Best No Credit Check Business Loans

Get Started With Square Capital

Total Rating	4.3
Rates & Fees3.8
Services3.4
Eligibility Requirements4.9
Application4.8
Sales & Advertising Transparency4.8
Customer Service4.2
User Reviews4.8

Pros

Good borrowing rates
Relaxed borrower requirements
Fast & convenient
No collateral required for loans under $75,000

Cons

Only available to Square sellers
Merchants can’t apply for offers; they can only receive them

Why We Chose Square Loans For Square Merchants

Does your business use Square POS to sell? You might be eligible for Square Loans (previously Square Capital) financing. These short-term loans are similar to merchant cash advances, as the Square loan is repaid automatically as a percentage of your daily credit card sales. This loan is so easy to access that you don't even need to apply for it---Square will reach out to you with an offer if you are eligible.

Square Loans Rates & Fees

Square Loans small business loans range from $300 to $250,000 and have no set term but a maximum of 18 months to repay in full. Factor rates range from approximately 1.10-1.16, which is pretty competitive for this type of financing.

Square Loans Eligibility Requirements

Square does not run your credit when determining your eligibility for a loan; instead, the company considers the health of your Square account, including whether you have a good mix of new and returning customers and you process at least $10,000 a year with Square.

You can’t apply for a Square loan, but you can check your Square seller dashboard for loan offers. Square continually checks merchants’ eligibility for loans, so the longer you sell with Square, the higher the likelihood that the company will eventually extend you an offer.

Square Loans Is Best For Businesses That:

Process at least $10K/year with Square
Have consistent daily credit card sales
Need a small, fast loan to smooth out cashflow

Revenued: Best For Cash Advances

Revenued

Get Started With Revenued

Total Rating	3.7
Rates & Fees2.5
Services3.4
Eligibility Requirements4.0
Application4.8
Sales & Advertising Transparency3.8
Customer Service4.3
User Reviews4.9

Pros

3% cash back
No annual fee
Access to cash advances

Cons

Doesn’t report to credit bureaus to help you build credit
Doesn’t let you carry a balance
Not available to startups

Why Revenued Works Well For Cash Advances

Revenued is a credit card for businesses with bad credit but strong revenue. Revenued also offers 3% cash back and comes with a $500 welcome offer (if you charge $5,000 in the first 3 months of opening your card). Additionally, you can access a same-day cash advance from your Revenued credit line. While many cash advances are accessible to merchants with bad credit, this one is unique in that it doesn't require any kind of credit check at all.

Revenued Eligibility Requirements

Revenued does have some basic eligibility requirements, but most businesses will qualify. Revenued requires that applicants have business revenues of $15K/month. You also need six months in business and to maintain an average daily business bank account balance of at least $1K.

Revenued Rates & Fees

Revenued does not charge an annual fee, nor does it charge interest, as you will need to repay your balance every month in full. If you utilize the cash advance feature, you can expect to repay the advance with a factor rate between 1.1 and 1.5.

Revenued Is Best For Businesses That:

Have bad credit
Have strong, consistent credit card sales (at least $15K/month)
Need a business credit card and/or cash advance

Shopify Capital: Best For Shopify Merchants

Shopify Capital

Get Started With Shopify Capital

Total Rating	3.9
Rates & Fees3.9
Services4.2
Eligibility Requirements4.7
Application3.3
Sales & Advertising Transparency3.4
Customer Service4.0
User Reviews2.7

Pros

Wide range of borrowing amounts
Competitive rates
Relaxed borrower requirements
No repayment deadline for cash advances

Cons

Only available to Shopify sellers in certain states
No way to apply; Shopify will reach out to qualified candidates

Why We Chose Shopify Capital For Shopify Merchants

Through Shopify Capital, eligible businesses that sell using Shopify eCommerce and/or Shopify POS can take out a cash advance or loan ranging anywhere from $200 to $5,000,000, depending on your sales volume and your business's risk profile. With a wide range of loan amounts and relaxed borrower requirements, Shopify Capital is perfect for Shopify merchants at any stage of growth, especially if you have bad credit and can't qualify for other types of loans.

Shopify Capital Rates & Fees

A Shopify Capital loan is repaid as a percentage of your daily sales, with 12 months to repay the sum in total. With a Shopify cash advance, there is no set term for repayment as long as you pay your daily remittance amount (which is deducted from your Shopify account automatically). Your Shopify Capital factor rate will either be 1.1 or 1.13.

Shopify Capital Eligibility Requirements

There is no credit check or requirements as to revenue or time in business. You do need to have been selling with Shopify for at least 90 days and demonstrate consistent sales.

You can’t apply for Shopify Capital financing, however. Shopify monitors its users’ accounts and then extends offers to those it deems eligible for financing.

