If your business needs immediate funding, short-term loans can be a good option to cover cash flow gaps or expansion plans. Loan amounts typically range from $2,500 to $500,000, with repayment terms of three months to two years. While interest rates can be higher than traditional loans, approvals often happen within 24 hours, making it very convenient for quick financing.
The best loan depends on your needs, credit profile, and funding speed. Since terms vary by lender, comparing rates, fees, and repayment options is crucial. We evaluated loan amounts, approval speed, credit requirements, and repayment flexibility to help you choose the right option.
Here are our top picks for the best short-term business loans:
Best short-term business loans quick comparison
Below, I summarized the top features I considered for the six lending providers. Here is our list of the best short-term business loans.
Bluevine: Best overall short-term business loan
Bluevine is a financial technology (fintech) company offering an outstanding line of credit with limits of up to $250,000. With interest rates starting at 7.8% and same-day funding, it’s ideal for managing cash flow and covering short-term expenses.
Businesses can borrow as needed and only pay interest on the amount used, making it a fast and flexible financing solution with minimal paperwork. Over the past decade, Bluevine has served over 500,000 businesses, providing $14 billion in loans to support growth.
See how business lines of credit differ from business loans.
Why I chose it
I chose Bluevine’s line of credit as the best short-term business loan for its flexibility, fast funding, and competitive rates. With high credit limits, low interest, and same-day financing, it’s a cost-effective way to pay off sudden expenses or go after growth opportunities.
The simple online application, minimal paperwork, and no prepayment penalties make it even more appealing. Plus, opening a fee-free Bluevine Standard business checking account can streamline the process while earning you up to 1.5% APY on qualifying balances.
Loan details
- Loan amount: Up to $250,000
- Interest rates: 7.8%
- Terms: 6 or 12 months
- Funding speed: 24 hours
How to qualify
- Business operation for at least 12+ months
- Have at least $120,000 in annual revenue
- Have a 625+ personal FICO credit score
- Must be a corporation or limited liability company (LLC)
- Have no bankruptcies in the past year
- Have good standing with your Secretary of State
- Business operation or incorporation in an eligible US state, ineligible states include Nevada, North Dakota, and South Dakota
- Have an active bank connection or statements from the last three months
Pros and cons
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Lendio: Best for newer businesses
Considered a free online loan marketplace, Lendio helps link small business owners with a network of over 75 lenders, including banks and online lenders. Rather than providing loans directly, it helps businesses compare diverse financing options to find the best fit.
Among these are short-term business loans, which offer speedy funding to support your immediate business needs. Aside from short-term loans for business, Lendio also provides access to lines of credit, invoice financing, and other financing solutions.
Why I chose it
Lendio’s vast lender network and flexible qualifications make it one of my top choices for short-term business loans. The variety of lending options boosts approval chances, even for borrowers with credit scores as low as 550 (for certain loan products), making it ideal for newer businesses with limited operational history. It offers fast funding within one to two days, pre-approvals in 24 hours, and no loan matchmaking fees. Plus, a lending team member (called a funding manager) helps you find the best business loan and assists you in completing your application.
Loan details
- Loan amount: $10,000 to $5 million
- Interest rates: 8.49%
- Terms: 6 months to 7 years
- Funding speed: One to three business days
How to qualify
- A credit score of 600
- Minimum time in business is 12 months
- Business annual revenue of over $96,000
Pros and cons
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Clarify Capital: Best for large, unsecured loans
Clarify Capital is a lending firm that partners with over 75 lenders to help small and medium-sized businesses secure funding. Through a single application, a business owner seeking financing can check multiple loan options to compare rates and terms to identify the most suitable match. Loan options include term loans, lines of credit, and equipment financing.
Why I chose it
I chose Clarify Capital as the best for large, unsecured loans because it can connect businesses with lenders offering high loan amounts, up to $5 million, without requiring collateral. With a vast lender network, the approval chances increase for businesses needing substantial funding.
Beyond short-term business loans, its unsecured loan options include business lines of credit, working capital loans, and merchant cash advances. They also have financial advisors guiding you through the entire process. Plus, applying takes just two minutes.
Loan details
- Loan amount: Up to $5 million
- Interest rates: As low as 6%
- Terms: Varies; flexible.
- Funding speed: One to two days
How to qualify
- Minimum $10,000 in monthly revenue
- A minimum credit score of 500+
- Business is operational for at least 6 months
- Have a US business account
- Three to four months of recent bank statements to verify revenue
Pros and cons
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QuickBridge: Best for easy application and fast approval
QuickBridge is a direct online lender that provides fast and easy short-term business lending. Known for its streamlined application process and quick approvals, it offers funding up to $500,000 with terms ranging from six to 18 months.
With flexible requirements and a focus on small businesses, QuickBridge is ideal if you need immediate working capital without going through a long approval process. Its loan offerings include working capital, receivable financing, short-term loans, and daily payment financing.
Why I chose it
I picked QuickBridge for its simplified online process and fast approval with minimal documentation, making it seamless for businesses to apply. It provides quick funding, often within 24 hours, and only requires over six months of business operation compared to traditional lenders. This makes it an excellent choice for business owners who need immediate capital without the hassle of a lengthy approval process. In addition, dedicated funding specialists provide personalized assistance.
