Credit requirements vary significantly by product:
No Minimum Credit Score:
- ●Merchant Cash Advance
- ●Invoice Financing
- ●Revenue-Based Financing
- ●Some Working Capital Loans
These focus on business revenue instead of credit.
500-580 (Poor Credit):
- ●Equipment financing with 30%+ down
- ●High-rate working capital
- ●Secured business loans
- ●Some MCAs with strong revenue
580-620 (Below Average):
- ●Most MCAs
- ●Equipment financing with 20% down
- ●Short-term working capital
- ●Some lines of credit
620-680 (Fair):
- ●Business lines of credit
- ●Standard equipment financing
- ●Term loans (alternative lenders)
- ●Most working capital products
680-720 (Good):
- ●SBA loans
- ●Bank term loans
- ●Best rates on equipment
- ●Unsecured lines of credit
720+ (Excellent):
- ●Best rates on everything
- ●Largest amounts
- ●Best terms
- ●Unsecured options
Remember: Credit score is just ONE factor. Lenders also consider:
- ●Monthly revenue
- ●Time in business
- ●Cash flow
- ●Industry
- ●Collateral
- ●Existing debt
A business with $100K/month revenue and 580 credit may get more than one with $20K/month and 720 credit.