Shopify Capital Is Best For Businesses That:

Run a Shopify Store with strong, consistent sales
Need a fast, easy loan for marketing, inventory, payroll, etc.
Don’t qualify for a traditional business loan

PayPal Working Capital: Best For PayPal Sellers

PayPal Working Capital

Get Started With PayPal Working Capital

Total Rating	3.9
Rates & Fees4.4
Services2.7
Eligibility Requirements4.6
Application4.0
Sales & Advertising Transparency4.4
Customer Service3.1
User Reviews3.6

Pros

Simple application process
Relaxed borrower requirements
Same day funding — approved loans funded in minutes
No personal guarantee

Cons

Only available to PayPal sellers
The borrowing rate can be high

Why We Chose PayPal Working Capital For PayPal Sellers

Many businesses use PayPal to accept payments on their website or in person, using a POS such as PayPal Zettle. If this describes your business, you may be able to apply for a PayPal Working Capital short-term loan. Ideal for PayPal sellers, these no credit check business loans have a quick and simple application, and best of all, this is a same-day business loan: approved loans can get funded within minutes of applying.

PayPal Working Capital Rates & Fees

PayPal Working Capital Loans are repaid using a fixed fee structure, as a percentage of your daily PayPal sales, with a maximum term of 18 months. PayPal will loan you a maximum of 35% of your annual PayPal sales, capped at $150K for your first loan and up to $250K for loans after that. Factor rates span a wide range, from approximately 1.01-1.58.

PayPal Working Capital Eligibility Requirements

To qualify, you need to have a PayPal Business or Premier account for 90 days or more and process at least $15,000 in annual PayPal sales if you have a Business PayPal account (or $20,000 with a Premier account).

Applying for a PayPal Working Capital loan does not require a credit check. Similar to a Square Capital loan, PayPal will primarily consider your PayPal sales volume and account standing.

PayPal Working Capital Is Best For Businesses That:

Have a PayPal Business or Premier account
Process at least $15K or $20K/year using PayPal
Need a same-day business loan

altLINE: Best For Invoice Factoring

altLINE

Total Rating	3.8
Rates & Fees3.8
Services3.5
Eligibility Requirements4.5
Application4.3
Sales & Advertising Transparency3.4
Customer Service3.0
User Reviews4.4

Pros

Available to qualified startups
High factoring amounts
Competitive factoring rates

Cons

Requires a long-term contract

Why We Chose altLINE For Invoice Factoring

B2B businesses that need to resolve cash flow issues as a result of unpaid invoices will enjoy with altLINE has to offer. This factoring company allows businesses to sell their unpaid invoices and receive as much as 90% of the value of the invoices upfront.

altLINE doesn't rely on your credit score for approval but instead looks at the creditworthiness of your customers. With no time in business requirements, this is a great option for startup businesses that don't meet the requirements of traditional lenders. Through this service, businesses can receive up to $5 million.

altLINE Rates & Fees

altLINE provides $30,000 to $5 million to eligible businesses. The advance rate is 75% to 90%, and discount rates are 0.5% to 5% (the upper limit includes late fees). Expedited funding tacks on an additional 1% fee.

altLINE Eligibility Requirements

To be eligible for altLINE invoice factoring, you must operate a B2B business. You must also have at least $15,000 in invoices.

A one-year contract is required, although you can choose which invoices you factor with altLINE. However, altLINE is required to be your exclusive invoice factor during this contract term.

You must also not have filed for bankruptcy within the last 12 months, not have multiple bankruptcies on your credit report, and no felonies. Additionally, invoices can’t have terms longer than 90 days. Some industries including construction, healthcare, and transportation are ineligible for funding through altLINE.

altLINE Is Best For Businesses That:

Are B2B businesses
Want to get access to capital using unpaid invoices
Have at least $15K/month in invoices and are willing to enter a long-term contract

Get Started With altLINE

Kiva U.S.: Best For Startups

Kiva U.S.

Get Started With Kiva U.S.

Total Rating	4.2
Rates & Fees5.0
Services2.9
Eligibility Requirements4.9
Application3.5
Sales & Advertising Transparency5.0
Customer Service4.1
User Reviews4.4

Pros

No interest or other fees
Long repayment term
Monthly repayments
No business qualifications needed

Cons

Low borrowing amounts
Must solicit lenders from personal network
Not available in Nevada or North Dakota

Why We Chose Kiva For Startups

Through Kiva crowdfunded business microloans, you can take out a no-interest small business microloan. Kiva works well for startups that aren't ready for business loans yet but could benefit from a small amount of capital and are already good at social media. Kiva does not require a credit check. Instead, you just need to demonstrate your social capital by collecting some donations from your personal networks online.

