Best Small-Business Loans for Women With Bad Credit
Online and nonprofit lenders can provide business loans for women with bad credit, but interest rates can run high.
| 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 startups | $1,500,000 | 6 months | Undisclosed | 4 to 18 months | with Fundera by NerdWallet |
 with Fundera by NerdWallet | Read expert review | Best for self-employed women | $10,000 | 3 months | Undisclosed | Undisclosed | with Fundera by NerdWallet |
 with Fundera by NerdWallet | Read expert review | Best for low-cost microloans | $50,000 | Undisclosed | 8% | Up to 7 years | with Fundera by NerdWallet |
 with Fundera by NerdWallet | Read expert review | Best for longer term loans | $1,000,000 | 3 years | Undisclosed | 3 months to 5 years | with Fundera by NerdWallet |
 with Fundera by NerdWallet | Read expert review | Best for short-term loans | $250,000 | 12 months | 31.3% | 18 to 24 months | with Fundera by NerdWallet |
 with Fundera by NerdWallet | Read expert review | Best for equipment loans | $250,000 | 24 months | 6.5% | 12 months to 5 years | with Fundera by NerdWallet |
 with Fundera by NerdWallet | Read expert review | Best for minority women | $350,000 | 12 months | 8.49% | 12 months to 5 years | with Fundera by NerdWallet |
small-business loans for women with bad credit: More details
Fora Financial: Best for startups
Fora Financial’s minimum credit score requirement is 570. Businesses may be able to qualify for a term loan offered by Fora Financial with just six months in operation, making it a good fit for startups with strong revenue.
Fora Financial - Online term loan
with Fundera by NerdWallet
Max loan amount
$1,500,000
Min. credit score
570
Term length
4 to 18 months
Pros
- Cash can be available quickly.
- Get a discount for prepaying.
- No collateral required.
- Low minimum credit score requirement.
Cons
- Charges a factor rate that makes it more difficult to compare costs with other lenders.
- Can’t build business credit.
- Longest loan term is 18 months.
- Charges an origination fee.
Pros
- Cash can be available quickly.
- Get a discount for prepaying.
- No collateral required.
- Low minimum credit score requirement.
Cons
- Charges a factor rate that makes it more difficult to compare costs with other lenders.
- Can’t build business credit.
- Longest loan term is 18 months.
- Charges an origination fee.
with Fundera by NerdWallet
Giggle Finance: Best for self-employed women
Giggle Finance offers small loans up to $5,000 that are specifically geared toward freelancers, contract workers and self-employed individuals, with no minimum credit score requirement.
Giggle Finance - Merchant cash advance
with Fundera by NerdWallet
Max loan amount
$10,000
Min. credit score
300
Term length
Undisclosed
Pros
- No minimum credit score requirement.
- Same-day funding available.
- Specifically designed for freelancers and self-employed individuals.
Cons
- Funding maxes out at $10,000 ($20,000 for repeat customers).
- Factor rate and fee information not available on website.
- Charges an origination fee.
Pros
- No minimum credit score requirement.
- Same-day funding available.
- Specifically designed for freelancers and self-employed individuals.
Cons
- Funding maxes out at $10,000 ($20,000 for repeat customers).
- Factor rate and fee information not available on website.
- Charges an origination fee.
with Fundera by NerdWallet
U.S. Small Business Administration: Best for low-cost microloans
SBA microloans are offered through nonprofit intermediary lenders who set their own credit requirements which may make them easier to qualify for. So far in fiscal year FY 2025 (which started on Oct. 1, 2024), women-owned businesses have received over $5.8 million dollars in SBA Microloans.
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
Rapid Finance: Best for longer term loans
Rapid Finance requires a minimum credit score of 550 for its term loans, and can offer loan terms up to five years to finance larger purchases.
Rapid Finance - Online term loan
with Fundera by NerdWallet
Max loan amount
$1,000,000
Min. credit score
650
Term length
3 months to 5 years
Pros
- Cash can be available quickly.
- Borrowers with low credit scores may have some options here.
- Multiple term lengths for different financing needs.
Cons
- Loans max out at $1 million.
- May require a lien.
- Longest loan term is 60 months.
Pros
- Cash can be available quickly.
- Borrowers with low credit scores may have some options here.
- Multiple term lengths for different financing needs.
Cons
- Loans max out at $1 million.
- May require a lien.
- Longest loan term is 60 months.
with Fundera by NerdWallet
OnDeck: Best for short-term loans
If you have a credit score of at least 625 and have been in business for a year or more, OnDeck offers term loans with repayment periods of up to two years.
May fund quickly
OnDeck - Online term loan
with Fundera by NerdWallet
Max loan amount
$250,000
Min. credit score
625
Term length
18 to 24 months
Pros
- Cash can be available within the same business day (does not apply in California or Vermont).
- Accepts borrowers with a minimum credit score of 625.
- Streamlined application process with minimal documentation required.
- Can be used to build business credit.
Cons
- Cannot fund North Dakota-based businesses.
- Requires frequent (daily or weekly) repayments.
- Interest rates can be high compared with traditional lenders.
- Charges origination fee.
Pros
- Cash can be available within the same business day (does not apply in California or Vermont).
- Accepts borrowers with a minimum credit score of 625.
- Streamlined application process with minimal documentation required.
- Can be used to build business credit.
Cons
- Cannot fund North Dakota-based businesses.
- Requires frequent (daily or weekly) repayments.
- Interest rates can be high compared with traditional lenders.
