8 Best Business Auto Loan Providers

When looking for a business auto loan, there are many factors a small business needs to consider before applying for financing. For example, a business should look at how much it needs to borrow, the maximum term of the loan, the interest rate offered by the lender, any specific requirements regarding the age and mileage of the vehicle, and minimum annual revenue and time-in-business requirements.

By using a business auto loan, companies can manage cash flow by spreading the cost of large asset purchases out over a period of time. Depending on what a business is trying to finance, either a business auto loan or equipment loan might be the right choice. For example, some lenders will only finance large commercial vehicles under equipment loans rather than business auto loans.

Here are our eight choices for the best business auto loan providers:

Bank of America: Best overall—low rates without funding restrictions on dealership vehicles
Wells Fargo: Financing for dealerships and private vehicles
Crest Capital: Online lender with terms similar to traditional banks
U.S. Bank: Companies in the West or Midwest that need new or used vehicle financing
PNC Bank: Established East Coast businesses that want low-cost financing
Celtic Bank: Funding up to $5 million for a fleet of vehicles
National Funding: Borrowers with low personal credit scores
South End Capital: Businesses looking for equipment loans rather than a traditional auto loan

Bank of America

Category	Rates/Fees
Starting Annual Percentage Rate (APR)	As low as 2.49%
Origination/Maintenance Fee	None
Prepayment Penalty/Termination Fee	None
Additional Fees	None

Category	Terms
Loan Amount	$10,000 and up
Repayment Term	Four to six years
Repayment Schedule	Monthly
Collateral	Vehicle titled in the business’s name
Personal Guarantee	Required
Funding Speed	One to three days

Category	Requirement
Vehicle Age Limit	Up to 5 years old
Mileage Limit	Up to 75,000 miles
Qualified Vehicle Sellers	Dealerships or private parties with a free-and-clear title
Credit Score	No specific minimum
Annual Revenue	No annual revenue requirement
Time in Business	No minimum time in business requirement

Bank of America is the best overall choice for a business auto loan due to its low starting annual percentage rate (APR), lack of funding restrictions, and easy-to-meet qualifications. You can finance a vehicle with up to 75,000 miles that’s up to five years old and have funding in one to three days. The only drawback is that older vehicles or higher-mileage vehicles may not qualify. Borrowers looking at higher mileage vehicles should consider Wells Fargo or Crest Capital for business auto financing. You can visit Bank of America’s website or stop into a branch location to get the application process started.

Wells Fargo

Category	Rates/Fees
Starting APR	As low as 6.25%
Origination/Maintenance Fee	None
Prepayment Penalty/Termination Fee	None
Additional Fees	$150 documentation fee

Category	Terms
Loan Amount	$10,000 to $100,000
Repayment Term	Up to 84 months
Repayment Schedule	Monthly
Collateral	Vehicle titled in the business’s name
Personal Guarantee	Required
Funding Speed	Two or five business days

Category	Requirement
Vehicle Age Limit	Up to 10 years old
Mileage Limit	No set restrictions
Qualified Vehicle Sellers	Dealerships or private parties with a free-and-clear title
Credit Score	No specific minimum
Annual Revenue	No annual revenue requirement
Time in Business	No minimum time in business requirement

Wells Fargo is another excellent choice for a traditional lender providing business auto loans. The starting rates are a little higher than Bank of America, and the $100,000 loan maximum might not be enough to meet every business’ need. Otherwise, the terms and qualifications are borrower-friendly. You can visit the Wells Fargo website or stop into a branch to apply for business auto financing.

Crest Capital

Category	Rates/Fees
Average APR	5.5% to 9.5%
Origination/Maintenance Fee	First month down payment and $275 administrative fee
Prepayment Penalty/Termination Fee	None
Additional Fees	None

Category	Terms
Loan Amount	Up to $1 million—less documentation if amount is less than $250,000
Repayment Term	24 to 72 months
Repayment Schedule	Monthly
Collateral	Vehicle titled in the business’s name
Personal Guarantee	Required
Funding Speed	As soon as 4 hours for less than $250,000

Category	Requirement
Vehicle Age Limit	No age specified
Mileage Limit	Any mileage
Qualified Vehicle Sellers	Dealerships or private parties with a free-and-clear title
Credit Score	At least 650
Annual Revenue	No annual revenue requirement
Time in Business	At least two years

Crest Capital is an excellent choice for businesses looking for an online lender with terms similar to a traditional lender. Crest Capital promises funding in as soon as four hours for loan amounts of less than $250,000. However, additional documentation is required for loans of more than $250,000, which slows down the application process.

Crest Capital’s requirements are a little more stringent than the first two lenders on our list, with the lender listing a minimum credit score and time in business requirement. To apply for business auto financing with Crest Capital, visit its website.

U.S. Bank

Category	Rates/Fees
Expected APR	4.49% to 11% based on a 60-month term
Origination/Maintenance Fee	None
Prepayment Penalty/Termination Fee	None
Additional Fees	None

Category	Terms
Loan Amount	Up to $250,000
Repayment Term	Up to 84 months
Repayment Schedule	Monthly
Collateral	Vehicle titled in the business’s name
Personal Guarantee	Required
Funding Speed	Up to 1 week

Category	Requirement
Vehicle Age Limit	Up to 10 years old
Mileage Limit	No set restriction
Qualified Vehicle Sellers	Dealerships or private parties with a free-and-clear title
Credit Score	At least 680
Annual Revenue	No annual revenue requirement
Time in Business	At least two years

For businesses located in the Midwest and western parts of the United States, U.S. Bank is an excellent choice for a traditional lender. You can get financing of up to $250,000 with up to 84 months to repay the loan. The factors that push U.S. Bank down the list are the regional nature of the bank combined with higher credit score and time-in-business requirements than other lenders on this list. To apply for a loan with U.S. Bank, visit its website or stop into a bank branch.