Kiva U.S. Rates & Fees

Kiva loans do not have any interest or other fees. You simply need to make your loan payment every month for a period of 6 to 36 months, depending on your loan terms.

Kiva U.S. Eligibility Requirements

Kiva does not have any credit score, business revenue, or time-in-business requirements. You do need to have a PayPal account, not be a registered sex offender, and meet a few other basic requirements. You’ll also need to rally between 10 and 25 friends, family members, and colleagues to lend a small amount of money to your fund before your campaign will go live to the public.

Note that the maximum amount you can borrow is based on the age of your business. For business ideas, you can only borrow $1,000. For businesses up to three months old, you can raise up to $5,000. If your business is in operation and bringing in revenue, you can receive the maximum amount of $15,000.

Kiva Is Best For Businesses That:

Need a small amount of capital to start or maintain a business
Are comfortable soliciting loan backers from their personal networks online
Are good at social media and/or have experience with crowdfunding

Business Loan & Funding Products Review Methodology

We spend hours researching and evaluating each business loan and funding product that we review at Merchant Maverick, placing special emphasis on key characteristics to generate our ratings.

Weighted Rating Breakdown

Rates & Fees 20%

Services 20%

Eligibility Requirements 20%

Application 15%

Sales & Advertising Transparency 10%

Customer Service 10%

User Reviews 5%

When rating lenders and funding providers, we use a 31-point rubric that looks at rates and fees, services, eligibility requirements, application, sales and advertising transparency, customer service, and user reviews. We weigh each section differently to calculate the total star rating. This rubric is applied to traditional term loans, as well as short-term loans, start-up loans, lines of credit, online lending products, merchant cash advances, and equipment financing products.

Rates & Fees: 20% of the total star rating
Services: 20% of the total star rating
Eligibility Requirements: 20% of the total star rating
Application: 15% of the total star rating
Sales & Advertising Transparency: 10% of the total star rating
Customer Support: 5% of the total star rating
User Reviews: 5% of the total star rating

Each section is further broken down into granular, weighted subsections, in which we examine specific attributes like terms lengths, conditions of repayment, credit score and revenue requirements, ease of application, length of time to funding, the ethics involved in promoting the lending product, customer support, and the overall reputation of the lender or funding provider.

Read more about how we rate small business lenders.

Pros & Cons Of No Credit Check Business Loans

Pros

Easy to qualify with bad credit or no credit
No specific collateral required (usually)
May help you build credit (if lender reports payments to credit bureau)
Startups may be eligible
No ding to your credit score

Cons

May have high revenue requirements
May require blanket lien and/or personal guarantee
Not all lenders report to credit bureaus
Usually comes with high interest rates & fees
Usually has short repayment schedule
May have low max borrowing amount
May have other special requirements (such as using a specific processing service)

Before applying for no credit check business loans, be aware that these loans tend to have high interest rates, short repayment terms, and harsh collateral requirements — such as having to sign a blanket lien and/or a personal guarantee.

Remember, your goal is to find an affordable loan that gives the best return on investment, so you can launch or build your business without taking on unnecessary debt.

Hard VS Soft Credit Inquiries

It’s important to know the difference between hard and soft credit checks when applying for loans. While none of the six lenders discussed in this post require a soft or a hard credit inquiry, most small business lenders do both a soft and a hard credit inquiry at different points in the loan approval process.

Soft Credit Inquiries

A soft credit inquiry — or soft credit pull — does not affect your credit. Soft credit pulls are used to verify your identity and give lenders an overall picture of your creditworthiness. A soft credit check is usually performed during the prequalification stage to ensure you meet the lender’s basic requirements. From this check, the lender can see your credit score, but the inquiry won’t ding your score or show up on your credit report.

Hard Credit Inquiries

A hard credit inquiry — or hard credit pull — will affect your credit. It will also show up on your credit report. This credit pull gives lenders a more specific, detailed view of your credit history. Lenders can use this information to determine your loan approval, interest rates and/or fees, and if collateral or a cosigner is required. A hard credit pull is usually only performed during underwriting after you accept a loan offer.

Because a hard inquiry is typically only performed during the final underwriting stage before funding, you can apply and be pre-approved for multiple online loans without ever incurring a hard credit check. Usually, online lenders will make it clear that applying will not affect your credit score, meaning they only do a soft credit pull.

Impact On Your Credit Report

You don’t need to avoid applying to loans that require soft credit checks because you’re afraid of it hurting your credit score or showing up on your credit report. Even if you shop around and are pre-approved for multiple loans, you will typically only have to submit to one hard credit check during the final approval stage for whichever loan offer you accept. Just make sure that the lender specifies that they won’t do a hard pull on your credit when you apply.

