Business Term Loans

Fixed-rate financing from $25K to $500K. Predictable payments, competitive rates, and funding for your biggest growth initiatives.

$25K - $500K
Loan Amount Range
8% - 30%
Typical APR Range
3-7 days
Approval Time
1-5 years
Repayment Terms

What is a Business Term Loan?

A business term loan is a traditional loan where you receive a lump sum upfront and repay it over a fixed period (1-5 years) with regular monthly or weekly payments.

Unlike a line of credit where you draw funds as needed, a term loan provides all the capital at once — making it ideal for specific, larger purchases or investments. You'll know exactly what you owe each month, making budgeting simple.

Perfect For:

  • ✓ Equipment purchases (vehicles, machinery, technology)
  • ✓ Business expansion or relocation
  • ✓ Large inventory purchases
  • ✓ Hiring and payroll
  • ✓ Refinancing existing high-interest debt
  • ✓ Marketing campaigns and growth initiatives

💡 Example:

A $100,000 term loan at 12% APR over 3 years = ~$3,321/month. Total repayment: $119,556. You'll receive the full $100K upfront and know your exact payment every month.

Pros & Cons

Advantages

  • Predictable Payments: Fixed monthly amount, easy to budget
  • Large Amounts: Access up to $500K for major investments
  • Competitive Rates: Lower APR than credit cards or MCAs
  • Build Credit: Establishes strong payment history
  • Lump Sum: Receive all funds at once for immediate use
  • Flexible Use: Use funds for almost any business purpose

Considerations

  • Fixed Obligation: Must make payments even in slow months
  • Credit Requirements: Typically need 650+ credit score
  • Time in Business: Usually 2+ years required
  • Documentation: More paperwork than alternative lenders
  • Prepayment Penalties: Some lenders charge for early payoff
  • Personal Guarantee: Often required for approval

Eligibility Requirements

Typical Requirements:

  • Credit Score: 650+ personal credit (680+ for best rates)
  • Time in Business: 2+ years minimum
  • Annual Revenue: $250,000+ minimum
  • Profitability: Positive cash flow required

Documents Needed:

  • 📄Business tax returns (2 years)
  • 📄Personal tax returns (2 years)
  • 📄Bank statements (3-6 months)
  • 📄Profit & loss statement
  • 📄Business plan (for larger loans)

We Work With 50+ Lenders

Don't meet every requirement above? No problem. We have partners with flexible criteria — including options for startups, lower credit scores, and alternative documentation.

Check Your Eligibility — Free

How to Get a Business Term Loan

1

Complete Application

Fill out our 5-minute application and upload your documents. We'll do a soft credit check that won't hurt your score.

2

Review Offers

We'll shop your application to our network and present your best options within 24-48 hours.

3

Receive Funding

Choose your preferred offer, sign documents electronically, and receive funds in your account within 3-7 days.

Start Your Application →

⚡ No credit impact to pre-qualify | Funding in as little as 3 days

Frequently Asked Questions

What can I use a business term loan for?

Almost anything business-related: equipment, inventory, expansion, hiring, marketing, refinancing debt, or working capital. Most lenders don't restrict how you use the funds as long as it's for business purposes.

How are term loans different from SBA loans?

Term loans are faster (3-7 days vs. 30-90 days) and have less paperwork, but typically higher rates (8-30% vs. 6-13%). SBA loans are government-backed with longer terms and lower rates, but require more documentation and time.

Will I need collateral?

It depends on the lender and loan amount. Unsecured term loans (no collateral) are available up to $250K for qualified borrowers. Larger loans ($250K+) often require collateral or may have better rates if secured.

Can I pay off the loan early?

Most lenders allow early payoff, though some charge prepayment penalties (typically 1-3% of the remaining balance). We'll disclose any prepayment fees upfront so there are no surprises.

What if my business is seasonal?

Seasonal businesses can still qualify! We work with lenders who understand revenue fluctuations. You may need to show 2-3 years of tax returns to demonstrate your annual revenue patterns.

How much will my monthly payment be?

It depends on the loan amount, APR, and term length. For example: $100K at 12% APR over 3 years = ~$3,321/month. We'll show you exact payment amounts for each offer before you commit.