Best Small Business Loans for Women

Women-owned businesses can get the funding they need from traditional banks, online lenders and small business grants.

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Written by
Katie Ziraldo
Updated on: May 30, 2025

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Financing options for women entrepreneurs

Fundbox: Best for startup businesses

Up to $150,000

4.66% for 12-week terms
8.99% for 24-week terms

12 or 24 weeks

Pros
  • Low time in business and annual revenue requirements
  • Next-day funding available
  • No prepayment penalties
Cons
  • Relatively short repayment terms
  • Requires weekly payments
  • May require a personal guarantee

Why we picked it

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With the lowest time in business and annual revenue requirements on this list, Fundbox is our top choice for women-owned startups. As a business line of credit, you can borrow up to $150,000 on an as-needed basis — only paying interest on the amounts you withdraw. If you’re approved, your funds can be available as soon as the next day.

However, with weekly payments spread over just 3 to 6 months, you’ll need to keep a close eye on your business budget to avoid borrowing more than you can realistically afford to repay.

How to qualify

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In order to qualify, you’ll need to meet Fundbox’s criteria of:

  • Minimum credit score: 600
  • Minimum time in business: 3 months
  • Minimum annual revenue: $30,000
See Your Business Loan Offers Read Our Expert Review

American Express Business Line of Credit: Best for borrowers with good credit

$2,000 to $250,000

3.00%  3% to 9% for 6-month terms
6% to 18% for 12-month terms
9% to 27% for 18-month terms
12% to 18% for 24-month terms
Each draw counts as a separate installment loan. Single-repayment loans will have different rates and terms.

6 to 24 months

Pros
  • Speedy application process
  • Only pay interest on withdrawn amounts
  • No penalty for repaying your loan early
Cons
  • Requires a personal guarantee
  • Only select customers qualify for initial credit lines over $150,000
  • High late payment fees

Why we picked it

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Women entrepreneurs with strong credit profiles may want to consider a business line of credit from American Express. Starting rates are significantly lower than what you’re likely to find with other lenders, but only the most qualified of applicants will be able to take advantage of them.

With credit limits up to $250,000, you can borrow what you need, when you need it — only paying interest on the withdrawn amounts. However, a personal guarantee is required, and only customers with a pre-existing relationship with American Express will be able to qualify for initial line sizes over $150,000.

How to qualify

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In order to qualify, you’ll need to meet American Express’s criteria of:

  • Minimum credit score: 660
  • Minimum time in business: 12 months
  • Minimum annual revenue: $36,000
See Your Business Loan Offers Read Our Expert Review

Credibly: Best for borrowers with bad credit

$25,000 to $600,000

11.00% Credibly's minimum rate is a 1.11 factor rate. This means you'd repay 11.00%, plus any additional fees, on top of the amount borrowed.

6 to 24 months

Pros
  • Low minimum credit score requirement
  • Potential for same-day funding
  • Early payoff discount for qualified borrowers
Cons
  • High annual revenue requirement
  • Requires daily or weekly payments
  • Factor rate makes it difficult to compare against other loan offers

Why we picked it

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While Credibly considers your credit score, it also looks at factors such as your company’s overall financial health when determining eligibility. Because of this, and its low credit score requirement of 500, it’s one of our top picks for a bad credit business loan. You can borrow up to $600,000 to cover inventory, rent, supplies, payroll, marketing campaigns and more.

However, despite its lenient credit score and time in business requirements, Credibly sets a high bar with annual revenue — your business will need to earn $15,000 or more per month to qualify. Credibly also uses a factor rate to advertise the cost of borrowing, which can make it harder to compare against other loan offers.

How to qualify

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In order to qualify, you’ll need to meet Credibly’s criteria of:

  • Minimum credit score: 500
  • Minimum time in business: 6 months
  • Minimum annual revenue: $180,000
See Your Business Loan Offers Read Our Expert Review

OnDeck: Best for fast funding

$5,000 to $250,000

31.30%  Minimum APR offered to at least 5% of customers (not the lowest rate offered)

Up to 24 months

Pros
  • Potential for same-day funding up to $100,000
  • Helps build business credit
  • Offers prepayment and loyalty discounts
Cons
  • Requires daily or weekly payments
  • Not available in North Dakota
  • Higher starting rates than other lenders on this list

Why we picked it

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If you need fast funds to pay for emergency expenses, a term loan from OnDeck could be a good fit, allowing you to potentially receive your funds as soon as the same day you apply. To qualify, you’ll need to apply before 10:30 am on a business day, and you can’t be located in California or Vermont. Businesses that don’t meet the criteria for same-day funding will still receive their funds within two to three business days.

