8 Best Small Business Lines of Credit

Depending on your business needs, the best small business line of credit can vary based on its qualification requirements, features, and funds accessibility. That said, the top providers should offer a combination of these criteria, inclusive of low rates, flexible qualifications, large funding amounts, and excellent customer service.

To select the best small business credit line for your company, prioritize the features most important to you, whether it be quick access to funds, a wide range of repayment options, or an easy application and approval process. Our selection of the best business lines of credit consists of lenders that excel in these areas.

• Bluevine: Best overall for established businesses seeking low rates
• Lendio: Best for low-revenue companies
• Creditfy: Best for longer repayment terms
• Clarify Capital: Best for multiple loan options
• 1West: Best easy online lending process
• SBG Funding: Best for on-demand access and custom payments
• AdvancePoint Capital: Best for businesses with high gross sales
• Wells Fargo: Best for businesses seeking traditional banking services

Best Small Business Lines of Credit at a Glance

Bluevine: Best Overall for Established Businesses Seeking Low Rates

Why I Like Bluevine

Bluevine is my pick as the best overall credit line because it has a good chance of giving qualified borrowers the lowest starting rates. Other providers, by comparison, may advertise more competitive rates and fees but could limit that availability to only the most highly qualified businesses.

Bluevine also has a business checking account product. If you link it with its line of credit product, you’ll have the ability to have instant access to funds when you make a draw request on the line. We detail this and other benefits of the checking account in our Bluevine business checking review.

Funds drawn from a Bluevine line of credit can be used for virtually any business-related purpose. This flexibility, in addition to the reasons mentioned above, is why we also selected the provider in our roundup of the best working capital loans. To learn more or apply, visit the Bluevine website.

Lendio: Best for Low-revenue Companies

Why I Like Lendio

With the lowest annual revenue requirement on our list, Lendio makes our guide as an excellent option for newer businesses that have not yet had time to build up their sales volume. It is a business loan broker, which means you can get financing options from different lenders with a single application. This allows you to choose the one best suited to your needs.

The company partners with over 75 lenders, which is quite a bit compared with other brokers, such as 1West that offers 50. You can be matched with providers that offer both secured and unsecured lines of credit. Secured lines of credit can be easier to get and offer lower rates but may take longer to get funded. Unsecured lines of credit have faster funding speeds but often carry higher rates and have stricter qualification requirements.

Should you have any questions about the application or approval process, you’ll be assigned a dedicated funding specialist who will walk you through the process and provide personalized recommendations.

To apply, you can visit the Lendio website. Applications can be completed in less than 15 minutes, after which you’ll be contacted by a lending specialist to discuss your specific needs.

Creditfy: Best for Longer Repayment Terms

Why I Like Creditfy

Creditfy has the longest repayment term in our guide, making it a good choice for businesses that may have cash flow concerns and want the flexibility of lower payments. It also boasts a high approval rate of 90%, giving you excellent odds of getting financing if you meet the minimum qualification requirements.

Its small business line of credit can be used for nearly any business expense. The lender also offers financing to nearly any industry. As a loan broker similar to Lendio, Creditfy has exclusive partnerships with certain providers, something that can help you obtain more competitive rates and terms. It also requires its representatives to have at least two years of industry experience to ensure you get expert guidance throughout the entirety of the lending process.

To apply, you can visit the Creditfy website, where an online application can be completed in under 5 minutes. You’ll then receive communications from a lending advisor to review your options, after which you can receive funds within 24 to 48 hours of getting approved.

Clarify Capital: Best for Multiple Loan Options

Why I Like Clarify Capital

Clarify Capital is a good option if you’re looking to get multiple loan options with a wide range of eligibility criteria. This is due to the fact that it is a loan broker, similar to Lendio and Creditfy, and can connect potential borrowers with various lending options with a single application. It also offers low rates and flexible qualification requirements for time in business, credit score, and revenue.

It has a network of over 75 lenders, which increases the number of financing options you could be presented with. While having a large network of lenders can also improve your approval odds, the exact eligibility criteria could vary depending on the lender you’re matched with.

Working with Clarify Capital gives you the ability to choose between secured and unsecured business lines of credit. Unsecured lines of credit tend to be more difficult to get, but you can check out our guide on unsecured business lines of credit for tips on improving your approval odds.

Clarify Capital offers a high level of service, demonstrated by its 4.9 rating on Trustpilot^[1]. To learn more, ask questions, or apply, you can visit the Clarify Capital website. Applications can be completed online in under two minutes, and eligible businesses can get funding as quickly as 24 to 48 hours.

1West: Best Easy Online Lending Process

Why I Like 1West

1West offers a simplified application process in which you can get funded without speaking with an individual. This is possible with the use of its Automated Business Lending Engine (ABLE), as it can match you with financing options automatically within its network of over 50 lenders. For these reasons, it made our list as the best pick for an easy online lending process.

Like some of the other lenders in our guide such as Clarify Capital, 1West offers both secured and unsecured lines of credit. Each can offer on-demand access to funds, and the credit line can be renewed if you want continued flexibility in drawing more funds.

You can visit the 1West website to submit an application. This can be completed in under five minutes, and you’ll also be able to create an account to upload the required documents and check your application status. Paperwork requirements are generally limited to six months of business bank statements but may vary depending on your business circumstances.

