- Latest options for small business loans in 2024
- Interest rates, eligibility, and application process comparison
Interest Rates
In 2024, small business loan interest rates vary depending on the lender, the type of loan, and the creditworthiness of the borrower. Generally, interest rates for small business loans range from 4% to 13%. Online lenders and alternative financing options may offer higher rates, while traditional banks and credit unions may offer lower rates.
Eligibility
Eligibility for small business loans in 2024 depends on factors such as credit score, time in business, annual revenue, and industry risk. Traditional lenders typically require a credit score of 680 or higher, at least two years in business, and annual revenue of $50,000 or more. Alternative lenders may have more flexible eligibility criteria but may charge higher interest rates.
Application Process
The application process for small business loans in 2024 has become more streamlined and digital. Many lenders offer online applications that can be completed in minutes, with quick approval and funding turnaround times. Traditional lenders may still require extensive documentation and a longer approval process, while online lenders may have more lenient documentation requirements and faster approval times.