Best Revenue Loans for Small-Business Financing

Why revenue matters with business financing

In most cases, revenue is a major criterion to qualify for a small-business loan. Each lender sets its own minimum annual revenue, which, in general, ranges from $25,000 to $150,000.

Banks typically have stringent criteria, including higher annual revenue requirements. If you don’t qualify for a traditional small-business loan or want financing fast, consider online revenue-based loans.

Your sales show the strength of your business. Steady and consistent sales, even if they’re not growing like gangbusters, show that you’re executing on your business plan. This demonstrates to would-be lenders that you know how to run a small business and makes it more likely that they’ll approve your loan application.

Some lenders give revenue more weight than a credit score. Your credit score can be important in applying for a small-business loan, but it’s not the determining factor. Many lenders will focus more on your sales, particularly those in the previous three months.

If your annual revenue is less than $50,000

Fundbox doesn’t have a minimum credit score requirement, but you will need at least $50,000 annual revenue and at least three months in business to qualify for its line of credit product. It’s a suitable option for short-term financing, as borrowings on the line of credit are repaid weekly up to 12 weeks.

If your annual revenue is $50,000 or more

SmartBiz's minimum annual revenue requirement is $50,000, but many of SmartBiz’s borrowers often report higher sales. The lender offers Small Business Administration loans, which are your best bet if you’re looking for the lowest-cost financing.

If your annual revenue is $100,000 or more

BlueVine offers a six-month line of credit of $5,000 to $200,000, as well as a 12-month line of credit for businesses with at least two years in business and $450,000 in annual revenue. While expensive, it can be a good option if you’re looking for quick access to cash for urgent business needs.

OnDeck has a line of credit of up to $100,000 with a minimum annual revenue requirement of $100,000. The lender’s term loan of $5,000 to $500,000 also has a minimum annual revenue requirement of $100,000.

Compare small-business loans

NerdWallet’s interactive small-business loans tool allows you to find financing that meets your goals. Sort by the age of your business, your credit score and the amount of money you need. Lenders were chosen based on factors including trustworthiness and user experience.