Your quest for small-business financing will likely hinge on one critical factor: your business's annual revenue.
Yes, there are other considerations, including your credit history, business plan and reputation as an entrepreneur. But in the hunt for capital, chances are your small-business sales will determine the type and amount of financing you’ll be able to get.
How Much Do You Need?
Our picks for
Businesses with annual revenue $100,000 or more
See Your Options
with Fundera by Nerdwallet
BlueVine - Line of credit
See Your Options
with Fundera by Nerdwallet
Est. APR
15.00-78.00%
Min. Credit Score
600
BlueVine's line of credit provides fast working capital for short-term borrowing needs.
Pros
- Cash can be available within 12 to 24 hours.
- Multiple term lengths for different financing needs.
- Low minimum credit score requirement.
- Startup-friendly; accepts borrowers with a minimum of six months in business.
Cons
- May require weekly repayments.
- Requires personal guarantee.
- Not available in North Dakota, South Dakota or Vermont.
- Rates can be high compared to traditional lenders.
Qualifications:
- Minimum credit score: 600.
- Minimum time in business: 6 months.
- Minimum annual revenue: $120,000.
May fund quickly
See Your Options
with Fundera by Nerdwallet
OnDeck - Online term loan
See Your Options
with Fundera by Nerdwallet
Est. APR
9.00-99.00%
Min. Credit Score
600
OnDeck offers a fast term loan for small-business owners with less-than-stellar credit who want to expand.
Pros
- Cash can be available within the same business day.
- Requires low minimum credit score.
- Less paperwork than most lenders.
Cons
- Fixed-fee structure means early repayment will not save interest.
- Requires frequent (daily or weekly) repayments.
- Requires business lien and personal guarantee.
Qualifications:
- Minimum credit score: 600.
- Minimum time in business: 1 year.
- Minimum annual revenue: $100,000.
- No bankruptcies in the past 2 years.
May fund quickly
See Your Options
with Fundera by Nerdwallet
Fundbox - Line of credit
See Your Options
with Fundera by Nerdwallet
Est. APR
10.10-79.80%
Min. Credit Score
600
Fundbox offers a business line of credit to fill a cash-flow gap, and qualifying is easier than with other lenders.
Pros
- Financing available within one business day after approval.
- Simple application with minimal documentation required.
- Startup-friendly—accepts borrowers with a minimum of six months in business.
- Low minimum credit score requirement.
- No prepayment penalties, account maintenance fees or inactivity fees.
Cons
- Rates are high compared to traditional banks.
- May require personal guarantee.
- Can’t be used to build business credit.
- Weekly repayments required over a short term (maximum of 24 weeks).
Qualifications:
- Minimum credit score: 600.
- Minimum time in business: 6 months.
- Minimum annual revenue: $100,000.
May fund quickly
How Much Do You Need?
Summary of Best Revenue Loans for Small-Business Financing
| Lender | Best For | Est. APR | Min. Credit Score | Next Steps |
|---|---|---|---|---|
BlueVine - Line of credit See Your Options with Fundera by Nerdwallet | Best for Businesses with annual revenue $100,000 or more | 15.00-78.00% | 600 | See Your Options with Fundera by Nerdwallet |
OnDeck - Online term loan See Your Options with Fundera by Nerdwallet | Best for Businesses with annual revenue $100,000 or more | 9.00-99.00% | 600 | See Your Options with Fundera by Nerdwallet |
Fundbox - Line of credit See Your Options with Fundera by Nerdwallet | Best for Businesses with annual revenue $100,000 or more | 10.10-79.80% | 600 | See Your Options with Fundera by Nerdwallet |
Why revenue matters with business financing
In most cases, revenue is a major criterion to qualify for a small-business loan. Each lender sets its own minimum annual revenue, which, in general, ranges from $25,000 to $150,000.
Banks typically have stringent criteria, including higher annual revenue requirements. If you don’t qualify for a traditional small-business loan or want financing fast, consider online revenue-based loans.
Your sales show the strength of your business. Steady and consistent sales, even if they’re not growing like gangbusters, show that you’re executing on your business plan. This demonstrates to would-be lenders that you know how to run a small business and makes it more likely that they’ll approve your loan application.
Some lenders give revenue more weight than a credit score. Your credit score can be important in applying for a small-business loan, but it’s not the determining factor. Many lenders will focus more on your sales, particularly those in the previous three months.
If your annual revenue is less than $100,000
Fundbox has a minimum credit score requirement of 600, but you will need at least $100,000 annual revenue and at least six months in business to qualify for its line of credit product. It’s a suitable option for short-term financing, as borrowings on the line of credit are repaid in 12 or 24 equal weekly installments.
If your annual revenue is $100,000 or more
BlueVine offers a six-month line of credit of $5,000 to $200,000, as well as a 12-month line of credit for businesses with at least two years in business and $450,000 in annual revenue. While expensive, it can be a good option if you’re looking for quick access to cash for urgent business needs.
OnDeck has a line of credit of up to $100,000 with a minimum annual revenue requirement of $100,000. The lender’s term loan of $5,000 to $500,000 also has a minimum annual revenue requirement of $100,000.
Compare small-business loans
NerdWallet’s interactive small-business loans tool allows you to find financing that meets your goals. Sort by the age of your business, your credit score and the amount of money you need. Lenders were chosen based on factors including trustworthiness and user experience.
Last updated on September 20, 2021
To recap our selections...
Best Revenue Loans for Small-Business Financing
- BlueVine - Line of credit: Best for Businesses with annual revenue $100,000 or more
- OnDeck - Online term loan: Best for Businesses with annual revenue $100,000 or more
- Fundbox - Line of credit: Best for Businesses with annual revenue $100,000 or more