Can You Get a Long-Term Business Installment Loan Without a Credit Check?

Can You Get a Long-Term Business Installment Loan Without a Credit Check?

Can You Get a Long-Term Business Installment Loan Without a Credit Check?

A long-term installment loan can provide valuable capital to help you run or expand your small business. If you’re looking for long-term installment loans with no credit check, though, you may end up disappointed — that is, if you haven’t already been pre-approved.

However, there is financing available, primarily online, even if you don’t have good credit or high income. The key is to know where to look and how to improve your chances of approval.

Long-term installment lenders we’ll cover:

  • Fundation: Loans of up to $500,000 with rates ranging from 8% to 30%.
  • LendingClub: Financing of up to $500,000 with interest rates ranging from 9.77% to 35.98%.
  • Funding Circle: Borrow up to $500,000 at a rate of 5.49% to 27.79%.
  • SmartBiz: SBA loans of up to $5 million, with rates ranging from 7% to 9.25%.

We’ll also discuss some short-term loan options with no credit check that can be helpful.

Is it possible to get a long-term loan with no credit check?

Long-term installment loans are a big commitment for both you and the lender. As a result, you’ll be hard-pressed to find one that doesn’t require a personal or business credit check when you apply. 

That’s because the lender wants to understand how likely you are to repay the debt before it approves your application. If you have poor personal credit and your business credit history isn’t yet established, or it’s also not in good shape, you may have a difficult time getting a loan request approved with most commercial lenders.

Of course, there are some business financing options that you can find online and qualify for without a credit check, including merchant cash advances and invoice factoring. You will likely still have to furnish financial documents

Merchant cash advance

A merchant cash advance involves getting a loan based on your future credit card sales. The lender then receives payment through a percentage of your daily credit card sales until it’s paid in full.

Merchant cash advances are relatively easy to get, offer quick money, and not all lenders require a credit check. However, they’re incredibly expensive, charging APRs of up to 350%, so think twice before you apply.

Invoice factoring

Invoice factoring is technically not considered a business loan, so there’s typically no credit check required.

Unlike invoice financing, where you receive an advance based on an outstanding invoice as a form of collateral, which is then paid back when you receive the full amount, invoice factoring involves selling the rights to the invoiced funds to a company.   

Invoice factoring can get you quick access to funds you’ve already done the work for, but you’ll typically only receive a percentage of the amount you invoiced. As such, it’s generally best to consider it only as a last resort, especially if you’re confident your customers will pay and you can make do until that happens.

What to consider when looking for long-term installment loans with no credit check

Long-term installment loans typically give you a period of time of at least a few years of payments to pay back what you owe, with some providing repayment terms of up to 30 years. They also typically offer much lower interest rates than what you might get with a short-term business loan.

That said, there’s only one major commercial lender that offers long-term installment loans with no credit check: American Express. There is, however, a catch. Here’s what to know about it and other lenders — that do run credit checks — before you apply.


Fundation does run a credit check on applicants, but the lender’s credit standards are relatively low compared with many others. To get approved online, you need to have a credit score of at least 600, two years or more in business and minimum annual revenues of $100,000. You also need at least three employees.

If you qualify, you can borrow between $20,000 and $500,000 at an APR of 8% to 30%. You’ll have monthly payments for between one and four years to repay the debt, depending on the terms of your loan.

The lender also offers quick approval and funding. While the average approval time is three to five days, it can happen on the same day you apply.


Marketplace lending platform LendingClub also runs a credit check on applicants online, but you may be able to qualify with fair personal credit or better — according to FICO, a fair credit score starts at 580. You’ll also need a minimum of one year in business and $50,000 in annual revenue.

Instead of providing loans itself, LendingClub offers quotes from multiple small business lenders based on your creditworthiness. You can qualify for a long-term installment loan of $5,000 to $500,000, depending on your needs, with repayment terms ranging from six months to five years.

Interest rates range from 9.77% to 35.98%, and there’s an origination fee of 3.49% to 7.99%.

Funding Circle

Funding Circle provides installment loans of $25,000 to $500,000 to small business owners who qualify. Eligibility requirements include a FICO score of 620 or higher, two years or more in business and business revenue of at least $150,000 on your most recent tax return.

There are also some things that can keep you from getting approved, such as being a sole proprietor, having a bankruptcy on your credit report, having a history of felonies or financial criminal activity and having more than four personal or business tax liens in the past decade.

If you meet those criteria, you’ll typically get an approval decision within three days and lump sum funding within 7-10 days. Interest rates can range from 5.49% to 27.79%, and there’s an origination fee of 3.49% or 4.99%.


If you’re looking for an SBA 7(a) loan, you may be able to get one online through SmartBiz. The marketplace platform has a minimum credit score of 640 for SBA 7(a) Working Capital and Debt Consolidation Loans and 660 for SBA 7(a) Commercial Real Estate Loans.

Other basic requirements include being in business for two years or more, having at least $100,000 in annual income and not having certain negative items on your credit report.

If you qualify, you can borrow from $30,000 to $350,000 with a working capital or debt consolidation loan or between $500,000 and $5 million on a commercial real estate loan. Working capital loans have a 10-year repayment plan with monthly payments, and real estate loans go as long as 25 years of payments.

SBA loans are worth considering because of their low interest rates, which range from 7% to 9.25%.

How to apply online for a long-term installment loan

Applying for installment loans online can be a simple but time-consuming process. Instead of going with the first offer that comes your way, it’s a good idea to shop around and compare rates, fees and other terms.

This process can take a long time, however, if you’re looking up individual lenders separately. If you register an account with Nav, it’s possible to get quotes from multiple lenders in one place based on your credit score.

Be sure you have the capabilities to upload important documentation for your loan, such as tax documents, financial statements, checking account information to verify income, etc.

After you’ve compared the different options, check with the lender to find out what their eligibility criteria are before you apply. If you’re good to go, continue to the lender’s website to apply online. If you don’t, go with your second choice and follow the same steps until you find a lender that’s a good fit and can get you the money you need.

How can I get an installment loan with bad credit?

If your credit is considered poor, you’ll have a tough time getting approved for a long-term installment loan offer for your business. In this scenario, it may be best to take some time to improve your credit before you take the next step and fill out a loan application.

If you need cash now, merchant cash advances, invoice factoring and short-term installment loans for bad credit may be your best bet. You may also want to consider a credit card that reports positive payment activity to the personal credit bureaus.

As you’re searching for a good financing option online, watch out for lenders that promise bad credit long-term loans with guaranteed approval. These loans either charge exorbitant interest rates and fees or are scams. Do yourself and your business a favor and avoid them.

The bottom line

Long-term installment loans can provide the funding you need to take your business to the next level or just cover basic operating expenses. But if your credit is less than stellar, you may have a hard time finding one, especially from a lender that doesn’t run a credit check.

Instead, compare some of the lenders we’ve reviewed and other online financing options to find the best fit for you, considering fees, rates, repayment terms and other features. Also, look at some local credit unions. This process can take time, but doing it right can save you a lot of money in the long run.

This article was originally written on June 18, 2019 and updated on March 23, 2023.

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