculator
4. Gather your documents and apply
The application process will vary based on your lender and loan type. Banks and credit unions may ask for extensive documentation and require you to visit a branch location to apply. Online lenders, on the other hand, typically offer streamlined applications with fewer documentation requirements.
5. Sign your loan agreement and get funds
Once your application is approved, your lender will send you a business loan agreement
After you’ve signed the agreement, your lender will typically transfer your funds directly into your business bank account. This process may take a few days, depending on your bank.
Frequently asked questions
What is the longest term for a business loan?
Can you get a long-term business loan with bad credit?
Will you pay more interest on a long-term business loan?
What are long-term business loans used for?
Last updated on June 30, 2025
How Fundera by NerdWallet works
Getting a business loan can be challenging, and several factors —
cost, speed, repayment schedule — can play a role in deciding which
product is right for you. Let us help you through the process.
Get started
Fill out one simple application
Answer a 3-minute questionnaire about your business to get personalized lending options. It’s free and won’t impact your credit score.
See your business loan options
Compare interest rates and repayment terms to choose the best product for your needs.
Get your loan
If the lender approves you, you’ll sign closing documents in order to receive funds. Some lenders can approve and fund loans within one business day.
Methodology
NerdWallet’s review process evaluates and rates small-business loan products from traditional banks and online lenders. We collect over 30 data points on each lender using company websites and public documents. We may also go through a lender’s initial application flow and reach out to company representatives. NerdWallet writers and editors conduct a full fact check and update annually, but also make updates throughout the year as necessary.
To come up with our list of the best short-term business loans, we selected lenders with maximum term lengths of 60 months or more and strong NerdWallet star ratings.
Our star ratings award points to lenders that offer small-business friendly features, including:
- Transparency of rates and terms.
- Flexible payment options.
- Fast funding times.
- Accessible customer service.
- Reporting of payments to business credit bureaus.
- Responsible lending practices.
We weigh these factors based on our assessment of which are the most important to small-business owners and how meaningfully they impact borrowers’ experiences.
NerdWallet does not receive compensation for our star ratings. Read more about our ratings methodology for small-business loans editorial guidelines