Loan details
- Loan amount: Up to $500,000
- Interest rates: Varies
- Terms: 6 to 18 months
- Funding speed: Potentially within 24 hours
How to qualify
- Six months-plus in business
- $250,000 in annual sales
- Business bank account
- A credit score of 600
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Fundbox: Best for no collateral
Headquartered in San Francisco, Fundbox is a fintech platform that leverages technology to help small businesses access quick working capital for growth. With over a decade of experience and over 500,000 businesses served, it offers fast short-term small business loans with flexible 12- or 24-week repayment terms and automatic weekly payments, making it an ideal solution for companies needing immediate cash flow support.
Why I chose it
I chose Fundbox as the best for no-collateral financing because it offers unsecured business lines of credit without requiring assets as security. This makes it an excellent option for small businesses that may not have valuable collateral to pledge. Fundbox also has a fast and flexible application process, with a credit decision in just minutes and funding available as soon as the next business day. In addition, Fundbox earned a 4.7-star rating out of 5 with over 4,000 reviews in Trustpilot.
Loan details
- Loan amount: Up to $150,000
- Interest rates: Starts at 4.66% on the amount drawn for 12-week terms and 8.99% for 24-week terms
- Terms: 12 or 24-week repayment schedules
- Funding speed: As soon as the next business day
How to qualify
- $30,000-plus in annual revenue
- Three months of business transaction history
- FICO credit score must be 600+
- Have a business checking account
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Credibly: Best for low credit scores
Credibly provides flexible financing solutions to small businesses, especially those with lower credit scores. Its lineup of loan products includes working capital loans, MCAs, SBA loans, business lines of credit, equipment financing, and long-term loans. With a minimum credit score of 500, fast approvals, and various loan options, Credibly is ideal for businesses that don’t qualify for traditional bank loans as it prioritizes business performance over credit history.
Why I chose it
I chose Credibly as the best option for business owners with low credit scores because even if it generally requires a minimum credit score of over 500, it still considers applications for those with a credit score as low as 500, making it more accessible than many other lenders. Credibly considers factors like business revenue and cash flow, allowing more businesses, especially those with limited credit history, to qualify for funding. It also serves businesses in over 1,000 industries nationwide.
Loan details
- Loan amount: $25,000 to $600,000
- Interest rates: Factor rates as low as 1.11x
- Terms: Six to 24 months
- Funding speed: As fast as same-day
How to qualify
- 500 or higher credit score
- Minimum monthly revenue of $15,000
- Three most recent months’ business bank statements
- More than six months minimum time in business
- Business bank account
Pros and cons
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How to choose the best short-term loan for your business
When choosing the best short-term small business loan, consider the following:
- Loan amount: Determine your exact funding needs, as short-term loans for a business typically range from $2,500 to $500,000. Borrow only what’s necessary to avoid excess debt and high repayment costs.
- Interest rates and fees: Compare total costs, including interest, fees, and factor rates. Look out for hidden charges like origination, prepayment penalties, and late fees.
- Loan term and repayment schedule: Small business short-term loans have three-month to two-year terms, with daily, weekly, or monthly payments that impact cash flow. Choose a term that balances affordability and repayment speed.
- Approval and funding speed: Some lenders fund loans within 24 hours, while others take several days. If you need quick financing, make sure to prioritize lenders with fast processing times.
- Qualification requirements: Lenders evaluate credit score, time in business, and annual revenue. Some accept scores as low as 500, while others require over 600. Ensure you meet the lender’s minimum revenue and operational history requirements before applying.
- Lender reputation & customer reviews: Check reviews for transparency, customer support, and loan terms. Research the lender’s reputation to avoid predatory lending or unfair practices.
- Collateral vs unsecured loans: Note that secured loans require collateral (equipment or inventory), which often results in lower rates, while unsecured loans have no collateral but come with higher interest rates.
- Flexibility and prepayment options: Some lenders charge prepayment penalties, while others allow early repayment without fees. If you plan to pay off early, pick a loan with no prepayment penalties.
- Purpose of the loan: Different loans suit different needs, such as working capital, equipment purchase, or expansion. Select a lender that specializes in the type of financing you require.
Short-term business loans vs other loan options
Choosing the right loan option
- Short-term loans or merchant cash advances are best if you need quick cash
- SBA loans or long-term loans are better if you want lower rates
- Business lines of credit work well if you need ongoing access to funds
- Invoice financing is an excellent solution if you have unpaid invoices
- Equipment financing is the best fit if you need new equipment
Check out our list of the best banks for small business loans. If you own a rental property or plan to own one, you may also want to read our lineup of the best banks for real estate investors.
Pros and cons of short-term business loans
Short-term loans for small businesses can provide quick funding if you need immediate capital, but they also come with higher costs and frequent repayments. Here’s a breakdown of the advantages and disadvantages:
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Methodology
When choosing the best short-term business loans for this guide, I focused on loan amounts, repayment terms, interest rates, approval speed, and credit score requirements. I researched lenders and checked information through their websites. I compared options and looked for transparent terms, fast funding, and flexible eligibility. I aimed to provide clear comparisons and practical recommendations to help small businesses make smart financial decisions.
Frequently asked questions
What is the easiest short-term business loan to get?
For the easiest short-term business funding, consider working capital loans or business lines of credit for faster approval and flexible terms than traditional business bank loans or SBA loans. However, they may have higher fees and interest rates. QuickBridge, Clarify Capital, and Credibly offer easy application, quick funding, and flexible options, including lower credit score requirements.
Can startups qualify for short-term loans?
Yes, startups can qualify for short-term loans, though requirements may be stricter and interest rates higher than for established businesses. Lenders like Bluevine, Lendio, QuickBridge, and Credibly offer loans to startups with at least 6 months in business. For startups with little or no revenue, business credit cards, personal loans, or investor funding may be better alternatives.