Loans go up to $250,000 and can be used to cover things like supplies, inventory, equipment, payroll and more. OnDeck also offers online resources to set women-owned businesses up for success. However, you may be able to find more affordable financing elsewhere, especially if you have a good credit score.

How to qualify

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In order to qualify, you’ll need to meet OnDeck’s criteria of:

  • Minimum credit score: 625
  • Minimum time in business: 12 months
  • Minimum annual revenue: $100,000
See Your Business Loan Offers Read Our Expert Review

iBusiness Funding: Best for financing large purchases

$25,000 to $500,000

7.49%

6 to 60 months

Pros
  • Lengthy repayment terms
  • Lower rates than many alternative lenders
  • No application fees or prepayment penalties
Cons
  • Charges an origination fee
  • Requires collateral and/or a personal guarantee
  • Must be in business for at least two years to qualify

Why we picked it

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If you need to finance a large purchase and would prefer not to rush to repay your debt, a term business loan from iBusiness Funding could be the solution. If you meet its criteria, you can receive up to $500,000 in as little as two business days, with repayment terms lasting as long as 60 months. Plus, there are no prepayment penalties if you pay off your debt ahead of schedule.

The company also offers SBA loans up to $5,000,000 — though the timeline to funding may be longer. If you need a quick time to funding, it’s a good idea to talk with the lender about your timeline.

iBusiness Funding offers personalized attention to all of its clients — regardless of gender, ethnicity or background. However, a personal guarantee may be required to secure your loan.

How to qualify

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In order to qualify, you’ll need to meet iBusiness Funding’s criteria of:

  • Minimum credit score: 640
  • Minimum time in business: 24 months
  • Minimum annual revenue: $50,000
See Your Business Loan Offers Read Our Expert Review

Huntington National Bank: Best for SBA loans

$1,000 to $150,000

10.50% to 14.00% 14% for loans $50,000 or less
13.5% for loans $50,001 to $250,000
12% for loans $250,001 to $350,000
10.5% for loans above $350,000
Some borrowers may qualify for lower rates. Based on the current prime rate of 7.50% + a rate maximum set by the SBA.

12.50% to 15.50% 15.5% for loans $25,000 or less
14.5% for loans $25,001 to $50,000
13.5% for loans $50,001 to $250,000
12.5% for loans above $250,000
Some borrowers may qualify for lower rates. Based on the current prime rate of 7.50% + a rate maximum set by the SBA.

Not disclosed

Pros
  • SBA Preferred Lender with an expedited application process
  • No origination or SBA fees
  • Provides additional resources to support women-owned businesses from startup to expansion
Cons
  • Slower funding speed than non-SBA lenders
  • May require a down payment of 10% or more
  • Doesn’t disclose terms or eligibility requirements

Why we picked it

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If you’re interested in SBA loans for their longer loan terms and capped interest rates, Huntington National Bank offers an SBA loan program that provides additional resources for women. The Lift Local Business program supports women-owned businesses from startup to expansion with free entrepreneurial courses and business planning support.

As an SBA Preferred Lender, Huntington may be able to process and fund your loan in as little as two weeks, while other lenders may take up to two months or longer. Though the specific loan terms are not publicly disclosed, Huntington states that its local business loan comes with longer repayment terms to make your payments more manageable. However, the bank does not disclose the specific criteria you’ll need to meet to qualify.

How to qualify

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Huntington doesn’t disclose the minimum credit score, time in business or annual revenue you’ll need to qualify. To find out if your business qualifies for a loan, contact the lender directly.

