When Detroit filed Chapter 9 bankruptcy in 2013, many thought it would never bounce back. However, since then, the people of the Motor City have focused on the future and have slowly begun to revitalize their once thriving metropolis.
For small business owners looking to keep their shop, restaurant or office going, capital is necessary, but sometimes hard to come by. In this article, we’re letting you in on several top lenders offering Detroit business loans and providing some helpful resources you can turn to as an entrepreneur.
Small Business Landscape in Detroit
The most recent U.S. Census count notes there are nearly 62,000 business firms in Detroit, almost 51,000 of which are minority-owned.
According to the U.S. Small Business Administration, small businesses make up nearly all of the private-sector firms in the state and provide almost half of all jobs.
Industries with some of the highest levels of small business employment include the following:
- Health care and social assistance
- Manufacturing
- Food and accommodation services
- Retail trade
- Technical, scientific and professional services
- Construction
- Administrative, support and waste management
- Wholesale trade
- Insurance and finance
- Warehousing and transportation
5 Top Banks for Small Business Loans in Detroit, MI
1. Flagstar Bank
Visit 1 of 3 Detroit branches of this bank, which has an A+ rating from the Better Business Bureau and a 4.6-star rating on WalletHub.
Find fixed or floating interest rate business loans starting at $25,000 as well as the following:
- Business credit cards
- Franchise loans
- Commercial and industrial loans
- Commercial real estate loans
2. FifthThird Bank
This bank, which has been assisting borrowers for more than 160 years, makes our list of top conventional lenders. It’s earned an A+ rating from the BBB and a 3.7-star rating from WalletHub.
Detroit business loans available here include the following:
- Term loans
- SBA loans
- Real estate loans
- Business credit cards
- Business lines of credit
3. Liberty Bank
With a branch on Woodward Ave. in Detroit, this bank has a 3.5-star rating on Google and an A+ rating from the BBB.
Small business loans at this Detroit, MI, bank include these:
- Equipment financing
- Business line of credit
- Business credit card
- Commercial real estate loans
4. PNC Bank
PNC Bank has 3 branches in Detroit and 1 in nearby Hamtramck. It’s earned a 3.7-star rating on Bankrate and a 4-star rating on WalletHub.
You can apply for one of the following Detroit small business loans here:
- SBA loans
- Unsecured term loans
- Secured term loans
- Business lines of credit
- Business credit card
- Business vehicle financing
- Commercial real estate loan
5. Michigan First Credit Union
Not only is this lender accredited by the BBB, where it has an A+ rating, it’s also earned a 4-star rating on Yelp. Michigan Economic Development Corporation, USDA and SBA loans are available here, as are business lines of credit and commercial loans.
Financing Alternatives to Detroit Business Loans
While conventional lenders, such as the ones listed above, are known to offer competitive rates and terms, the process to apply and get funded can be difficult and lengthy. In many cases, when entrepreneurs are turned down for a conventional business loan, they turn to alternative lenders.
While terms are often less competitive, applying and getting funded is seamless and fast. Online applications could be approved, in some cases, as fast as the same day you apply. Popular financing options include short-term loans and merchant cash advances, which have shorter terms and daily or weekly payments.
Applying for Alternative Financing With Fast Capital 360
If you have difficulty qualifying for a conventional Detroit small business loan, apply with us. We’ll work hard to find you the right funding option.
Here’s what sets us apart:
Speed
In just a few minutes, complete our simple online application.
Multiple Offers
Your 1 application with us gets you in front of our nationwide network of lending partners, which means you could have multiple funding offers.
Expert Guidance
One of our Business Advisors will reach out to review your offers with you, so you can select the best one for your venture.
Small Business Resources in Detroit
In addition to finding the right lender for your small business loan, take advantage of local resources for additional assistance. Here are a few options in your area.
Small Business Development Center
Contact the Detroit office to sign up for free, confidential business consulting. Get help with business research and planning, marketing planning and business financing. Sign up for special training events too.
SE Michigan SCORE
SCORE is a national nonprofit organization dedicated to helping small business owners, whether startup or veteran entrepreneurs. For Detroit-area residents, the Southeast Michigan branch offers free 1-on-1 consulting as well as workshops and a library of online resources, such as articles and templates.
Small Business Association of Michigan
This organization offers, at the very basic membership level, free access to small business advocacy as well as a resource blog, webinars and podcasts. Get information on loans and grants for small business owners too.
Fee-based membership is available for $119, $239 and $389, with more premium services offered at each next level, such as discounts and access to group health insurance, credit card processing solutions and meeting room space.
