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 9 unsecured 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 Long-term unsecured business loans | $100,000 | 700 | Read Review |
OnDeck - Online term loan with Fundera by NerdWallet | 5.0/5 Best for Short-term unsecured business loans | $250,000 | 625 | with Fundera by NerdWallet |
Bluevine - Line of credit with Fundera by NerdWallet | 5.0/5 Best for Fast unsecured business loans | $250,000 | 625 | with Fundera by NerdWallet |
Wells Fargo Small Business Advantage® Line of Credit | 5.0/5 Best for Unsecured business lines of credit | $50,000 | 680 | Read Review |
Fora Financial - Online term loan with Fundera by NerdWallet | 4.5/5 Best for Unsecured business loans for borrowers with bad credit | $1,500,000 | 500 | with Fundera by NerdWallet |
Fundbox - Line of credit | 5.0/5 Best for Unsecured business loans for startups | $150,000 | 600 | Read Review |
Headway Capital - Line of credit with Fundera by NerdWallet | 5.0/5 Best for Easy unsecured business loans | $100,000 | 625 | with Fundera by NerdWallet |
Accion Opportunity Fund - Small Business Working Capital Loan | 4.0/5 Best for Unsecured business loans for women and minority groups | $250,000 | 570 | Read Review |
AltLINE - Invoice Factoring | 4.5/5 Best for Unsecured invoice factoring | $10,000,000 | 300 | |
Here are 9 unsecured business loans
Best for Long-term unsecured business loans
Best for Short-term unsecured business loans
Best for Fast unsecured business loans
Best for Unsecured business lines of credit
Best for Unsecured business loans for borrowers with bad credit
Best for Unsecured business loans for startups
Best for Easy unsecured business loans
Best for Unsecured business loans for women and minority groups
Best for Unsecured invoice factoring
Max Amount
$10,000,000
Min. Credit Score
300
I'M INTERESTED IN:
Our pick for
Long-term unsecured business loans
Bank of America’s unsecured business loan is available in amounts up to $100,000 with repayment terms ranging from 12 to 60 months.
Bank of America Business Advantage Unsecured Term Loan
Max loan
$100,000
Min. Credit score
700
Our pick for
Short-term unsecured business loans
You can use upfront cash from OnDeck's term loans to make large purchases, then pay the loan back over up to two years.
OnDeck - Online term loan
Max loan
$250,000
Min. Credit score
625
Apr range
35.40-99.90%
Our pick for
Fast unsecured business loans
Bluevine can approve and fund line of credit applications in as little as 12 hours.
Bluevine - Line of credit
Max loan
$250,000
Min. Credit score
625
Apr range
20.00-50.00%
Our pick for
Unsecured business lines of credit
Wells Fargo’s business line of credit offers competitive interest rates and may be available to companies with less than two years in business.
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
Unsecured business loans for borrowers with bad credit
Fora Financial has a minimum credit score requirement of 500 and you can qualify with as little as six months in business.
Fora Financial - Online term loan
Max loan
$1,500,000
Min. Credit score
500
Our pick for
Unsecured business loans for startups
Fundbox makes loans to companies with just six months in business.
Fundbox - Line of credit
Max loan
$150,000
Min. Credit score
600
Apr range
10.10-79.80%
Our pick for
Easy unsecured business loans
You may be able to qualify for Headway’s unsecured line of credit with 12 months in business, a minimum annual revenue of $50,000 and a credit score of 600 or higher.
Headway Capital - Line of credit
with Fundera by NerdWallet
Max loan
$100,000
Min. Credit score
625
Apr range
35.00-80.00%
with Fundera by NerdWallet
Our pick for
Unsecured business loans for women and minority groups
Accion Opportunity Fund offers unsecured business loans of up to $250,000. The lender says 90% of its borrowers are women, people of color and/or low-to-moderate income.
Accion Opportunity Fund - Small Business Working Capital Loan
Max loan
$250,000
Min. Credit score
570
Apr range
7.49-29.67%
Our pick for
Unsecured invoice factoring
AltLINE offers business-to-business companies access to cash quickly instead of having to wait for their customers to pay their invoices.
AltLINE - Invoice Factoring
Max loan
$10,000,000
Min. Credit score
300
What is an unsecured business loan?
How do unsecured business loans work?
Types of unsecured business loans
Term loans
Business lines of credit
Invoice factoring
Merchant cash advance
SBA 7(a) loans
Pros and cons of unsecured business loans
Pros
- Speed. Applications can usually be processed quickly.
- Collateral not required. You can get financing even if your business doesn’t have many physical assets.
- Can be easy to qualify. Some lenders offer unsecured business loans to startups and/or businesses with bad credit.
Cons
- Can be expensive. These loans tend to have higher APRs than those secured by collateral.
- Assets can still be at risk. You’ll probably have to provide a personal guarantee, which puts your personal assets on the line, or a business lien, which allows a lender to seize the assets your business does have.
- Less desirable terms. Because lenders consider unsecured debt more risky, you’ll often receive higher interest rates, lower loan amounts and shorter repayment terms than you might receive with secured business loans.
- Can be difficult to access the best options. Although some lenders will be more flexible with their criteria, others, like banks, will have stricter requirements. You’ll likely need strong financials and credit to get the most competitive unsecured loans.
How to get an unsecured business loan
Alternatives to unsecured business loans
Business credit cards
Small business grants
Crowdfunding
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.