PNC Bank

Category	Rates/Fees
Expected APR	4.55% to 15%
Origination/Maintenance Fee	None
Prepayment Penalty/Termination Fee	1% for each remaining year on the loan
Additional Fees	None

Category	Terms
Loan Amount	$10,000 to $250,000
Repayment Term	Up to 72 months
Repayment Schedule	Monthly
Collateral	Vehicle titled in the business’s name
Personal Guarantee	Required
Funding Speed	Up to one week

Category	Requirement
Vehicle Age Limit	No set restrictions
Mileage Limit	No set restrictions
Qualified Vehicle Sellers	Dealerships or private parties with a free-and-clear title
Credit Score	At least 670
Annual Revenue	No annual revenue requirement
Time in Business	At least three years

If your business is located on the East Coast, PNC Bank is a good choice for business auto financing. Its terms are very similar to U.S. Bank’s terms. You can borrow up to $250,000 for up to 72 months. However, PNC Bank does have some of the most stringent time-in-business requirements, as your business must be operating for at least three years to qualify. Bank of America, Wells Fargo, and South End Capital are lenders on this list that have no minimum time-in-business requirements. To apply for business auto financing with PNC Bank, stop by a bank branch or click on its website.

Celtic Bank

Category	Rates/Fees
Interest Rates	As low as prime plus 2.75%
Origination/Maintenance Fee	0.5% to 3.5%
Prepayment Penalty/Termination Fee	None
Additional Fees	None

Category	Terms
Loan Amount	Up to $5 million
Repayment Term	Up to 25 years
Repayment Schedule	Monthly
Collateral	Vehicle titled in the business’s name
Personal Guarantee	Required
Funding Speed	30 to 90 days
Loan to Value (LTV)	Up to 90%

Category	Requirement
Vehicle Age Limit	Not specified
Mileage Limit	Not specified
Qualified Vehicle Sellers	Dealerships
Credit Score	At least 650
Annual Revenue	At least $100,000
Time in Business	At least two years

Celtic Bank works with the Small Business Administration (SBA) to provide loans for fleet purchases. The SBA provides a partial guarantee for Celtic Bank business loans. This allows for very low rates on large loans. It offers the largest loans on our list, at up to $5 million. However, because Celtic Bank works with the SBA and offers large loan amounts, more strict qualification and documentation is required. For more information on this financing option, check out Celtic Bank’s website.

National Funding

Category	Rates/Fees
Estimated APR	10% to 136%
Origination/Maintenance Fee	2%
Prepayment Penalty/Termination Fee	None
Additional Fees	None

Category	Terms
Loan Amount	Up to $500,000
Repayment Term	Four months to five years
Repayment Schedule	Daily, weekly, and monthly
Collateral	None
Personal Guarantee	Required
Funding Speed	24 hours

Category	Requirement
Vehicle Age Limit	Not specified
Mileage Limit	Not specified
Qualified Vehicle Sellers	Not specified
Credit Score	At least 600
Annual Revenue	At least $150,000
Time in Business	At least 6 months

For business owners with bad credit, National Funding is a good choice for business auto financing. Interest rates on these loans are higher, so borrowers with strong credit profiles should shop around for the best rates. You can borrow up to $500,000 for up to five years. Businesses must be in operation for at least six months and show an annual revenue of at least $250,000. Visit National Funding’s website to apply for business auto financing.

South End Capital

Category	Rates/Fees
Starting APR	4% and up
Origination/Maintenance Fee	$399 to $599 origination fees
Prepayment Penalty/Termination Fee	Various options
Additional Fees	None

Category	Terms
Loan Amount	$10,000 to $5 million
Repayment Term	Up to 60 months
Repayment Schedule	Various options including monthly, seasonal, semi-annual, and delayed
Collateral	Vehicle titled in the business’s name
Personal Guarantee	Required
Funding Speed	Within 24 hours

Category	Requirement
Vehicle Age Limit	No set limit
Mileage Limit	No set limit
Qualified Vehicle Sellers	Dealer, vendor, and private party allowed
Credit Score	At least 625
Annual Revenue	No set minimum
Time in Business	No minimum (startup financing considered)

For businesses looking for auto financing that might fall into the equipment category, South End Capital is an excellent choice. It’s also a good choice for lower credit borrowers as the minimum credit score needed to qualify is 625. Qualified borrowers can borrow up to $5 million for up to 60 months. There are a variety of repayment schedules available.

It should be noted that the origination fees range between $399 and $599, which are higher than those of some lenders on this list. However, there are no minimum time-in-business requirements, which makes it a good choice for startups. Stop by South End Capital’s website to apply for equipment financing.

How We Evaluated Business Auto Loan Providers

When comparing the best business auto loan providers, we analyzed several factors to find the lenders that provided the best terms and services.

The criteria we used to evaluate the best business auto loans were:

Rates and fees: Collateral for the loan is the vehicle being purchased—lower interest rates than other types of business financing
Loan amounts: The total amount that can be borrowed to purchase the vehicle
Repayment terms: How often payments will be due and the maximum repayment term
Qualification requirements: What credit score, time in business, and annual revenue requirements each company has
Vehicle restrictions: The age and mileage limits put in place by each lender
Speed of funding: How quickly the loan will be approved and how long it’ll take to receive funds

Bottom Line

Business auto financing provides companies with affordable financing for individual vehicles, fleets of vehicles, and even equipment financing. Each lender on this list has different qualifications and terms, so you should compare rates and terms from multiple lenders before deciding where to apply for financing.