Access to funding shouldn’t hold your business back. Whether you need capital for equipment, payroll, inventory, or expansion,

Lending Valley makes it faster and easier to get the money you need, without the long wait times and rigid requirements of traditional banks.

Thankfully, there are more small business loans and small business lending opportunities available today than ever before as well.

Traditional lenders (legacy institutions like banks, credit unions, and the Small Business Administration), as well as nontraditional lending approaches, provide entrepreneurs today almost unlimited access to the cash and capital they need when they need it most.

Financing Your Business – The Basics of Small Business Loans

Think about that for a minute.

Three out of every ten businesses are going to go belly up eventually because they flat out run out of money.

On top of that, 45% of all business owners in the United States do not know that they have a “business credit score”.

Thankfully, small business loans today are more accessible and a lot easier to understand than ever before.

Finding the right loans remains critical, though.

What We Offer

Term Loans

Borrow a fixed amount and repay over time at predictable terms. Best for business growth projects, renovations, or large purchases.

SBA Loans

Government-backed SBA loans provide longer repayment terms and lower rates. Ideal for businesses that qualify, including veteran-owned businesses.

Business Line of Credit

Draw funds when you need them, repay what you use, and keep cash flow steady during slow seasons.

Equipment Financing

Use your business equipment as collateral to access affordable financing.

Invoice Financing

Convert unpaid invoices into immediate cash so you don’t have to wait on slow-paying clients.

Loans Available Even With Bad Credit

If you’ve struggled with financing before, you’re not alone. Many small businesses face challenges getting approved with traditional banks. At Lending Valley, we consider more than just your credit history.

That means you may still qualify for small business loans with bad credit history, giving you the chance to stabilize and grow.

Tools and Support

• Loan calculators: Easily estimate repayment amounts and compare loan options.

• One-on-one guidance: Our team helps you understand which loan type fits your business best.

How We Compare to Banks

Traditional banks like Chase or Truist often require years of operating history, high credit scores, and collateral. We know many small businesses can’t meet those standards, so we built a faster, more flexible process.

• Approvals in 24–48 hours

• Funding up to $5 million

• Flexible qualification criteria

• Available nationwide, including Florida and Ohio

How to Apply for a Small Business Loan

Getting funded with Lending Valley is designed to be simple and fast. Here’s how it works:

1. Apply Online

Fill out a short application form on our website. Tell us about your business, the amount you’re looking for, and how you plan to use the funds.

2. Review & Match

Our team reviews your application and matches you with the best loan option — whether it’s a term loan, SBA loan, line of credit, or invoice financing.

3. Get Approved

Unlike banks that take weeks, we provide decisions within 24–48 hours. Even if you have a bad credit history, we’ll work with you to find a solution.

4. Receive Funds

Once approved, funds are deposited directly into your business account — often within a single business day.

5. Grow Your Business

Use the capital for payroll, equipment, expansion, or to smooth out cash flow. Our flexible terms make repayment straightforward and predictable.

Lending Valley – Small Business Loans FAQ

1. What documents do I need to apply?

We keep documentation simple. Typically, you’ll need a valid ID, recent bank statements, and basic business information. In most cases, no lengthy business plans or extensive paperwork are required.

2. What credit score do I need to qualify?

We don’t rely only on credit scores. Even if you have a bad credit history, you may still qualify based on your business performance and cash flow.

3. How long does the loan approval and funding process take?

Approvals can be made in as little as 24–48 hours, and funds are often deposited the next business day.

4. What are the interest rates and fees?

Rates vary depending on loan type, amount, and business profile. We’re transparent about costs and provide all details upfront before you commit.

5. How much can I borrow?

We fund anywhere from $5,000 up to $5 million, depending on your business needs and eligibility.

6. What loan types are available?

We offer term loans, SBA loans, business lines of credit, equipment financing, invoice financing, and merchant cash advances.

7. Can I get a loan if I have bad credit?

Yes. We look beyond credit scores and focus on your overall business health, so many clients with poor or limited credit histories are approved.

8. Do you offer loans for veterans?

Yes. We proudly support veterans and provide small business loans for veterans with flexible terms.

9. Do I need collateral or a personal guarantee?

Many of our loans are unsecured, meaning no collateral is required. Some products, like equipment financing, may use equipment as security.

10. Is there a minimum time in business required?

Not always. While some loans are better suited for established businesses, we also provide funding options for startups and newer businesses.

11. Are your loans available nationwide?

Yes. Lending Valley serves businesses across the U.S., including Florida, Ohio, and all other states.

12. Do you provide loan calculators?

Yes. We offer small business loan calculators so you can estimate repayment terms before applying.

13. What happens if I can’t repay?

If repayment becomes difficult, we encourage you to contact us early. We work with business owners to explore solutions rather than resorting immediately to collections.

14. How do SBA loans work with Lending Valley?

We connect you with government-backed SBA loans that offer lower rates and longer terms. They can take longer to process, but they’re ideal for many businesses, including startups and veterans.

15. Are there hidden fees?

No. We’re committed to transparent pricing. You’ll always know your repayment terms and fees before signing.

Get a Quote

Get a FREE quote now! All you need to do is provide your details in the application form.

A business line of credit gives small business owners ongoing access to working capital, allowing them to only pay for what they take.

Even though Merchant Cash Advances (MCAs) are regularly advertised as a lending solution, the truth of the matter is that they aren’t technically a loan – at least not in the traditional sense.