See Your Business Loan Offers Learn more

National Funding: Best for financing equipment

$5,000 to $150,000

Not disclosed

24 to 60 months

Pros
  • No down payment required
  • Potential early payoff discounts
  • Lowest payment guarantee for equipment leasing
Cons
  • High annual revenue needed to qualify
  • Charges an origination fee
  • Doesn’t disclose starting rates for equipment financing

Why we picked it

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Businesses needing to purchase or upgrade equipment can borrow up to $150,000 with National Funding’s equipment financing and leasing program. No down payment is required, though you’ll need to pay an origination fee. If approved, funds could hit your bank account in as little as 24 hours. And while some lenders charge prepayment penalties, you can get a discount when you repay your debt early.

National Funding also offers a Lowest Payment Guarantee for its equipment leasing, which applies if you find a better leasing rate with the exact terms and conditions and without contingencies.

How to qualify

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In order to qualify, you’ll need to meet National Funding’s criteria of:

  • Minimum credit score: 600
  • Minimum time in business: 6 months
  • Minimum annual revenue: $250,000
See Your Business Loan Offers Read Our Expert Review

Bluevine: Best for covering ongoing costs

$5,000 to $250,000

7.80%

Up to 12 months

Pros
  • Potential for same-day funding
  • No prepayment or maintenance fees
  • Potential rate discounts if you open a Bluevine Business Checking account
Cons
  • Same-day funding could incur a fee
  • May require weekly payments, depending on your repayment plan
  • Not available in Nevada, North Dakota or South Dakota

Why we picked it

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If you’re looking for flexible funds you can borrow anytime an unexpected business expense pops up, Bluevine’s business line of credit may be one of your best options. You can borrow money as needed up to $250,000 — and with competitive starting rates and no monthly maintenance fees, it’s relatively affordable, especially if you have a good credit score.

However, you’ll need to meet stricter criteria to qualify for a monthly repayment plan, otherwise weekly payments will be required.

How to qualify

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In order to qualify, you’ll need to meet Bluevine’s criteria of:

  • Minimum credit score: 625
  • Minimum time in business: 12 months
  • Minimum annual revenue: $120,000
See Your Business Loan Offers Read Our Expert Review

What is a business loan for women?

A business loan for women is any type of small business financing that offers additional resources, support or coaching to help women entrepreneurs succeed.

It’s important to note that lenders can’t approve or deny a loan application based on gender, race, color or religion, thanks to the Equal Credit Opportunity Act.

That said, many lenders are committed to ensuring that women-owned businesses have access to the same resources and funding opportunities as their male counterparts.

On this page

Types of small business loans for women

You can explore various types of business financing to help fund your business’s growth. Online business lenders tend to have more lenient requirements and faster funding times than traditional banks, although they often charge higher rates and fees.

Here are some common financing options for women business owners to consider:

SBA loans

Though not specifically reserved for women, SBA loans come with favorable interest rates and repayment terms since they’re backed by the U.S. Small Business Administration (SBA). These loans are generally best suited for small business owners who can’t secure traditional financing.

Here are the three most popular SBA loans:

  • SBA 7(a) loans: Up to $5,000,000 for general business expenses. Terms last up to 10 years, or a maximum of 25 years depending on what is financed, with variable rates capped at 10.50% to 14.00%, and fixed rates capped at 12.50% to 15.50%. Rates are based on your loan size and the current prime rate, although your lender may offer a lower rate.
  • SBA CDC/504 loans: Up to $5 million for real estate or equipment purchases. Repayment terms span 10 to 25 years, and interest rates are based on current market rates for treasury issues.
  • SBA Microloans: Up to $50,000 to cover a variety of business costs, including inventory, supplies, furniture, equipment and general working capital. Rates tend to average between 8.00% and 13.00%, and terms may be up to 84 months.

While the SBA oversees the loan program, you must apply directly with an SBA-approved lender. It can often take between 30 to 90 days to receive an SBA loan since the lender and the SBA typically need to review your application.

However, finding an SBA-preferred lender can help reduce the approval and funding timeline to about two weeks.

Term loans

Term loans provide a lump sum of cash with a scheduled repayment and accruing interest. Short-term loans typically need to be repaid in three to 24 months, while long-term loans may give you up to 25 years to repay the debt.