- Charges origination fee.
with Fundera by NerdWallet
Triton Capital: Best for equipment loans
For established businesses that need equipment and have a minimum credit score of 580, Triton Capital has equipment loans that can be funded within one to two business days.
Triton Capital - Equipment financing
with Fundera by NerdWallet
Max loan amount
$250,000
Min. credit score
580
Term length
12 months to 5 years
Pros
- Can fund within one to two business days.
- No prepayment penalty.
- Flexible repayment options: monthly, quarterly, annually or semiannually.
Cons
- Charges an origination fee.
Pros
- Can fund within one to two business days.
- No prepayment penalty.
- Flexible repayment options: monthly, quarterly, annually or semiannually.
Cons
- Charges an origination fee.
with Fundera by NerdWallet
Accion: Best for minority women
Accion Opportunity Fund, a nonprofit lender that works with women, minorities and other underserved entrepreneurs, requires a minimum credit score of 600 for working capital loans.
Accion Opportunity Fund Small Business Working Capital Loan
with Fundera by NerdWallet
Max loan amount
$350,000
Min. credit score
600
Term length
12 months to 5 years
Pros
- Loan amounts from $5,000 to $350,000.
- 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 $350,000.
- 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
A closer look at the best small-business loans for women with bad credit
Fora Financial
Best for startups
Who should consider it: New entrepreneurs who are struggling with personal credit, but have healthy business revenue.
Editorial take
Giggle Finance
Best for self-employed women
Who should consider it: Female entrepreneurs, freelancers or contractors who need minimal capital.
Editorial take
SBA Microloan
Best for low-cost microloans
Who should consider it: Business owners who don’t need large loan amounts.
Editorial take
Rapid Finance
Best for longer-term loans
Who should consider it: Women business owners who want to finance larger purchases.
Editorial take
OnDeck
Best for short-term loans
Who should consider it: High-revenue businesses that can support higher weekly or daily payments.
Editorial take
Triton Capital
Best for equipment loans
Who should consider it: Businesses that need large equipment or vehicles.
Editorial take
Accion Opportunity Fund
Best for minority women
Who should consider it: Businesses that could benefit from a hands-on loan experience and additional business counseling.
Editorial take
What is a bad credit score?
A bad credit score usually falls between 300 and 629 (on a scale of 300 to 850), according to the most common credit score models, like VantageScore and FICO. Personal credit scores ranging from 630 to 689 are typically considered fair credit.
A low credit score can reflect missed payments or bankruptcies, but it can also be due to the overall age of your credit accounts and the variety of credit account types on your report.
Business lenders may have their own criteria to define what they consider an acceptable credit score, however, loans marketed as bad-credit business loans
Where to get a business loan for women with bad credit
Traditional lenders, like banks and credit unions, are unlikely to issue loans to borrowers facing credit challenges. The alternative sources below, however, may be willing to work with women-owned businesses that don’t meet the credit requirements of traditional banks.
Online lenders
Women-owned businesses are more likely to apply for online loans than male- or equally male- and women-owned businesses, according to findings reported by the Federal Reserve in 2024
Online lenders tend to have flexible minimum credit score requirements
Online lenders typically offer easy approvals and fast funding, especially compared with more traditional lenders. As a result, however, online business loans
Although there are numerous reputable lenders in the online market, there are also predatory lenders who try to take advantage of borrowers who are having trouble qualifying for funding. Be wary of any lenders offering no credit check loans
CDFIs
Unlike other traditional lenders, CDFIs tend to have flexible qualification requirements and are more amenable to working with startups and businesses with bad credit.
Nonprofit lenders
Like CDFIs, nonprofit lenders focus on offering business loans to borrowers who can’t qualify for traditional financing, such as those with limited or poor credit histories. Many of these lenders provide free or low-cost coaching and business training.
Some nonprofit lenders are also SBA microlenders. These lenders receive government funding, but administer their own loans. Microlenders
How to get a business loan for women with bad credit
1. Evaluate your credit
When you’re looking to get a business loan, start by checking your credit score. You can get a free credit score on NerdWallet
Once you have your reports, it may be possible to improve your credit before applying for financing. Look for any errors on your credit report and dispute them with the appropriate credit bureau. Making more frequent payments or paying off debt can also help build your credit score
2. Gather business criteria
Next, evaluate business criteria — such as annual revenue, time in business, cash flow, available collateral — to determine the type of funding you can qualify for. Look for the areas where your business is the strongest — maybe you have excellent cash flow, for example — and highlight these strengths on your loan application.
3. Research and compare lenders
Once you have a sense of your qualifications, you can begin researching and comparing lenders. You'll want to consider factors like borrowing costs, repayment terms, funding speed and lender reputation when choosing the right option for your needs.
Alternative funding options for women with bad credit
Here are some alternative financing options where a low credit score may not hurt you:
- Asset-based funding. With
asset-based financing inventory equipment - Small-business grants. Business grants offer free funding that you don’t have to repay. Grant providers typically don’t use your credit score to evaluate your application, although application windows can be narrow and the process can be competitive. Some companies offer specific
business grants for women - Crowdfunding. With
crowdfunding
Last updated on January 2, 2025
How Fundera by NerdWallet works
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Answer a 3-minute questionnaire about your business to get personalized lending options. It’s free and won’t impact your credit score.
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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 business loans for women with bad credit, we selected lenders with credit score requirements of 625 or lower.
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.
NerdWallet does not receive compensation for our star ratings. Read more about our ratings methodology for small-business loans editorial guidelines
