6 Best Trucking Business Loans for 2023
Tricia has nearly two decades of experience in commercial and federal government lending. Her expertise is highlighted throughout small business loan content on Fit Small Business.
Andrew has over a decade of experience in finance and mortgage lending. He shares his expertise in Fit Small Business’s financing content.
This article is part of a larger series on Business Financing.
The best trucking business loans should have an easy application process where businesses can get competitive loan terms. This should include rates, fees, and a variety of payment schedules. These providers should also offer flexible qualification requirements for startup businesses or borrowers with bad credit.
Here are the six best trucking business loans for 2023:
- Smarter Finance USA: Best overall for flexible qualification requirements
- Truck Lenders USA: Best for well-qualified businesses
- Commercial Fleet Financing: Best for fast approval and funding speed
- Top Mark Funding: Best for established businesses
- SBG Funding: Best for low credit scores
- National Business Capital: Best for large network of lenders
Best Trucking Business Loans at a Glance
Maximum Loan Amount | Estimated APR | Maximum Loan Term | Minimum Credit Score | Annual Revenue Requirement | Minimum Time in Business | |
|---|---|---|---|---|---|---|
 | $1 million | 7% to 20% | 60 months | None | None | None |
 | $150,000 | 6.9% to 11.9% | 60 months | 680 | Varies | None |
 | $1 million | 8% and up | 72 months | 640 | None | None |
 | $1 million | 4.9% and up | 72 months | 650 | None | 3 years |
 | $5 million | 10% and up | 10 years | 500 | $120,000 | 6 months |
 | $5 million | 6% and up | 60 months | None* | $120,000* | None* |
*No minimum credit score requirement with six months’ time in business and $120,000 in annual revenue. Business revenue requirement is waived with a credit score of 650 or higher. Credit scores below 650 require at least six months’ time in business.
Smarter Finance USA: Best Overall for Flexible Qualification Requirements
Smarter Finance is our pick as the best overall provider because, in addition to having flexible qualification requirements, it can offer competitive loan terms and low rates. It provides a variety of equipment financing that can be used to purchase trucks and other vehicles, such as semi-trucks, box trucks, and tow trucks. It also works with businesses in various industries, including healthcare, construction, and foodservice.
Qualification requirements are easy as there are no minimum requirements for credit score, time in business, or revenue. It has a network of nearly 40 lenders to find you the best loan. Interest rates start as low as 7%; however, applications are reviewed on a case-by-case basis, and borrowers should know that the best rates typically require a combination of excellent credit and a track record of strong cash flow.
If approved, you could get up to $1 million in financing for up to five years. Its loans carry a $399 documentation fee, and depending on your qualifications, it’s possible to have no down payment requirement.
Applications can be completed in 5 minutes. Once this is done, it can take one to two days to get approved, and an additional one to four days for funds to be disbursed. To apply, visit the Smarter Finance website.
Truck Lenders USA: Best for Well-qualified Businesses
Like many providers, Truck Lenders USA reviews applications on a case-by-case basis. While it can consider loans for newer businesses or borrowers with bad credit, you’ll be able to get the most flexible loan terms if you’re well-qualified.
As an example, if you have good credit with a credit score above 715, you have a much higher chance of getting approved with no down payment and time in business requirement. You’ll also be more likely to get approved for its lowest starting rate of 6.9%. Meanwhile, if you have a startup business with poor to fair credit, you may need to have a large down payment to get approved.
Truck Lenders USA can work with first-time buyers. However, most of its clients are those looking to expand an existing fleet of trucks. Loan amounts typically range from $20,000 to $150,000, with monthly payments of up to five years. If you’re looking to pay the loan off early, you’ll need to have the loan for at least two years to avoid a prepayment penalty.
This provider offers a quick application process that can be completed in less than 5 minutes. Depending on when you apply during the day, you could get a response back within 4 to 5 hours. If approved, funding is typically completed within three to five days. To learn more or to apply, visit the Truck Lenders USA website.
Commercial Fleet Financing: Best for Fast Approval & Funding Speed
Commercial Fleet Financing is an excellent choice to consider if you need funding fast. From start to finish, it’s possible to get funding within one to two days. To apply, you’ll just need to complete a one-page application. Approvals can be issued as soon as 2 hours, with funding to occur within 24 hours.
The provider offers financing for different types of vehicles, including semi-trucks, trailers, tow trucks, and box trucks. Financing is also available for fleets and construction equipment.
Commercial Fleet Financing is a broker, so it partners with a network of lenders to find you the best type of loan for your needs. Because of this, loan terms and qualification requirements, such as time in business, and revenue requirements can vary. In general, you’ll need a credit score of 640 and a down payment from 0% to 20%.
You can get a loan amount from $10,000 to $1 million, and repayments can be made monthly. Rates will vary based on the lender you’re matched up with and your business qualifications but usually start at around 8%. If you’d like to learn more about its programs or want to submit an application, visit the Commercial Fleet Financing website.
Top Mark Funding: Best for Established Businesses
Top Mark Funding prefers to work with those who have at least three years’ time in business with a commercial driver’s license (CDL). That’s more than any other provider on our list. However, if you meet that requirement and are otherwise well-qualified, you could get some of the most competitive rates available.