 

With an MCA you are instead receiving cash in hand in exchange for a specific percentage of the credit card and debit card sales you process during a daily block of time (usually with an added fee on top).

 

These kinds of funding solutions can be fantastic for entrepreneurs looking for quick access to cash and capital, especially for entrepreneurs that want to gain access to this kind of capital without putting up collateral (even if their credit scores are less than picture-perfect).

 

Quickly Highlighting the Pros and Cons of MCAs

 

Pros

• Almost instant access to the funding that you need
• Simple and straightforward application/approval process
• Do not need picture-perfect credit to be approved, either
• Perfect for all different kinds of businesses, as well as all different kinds of business purposes

 

Cons

• You’ll inevitably pay higher fees with MCAs compared to traditional lending opportunities
• There isn’t quite as much flexibility to bounce from one MCA provider to another
• You’re going to see a daily deduction out of your credit/debit card receipts that will inevitably reduce your cash flow

 

Who is Best Suited to Take Advantage of Merchant Cash Advances?

 

Business owners of all types are (understandably) sensitive about cash flow, looking for ways to improve the amount of money they have coming into their business compared to the amount of money they have going out over a certain block of time.

 

MCA lending opportunities give entrepreneurs an opportunity to improve their cash flow situation (oftentimes significantly) without having to pony up any collateral, without having to have been in business for years and years, and without requiring business owners to have picture-perfect credit, either.

 

Instead, MCA lending opportunities give entrepreneurs access to the quick cash and capital they need to build and grow their businesses and to stabilize their businesses without putting all kinds of obstacles in front of business owners.

 

Businesses that make a significant amount of their revenue through debit card and credit card payments are also going to be prime prospects for these kinds of financial services. Restaurant and retail locations, for example, usually do quite a bit of business with these payment types – payment types that are perfectly suited to merchant cash advances.

 

Understanding the MCA Application Process

 

Unlike traditional lending opportunities the application and approval process for MCA lending opportunities is simplified and streamlined.

 

Thanks to the fact that your MCA is going to be paid back daily basis through a portion of your debit and credit card sales that the majority of MCA organizations out there are only going to be looking at the amount of money you process through these payment methods and little else.

 

Some companies in the industry are going to ask about your credit score, credit history, and bank statements that can be provided – but most are only going to zero in on how much money you take in through plastic every day.

 

On top of this, the overwhelming majority of MCA options are available through online based lenders. This means that the application process can be taken advantage of and move through at any point in time, day or night, 24/7. Most organizations also have an instant or nearly instant approval process that lets you know whether or not you’ve been given the green light for the MCA package you are after.

 

Before you fill out the application, however, you want to make sure that you have:

 

• Your driver’s license or government issued ID
• A voided bank check
• Banking history/banking statements
• Credit score and credit history information
• Business tax returns (as applicable)

 

… But most importantly you’ll need to be sure that you have your most recent credit/debit card processing statements on hand to get the ball rolling with an MCA package.

 

How Will This MCA Financing Package Actually Work?

 

Merchant Cash Advances are pretty simple and straightforward to understand.

 

After you are approved for this kind of financing package you will be provided with a “lump sum advance” that you can use flexibly to build, grow, and stabilize your business. In return, a small portion of your daily credit and debit card sales are going to go towards paying off this financing – usually with some smaller fees attached as well.

 

All of this is handled through the industry-standard Automated Clearing House (ACH) banking protocol that works a lot like a direct deposit does. Every day, a percentage of your credit card and debit card sales will be remitted to the MCA financing service – and every day a little bit more of your lump-sum financing package will get paid off.

 

MCA Costs Can Get Pretty High

 

While a Merchant Cash Advance financing package can offer you almost instant access to the funds and capital that you need when you need it most, it’s also going to have some of the highest interest rates and fees attached to this cash as well.

 

Typical interest rates for MCA packages can sit at anywhere between 1.14 and 1.48 (on average), a factoring rate that you then have to multiply your total loan amount to so that you know exactly what you are going to have to repay in the long term.

 

This basically works out to an APR that starts at around 15% but can very often spike up as high as triple digits – and stay there for a while, making this a very expensive proposal to be sure.

 

Combine all of that with the fact that the overwhelming majority of MCA offers are repaid over a block of time between eight and nine months (sometimes stretching out to as far as 18 months, however) and you might not look at MCA offers the same when you start to crunch the numbers.

 

You’ll need to know exactly what you’re getting into before you sign on the dotted line for sure. But there’s a reason why so many entrepreneurs take advantage of these kinds of financial packages, and that’s because they offer quick cash, flexibility, and cash flow stability you’ll have a tough time finding anywhere else.

 

 

Unsecured business funding is the kind of “dream financing solution” that 99.99% of the world’s entrepreneurs are looking to take advantage of as often as possible, helping them to secure their cash flow situation and build or grow their business as they see fit.

Fast, Flexible Funding Without Collateral

Best of all, you’ll never have to worry about a lender seizing your assets—unlike with a secured loan—if your business doesn’t unfold exactly as planned.

 

Let’s dig a little bit deeper into unsecured business funding to find out if they are the perfect solution for your business!

 

What Exactly Is an Unsecured Business Line of Business Credit?

 

Unsecured business funding is a type of financing that doesn’t require you to pledge assets like property, vehicles, or equipment as security. Approval is based on factors such as your business revenue, cash flow, and credit profile.

