For years, bad credit meant very limited financing options for small businesses. Now, online and alternative lenders have made it possible for business owners with lower credit scores to access capital — often faster than traditional banks.
Below, we’ve listed business lenders that work with borrowers who have bad credit. Although the products vary, each option on this list meets a standard that we think matters most for business owners in this situation.
All these lenders offer:
- Lenient credit score requirements. A bad credit score is a score between 300 and 629 (on a scale of 300 to 800), according to NerdWallet’s general guidelines. Each of these lenders has a minimum credit score requirement of 629 or below — or doesn’t require a credit check.
- Fast funding timelines. No one wants to wait weeks, or even months, to get the capital they need. These lenders offer funding faster than traditional banks or credit unions.
- Transparent eligibility criteria. Finding out if you qualify for a loan shouldn’t be a guessing game. You can find the minimum requirements for these lenders on their websites.
- Non-bank options. It’s rare to find a bank that offers business loans for bad credit. The lenders on our list are more flexible, considering a variety of factors (in addition to your credit score) when evaluating your application.
If a bad credit business loan meets these criteria, it’s likely a viable choice. The right option for you, however, will depend on your individual needs and qualifications.
With that in mind, here are our top picks — and what each one does best.
Our 2026 list of the best business loans for bad credit
- Best for no credit check → Giggle Finance
- Best for fast funding → Fora Financial
- Best for flexible terms → Accion Opportunity Fund
- Best for working capital → Expansion Capital Group
- Best for startups → Fundbox
- Honorable mention → SBA microloans
These are the best of the best in 2026. To see our full list and compare options side-by-side, check out our bad credit business loans comparison page.
Giggle Finance: The best for no credit check
Giggle Finance Giggle Finance - Merchant cash advance
Min Credit
300 If you’re concerned that a lower credit score will keep you from getting funding, Giggle Finance is worth a closer look. What stands out to me the most is that, unlike other lenders, Giggle doesn’t check your credit score at all. Instead, approval is solely based on your business income and revenue streams.
That said, I think it’s important to be clear about what Giggle actually offers. Giggle doesn’t provide traditional business loans, it offers merchant cash advances (MCAs). So when you get funding from Giggle, you’re selling a portion of your future revenue in exchange for an advance of capital. You then repay that advance, plus fees, through weekly payments that are taken as a percentage of your incoming revenue.
If you need more than $10,000, Giggle won’t be the right fit. It only offers up to $10,000 for first-time borrowers (repeat customers can access up to $20,000). In that case, I’d suggest checking out other options on our list.
Why I like Giggle Finance
Flexible qualification requirements. Giggle can provide funding to business owners who may be shut out from other options. There’s no credit check, and the time in business and revenue requirements are fairly lenient. You only need 3 months in business and $1,500 in monthly revenue to qualify, meaning it’s a good fit for newer businesses.
Same-day funding, easy to apply. If speed matters to you, Giggle can fund your application the same day. The application process is straightforward (Giggle says takes only eight minutes to complete). Once you’re approved and accept your offer, Giggle will deposit the funds directly into your bank account (and they should be available within minutes).
If you want a deeper breakdown, you can read our full Giggle Finance review and take a look at the quick facts below.
👉 See our breakdown of Giggle’s key details and qualification requirements
Key features
- Loan type: Merchant cash advance.
- Funding amount: Up to $10,000 ($20,000 for repeat customers).
- Repayment term: Payments are based on your business’s revenue. You’ll make weekly payments until you repay the full advance amount.
- Speed: As fast as the same day.
How to qualify
- Time in business: 3 months.
- Annual revenue: $18,000 (At least $1,500 per month).
- Credit score: No minimum requirement. Giggle Finance does not check your personal credit as part of the underwriting process. Approval is solely based on your business income and revenue streams.
Where Giggle Finance falls short
As I see it, the biggest drawback with Giggle is the expense. When it comes to business financing, the tradeoff for speed and flexibility is usually cost. And MCAs (like the ones Giggle offers) are generally one of the most expensive types of funding. For example, say you have a $7,000 advance with a 1.3 factor rate. You repay the advance weekly with 10% of your sales. If you make $10,000 in monthly sales, you’ll be paying just over $233 per week for nearly 40 weeks. That translates to an APR of about 74% — pretty high for a small amount of funding.
It’s also worth mentioning that Giggle doesn’t fund borrowers in California, New York or Oregon (meaning it excludes two of the most populous U.S. states).
Fora Financial: The best for fast funding
Fora Financial Fora Financial - Online term loan
Min Credit
570 If speed matters most, take a look at Fora Financial. It took me less than five minutes to fill out the application and Fora can approve you in as little as four hours. Once approved, you can access funds within 24 hours.
Fora requires a minimum credit score of 570. So if you can meet this credit requirement and need money quickly, Fora could be a good choice. That said, I would suggest that smaller or newer businesses start their financing search elsewhere.
