Up to $500,000
Estimated Repayment Terms
3 - 18 months
Starting @ 10%
Speed of Funding
As fast as same day
Fast Short Term Business Loans | When You Need Funding Today
Short term loans are easier to qualify and apply for. And, they’re faster to fund.
So when you need cash for an emergency expense or an opportunity presents itself that you can’t pass up, short term business financing may be the solution you need.
Get back to running your business without missing a beat.
What Is a Short Term Business Loan?
A short term business loan provides you with upfront working capital that is then paid back in 18 months or less.
This loan type can be used to fund renovations, seasonal preparations, fulfill large purchase orders or support small businesses in maintaining healthy cash flows.
They’re best used to fill a short-term financial gap. That is, they’re not well-suited for high-cost, long-term projects that could take years before you see a return on your investment.
Short Term Business Loan Benefits
There are several benefits to an unsecured short term business loan from reputable short term small business loan lenders.
Faster Payoff Structure
Loan amounts are generally smaller, and the repayment terms are drastically shorter. In fact, it’s not uncommon for a short term loan to feature a payoff period as abbreviated as 3 months.
Easy to Qualify For
Unsecured short term loans are easier for small business owners to qualify for.
Banks typically require businesses to be in operation for two years or more, annual revenue of at least $500,000 and a personal credit score above 675.
With more accessible qualifications, your business could obtain the funds you need to grow. Annual revenue of $75,000, a credit score of 540 and a business history of at least one year is generally enough to qualify you.
Fast to Fund
With a short term business loan, you can be approved within hours and see the funds in your account as soon as the same day.
Having access to funds this quickly allows you to address any potential gaps in payroll, emergency expenses or make the purchases you need to grow your business.
Conversely, acquiring a business loan from a traditional lender can take 6 weeks to 6 months.
How to Qualify for a Short Term Business Loan
Qualifying for a short term business loan is faster and easier due to the fact that short term lenders focus more on cash flow than traditional term lenders.
Short term business loan lenders consider a variety of factors, including your annual revenue, time in business, average daily sales, profit margins and your intended use of funds.
Lenders increase approvals by spreading risk across multiple business attributes. While your credit rating is taken into account, it holds less clout. This is because significant and consistent cash flow can reduce other financial details that may otherwise prevent a business from securing a business term loan.
Do You Qualify?
Based on previously approved borrowers, you’re likely to qualify if:
- You’ve been in business 1+ years
- Your annual revenue is $75K or more
- You have a credit score of 540 or better
How to Apply for a Short Term Business Loan
Step 1: Tell us about your business.
Fill out a few basic questions about your business so that we can connect you with the best lenders.
Step 2: Tell us about you.
We need to learn about you so we can determine your eligibility without impacting your credit score.
Step 3: Connect your bank account.
Your revenue data enables us to match you to funding opportunities at the speed of modern business.
Step 4: Get funded.
Funds can be deposited into your bank account as soon as the same day.
Fast Capital 360 brings together the best short term business loan lenders through one straightforward application.
Each application process is slightly different depending on the lender, but the fundamentals are the same: You fill out an online application asking for basic information about your company and how much funding you’re looking for.
With the information you provide, we’ll work with our funding partners to determine if your business meets their qualifications.
What Will a Short Term Business Loan Cost?
Understanding how much a short term loan will cost you depends on a variety of business aspects, including your credit score.
The easiest way to determine what a short term business loan agreement might look like is to reference an example.
Short Term Loan Example
In this scenario, Penny’s Pancakes secures a $50,000 short term loan with an interest rate of 18 percent. They’re quoted payoff term is 6 months. The total amount the company would repay is $52,657.56 with the cost of funds totaling $2,657.56.
To give you an even clearer picture of what Penny would be responsible for, take a look at the table below.
Best Uses for a Short Term Business Loan
Short term loans for business owners are one of the most flexible financing options available. The proceeds can be used to finance just about any need.
Hire More Employees
You can only be in one place at one time. Naturally, this can limit your ability to grow your business. Short term loans can help you bring on new employees by bearing the upfront costs of hiring.
Purchase New Inventory
Say you have a customer looking to place a sizeable order with your business, but they won’t be able to pay until the end of the month. In this scenario, a short term business loan would provide your business with the funds you need to pay your vendor for the product and not miss out on a huge sale.
Attracting more customers to your business is a goal every owner has. But bringing new buyers in can come with high upfront costs. A short term loan can provide you with the funds required to reach your target audience.
Manage Cash Flow
Other businesses might use short term financing to fund expansion, consolidate loans, pay their taxes or take advantage of new business opportunities. Regardless, having the ability to better manage your cash flow opens near-endless possibilities.
Whether you’re working with computers and desk chairs in an office environment or heavy-duty machinery on a construction site, every business needs equipment. If your equipment fails or is due for an upgrade, a short term loan can give you the chance to do so without depleting your cash flow.