This means you can access the working capital you need without risking valuable assets, giving you peace of mind while fueling your growth.

From business funding 10k to business funding 50k, you can stay stress free with no collateral requirement.

They are still provided with a set amount of money throughout this financing package, but instead of having all of that money directly deposited to them (whether they needed all of it or not straightaway) business owners can pull as much or as little financing from that line of credit as required.

Business owners will only pay back what they borrow from this line of credit and interest on the money that they borrow as opposed to the lump sum figure.

 

The best non-secured loans offer the kind of flexibility and control over a business’s financial future that traditional secured loans simply cannot provide.

 

 

Benefits of Lending Valley’s Unsecured Business Funding

• No Collateral Required – Keep your assets safe while still accessing funding.

• Quick Approvals & Funding – Get approved in as little as 24 hours.

• Flexible Loan Amounts – Borrow anywhere from $5,000 to $500,000, depending on your business needs. (Business funding of 50k to the business funding 10k, you can have it all)

• Custom Repayment Options – Choose repayment terms that match your cash flow.

• Bad Credit Friendly – Even if you don’t have perfect credit, we have options available.

 

To streamline your odds of success getting approved for these kinds of loans, you’ll want to make sure that you:

• Have been in business for at least three years and have some sort of track record under your belt
• Have verifiable and provable high annual revenue figures that you can use to vouch for your worthiness (businesses with annual revenues of at least $180,000 usually get approved)
• Have a high personal credit score that you can point to to verify your likelihood of repaying no collateral business loans (a credit score of 630 and above is critical)

 

If you’re missing any piece of this puzzle, your odds of successfully being approved for the top business loans without collateral shrink significantly.

How You Can Use an Unsecured Business Funding

Lending Valley’s unsecured financing solutions give you the freedom to invest in your business where it matters most:

• Expanding operations or opening new locations

• Hiring staff or managing payroll

• Purchasing inventory and supplies

• Covering unexpected expenses

• Marketing and advertising campaigns

• Upgrading technology or equipment

Whatever your business needs, our loans are designed to help you move forward with confidence.

 

You’ll want these details close at hand:

 

• At least three months of bank statements to show that you have a positive cash flow
• Profit and Loss statements so that you can “open your books” to the unsecured business finance lender
• Background details for your business (how long you have been around, the industry you operate in, how many principal owners/shareholders there are, etc.)
• Information about banks and lenders you have worked with in the past, as well as contact information
• Information regarding your personal credit score
• Information regarding your personal tax details
• Information regarding your business tax details

 

Get all of this ready to go, and you will have all of your bases covered going into the application process.

Who Qualifies for an Unsecured Business Funding?

You may qualify if your business has:

• At least 6+ months in operation

• Minimum monthly revenue requirements (varies by industry)

• A fair credit score (but perfect credit isn’t required)

At Lending Valley, we review your entire business profile, not just your credit score, so more business owners can access the capital they need.

From there, it’s simply moving through the motions and then taking advantage of everything that unsecured business loan opportunities bring to the table once you have been approved!

Why Choose Lending Valley?

Lending Valley specializes in small business funding solutions across industries. Unlike traditional banks, we focus on speed, flexibility, and accessibility.

• Trusted by thousands of business owners nationwide

• Dedicated funding advisors for personalized support

• Transparent terms with no hidden fees

• Options for businesses with limited or bad credit history

We’ve helped businesses in retail, restaurants, e-commerce, construction, healthcare, and more secure the working capital they need to thrive.

Apply for an Unsecured Business Funding Today

Getting started with unsecured business funding is quick and hassle-free:

1. Apply Online – Complete our simple application form.

2. Get Approved Fast – Receive a funding decision within 24 hours.

3. Receive Funds – Access your capital and use it to grow your business.

Stop letting financial roadblocks hold you back. With Lending Valley, your unsecured business funding is just a click away.

 

 

 

Bad credit loans for small businesses are helping entrepreneurs start and grow businesses that they wouldn’t have been able to before, if only because traditional lenders get very uneasy handing over these kinds of loans to anyone with less than picture-perfect credit.

 

With our bad credit loan for small business, you can access the working capital you need to grow, even if your credit score is as low as 475. No collateral required, no endless paperwork, just fast, flexible funding built for real business owners.

 

Why Consider a Bad Credit Loan for a Small Business?

Many entrepreneurs face challenges like:

• Past financial setbacks that lowered their FICO score below 629.

• Limited time in business makes them ineligible for big bank loans.

• Cash flow gaps that threaten daily operations.

Traditional lenders see risk and say “no.” But today, more alternative lenders, like Lending Valley, evaluate your business based on revenue, transactions, and growth potential. That means you can get approved even when banks won’t give you a chance.

Fact: According to industry benchmarks, thousands of U.S. businesses with scores under 600 now secure financing every year thanks to alternative lenders.

 

Best Loan Options for Businesses with Bad Credit

 

Unlike old-fashioned lenders, we understand every business has different needs. Here are the most common types of bad credit small business financing available today:

1. Short-Term Bad Credit Business Loans

• Funding amounts: $5,000 – $500,000

• Typical term: 3–18 months (sometimes up to 24 months)

• Approval with credit scores as low as 500

• Higher APR but fast approval and same-day funding

Ideal for covering urgent expenses or short-term growth opportunities.