While Fora’s credit bar is relatively accessible, there is a high annual revenue requirement of $240,000. As a result, I’d say Fora is a better fit for more established businesses that already have consistent revenue.
Why I like Fora Financial
Quick and simple application process. You can apply for a loan online by filling out a one-page application and uploading just three months of bank statements. Once you’re approved, you could see funds in your account within 24 hours (but it may take up to 72 hours).
Larger loan amounts. Fora stands out for how much it’s willing to lend. With a $1.5 million maximum loan amount, Fora offers access to more capital than any other lender on our list, which can be helpful for bigger projects or investments. That said, I’d expect the amount you qualify for to be lower if your credit score is on the weaker side.
Want to learn more about Fora Financial’s advantages? Read our full review.
👉 See our breakdown of Fora’s key details and qualification requirements
Key features
- Loan type: Term loan.
- Funding amount: Up to $1.5 million.
- Repayment term: Up to 24 months.
- Speed: As fast as 24 hours.
How to qualify
- Time in business: 6 months.
- Annual revenue: $240,000.
- Credit score: 570.
Where Fora Financial falls short
Although Fora’s requirements are bad credit-friendly, the lender requires a high annual revenue of $240,000. This can make it harder to qualify for than other options on our list, especially for newer businesses that are still building their revenue.
I should also mention that even though Fora offers short-term loans, the lender charges interest as a factor rate (which isn’t necessarily uncommon for these types of loans). But, factor rates can be more difficult to understand and make it harder to compare loan costs with other lenders. I always recommend that you convert your factor rate into an APR to get a better sense of your borrowing costs.
➡️ Need help converting a factor rate into an APR? Use our calculator here.
Accion Opportunity Fund: The best for flexible terms
Accion Accion Opportunity Fund Small Business Working Capital Loan
Min Credit
620 Accion has the highest credit score requirement on this list (you will need a credit score of at least 620 to quality), but if you can meet the minimum there are several benefits to working with this lender. (Read our full take on Accion in our review here).
Accion’s term loan has the longest repayment terms of any option here, and payments are made monthly (instead of daily or weekly). Longer repayment terms mean lower monthly payments, which reduces the strain on your cash flow. Plus, monthly payments are more flexible than daily or weekly ones, since you have time throughout the month to generate revenue and can better manage uneven sales.
Accion is also a nonprofit lender, which means it provides a variety of resources that most online lenders don’t offer.
However, if you need fast funding, I wouldn’t recommend Accion as the best fit. It’s slower to fund than other options on our list.
Why I like Accion
Flexible loan terms. Once you’ve applied (which only takes five minutes according to the lender), you may receive multiple options with different term lengths, interest rates and monthly payments. You can select the best option for you based on your needs. I’d keep in mind that a longer term may mean lower monthly payments, but you’ll pay more in interest over time.
Additional services offered. One reason I like Accion is its focus on working with traditionally underserved business owners. It’s a good option for minority, women and low-to-moderate-income entrepreneurs who may have limited financing options. In addition to funding, Accion provides resources like free business coaching and advising, as well as educational courses and webinars designed to help you grow and manage your business more confidently.
👉 See our breakdown of Accion’s key details and qualification requirements
Key features
- Loan type: Term loan.
- Funding amount: Up to $250,000.
- Interest rate range: 9.99% to 28.95%.
- Repayment term: Up to 36 months.
- Speed: Six days, on average.
How to qualify
- Time in business: 12 months.
- Annual revenue: $100,000.
- Credit score: 620.
Where Accion falls short
As I mentioned, Accion’s credit score requirement is on the higher end of the bad credit scale, meaning not all bad credit borrowers will qualify for this option. Funding times may also be longer with this lender as well. According to Accion, loans are funded in an average of six business days. Although this is likely faster than traditional bank or SBA loans, it’s much slower than the online lenders on our list.
Expansion Capital Group: The best for working capital
Expansion Capital Group Expansion Capital Group - Merchant cash advance
Min Credit
500 with NerdWallet Small Business
Aside from Giggle — which doesn’t check credit at all — Expansion Capital Group (ECG) has the lowest minimum credit score requirement, at 500. That makes it a good fit if your score is on the lower end.
Like Giggle, ECG offers merchant cash advances instead of traditional business loans. With an MCA you get an upfront sum of cash that you repay using a percentage of your debit and credit card sales, plus a fee.
ECG is a solid option for short-term working capital, especially if your business processes a high volume of credit card transactions, but this type of financing may not be a fit for all businesses.
Why I like ECG
Lenient requirements. In addition to the low credit score requirement of 500, the lender has relatively flexible time in business and annual revenue requirements. You’ll need at least 6+ months in business and $100,000 in annual revenue to qualify.
