Low-cost business expansion loans
Best option: SBA 7(a) loans will be one of the most affordable loan options for small-business owners. These loans have long terms and low rates, making them a great option for expansion financing or large purchases.
To qualify for an SBA loan, you'll generally need to have at least two years in business, strong annual revenue and a good credit score (690+).
Credibility Capital is a good option if you don’t qualify for an SBA loan. Credibility Capital typically provides faster funding, although the loans will likely carry a higher cost and have a shorter repayment time frame, so your monthly payments will be higher. If you’re looking for a slightly longer term, consider Funding Circle. The lender offers a maximum five-year repayment term compared with Credibility Capital’s maximum four-year term. APRs between the two lenders are comparable, but they are still not as competitive as SBA financing.
Best business expansion loan for fast cash, ease of qualifying
OnDeck offers speed and convenience as well as looser qualifications than other online lenders. You can complete the application in about 10 minutes, online or over the phone. Funding typically takes a few days to a week. This is appealing for a business owner who wants to move fast on a business opportunity, such as buying inventory at a discount.
However, OnDeck is more expensive than your other options.
Find and compare small-business loans
If none of the loans included here works for you, or if you'd like to compare loan options, NerdWallet has a list of small-business loans that are best for business owners. All of our recommendations are based on the lenders' market scope and track record and on the needs of business owners, as well as rates and other factors, so you can make the right financing decision.