 

2. Bad Credit Business Line of Credit

• Revolving access to working capital (borrow only what you need)

• Pay interest only on the drawn amount

• Eligibility starts around 550+ credit score

• Flexible repayment options

Perfect for maintaining healthy cash flow without locking into a fixed loan.

3. Invoice Financing (Factoring)

• Borrow against unpaid customer invoices

• Get up to 85% of invoice value in advance

• Repayment automated through collected invoices

• Great option for businesses with steady invoicing but tight liquidity

A smart way to unlock cash flow without waiting 30–90 days for customers to pay.

4. Merchant Cash Advances (MCA)

• Cash advance based on average daily card sales

• Payback is automatic through a fixed % of future transactions

• Available to businesses with very low or no credit

• No collateral required

Best for retail, restaurants, and e-commerce businesses processing lots of debit/credit card transactions.

Eligibility: What We Look At to Approve Bad Credit Small Business Loan

At Lending Valley, we make approvals simple. You may qualify if you meet these minimums:

• 2+ months in business

• $5,000 or more in monthly credit card sales

• $7,500+ gross monthly revenue

• 475+ credit score

• No active bankruptcies

Unlike banks, we evaluate your business health and cash flow, not just your past mistakes.

Benefits of Bad Credit Small Business Loans with Lending Valley

Fast approvals & same-day funding
No collateral required
Flexible repayment terms
Accepts credit scores starting at 475
Dedicated support team to guide you
Transparent terms — no hidden fees
Opportunity to rebuild your business credit

What to Watch Out For

We believe in being transparent. Bad credit financing often comes with:

• Higher APRs compared to traditional loans

• Origination or processing fees

• Personal guarantees in some cases

But with Lending Valley, you’ll always know the costs upfront, and we help you choose the option that fits your business best.

At Lending Valley, we understand that not every business has the time or credit profile to wait for a traditional loan. That’s why our merchant cash advance company solutions provide fast, simple access to working capital without the roadblocks of conventional financing.

Unlike a traditional loan, a Merchant Cash Advance (MCA) isn’t debt—it’s an advance based on your future credit card and debit card sales.

In exchange for upfront cash, you agree to repay a fixed percentage of your daily transactions until the balance (plus fees) is cleared.

This makes MCAs a popular option for small businesses that need immediate funding without lengthy approval processes or collateral requirements.

How Merchant Cash Advances Work

• Receive cash upfront from direct lenders

• Repayment is based on a daily percentage of your debit/credit card sales

• No fixed monthly payment, your payback adjusts with your revenue

• No collateral required and fast approval, even with less-than-perfect credit

Pros and Cons of Merchant Cash Advances

Pros

• Almost instant access to working capital (funding in 24–48 hours)

• Simple application process with minimal paperwork

• Approval even with average or challenged credit

• Flexible use: payroll, inventory, emergencies, or growth opportunities

• Ideal for retail, restaurants, and service-based businesses with high card transaction volume

 

Cons

• Higher fees compared to traditional small business loans

• Daily deductions can affect cash flow predictability

• Limited flexibility to switch providers once an MCA is in place

 

Who is Best Suited to Take Advantage of Merchant Cash Advances?

 

• Businesses with steady debit/credit card transactions (restaurants, salons, retailers, service providers)

• Entrepreneurs needing fast capital without collateral

• Owners who don’t qualify for traditional loans but can manage repayment through daily sales percentages

 

Businesses that make a significant amount of their revenue through debit card and credit card payments are also going to be prime prospects for these kinds of financial services.

Restaurant and retail locations, for example, usually do quite a bit of business with these payment types – payment types that are perfectly suited to merchant cash advances.

 

Understanding the MCA Application Process

Unlike traditional lending opportunities, the application and approval process for MCA opportunities is simplified and streamlined.

Some companies in the industry are going to ask about your credit score, credit history, and bank statements.  Most are only going to zero in on how much money you take in through plastic every day.

On top of this, the overwhelming majority of MCA options are available through online-based lenders.

This means that the application process can be taken advantage of and moved through at any point in time, day or night, 24/7.

Before you fill out the application, however, you want to make sure that you have:

• Your driver’s license or government-issued ID
• A voided bank check
• Banking history/banking statements
• Credit score and credit history information
• Business tax returns (as applicable)

… But most importantly, you’ll need to be sure that you have your most recent credit/debit card processing statements on hand to get the ball rolling with an MCA package.

Why Work with Merchant Cash Advance Direct Lenders?

When searching for funding, it’s critical to work directly with a merchant cash advance direct lender instead of brokers. Direct lenders like Lending Valley:

• Eliminate hidden middleman fees

• Provide transparent terms and repayment schedules

• Offer faster approvals and personalized support

• Deliver competitive rates compared to broker-marketed offers

How Will This MCA Financing Package Actually Work?

Merchant Cash Advances are pretty simple to understand.

After you are approved for this kind of financing package, you will be provided with a “lump sum advance” that you can use flexibly to build, grow, and stabilize your business.

In return, a small portion of your daily credit and debit card sales will go towards paying off this financing, usually with some smaller fees attached as well.

All of this is handled through the industry-standard Automated Clearing House (ACH) banking protocol, which works similarly to direct deposit.

Every day, a percentage of your credit card and debit card sales will be remitted to the MCA financing service, and every day, a little bit more of your lump-sum financing package will get paid off.

Merchant Cash Advance Reviews

Don’t just take our word for it, merchant cash advance reviews consistently highlight speed, accessibility, and flexibility as key benefits for small business owners.

