Raising capital for any small business can be a challenge. While some businesses are able to find equity investment from an angel investor or venture capitalist, most entrepreneurs raising capital for small business rely on borrowed money to fuel growth or fund other business initiatives.
Fortunately, there are more options available today for small business owners looking for a small business loan than ever before. To find the right loan for your business, you need to honestly evaluate your situation and be willing to look in different places than you might have 10 years ago.
Using A Business Loan for Raising Capital for Small Business
It can be difficult for small businesses to raise capital—particularly from traditional sources of financing like the local bank. It can feel nearly impossible to secure a bank loan with a personal credit score below 680, and other traditional sources of small business financing like the SBA have a minimum threshold for personal credit of 650. Nevertheless, there is financing available online from lenders that are willing to work with business owners with imperfect personal credit histories—provided there are other business metrics that demonstrate you have a healthy business.
Is Your Personal Credit Score the Best Way to Evaluate the Health of Your Business?
Your personal credit history is one way many lenders evaluate your business’ creditworthiness, but we don’t believe it’s the best, or only way. At OnDeck, we look at your personal credit score and your business credit profile along with dozens of other data points to evaluate the health of your business. Daily, weekly, and monthly cash flow, annual revenue, and other data points can come into play. We want to lend to healthy businesses, which sometimes might include a business owner with a less-than-perfect personal credit score. Looking at you and your business this way allows us to say “Yes” a lot more than they do at the bank—and, since we opened our doors in 2007, it’s helped us deliver more than $8 billion to small business owners just like you.
Four Reasons to Consider a Small Business Loan from OnDeck
- We’ve already delivered over $8 billion in funds to other small businesses like yours
- We can get you an answer on your loan application quickly—often within the hour
- OnDeck is a publicly traded company with a Better Business Bureau rating of A+
- We make loans from $5,000 to $500,000
We’ve already delivered over $8 billion in funds to other small businesses like yours
We can get you an answer on your loan application quickly
OnDeck is a publicly traded company with a Better Business Bureau rating of A+
Ready to unlock opportunity?
We make loans from $5,000 to $500,000
Get your funds in three easy steps
Minimum qualifications for approval
We’ll evaluate your business criteria to help find the loan that’s right for your business.
- Time in Business
At least 1 year in business
- Personal Credit Score
- Annual Revenue