Where can I get the best commercial loans for my business?

It’s critical to practice money management and money mindfulness as a business owner. Commercial business loans are in high demand, and rightfully so. If a borrower misses a payment, their assets aren’t immediately jeopardized.

Commercial loans do not require you to put up any collateral as security for the money you borrow. A secured loan, also known as a collateralized loan, requires you to put up assets to help the lender mitigate the risk of allowing you to borrow money. Assets include things like real estate, automobiles, and significant machinery and equipment, but they can also include things like marketable securities, invoices, and other cash and non-monetary assets.

What is a commercial business loan

Some business owners would rather go for a commercial business loan than risk their other assets on a loan. Unsecured does not necessarily imply that it is the best option. A secured loan may be granted because a poor credit score classifies a company as dangerous, necessitating a safety net. A secured loan may also be offered because it has cheaper interest rates, longer durations, or even bigger loan amounts. Because of this security, the lender may be able to offer more favorable rates and terms. Furthermore, obtaining a commercial loan does not indicate that your belongings are untouchable; it simply means that they are more difficult to obtain. If you default on an unsecured company loan, the lender cannot seize your property, however with due legal process, they may still be entitled to recouping their losses. 

A secured business loan can help you save money on interest if you don’t see any reason why you won’t be able to make your payments. Here’s everything you need to know about unsecured business loans, including the best options.

Minorities & Commercial Business Loans

Minority-owned businesses are more likely to be rejected loans, according to a 2010 research by the Minority Business Development Agency titled “Disparities in Capital Access between Minority and Non-Minority-Owned Businesses.”

Loan denial rates for minority-owned businesses were 42 percent compared to 16 percent for non-minority-owned businesses with gross receipts under $500,000. The rate of loan denial for minority enterprises was nearly twice as high as for non-minority firms in high sales firms.

The bank’s qualifications determine whether or not a loan is approved. Banks require a lot of collateral, a good credit score, and a lot of money, which can be difficult to get by depending on your socioeconomic status. Despite the fact that small companies are an important part of many communities’ economies, banks rarely lend to minority-owned firms. For these reasons, unsecured business loans for minorities are becoming more popular.

Top Commercial Business Loans

Whether you don’t have any assets to pledge or just don’t want to, the best unsecured business loans can provide your company with the funds it needs to expand without putting your valued assets on the line. Each provider’s needs and offers will be unique. Here are some of the best unsecured business loans to consider:


Kabbage provides unsecured business lines of credit with loan amounts ranging from $2,000 to $250,000. This quick cash is available at rates ranging from 1.5 percent to 10%, and keep in mind that you only pay interest or advance fees on what you borrow with a business line of credit. To be eligible, your company must be at least one year old and generate at least $50,000 in yearly revenue. Credit ratings of 550 are acceptable, therefore it’s not a problem if you have bad credit. While Kabbage is an unsecured company line of credit, it does require a personal guarantee. If you default on a payment and your business does not have enough assets to pay off the lender, your personal assets may be seized.


Short-term unsecured business loans and unsecured lines of credit are available through OnDeck Capital. Interest rates range from 13.99 percent to 36 percent, or as low as 9% if you’re a strong borrower offered their special prime rate. Financing from $5,000 to $500,000 can be put in our bank account in a matter of days with interest rates ranging from 13.99 percent to 36 percent, or as low as 9% if you’re a strong borrower offered their special prime rate. Loan terms range from three to 36 months, but if you pay off your loan early, you will still be responsible for the full amount of interest. OnDeck demands a minimum of one year in operation and $100,000 in annual revenue. You can borrow more money at lower rates than Kabbage, but you’ll still have to sign a personal guarantee in case your firm fails.


While BlueVine is best known for invoice financing, the company also offers unsecured business lines of credit up to $250,000. You must have been in business for at least six months and have a credit score of 650 and yearly income of at least $100,000 to qualify. BlueVine offers weekly or monthly repayment alternatives with simple interest rates as low as 4.8 percent for maturities ranging from six to twelve months. Although this is an unsecured loan, BlueVine will want some form of security when lending out $5,000 to $250,000. The funder will need a personal guarantee as well as a blanket UCC filing to do so. A blanket UCC means if your business goes under, they are first in line to collect your business assets before anyone else who provided your business with financing. 