Many borrowers appreciate that MCAs help them bridge cash flow gaps without long waits or strict requirements.

MCA Costs Can Get Pretty High

While a Merchant Cash Advance financing package can offer you almost instant access to the funds and capital that you need when you need it most, it’s also going to have some of the highest interest rates and fees attached to this cash as well.

Typical interest rates for MCA packages can sit at anywhere between 1.14 and 1.48 (on average), a factoring rate that you then have to multiply your total loan amount by so that you know exactly what you are going to have to repay in the long term.

This basically works out to an APR that starts at around 15% but can very often spike up as high as triple digits, and stay there for a while, making this a very expensive proposal to be sure.

Combine all of that with the fact that the overwhelming majority of MCA offers are repaid over a block of time.

Get Started with Lending Valley Today

If you need fast, flexible funding from a trusted merchant cash advance company, Lending Valley is here to help.

📌 Funding amounts: $5,000 – $1,000,000
📌 Approval as fast as 24 hours
📌 Requirements: 3+ months in business, $5k/month in revenue, 500+ credit score

An SBA loan is a long-term, low-interest small business loan partly backed by the U.S. government.

Every single year, 30% of all small businesses fail simply because the owners have run out of money.

 

Why Choose an SBA Loan with Lending Valley?

• Lower interest & longer terms – keep monthly payments manageable

• Flexible uses – working capital, equipment, acquisitions, real estate, refinancing

• Down payments as low as ~10% (use-case dependent)

• Expert guidance – documentation prep, lender matching, and application support

• Multiple programs – 7(a), CDC/504, and Microloan options

Note: SBA loans are issued by participating lenders and partially guaranteed by the SBA. Approval, rates, and terms depend on lender underwriting and program rules.

 

If you’re interested in moving forward with an SBA loan, you want to pay close attention to the inside information shared below!

 

Advantages of an SBA loan

• Incredibly low down payments are required for high levels of financing
• Very long repayment terms
• Reasonable interest rates are tough to find elsewhere
• Applicable to a wide variety of businesses and business purposes

 

What you need to know about an SBA loan before applying?

• The application process is long and drawn out
• The approval process is just as long and just as drawn out
• Entrepreneurs may have to put up collateral to secure these kinds of financing packages

 

Which SBA Program Fits Your Goal?

Quick Comparison: SBA 7(a) vs CDC/504 vs Microloan

Not sure which fits? Tell us your goal, timeline, and budget, we’ll align you with the right program.

Eligibility Snapshot (What Lenders Look For)

• U.S. for-profit small business (per SBA size standards)

• Time in business: generally 2+ years preferred (startups may qualify via microloan or specific 7(a) use cases)

• Credit: strong personal credit is important (upper-600s+ typically competitive); business credit is helpful

• Cash flow: ability to service debt from business operations

• Collateral & guarantees: pledged to the extent available; 20%+ owners sign personal guarantees

• Equity injection: often ~10% for acquisitions/real estate/equipment

Lenders evaluate the full picture. If one area is weaker, strength elsewhere (cash flow, collateral, experience) can help.

 

What You Can Finance

• Working capital and cash-flow smoothing

• Equipment & machinery purchases

• Business acquisition or partner buyout

• Owner-occupied real estate (purchase, build, or renovate)

• Debt refinancing (to improve cash flow)

• Startup and micro funding (via SBA Microloan intermediaries)

 

What’s the SBA Application Process like?

If you’re wondering whether the SBA has approved your bank or a bank you’re interested in working with, it takes just one quick phone call to find out.

After that, you only need to visit the offices directly in person and begin the SBA loan package process, and the professionals at the bank will help you walk you through this step.

You will want to make sure that you bring important documents to streamline the process with you during this meeting, including:

• Your driver’s license or government-issued ID
• A voided business check to your business bank account
• Bank and financial statements for your business
• Balance sheet and P & L statements
• Tax return information for both you and your business
• A detailed business plan
• A detailed business debt schedule

 

The financial institution you’re pursuing your SBA loan through will be able to walk you through the rest of the process and let you know what other kinds of documents or paperwork need to be processed and when they need to be processed as well.

Rates, Fees & Payments (What to Expect)

• Interest rates: SBA-capped and often below non-SBA alternatives

• Terms: up to 10 years (working capital/equipment) and up to 25 years (real estate)

• Guarantee/packaging fees: one-time, may be financed into the loan

• Closing costs: appraisals, environmental, legal/filing (for real estate/equipment)

• Prepayment: limited penalties may apply on some long-term loans (e.g., 504 or long-term 7(a)); ask us to model scenarios

We’ll itemize all costs up front and show your true monthly payment and total cost of capital before you proceed.

How Exactly Do SBA Loans Work?

SBA loans are considered the “Holy Grail” of business financing, mostly because they offer a fantastic line of financing you can take advantage of for a multitude of business purposes while also including friendly interest rates and repayment terms you’ll have a tough time finding anywhere else.

 

There are a couple of different SBA loan programs available. The three biggest and most popular programs include:

 

• 7(a) Loan Program
• Micro Loan Program and
• CDC/504 Loan Program

 

The 7(a) loan program can provide you with up to $5 million in financing straightaway, with a repayment timeline that stretches out to 10 years (for working capital style loans) or 25 years (for commercial real estate lending packages), and also has a tremendous amount of flexibility about how you use that financing moving forward.