Short-term business loans are generally for smaller amounts of money, but often have high interest rates and fees. Women who have an immediate financial need might be better off with a short-term loan. However, if you need to make a large investment, like purchasing a point-of-sale system or a piece of commercial equipment, a long-term loan could be a better fit.

Business lines of credit

A business line of credit allows business owners to access up to a set credit limit as often as needed. You typically only pay interest on the withdrawn amounts, although some lenders charge additional draw or maintenance fees. Once you’ve repaid the debt, you can withdraw up to your credit limit again.

A line of credit may be a better option over a business loan if you anticipate needing sporadic funds, such as covering seasonal dips in income or to purchase occasional supplies and inventory.

Working capital loans

A working capital loan is a short-term loan designed to finance a business’s day-to-day operations, such as payroll, rent, utilities, supplies and more. The repayment timeline will depend on your loan type and lender, with some lenders requiring daily or weekly payments.

Equipment loans

Equipment financing helps businesses purchase expensive equipment like vehicles and machinery, with the equipment often acting as collateral to secure the debt.

You can also consider equipment leasing if you need to replace equipment often. Some leasing programs give you the option of purchasing the equipment at the end of the term.

How to get a business loan for women

Once you’ve decided to move forward with business financing, you’ll want to ensure the process goes as smoothly as possible. Here are some key steps to take when applying for a business loan.

1. Decide how much money you need

Start by figuring out what you need the money for and creating a plan for how to use it. Then, calculate how much you’ll need to enact those plans.

Next, update your business budget to make sure you can afford the payments on the amount you need. If you have any doubts about your ability to pay back the loan, try paring down your plans for how to use the money and plan out what you’d be able to do with a smaller loan.

Keep tweaking your plans until you find an amount that can help you grow your business without stretching your budget too thin. Consider starting small with something like a microloan to avoid getting over your head with loan payments.

2. Check your personal and business credit scores

Lenders typically review your personal and business credit score to determine your ability at handling debt. If you have yet to build your business credit, lenders will likely rely on your personal credit score when calculating your level of creditworthiness. You can monitor your credit score for free with LendingTree Spring to see where you stand.

3. Research and compare lenders

Shopping around is essential in finding the best loan for your women-owned business. You can start by reading small business lender reviews and making a list of potential lenders that fit your company’s criteria and unique needs. From there, scour each lender’s website to get a better sense of their rates and terms.

If there are any social factors that you plan to consider — like if you prefer to borrow from a nonprofit or a women-owned business — that information is generally available on the lender’s website as well.

Tip: Check with your current bank first

Before reaching out to online lenders across the globe, it’s worth contacting your local bank to see if they offer small business financing. Having an established relationship with a traditional bank can often strengthen your business loan application. Plus, keeping all your business accounts at one bank can make it easier to manage your accounting.

Here are some leading banks for small businesses:

  • Chase
  • Wells Fargo
  • U.S. Bank
  • Capital One
  • Bank of America
  • American Express

Just keep in mind that traditional lenders often require businesses to operate for at least two years before extending credit. However, some banks may offer products geared toward early-stage startups, such as Bank of America’s cash-secured line of credit.

4. Gather required documents

While business loan requirements vary by lender and loan type, here are some standard documents you may need to provide when getting a business loan:

5. Apply and review

Most lenders allow you to apply online with a quick and streamlined process, although some banks and credit unions might require a phone call or in-person visit. If you want to see how your top lenders compare, you can “rate shop” by applying to multiple lenders within a 14- to 45-day window without any further impact to your credit score.

Fully review your business loan agreement to ensure you understand all the terms, rates and fees before signing the dotted line.

How to compare business loans for women

Not all loans are created equal. It’s worth comparing the following key features when picking the best business loan for your women-owned company.

 Interest rate: Business loan interest rates vary by lender, loan type and your credit profile. Some lenders list their rates as variable or fixed, while some charge a factor rate instead of an APR or interest rate. If possible, try to convert your factor rate before proceeding to see how much the loan will cost you.

 Additional fees: Keep an eye out for extra charges like origination fees, late charges or prepayment penalties, all of which can increase a loan’s total cost. Fortunately, many leading lenders don’t charge hidden fees.