I also like that ECG doesn’t automatically file a UCC lien on all borrowers. Although the company reserves the right to do so, it usually only files a lien when the borrower isn’t repaying as agreed.
Fast, simple process. You can apply online in just minutes, then a funding specialist will call to discuss your request. Once you provide the necessary documentation, you can receive approval in as little as four hours. After accepting your offer, the lender can issue funds in as quickly as 24 hours.
👉 See our breakdown of ECG’s key details and qualification requirements
Key features
- Loan type: Merchant cash advance.
- Funding amount: Up to $300,000.
- Repayment term: Payments are based on your business’s revenue. You’ll make daily or weekly payments until you repay the full advance amount.
- Speed: As fast as a few hours after approval.
How to qualify
- Time in business: 6 months.
- Annual revenue: $100,000.
- Credit score: 500.
Where ECG falls short
As I mentioned with Giggle Finance, MCAs (like those offered by Expansion Capital Group) can be more expensive than other financing options. On top of its factor rate, ECG also charges an origination fee and a monthly service fee, which will increase your total borrowing costs.
Fundbox: The best for startups
Fundbox Fundbox - Line of credit
Min Credit
600 Fundbox stands out to me for its low time in business and annual revenue requirements, meaning it’s a good option for startups and low-revenue businesses. If you’re early on and finding it hard to qualify elsewhere, Fundbox is one of the more realistic places to start. Its credit score requirement (600) falls in the middle of the road when it comes to the lenders on our list.
Why I like Fundbox
Easy to qualify. Fundbox has less stringent qualification requirements compared with both traditional and other online lenders, making it fairly easy to qualify. You’ll need a credit score of 600+, 3+ months in business and annual revenue of $30,000+.
Line of credit access. Fundbox is the only business line of credit offering that made our list. A line of credit can be useful for a wide variety of needs, including working capital and emergency expenses. You can pull from your credit line as needed, and only pay interest on what you draw. When you repay what you’ve borrowed, you can continue to draw from the line (without having to reapply). Plus, Fundbox doesn’t charge any inactivity or account maintenance fees, meaning you can keep this line of credit in your back pocket without getting charged.
Read more about where Fundbox stands out in our comprehensive review.
👉 See our breakdown of Fundbox’s key details and qualification requirements
Key features
- Loan type: Line of credit.
- Funding amount: Up to $250,000.
- Interest rate range: 36% to 99%.
- Repayment term: 3 to 24 months.
- Speed: Within two business days after approval.
How to qualify
- Time in business: 3 months.
- Annual revenue: $30,000.
- Credit score: 600.
Where Fundbox falls short
As far as lines of credits are concerned, Fundbox’s interest rates are on par with competitors like OnDeck and Headway Capital. But, these rates are expensive compared with bank and SBA options. I’d also keep in mind that Fundbox requires weekly payments with terms as short as three months, which may not be ideal for all needs.
Honorable mention: SBA microloans
U.S. Small Business Administration SBA microloan
Min Credit
620 Since SBA microloans are issued by a variety of nonprofit and community lenders, they didn’t quite fit on our list. Still, I think they’re worth highlighting, especially if you have fair or bad credit and are looking for low interest rates.
SBA microloans offer up to $50,000, with interest rates that often fall between 8% to 13%. Repayment terms are available for up to seven years. And because these loans are administered by community organizations, they usually have more flexible requirements than other SBA loan options.
Another benefit is the additional support. You’ll typically find that SBA microlenders offer business support services and resources (similar to Accion Opportunity Fund).
The drawback is that these loans can be slower to fund, may require collateral and are often issued in much smaller amounts than $50,000 (the average SBA microloan in fiscal year 2025 was just $16,165).
Use the SBA’s search tool here to find an eligible microlender in your area.
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.
Our star ratings award points to lenders that offer small-business friendly features. 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. Here’s how we evaluate each lender and the approximate weights we place on each category:
- Cost (33%). Lenders that don’t charge origination fees or prepayment penalties rank higher in this category.
- Transparency (19%). Lenders that make it easy for borrowers to understand loan rates, fees, terms, qualification requirements and more rank higher in this category.
- Underwriting and loan flexibility (15%). Lenders that have flexible underwriting and offer multiple payment terms rank higher in this category.
- Credit (11%). Because it helps borrowers establish business credit, lenders that report timely payments to the commercial credit bureaus rank higher in this category.
- Application experience (11%). Lenders that offer fast funding and multiple ways to apply for a loan rank higher in this category.
- Customer service (11%). Lenders that provide multiple ways to speak with a customer service representative and an online dashboard for loan management rank higher in this category.
NerdWallet does not receive compensation for our star ratings. Read more about our ratings methodology for small-business loans and our editorial guidelines.
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- 1. U.S. Small Business Administration. Microloans Segment Report. Accessed Jan 29, 2026.
