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 low-interest business loans
Lender | NerdWallet Rating▼ | Max loan amount▼ | Min. credit score▼ | Next steps |
---|---|---|---|---|
Bank of America Business Advantage Unsecured Term Loan | 5.0/5 Best for Bank low-interest business loans | Undisclosed | 700 | |
SBA 7(a) loan with Fundera by NerdWallet | Best for Government low-interest business loans | $5,000,000 | 650 | with Fundera by NerdWallet |
SBA Express loan with Fundera by NerdWallet | Best for Low-interest business loans for veterans | $500,000 | 650 | with Fundera by NerdWallet |
Funding Circle - Online term loan with Fundera by NerdWallet | 4.5/5 Best for Fast low-interest business loans | $500,000 | 660 | with Fundera by NerdWallet |
Accion Opportunity Fund - Small Business Working Capital Loan | 5.0/5 Best for Low-interest business loans for startups | $250,000 | 570 | |
Wells Fargo Small Business Advantage® Line of Credit | 5.0/5 Best for Low-interest business lines of credit | $50,000 | 680 | |
Triton Capital - Equipment financing with Fundera by NerdWallet | 4.0/5 Best for Low-interest equipment loans | $250,000 | 575 | with Fundera by NerdWallet |
SBA Microloan with Fundera by NerdWallet | Best for Low-interest business loans for women and minority groups | $50,000 | 620 | with Fundera by NerdWallet |
Here are 8 low-interest business loans
Best for Bank low-interest business loans
Max Amount
Undisclosed
Min. Credit Score
700
Best for Government low-interest business loans
Best for Low-interest business loans for veterans
Best for Fast low-interest business loans
Best for Low-interest business loans for startups
Max Amount
$250,000
Min. Credit Score
570
Best for Low-interest business lines of credit
Max Amount
$50,000
Min. Credit Score
680
Best for Low-interest equipment loans
Best for Low-interest business loans for women and minority groups
I'M INTERESTED IN:
Our pick for
Bank low-interest business loans
Bank of America offers a flexible term loan that can be used for a range of purposes. Interest rates vary, but start at 7.75%.
Bank of America Business Advantage Unsecured Term Loan
Max loan
Undisclosed
Min. Credit score
700
Our pick for
Government low-interest business loans
SBA 7(a) loans are available in amounts up to $5 million. These loans have long repayment terms and competitive interest rates. You can use a 7(a) loan for working capital, equipment purchases, renovations and more.
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
Low-interest business loans for veterans
SBA Express loans offer lower loan amounts than the traditional 7(a) loan, but faster funding times. Veteran-owned businesses do not have to pay guarantee fees on Express loans.
SBA Express loan
with Fundera by NerdWallet
Max loan
$500,000
Min. Credit score
650
Apr range
11.50-15.00%
with Fundera by NerdWallet
Our pick for
Fast low-interest business loans
You can get an online term loan from Funding Circle in amounts up to $500,000 with repayment terms up to seven years. Funding can be available in as little as two days.
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
Our pick for
Low-interest business loans for startups
Accion is a nonprofit lender that has more flexible qualification requirements than banks and credit unions. You may be able to qualify for a loan with a minimum of 12 months in business.
Accion Opportunity Fund - Small Business Working Capital Loan
Max loan
$250,000
Min. Credit score
570
Apr range
8.49-29.67%
Our pick for
Low-interest business lines of credit
Wells Fargo’s unsecured line of credit has interest rates as low as the prime rate plus 4.5%. Businesses with less than two years in operation may be able to qualify.
Wells Fargo Small Business Advantage® Line of Credit
Max loan
$50,000
Min. Credit score
680
Apr range
13.00-15.00%
Our pick for
Low-interest equipment loans
Triton Capital offers low-interest loans that can be used to purchase equipment and machinery for your business. Loans are available up to $250,000 and funding can be available in just a few days.
Triton Capital - Equipment financing
with Fundera by NerdWallet
Max loan
$250,000
Min. Credit score
575
Apr range
5.99-34.99%
with Fundera by NerdWallet
Our pick for
Low-interest business loans for women and minority groups
The SBA microloan program targets traditionally underserved borrowers, including women, minority groups and those located in low-income communities. Loans are available up to $50,000.
SBA Microloan
with Fundera by NerdWallet
Max loan
$50,000
Min. Credit score
620
Apr range
8.00-13.00%
with Fundera by NerdWallet
What is a low-interest business loan?
Where to get a low-interest business loan
Banks and credit unions
🤓 Nerdy Tip
In addition to your credit score and business financials, other factors such as the federal funds rate, current market conditions and lender policies, can also influence the interest rate you’re offered.SBA lenders
Online lenders
Nonprofit organizations and microlenders
Pros and cons of low-interest business loans
Pros
- Less expensive. Lower interest rates mean the cost of borrowing money is lower, which means your overall repayment amount and monthly payments are usually lower.
- Can help your business grow. Accessing capital can help promote the growth of your business, but high interest or strict repayment terms can make it more difficult to manage your finances. Because a low-interest loan is a less expensive form of capital, it can aid your business growth whether you’re expanding your staff or refinancing high-interest debt.
Cons
- Can be harder to qualify. Low-interest loans can be difficult to qualify for if you don’t have good credit and strong business finances.
- May require collateral. Because offering lower interest rates can be riskier for lenders, they may require higher-value collateral to counter that risk.
- May have a shorter loan repayment period. Some loans with low interest rates can have shorter repayment periods which can mean higher monthly payments.
How to get a low-interest business loan
1. Evaluate your qualifications
- Credit score: 650 or higher.
- Time in business: Two years or more.
- Annual revenue: $100,000 or more.
2. Research your options
3. Compare loan offers
Alternatives to low-interest business loans
Business grants
Personal loans
Business credit cards
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.