 Repayment term: Loan repayment terms can range from a few months to 25 years, with either daily, weekly or monthly payments. Make sure your business budget can handle the repayment schedule.

 Time to fund: While a same-day business loan can help during financial emergencies, fast loans tend to come with higher rates and less flexible terms. If you can afford to wait, you’ll generally receive more competitive rates and terms with a traditional lender or credit union business loan. That said, traditional lenders can take up to two weeks or longer to approve and fund your loan, while SBA loans can take up to 90 days.

 Collateral required: Some lenders offer secured business loans where you need to provide collateral to reduce lender risk. Collateral can be anything of value the lender can seize if you fail to repay the debt, such as real estate, inventory, equipment, money owed to your business or other assets.

 Loan purpose: Depending on the loan type and lender, there may be restrictions on how you can spend your loan funds. For instance, you can’t use an SBA microloan to pay off existing debt or purchase commercial real estate. If you want the most flexible form of financing, a working capital line of credit could be just right for you.

Challenges women entrepreneurs face in business financing

Even though over 39% of businesses in the U.S. are owned by women, and the Equal Credit Opportunity Act makes it illegal for lenders to discriminate against borrowers based on sex, many women still experience challenges and obstacles when trying to fund and grow their companies.

A study conducted by the Federal Reserve shows that more women-owned companies operate at a loss than their male counterparts (44%, versus 32% of men-owned businesses). And when it comes to funding, men are more likely to get business loans fully approved — 54%, versus 44% for women.

There is some investor bias at play here, too. For example, only 2% of total investments went to businesses with only female founders in 2024. Unfortunately, venture capitalists (VC) may harbor unwarranted concerns about a woman’s ability to successfully run a business while maintaining the more traditional role of mother and wife. In fact, a Harvard study showed that investors prioritized pitches made by male entrepreneurs, even if the overall business idea was identical.

Based on these statistics, it’s clear more needs to be done to close the gender gap to ensure female leaders receive their fair share of resources. Working with a lender who focuses on supporting women-owned businesses can help female leaders claim what they deserve in the world of business.

Women’s small business grants

Provided by government agencies, corporations and nonprofit organizations, small business grants can help women-owned businesses grow to new levels. Unlike a loan, you normally don’t have to repay grant funds.

Securing a grant can be highly competitive and usually involves an application process. Typically, you would explain why your company needs the money, how you plan to use it and why your business is the best candidate for the grant.

Here are a few popular small business grants for women. You can also explore women-owned business grant programs on Grants.gov.

1. Amber Grant

WomensNet awards three $10,000 grants to women-owned businesses every month, including the Amber Grant, Startup Grant and Business Category Grant. All recipients are entered to win additional funding through one of the three $25,000 Annual Amber Grants.

2. The Cartier Women’s Initiative

Every year, The Cartier Women’s Initiative (CWI) awards three grants to women-owned businesses across nine regions. First place gets $100,000, second place gets $60,000 and third place gets $30,000. Awardees are also eligible to participate in a fellowship program, which provides 1:1 training and community workshops.

3. HerRise Microgrant

With the goal of bridging racial equity gaps, the HerRise Microgrant awards $1,000 grants each month to women of color who generate less than $1 million in gross revenue.

4. EmpowHer Grants

EmpowHer Grants provide early-stage funding for women-owned businesses. Applicants can receive grants up to $25,000, which are awarded as a reimbursement for business-related expenses. Recipients will also gain access to financial, marketing and industry professionals who they can turn to for coaching and mentorship.

5. Tory Burch Foundation

The Tory Burch Foundation selects up to fifty women entrepreneurs to participate in an annual fellows program, which provides business support through workshops, coaching sessions and networking opportunities. Participants will also be given a $5,000 education grant and access to business loans with zero interest.

Other resources for women-owned businesses

Alternatives to business loans for women

Taking out small business loans can be a valuable way for women entrepreneurs to finance their ventures. However, they aren’t the only way for women to secure funding.

Accounts receivable factoring

Accounts receivable factoring, or invoice factoring, involves a business selling its unpaid invoices at a discount for immediate cash. The factoring company then collects on the invoices, charging a fee before sending you the remaining amount.