SBG Funding: Best for Businesses Seeking On-demand Access & Custom Payments

Why I Like SBG Funding

I recommend SBG Funding to business owners seeking tailored payment options and the ability to get instant access to funds. Compared with other banks that limit payment options to a specific rate and term, it can provide deferred payments for up to three months and make other adjustments to accommodate your company’s cash flow needs.

SBG Funding also has flexible qualification requirements that allow a wide variety of businesses to be considered eligible. That said, its annual revenue requirement is the highest of this guide when compared with other lenders.

It’s important to note that despite its advertised approval rate of 85%, borrowers should note that compensating factors will likely be needed if their credit or finances are borderline, even if they meet the minimum qualification requirements.

To apply, you can complete SBG Funding’s online loan application. SBG Funding will initially perform just a soft credit pull to determine your eligibility, which will not impact your credit score.

AdvancePoint Capital: Best for Businesses with High Gross Sales

Why I Like AdvancePoint Capital

AdvancePoint Capital offers a wide variety of small business financing solutions and makes our list as one of the best small business credit lines for borrowers that have high gross sales within their business. This is due to the fact that it places more emphasis on gross sales history rather than profit and loss.

As part of its simple application process, it will review your qualifications and business financial statements to get an overview of your financial standing. This process is quick and requires minimal documentation.

It’s also known for its great customer service. In fact, it has an A+ rating with the Better Business Bureau (BBB)^[2] and a score of 4.7 on Google reviews.

To learn more, you can call the phone number listed on its website or fill out your information and financing needs through its online form to get a quote.

Wells Fargo: Best for Businesses Seeking Traditional Banking Services

Why I Like Wells Fargo

If you’re looking to simplify your finances and consolidate business products and services with a single bank, Wells Fargo is a good option. While Bluevine also offers various banking services, Wells Fargo is a long-standing provider with a wide range of products. In addition to lending products, it’s a full-service financial institution that can offer a wide range of other services such as banking and wealth management.

It has two main types of business credit lines.

1. Its unsecured business credit line is available to customers with fewer than two years’ time in business and carries no annual fee and automatic enrollment in a free rewards program. If you have more than two years’ time in business, you can get the same credit line but will likely qualify for more competitive rates.
2. The other business credit line is geared toward companies with $2 to $10 million in annual sales and boasts larger credit limits and more competitive rates. It must be secured by business assets but carries the flexibility of only requiring monthly interest-only payments.

To learn more or to submit a loan application, visit the Wells Fargo small business website.

How I Selected the Best Business Lines of Credit

I considered the following characteristics in selecting the best small business lines of credit:

• Interest rates and estimated APRs
• Loan amounts and loan terms offered
• Qualification requirements
• Amount of required documentation
• Application, approval, and funding speeds
• Customer reviews and ratings

How to Choose the Best Small Business Line of Credit

The best small business line of credit will vary depending on your company’s specific qualifications, needs, and goals. You should consider the following items, each of which is explained in greater detail in our guide on how to get a small business line of credit:

1. Determine why you need a small business line of credit.
2. Understand the options available to you based on your business qualifications.
3. Check your eligibility against a lender’s requirements.
4. Review rates, terms, and features among multiple lenders.
5. Choose a lender and then submit a loan application.

Alternatives to a Small Business Line of Credit

If you determine that a small business credit line isn’t the right fit for your business financing needs or find out that you’re ineligible for this form of financing, there are other options available that can cover short-term expenses. These alternatives include the following:

• Personal loans for business purposes: You can consider this if your business credit or finances are making it difficult for you to get a business line of credit. Personal loans focus more on your personal credit and finances and can be easier to get. You can also view our recommendations in our guide to the best personal loans for business purposes.
• SBA loans: You’ll typically need to have good credit and strong business finances to qualify for an SBA loan. But if you’re approved, these loans can offer some of the most competitive rates available. I recommend checking out our roundup of the leading SBA lenders for small businesses if you’re interested in getting this type of loan.
• Small business credit cards: Many credit card providers issue revolving credit limits up to $25,000 or more, making it a good option for small and medium-sized purchases. Some issuers also offer a lower introductory rate and a rewards program to reduce the effective cost of your business expenses. See our top-recommended small business credit cards for a place to start.
• Raising money from friends and family: If you need financing outside of a traditional loan, you may be able to approach your friends and family for funds to cover short-term business needs. While you’ll still need to apply an interest rate to comply with tax regulations, this is a less formal way to obtain financing, especially if you don’t meet the qualification requirements of other lenders. Read our article on how to raise funds from friends and family to learn more.

Frequently Asked Questions (FAQs)

Can a small business get a line of credit?

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Bottom Line

In choosing a small business line of credit, you should determine what aspects will be most important to you—whether these are rates and terms, flexible qualification requirements, high funding amounts, or long repayment terms. Whatever the case, the best business line of credit for you will depend on your unique business circumstances and needs, but the options we’ve selected all offer competitive rates with a wide range of loan terms and qualification requirements that may be able to fit the bill.

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User review resource:

^[1]Trustpilot | Clarify Capital
^[2]BBB | AdvancePoint Capital