Due to a lack of history and assets, startups have the most difficulty obtaining financing, but with FundBox, firms just need to be in operation for six months before applying. FundBox provides up to $100,000 in unsecured business lines of credit. FundBox is a good option for businesses because there are no hidden costs like origination or underwriting fees. Their initial interest rate of 4.66 percent puts them on level with their competition. FundBox’s revolving credit durations are shorter, ranging from 12 to 24 weeks, and you can re-borrow principal as many times as you return it. The type of collateral required varies; you may have a blanket UCC filing, or you may require a personal guarantee for bigger sums. This lack of security is why FundBox has shorter terms and smaller amounts than competitors. 

Lending Club

Lending Club is the ideal option for firms looking for medium-term unsecured business loans. An uncollateralized loan of between $2,000 and $250,000. is available to business owners. Interest rates start at 7.9%, which is comparable to a bank, but there is an origination fee. You’ll need a credit score of 620 or higher, yearly revenue of $50,000 or more, and at least one year in business to qualify for these lower rates and longer terms. If you match the requirements, you might get $5,000 to $300,000 over one to five years at interest rates ranging from 5.9% to 25.9%. Lending Club can give quick cash, but you’ll want to make sure your company hasn’t had any recent financial disasters.

Pros and Cons of Commercial Business Loans

Commercial funding is appealing since it looks to have little to no risk for the borrower on the surface. However, while it is a popular financing choice, there are advantages and disadvantages to consider.

  • Helps minority and beginning enterprises that don’t have enough assets to qualify for a bank loan.
  • With minimal paperwork, it’s quick and easy.
  • The assets of a company are not directly at danger.
  • Credit scores are more important than asset liquidity, allowing you to borrow more money than your assets can support.
  • Higher interest rates to reduce the lender’s risk
  • Personal guarantees, blanket UCC filings, and COJ filings are still in place.
  • To qualify, your credit score and history are far more crucial.
  • Shorter terms to reduce the lender’s risk

The most important thing to remember when looking into the best commercial business loans is that even if the loan is uncollateralized, it will still have an impact on your firm if you default. An unsecured loan should not be used to save your business assets if you are doubtful about your ability to repay it; rather, it should be used to obtain capital if you have no assets or require more than your assets can support. If your firm is unable to repay the loan, you will be required to produce collateral. As a result, many entrepreneurs turn to unsecured business lines of credit to ensure that they only spend what they can afford to repay.

New York Tribeca Group

New York Tribeca Group offers commercial business loans in two ways: by partnering a company with another lender or by providing merchant cash advance funding. Because a COJ is used, merchant cash advances are unsecured, which means you don’t require security, but if you default, the lender can still reclaim its losses through your company’s assets. While New York Tribeca Group can give finance up to $5 million, an unsecured loan of up to $2 million can be obtained with purchase rates ranging from 14 to 32 percent. You’ll need a 520 credit score and $50,000 in annual sales after six months in operation to qualify. The stronger you are in each of these categories, the more likely you are to get more money with lower rates. 

Got some questions?

This is a financing option that allows businesses to receive early payments on their outstanding invoices.  This allows companies to us their funding at their own pace. This helps improve business investments.

This is a preferred option for the business because of the flexibility.  They have fast approval, flexible credit, and minimal paperwork. But they also come with high interest rates, invoices are needed as proof collateral, and their approval rates are low.

The best way to describe it is when a borrower leverages their assets to receive financing. This is when the money that is owed from your customers can help you to qualify for a loan.

At NYTG, we want to be the best lender for you. We believe in getting you the best deal for your business. 

It’s important to have a healthy business overall. A good credit score is important but it is not the major key to making or breaking your approval rate for an invoice.

Filling out our online application  only takes 5 minutes and we can find you the best options from there. If you’d like to give us a call and speak to one of our representatives, we’d be happy to answer any questions you may have. 

We ask that you have the numbers for your credit score, length in business, and monthly revenue ready to go. These are the major factors we consider when making our decision.  

Meeting minimal requirements still gives you a likely chance. 

Get started now. Have working capital today.

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