 

The Micro Loan Program provides quick cash to newer businesses through the SBA, focusing on financing good for up to $50,000 with a loan repayment timeline that stretches up to six years, again with really friendly interest rates.

 

The CDC/504 loan program is usually taken advantage of by companies that need to finance major fixed assets (like big equipment expenditures or the purchase of commercial real estate, for example).

These loan packages offer upwards of $5.5 million in financing over a repayment timeline of between 10 and 20 years, though it is a little bit more restrictive and how you use the financing you have been green-lit for.

 

Fees for these kinds of loans are pretty attractive as well, especially when you’re talking about the 7(a) style loans. You’ll be asked to pay a guarantee fee of 1.7% for any of the SBA loans you take for up to $150,000 and a flat 2.25% for any loans greater than that amount.

 

Your interest rate is going to sit at a maximum – yes, your reading that correctly, MAXIMUM – of 2.75% plus whatever the current prime rate is.

That’s certainly one of the biggest draws for these kinds of loan packages.

Our Process for the SBA Loan Application

1. Fit & Program Match (Free Call)
   Clarify use of funds, timing, and program fit (7(a) vs 504 vs Microloan).

2. Document Prep
   We share a lender-ready checklist (financials, tax returns, bank statements, debt schedule, IDs, business plan/summary, purchase agreements if applicable).

3. Application & Underwriting
   We submit to a strong SBA-preferred lender and manage follow-ups to keep things moving.

4. Approval, Closing & Funding
   Review terms, finalize closing items, and fund. Typical timelines range 4–12+ weeks, depending on complexity.

When to Choose Each Program

• Choose 7(a) if you want flexibility (working capital, acquisition, mixed uses) or need to refinance costlier debt.

• Choose CDC/504 if you’re buying or renovating owner-occupied real estate or purchasing major equipment and want fixed rates with only 10% down.

• Choose Microloan if you need $50k or less (startup supplies, small equipment, initial inventory) and prefer a community lender experience.

SBA Loans: FAQs

Are SBA loans forgivable?
No. Standard SBA loans (7(a), 504, Microloan) are not forgivable; they’re amortizing loans with monthly payments.

How long does funding take?
Plan on 4–12+ weeks from complete application to funding. Microloans and SBA Express can be faster; real estate (504) can take longer due to appraisals and third-party reports.

What credit score do I need?
Lenders commonly look for upper-600s+ personal credit for 7(a)/504. Microloans can be more flexible. Strong cash flow, collateral, and experience help.

Do I need collateral or a down payment?
Expect collateral to the extent available and personal guarantees from 20%+ owners. For purchases (business/real estate/equipment), plan for ~10% equity. 504 uses the asset as primary collateral.

Can startups get an SBA loan?
Yes—typically via microloans or specific 7(a) scenarios (e.g., franchise or acquisition with strong projections and experience). Startups may face higher equity and documentation requirements.

What can’t I use an SBA loan for?
Passive/investment real estate, speculative ventures, and non-business personal use are not eligible. 504 funds can’t be used for working capital or inventory.

How do rates compare to online loans?
SBA rates/terms are usually much more affordable due to the government guarantee and longer amortization.

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Business Line of Credit: Flexible Funding for Small Businesses

More and more entrepreneurs are turning to a business line of credit because of its flexibility compared to traditional bank loans. Instead of taking on a large lump-sum loan (and paying interest on the entire amount right away), a line of credit lets you borrow only what you need, when you need it, and pay interest only on what you use.

This makes a small business line of credit (LOC) one of the most practical financing tools available. It works almost like a credit card for your business, but often with higher limits and more favorable terms.

Another major benefit: applying for a business line of credit is typically easier and faster than applying for a traditional loan. Many business owners who struggle to qualify for small business loans with bad credit history still find approval opportunities with an LOC.

According to the SBA, nearly 27% of business owners can’t access the funding they need to launch or grow.

A business line of credit helps close that gap, giving access to capital when other loan types, like those from large banks such as Chase or Truist, may not be as accessible.

Whether you’re covering payroll, purchasing inventory, or preparing for seasonal shifts, a business line of credit gives you peace of mind knowing that funds are available whenever you need them. It’s also a smart option for veterans starting small businesses or entrepreneurs in states like Florida and Ohio, where demand for flexible financing is growing.

For those comparing loan options, tools like small business loan calculators can help estimate payments. But many business owners choose an LOC because it keeps borrowing costs directly tied to actual business needs, not large fixed loan amounts.

When a Business Line of Credit Makes Sense

A business line of credit is ideal for:

• Seasonal businesses – Smooth out cash flow during slow months and restock quickly during busy seasons.

• Emergency expenses – Cover unexpected costs without disrupting your operations.

• Payroll support – Ensure employees get paid on time, even if customer payments are delayed.

• Inventory purchases – Take advantage of supplier discounts or bulk orders.

• Growth opportunities – Access funds quickly to seize opportunities, like expanding locations or upgrading equipment.

• Veteran-owned and startup businesses – Especially helpful for new entrepreneurs or veterans who need flexible funding while building stability.

Unlike traditional lump-sum loans, a line of credit adapts to your business needs, giving you a reliable safety net while keeping repayment manageable.

 

What Exactly Is a Business Line of Credit, Anyway?

 

You may be approved for say $100,000 of small business LOC (and you’ll have access to all of that $100,000 if necessary), but if you only need $15,000 right now to pay for marketing or advertising campaigns that that’s what you will draw off of that line of credit, and that’s the amount you will be charged interest on as well.