While this funding option has potentially high fees, it could be an ideal option for women with bad credit, especially since factoring companies don’t typically require high credit scores.

Merchant cash advances

A merchant cash advance (MCA) is a lump-sum payment to a business from a lender. The business pays the money back over time from the money it makes on debit and credit card transactions. The lender takes a small percentage of those transactions each day until the borrower pays off the loan. Businesses that use merchant cash advances incur fees for the convenience of getting money upfront on future earnings.

Business credit cards

Business credit cards can help cover low-cost everyday expenses, such as travel and meals. Similar to a line of credit, you can use it when you need it, only paying interest on what you use.

However, interest rates tend to run high. Unless you can pay off the balance each month, you’re probably better off with a traditional loan or line of credit.

Crowdfunding

Crowdfunding allows you to collect donations from your friends, family and the general public via an online platform, such as GoFundMe or Kickstarter. In most cases, businesses don’t need to repay the money your business crowdfunding campaign raises. And fees tend to be reasonable: For example, GoFundMe charges 2.9% plus $0.30 per donation.

However, businesses typically offer investors some kind of perk, like a first-run product or a T-shirt with the company logo.

Peer-to-peer loans

Peer-to-peer lending is a practice that matches individual lenders with would-be borrowers. Instead of borrowing from a financial institution, you borrow from a person or a group of people who see your loan as an investment that provides a return. In some cases, peer-to-peer loans can help you get funding that you may not be able to get through traditional types of loans.

Commercial loans

Commercial real estate loans are similar to residential mortgages, but they’re connected to a commercial property. Unlike residential mortgages that usually have 30-year terms, the terms of commercial mortgages are generally more flexible. Instead of just considering the value of the property in a commercial mortgage, lenders also weigh its potential for income, too.

How we chose the best business loans for women

We reviewed more than 20 small business lenders to determine the overall best eight business loans for women. To make our list, lenders had to meet the following criteria:

  • Eligibility requirements: To include financing options for a variety of women-owned businesses, we included lenders with a wide range of credit score, time in business and annual revenue requirements, focusing on the best lenders for specific situations.
  • Rates and terms: We looked for transparent lenders that disclose their general rate ranges with no hidden fees, as well as those without prepayment penalties.
  • Repayment experience: We favored lenders that report to all major credit bureaus, offer reliable customer service and provide any unique perks to customers.
  • Additional resources for women: We prioritized lenders that offer additional programs, resources and support for women-owned businesses, such as providing free educational classes or discussing the gender inequality gap in business on blogs or podcasts.

Frequently asked questions

If you are a startup with no money, you’ll likely have to implement several methods to get your business idea off the ground. You could approach family and friends to ask for donations, or launch a crowdfunding campaign to collect money from a wider audience. Additionally, there are some grants for women to start a business.
 
Depending on how lucrative your business model seems, you might have luck getting equity financing via a venture capitalist firm. And if you’re still juggling a full-time job, you can set aside some of your earnings to bootstrap your startup with your own funds.
 
You can also explore startup business loans for women, although most lenders prefer startups to have at least six months under their belt.

Despite there being approximately 14 million women-owned businesses in the U.S. today, female entrepreneurs continue to face gender inequality when it comes to small business financing.
 
Lenders can’t legally discriminate against female business owners, but studies have shown that women typically receive less funding than their male colleagues. For example, the average loan amount for women-owned businesses in 2024 was $67,035, compared to an average loan size of $80,140 for men-owned businesses.
 
That said, many lenders are focusing on supporting female business leaders by providing additional resources and business coaching classes. By connecting with a women-centered lender, your women-owned business can get a head start with financing.

If you work on government contracts, it could be worth taking the steps to get certified as a women-owned business. Doing so could make you eligible for government “set asides,” which are contracts the government reserves for small businesses like women-owned companies.
 
You can get your women-owned small business (WOSB) certification for free by applying directly through the U.S. Small Business Administration (SBA). You must have an active registration in the System for Award Management, as well as all required documents on hand.
 
You can also obtain your WOSB certification through the following third-party organizations. Each organization has specific requirements and fees.