A business loan will help you set up or grow a business, but if you don’t have a loan, it can be difficult to get a good loan. However, there are other options, such as using collateral to secure the loan. In some cases, you may not always be able to get as much money as you want, or you may have to pay higher interest rates. Can I get a business loan with no credit?
Can I get a business loan without credit checks?
Although you can get a business loan without a credit check, keep in mind that options will be limited. These will be traditional business lenders offering low-interest loans always carry out creditworthiness checks before approving the loan.
However, some alternative lenders offer financing options regardless of creditworthiness. These lenders may not take credit into account at all, focusing more on the company’s performance and income.
If you have low creditworthiness or do not want to add multiple queries to your credit report, some lenders make a gentle effort to pre-qualify the loan. A strong pull occurs later. We’ll discuss the differences between hard and soft credit checks later in this article.
PayPal working capital loan (payment process)
PayPal has long been seen as a popular payment processor, but it also offers revolving loans or loans that can be used to finance daily operational expenses, e.g. Payroll, obligations, etc. If you use PayPal as a form of payment, online or in store, a loan for PayPal working capital may be an option.
First American Merchant (Merchant Cash Advance)
Another way to secure a loan without a credit check is Merchant Cash Advance (MCA), and while some financiers require a credit assessment, First American Merchant offers an option for small business owners who currently do not have an advance payment. However, First American Merchant (FAM) offers MCA without a credit check and MCA credit check, so it’s best to contact them by phone to start the application process.
BlueVine (invoicing)
If you are a corporation, not a sole proprietorship, you may be interested in the BlueVine invoicing product that allowed you to use your outstanding invoices. BlueVine carries out a soft credit inquiry, so although it “checks your credit”, it will not be reflected or affect your credit standing.
As a last resort, some companies grant cash advance loans in exchange for a certain percentage of credit card sales. These loans bear interest at high rates, but they can help you if you have no other options.