Rates start at around 4.9% and up for highly qualified borrowers. To improve your chances of getting this rate, you should have an excellent credit history, have a credit score above 740, and be able to show a track record of strong business finances. You can improve your chances of getting a low rate further with a down payment of at least 10%.
If you have a startup, have only several months’ time in business, or don’t have excellent credit, you can still get a loan, although you should expect to get a higher rate. It’s possible to get approved with a minimum credit score of 650 and a 0% down payment. Other requirements include purchasing a truck that is less than 10 years old and has fewer than 700,000 miles on the odometer.
Financing options are available for semi-trucks, trailers, and commercial trucks and vehicles. The provider also offers a streamlined application process for loan amounts below $250,000. Loans exceeding this amount can require additional paperwork and may take additional time to review and fund. Visit the Top Mark Funding website to apply.
SBG Funding: Best for Low Credit Scores
SBG Funding has a minimum credit score of 500. While some providers may have no minimum requirement, SBG Funding is more likely to get you approved.
With an approval rate of 85%, you have a good chance of being presented with some financing options. Other requirements to qualify include at least six months’ time in business and annual revenue of $120,000. While it is possible to get approved with no down payment, borrowers with low credit scores may need to have 10% to 20% as a condition of loan approval.
Funding from this provider’s equipment financing product can be used to expand your fleet, in addition to covering other business equipment expenses. You can apply for a loan as high as $5 million, with monthly repayments for as long as 10 years.
As part of the application process, you’ll need to provide the most recent four months of bank statements, a copy of your driver’s license, a canceled check to verify your business account information, and an invoice or other documentation for the truck you would like to purchase. You can apply on the SBG Funding website in about 10 minutes. Decisions are typically made within 48 hours, with funding as fast as 48 hours.
National Business Capital: Best for Large Network of Lenders
National Business Capital has a network of more than 75 lenders, so it can work with you to offer multiple loan options, which can also improve your chances of getting approved. It offers equipment financing, and funds can be used to purchase vehicles and other business equipment. You can get up to $5 million in funding, with monthly payments for up to five years.
The minimum requirements to qualify vary based on a combination of your credit score, time in business, and revenue. Financing options for 0% down payment are available, with rates that typically start at around 6%. However, note that the rate and loan terms you get will depend on your qualifications. Borrowers without good credit or a large down payment may be able to get a loan but not necessarily at the lowest advertised rates.
In addition to equipment financing, National Business Capital also offers small business loans, business lines of credit, SBA loans, merchant cash advances, and more.
You can start the application process on the National Business Capital website. You’ll need to spend a few minutes completing a one-page application, after which you’ll be paired with a personal advisor to understand your business needs. The advisor will then work with you to find a loan best suited for your business.
How We Chose the Best Trucking Business Loans
Here are the criteria we considered in selecting the best trucking providers:
- Interest rates and estimated APRs
- Credit score, time in business, and revenue requirements
- Application, approval, and funding speed
- Loan terms
- Loan amount and repayment options
- Amount of documentation required for approval
- Customer reviews
Alternatives To a Trucking Business Loan
If you’re having trouble qualifying for a trucking loan or are looking for more affordable types of financing, here are some alternatives to consider:
- Small Business Administration (SBA) loan: SBA loans can offer low interest rates if you have good credit and a business that’s performing well. However, these loans aren’t quick, as it can take several weeks to get funding.
- Rollover for business startups (ROBS): A ROBS isn’t a loan but is a way to allow tax- and penalty-free access to your retirement accounts. You’ll typically need at least $50,000 to be eligible, but because this isn’t a loan, you won’t have to pay interest charges. A ROBS provider such as Guidant Financial can walk you through the process.
- Small business line of credit: Many business lines of credit have short repayment terms between 12 and 24 months. However, rates are competitive and the best small business line of credit providers can have easy qualification requirements.
Frequently Asked Questions (FAQs)
Is it hard to get a trucking business loan?
It isn’t difficult to get a trucking business loan. Many providers can lend to startup businesses and borrowers with low credit scores. However, only highly qualified businesses can qualify for the lowest advertised rates.
Can I use other loans to finance a truck?
Yes, you can use other types of loans to finance a truck. Some examples include equipment loans, lines of credit, and personal loans for business purposes. However, this can vary among lenders and you should check the loan terms for prohibited uses.
What type of lenders offer trucking business loans?
You can get a trucking business loan from banks, credit unions, and online lenders. Lenders that specialize in truck loans, such as Smarter Finance, are more knowledgeable about the nuances of the industry and may be able to improve your chances of getting a loan at a more competitive rate.
Bottom Line
If you’re looking to get a small business loan for a truck, the providers in this guide can offer low rates and competitive terms. They also offer flexible qualification requirements, so startups and borrowers with low credit scores should still have a good chance of getting approved. Borrowers should be aware, however, that the best advertised rates typically require a business to be highly qualified, and it’s always a good idea to get multiple quotes before deciding on a lender.
