Bad Credit Business Loans

The struggle to find financing is real for many small businesses with bad credit. Traditional lenders may not issue bad credit business loans at all, or may do so at extremely high interest rates. P2P lending offers small businesses an alternative: quick, accessible loans based on your business health, not your credit score

A quick, easy, and effective solution to manage cashflow issues. Get loans against unpaid invoices, starting from $500. Quick and easy approval process, fully automated.

Quick Approval
Praised by Media
Target Audience: US Merchants with Unpaid Invoices or Those Looking for a Flexible Credit Line

Overall Rating

Most Effective

Liberis is UK's largest merchant cash advance provider. Those who use it highly recommend it, and its steady growth symbolizes that more than anything else.

Quick Approval
100% Happy Clients (Feefo Reviews)
Target Audience: All UK Accepting Payments By Card

Overall Rating

Helpful

OnDeck is a market leader in small business loans with 500 employees, a turnover of $300m, and flawless reputation. Good interest rates too!

Approval within an hour
Average Rating 9.5 in TrustPilot
All USA Small Businesses

Overall Rating

Top Lender

One of the most innovative companies in the domain of business loans, with unique possibilities which are not accessible via traditional cash advance, or traditional Peer to Peer lenders.

Quick Approval
Average Rating 9.2 in TrustPilot
Target Audience: £3000+ Per Month with 20% Margin UK Businessess

Overall Rating

Innovative

A much needed invoice factoring service for small US-based businesses. Get up to $5m against unpaid invoices (B2B only), or from micro-loans of $5,000 in line of credit.

Quick Approval
Great Media Coverage & Feedback
Target Audience: US SMEs with Unpaid Invoices (B2B Only), Or SME's Requiring Line of Credit

Overall Rating

Quick and Smooth

What Risks Are There to Bad Credit Borrowers Using P2P?


Because bad credit history often indicates inconsistent credit repayment, these companies are likely to issue loans to businesses at very high interest. The extra money is used to offset the loss incurred if a borrower defaulted. The higher the risk, the higher the interest. Still, because P2P high risk business loans may be the only available to bad credit businesses, and it can be paid off early before interest payments mount, it may be the only option.

What About Payday and Short-Term Personal Loans as an Alternative?


So-called Payday Loans are an often usurious lending form, meant to provide quick cash in a pinch, usually paid back in a matter of days of weeks. The practice is heavily regulated in some jurisdictions, not in others. Typically, borrowers will incur stratospheric interest rates which, depending on how you calculate interest on a loan with a few days’ term, have been recorded from 30% to 3000%+. With lots of bad press highlighting the folly of payday loans, businesses are much better served with business loans from reputable institutions, many of which in the P2P arena are more convenient than Payday lenders, without the risk.

Why Not Get a Bad Credit Business Loan From a Bank?


Because banks tend to look at your credit score first, many are immediately denied when requesting a traditional business loan. P2P lenders use a diverse array of data to determine your creditworthiness, including your online merchant history and other facets of your overall business health.

How Can You Improve Your Credit Score for Better Loan Terms?


There are many factors that determine your credit score. It is important to always pay debts and bills on time, to carry no more than a 30% balance out of your available credit, and to have as long a credit history as possible with old accounts from established institutions. There are other factors, but if these are observed alone, it’ll make a big difference in your credit score.