Benefits and Drawbacks of a Small Business Line of Credit

A small business line of credit gives owners flexible access to funds when they need them most. You only pay interest on what you borrow, and the money is available instantly for emergencies, payroll, inventory, or growth opportunities.

This makes it a strong alternative to traditional loans, especially for entrepreneurs who may struggle with approval for standard installment loans.

Another advantage is accessibility. Even those with bad credit history often qualify, unlike with many bank loans. Once approved, you don’t have to use the funds right away, but you have peace of mind knowing capital is available when needed.

Drawbacks to Consider

• Ongoing reporting: Lenders may require regular updates on your finances and cash flow.

• Possible termination: Lines of credit can be reduced or closed with little notice.

• Collateral requirements: Some lenders ask for assets as security, though unsecured business lines of credit are available.

• Higher rates for bad credit: Entrepreneurs with poor credit typically face higher interest rates on borrowed funds.

A business line of credit is not always the cheapest option. But for many small business owners, including those comparing small business loans with bad credit histories, the flexibility often outweighs the downsides.

Why Choose an Unsecured Business Line of Credit

 

When comparing financing options, entrepreneurs often weigh secured vs. unsecured business lines of credit. While both provide access to flexible funding, an unsecured option is usually the safer first step.

With a secured small business line of credit, you’ll need to put up collateral, such as equipment or property, to qualify. This can improve approval chances, especially for startups or owners with bad credit history, but it also creates risk: if you default, you could lose those assets.

By contrast, an unsecured business line of credit does not require collateral. This protects your business assets while still giving you access to working capital when you need it. Because of this, it’s smart to apply for unsecured funding first.

If you’re denied, you can still pursue a secured option, where collateral often strengthens your approval chances.

In short: go unsecured whenever possible for flexibility and security, and use secured credit as a fallback if needed.

What to Look for in the Best Small Business Line of Credit

With so many financing options available, choosing the best small business line of credit (LOC) comes down to knowing what matters most. Here are the key factors to evaluate before applying:

1. Qualifying Requirements

Some lenders demand strong credit scores, years in business, and detailed financials. If you have bad credit history or are just starting out, look for lenders with flexible approval standards or options like an unsecured business line of credit.

2. Interest Rates

Most business lines of credit come with variable rates. Compare starting APRs and, more importantly, understand how much they can increase over time. The narrower the range, the easier it is to plan repayments.

3. Lending Limits

It’s always better to have more available credit than not enough. Look for lenders that offer higher limits or the option to increase your credit line as your business grows.

4. Payment Rules & Fees

Review repayment schedules, minimum payment rules, and any additional charges. Pay close attention to hidden fees, early repayment penalties, or conditions that could impact your cash flow.

Final Tip

Before signing, make sure you understand how your LOC fits into your long-term financial plans. Choosing the right small business line of credit can provide reliable access to capital without putting unnecessary strain on your business.

 

Payment Rules and Fee Schedule

This is the part of every business LOC that is written in the finest, tiniest print possible and also the part of your LOC contract that will usually be glossed over quickly by the people offering you these kinds of lending packages.

But that’s how you know you need to focus like a laser on these areas.

The repayment schedule that you must keep, the minimum payments you must abide by, and the penalties or hidden fees that may be attached to your business line of credit all need to be fully understood before you sign on the dotted line.

It’s critical that you know exactly what you’re getting into before you gain access to any LOC. Understand how this short-term financial solution is going to impact your long-term financial projections and move forward with both eyes open.

Take this kind of approach and you’ll have no trouble at all finding the best business line of credit for your specific needs!

What Is a Business Line of Credit?

A line of credit is a highly flexible financial tool. You draw funds from a line of credit when you need them: That could be as frequently as once a day, but it also could be once a month or even just once a year. There is no additional cost to draw down funds, and no obligation to do so. A line of credit is a financial tool that you can simply keep in your back pocket.

When you do need to draw down your line of credit, Lending Valley and its funding partners have made it very easy.

You can access your line of credit account at any time of day, any day of the week, from any computer, tablet, or smartphone, and have the funds you need at your disposal in minutes.

You’ll repay the funds you draw down in fixed weekly installments over several months, and as you do, you are building a credit profile for your business, something that can help you qualify for a larger loan down the road.

How Can I Get a Business Line of Credit?

Lending Valley has streamlined the application process for all kinds of funding. Thanks to our sophisticated technology, we require very little documentation from applicants.

Nearly every industry can qualify for a business line of credit, although you will generally need to be in business for at least a year and meet a minimum monthly sales threshold. You may also need to pledge collateral to secure your business line of credit.

How Can I Use a Business Line of Credit?

You have many options, and unlike a loan, which is generally for one specific purpose, you can use a business line of credit for many different things at once. You can use a business line of credit to purchase inventory or fund construction work on a remodeling.

You can use it to close a cash-flow gap when you have a late-paying customer. You can use it to smooth out seasonality in your business. How and when you use a business line of credit is up to you.

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Invoice Factoring for Small Business: Turn Unpaid Invoices into Fast Cash

 

That’s where invoice factoring comes in. At Lending Valley, we help you unlock the money trapped in your unpaid invoices so you can pay expenses, seize growth opportunities, and keep operations running smoothly, all without taking on traditional debt.

