How to Get a Small Business Loan: A Step-by-Step Guide
A step-by-step guide to getting a small business loan: what lenders look for, which product fits, what documents to prepare and how to get funded fast.
Getting a small business loan comes down to three things lenders evaluate, the right product for your need, and a clean set of documents. Here's how to do it well.
1. Know what lenders look at
Almost every funding decision weighs three factors:
- Monthly revenue — your recent deposits show your ability to repay. This matters most for fast, short-term products.
- Time in business — older businesses unlock more options and lower rates. Some products accept 3 months; bank and SBA loans want 1–2+ years.
- Owner credit — important for term loans, lines of credit, and SBA, but many revenue-based products have no minimum credit score.
If one area is weak, a different product is often the answer — not a flat "no."
2. Match the product to the need
| Need | Best-fit product |
|---|---|
| Cash fast for payroll or inventory | Working capital |
| Flexible cash you reuse | Business line of credit |
| A large one-time investment | Term loan |
| Lowest rate, can wait 30–90 days | SBA loan |
| Buying equipment | Equipment financing |
| Unpaid B2B invoices | Invoice factoring |
Borrowing the wrong shape of capital is the most common (and expensive) mistake. Short-term products are great for short-term needs and pricey for long-term ones.
3. Gather your documents
For most fast products you'll need just:
- The last 3 months of business bank statements
- A voided business check
Larger or longer-term loans (term loans, SBA) also ask for tax returns, a year-to-date P&L, and a debt schedule. Having these ready turns a multi-week process into a few days.
4. Apply once, compare offers
Applying to lenders one at a time is slow and can trigger multiple hard credit pulls. A marketplace lets you submit one application, get matched to lenders likely to approve you, and compare real offers ranked by total cost — not just the monthly payment.
Checking your options with Cashifi uses a soft credit pull, so it won't affect your score.
5. Read the total cost, not just the payment
Compare offers on total payback and APR or factor rate, plus fees and prepayment terms. A lower monthly payment over a longer term can cost far more overall.
Ready to see your options?
The fastest way to know what you qualify for is to check. It takes about four minutes and won't affect your credit score.
This guide explains how small business funding generally works. It isn't financial, legal or tax advice, and rates and terms change — check the current terms of any offer before you decide.
See what you qualify for
One application · soft credit check · offers ranked by total cost.
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