Best Business Loans For Bad Credit Scores
We believe that a low credit score shouldn't stop you from business success. Clarify works with you to identify a loan option that fits your needs and unique cash flow requirements. Here are the best types of loans to get pre-approval for if your personal credit rating is not stellar:
1. Short Term Business Loan
Term loans with Clarify don't require any collateral and have low credit score requirements. As long as you have been in business for at least six months and generate over $10,000 in gross monthly revenue, we can get you pre-approved. Term lengths are usually 6 months to 2 years with APR as low as 7%.
2. Business Line of Credit
Similar to a business credit card, a line of credit provides working capital that you can use when needed for day to day expenses. Unlike a credit card, a line of credit has a much lower interest rate and does not have any prepayment penalties. A line of credit also improves your credit score over time.
3. Invoice Financing
Most business owners are in an industry that deals with invoices from vendors or customers. If you have invoices that are yet to be paid, Invoice Financing is the perfect funding option. Since the outstanding invoices act as collateral, your credit score is not a factor in getting approved.
4. Equipment Financing
Just like a traditional car loan, equipment financing provides capital to purchase new or used equipment. Whether you're a trucker, restaurant owner, or construction company, an equipment loan can help you grow your business or replace aging assets.