Thankfully, modern and nontraditional financing options, like invoice factoring, are beneficial. They provide small business owners with an opportunity to leverage one of their most valuable assets into a predictable and consistent cash flow to build, grow, and leverage new opportunities.

 

What Is Invoice Factoring, Anyway?

Invoice factoring is not a traditional loan. Instead, it’s a financing solution where you sell your outstanding invoices to a factoring company in exchange for immediate cash.

Here’s how it works:

You issue an invoice to your customer (usually with 30–90 day terms).

Instead of waiting, you sell that invoice to us.

We advance you up to 85–90% of the invoice value within 24–48 hours.

We collect payment directly from your customer.

Once paid, you receive the remaining balance minus a small factoring fee.

Unlike bank loans, approval is based on your customers’ creditworthiness, not your own. This makes factoring ideal for businesses with limited or challenged credit history.

Example: How Invoice Factoring Works

Let’s say your business issues a $10,000 invoice with a 30-day payment term.

Instead of waiting a month, you factor the invoice.

Lending Valley advances you 85% upfront ($8,500), minus a small fee (say 3%).

Once your customer pays, you receive the remaining balance (around $1,500) minus the fee.

Result? You get immediate working capital without waiting for customer payments.

Advantages of Invoice Factoring

Immediate cash flow – No more waiting weeks or months for payments.
Works with bad credit – Decisions are based on your customers’ ability to pay, not your credit score.
No collateral required – Your invoices act as the asset.
Easy approval – Faster than applying for traditional bank loans.
Predictable cash flow – Plan expenses with confidence knowing funds arrive quickly.

Things to Consider for Invoice Factoring for Small Businesses

While invoice factoring is powerful, it’s important to understand:

Costs may be higher than bank loans (factoring fees usually range 1%–5% per month).

Customer interaction – Your clients may be notified since the factoring company collects payment.

Invoice quality matters – Approval depends on your customers’ payment history and reliability.

Recourse factoring – In some cases, if your customer doesn’t pay, you may need to replace or buy back the invoice.

At Lending Valley, we’re fully transparent about costs and terms, so you’ll always know what to expect.

Who Benefits Most from Invoice Factoring?

Invoice factoring is especially useful for B2B businesses that bill clients on net terms, such as:

Trucking and logistics companies

Manufacturers & wholesalers

Staffing agencies

Professional service firms

Construction subcontractors

If waiting for client payments is slowing down your growth, factoring can keep your cash flow steady.

Invoice Factoring vs. Invoice Financing

It’s easy to confuse the two, but here’s the difference:

Invoice Factoring – You sell invoices to a factoring company. They advance funds and collect payment from your customer.

Invoice Financing – You borrow against invoices but still handle collections yourself. Repayment works like a loan with interest.

Choose factoring if you want hands-off collections and faster funding, or financing if you prefer to keep control of customer payments.

Invoice Factoring FAQs

 

Q: Is invoice factoring a legitimate service?

Yes. Factoring is a well-established, regulated financing option trusted by thousands of small businesses worldwide.

Q: How much of my invoice value will I get upfront?

Most businesses receive 70–90% of invoice value within 24–48 hours.

Q: Will my credit score affect approval?

Not much. Factoring approval is based on your customers’ payment reliability, not your own credit history.

Q: How quickly can I get funded?

Once approved, you can receive funds in as little as one business day.

Q: Will my customers know?

Yes, since the factoring company collects payment directly. At Lending Valley, we manage this professionally to protect your customer relationships.

 

Fast Working Capital for Small Businesses

Funding from $5,000 – $1,000,000
Approvals in as little as 24 hours
Terms from 3–24 months
Only 3 months in business required

Apply now

 

What Is Short-Term Financing?

Short-term financing is a fast, flexible alternative to traditional bank loans. Instead of lengthy applications and strict collateral requirements, approval is based on your monthly sales volume.

• No collateral required

• Streamlined approval process

• Automatic repayments from your business bank account

It’s the perfect solution for entrepreneurs who need to cover immediate expenses, manage seasonal fluctuations, or seize new opportunities.

It’s easy for business owners, particularly new business owners, to feel that if they aren’t able to secure cash and capital through a traditional loan with a local bank or credit union, they are out of luck and facing a serious financial crisis.

In reality, however, nothing could be further from the truth.

Today, there are more short-term business loan opportunities available for entrepreneurs than ever before. Some of them are more traditional options with a shorter-term length, while others are more nontraditional and quite innovative, but all of them provide you with access to the capital you need to build and grow the business of your dreams.

 

Here are some of the most common short-term business loans that you might be more interested in learning about.

Short-Term Financing Packages

Some of the most popular loan solutions for savvy entrepreneurs, particularly those with at least average credit and short-term financial needs that must be met immediately, these lending packages are designed to last a term between 3 and 18 months (maximum).

 

Short-Term Business Loan Packages (3–18 Months)

• Designed for quick funding needs

• Simple application & fast approval (funding in as little as 24 hours)

• Best for inventory purchases, marketing campaigns, or covering cash flow gaps

SBA Lending Opportunities

The US government provides some pretty friendly financing packages for entrepreneurs as well, many of them available through the Small Business Administration, certainly an avenue of approach you want to take when you’re looking for short-term lending opportunities.

Because the US government partially guarantees these loans, they eliminate a significant amount of risk that lenders would have taken on otherwise, making it easier for new business owners, as well as those who haven’t had a lot of success in the past get their hands on financing that might not have been available otherwise.