Alternatives To Small Business Loans With No Credit Check

You may not be able to get a loan — for example, if you don’t meet lenders’ qualifications because of time-in-business, business revenue, or other requirements. Other than business loans, here are a few financing options for businesses that have bad credit or don’t want to add a hard pull to their credit report.

Crowdfunding

With a business crowdfunding campaign, you can fund your startup by pitching to investors online. How it works is business owners (often startups) offer investors a perk or incentive for investing. In many cases, equity is provided in exchange for an investment. For other businesses, offering some kind of reward — such as a free or reduced-price upcoming product — is enough to entice investors.

One of the best things about crowdfunding is that requirements are much different from traditional business loans. Most crowdfunding platforms do not require a set time in business, a personal or business credit score, or even an annual business revenue to launch a campaign.

Equipment Financing

With equipment financing, you can receive the money you need to purchase long-term equipment, from heavy machinery to company vehicles, even if you have bad credit. Usually, equipment financing companies do require a credit check, but often you can still qualify for an equipment loan with bad credit. Since the lender can repossess the equipment if you default, your credit score is not as large of a factor as it is in a traditional business loan.

You might also be able to get an equipment lease with bad credit or no hard credit check at all. Learn about the differences between equipment leases vs. equipment loans.

Business Grants

A business grant is like a loan that you do not have to pay back. Even better, business grants usually do not have any credit score, time in business, or revenue requirements. Though competition for these funds can be pretty stiff, it’s definitely worth looking into to see if there are any grants you may be eligible for.

Business grants may be offered by government agencies, private companies, business associations, and other organizations. The best place to start looking is usually within your local business community since most small business grants are regional. There are also business grants for different business owner demographics, such as business grants for women.

The Bottom Line On No Credit Check Loans For Business

It’s important to note that the better your credit is, the more loan options will become available to you. If bad credit is what’s holding you back from applying for a traditional business loan, the first thing you should do is try improving your credit score.

Once you can at least get your credit score to the 500s, you might graduate from no-credit-check loans and qualify for a “bad credit” business loan, even as a startup. Explore our picks for the best small business loans for startups with bad credit.

FAQs: Best No Credit Check Business Loans

Do banks offer no credit check business loans?

Banks have pretty strict borrower requirements for business loans, usually requiring a credit score of at least 700 and two years in business. It’s not possible to get a business loan through a bank without a credit check.

How do I check my credit score?

Use a free credit score site, such as Credit Karma or WalletHub. You will have to sign up and enter your personal information, including your full legal name and SSN, but the process should be quick, easy, and free.

Can you get a business loan with no credit?

Yes, some alternative lenders, such as Upstart, will extend you a loan even if you don’t have sufficient credit to generate a credit score. These lenders will typically look at other aspects of your business health or income, rather than your credit history.

Can I get a business loan with a bad credit score?

Yes, some lenders specialize in business loans for bad credit, and certain lenders do not check your credit at all.

Bio
Twitter
LinkedIn
Latest Posts

Shannon Vissers

Lead Staff Writer at Merchant Maverick

Shannon has been writing for Merchant Maverick about small business software and financing since 2015. She started writing professionally about business topics in 2005. Shannon has been featured in the Washington Post, Reader's Digest, US News, MSN, Yahoo Finance, Business Insider, and other publications. She has a bachelor's degree in English from San Diego State University and currently resides in San Diego, California.

@ShannonVissers

View Shannon Vissers's professional experience on LinkedIn.

Latest posts by Shannon Vissers (see all)

Payment Nerds Review - December 11, 2024
Wave Payments Review - October 31, 2024
U.S. Bank Merchant Services Review - October 1, 2024
Tap To Pay: A Guide For Merchants - August 29, 2024
Quiz: Find Your Perfect Credit Card Processing Match - August 26, 2024

Show less

1. Square Capital

❮ ❯

Offers: Business loans up to $250K
Revenue Requirements: $10K/yearly
Factor Rate: 1.10-1.16

2. Revenued

❮ ❯

Offers: Business credit card and cash advances
Revenue Requirements: $15K/month
Factor Rate: 1.1-1.5

3. Shopify Capital

❮ ❯

Offers: Business loans up to $5 million
Revenue Requirements: N/A
Factor Rate: 1.1-1.13

4. PayPal Working Capital

❮ ❯

Offers: Business loans up to $250K
Revenue requirements: $15K/yearly
Factor rate: 1.01-1.58

5. altLINE

❮ ❯

Offers: Invoice factoring up to $5M
Revenue requirements: $15K/month in factored invoices
Factor rate: 0.5% to 5%

6. Kiva U.S.

❮ ❯

Offers: Business loans up to $15K
Revenue Requirements: N/A
Interest Rate: N/A