Are There Same-Day Business Loans With No Credit Check?
When your business needs fast financing, traditional banks and credit unions often can’t move quickly enough — leaving you waiting weeks or even months for the capital you urgently need.
But thanks to the growth of alternative and online lenders, business owners can now secure same-day or next-day business loans, with no credit check in some cases. Learn about these flexible funding options and how to choose the right lender for your company.
What Are Same-Day Business Loans?
With a same-day business loan, the lender transfers approved funding to you on the same business day you apply or within 24 hours.
The quick turnaround of this type of loan allows business owners to:
Meet unexpected bills like emergency repairs or tax demands
Cover costs like payroll, rent, and other expenses if revenue is down
Take advantage of opportunities like supplier discounts on volume orders
Same-day financing can provide you with the cash you need within hours. Meanwhile, with standard types of financing, like traditional business loans, you may have to wait weeks or months for a decision.
Do Business Loans With No Credit Check Exist?
Yes, there are no-credit-check loans available, but they can be hard for business owners to find. That’s because your credit history is important to most traditional and alternative lenders.
A person’s credit history is a gauge of their creditworthiness, which tells the lender how risky the loan is. Risky borrowers are those with low credit scores or negative marks on their credit report. They are seen as more likely to default on a loan, meaning the lender doesn’t get repaid.
When a lender checks your credit, they may look at any combination of the following:
Business credit score
Personal credit score
Credit reports from one or all of the three credit bureaus (Experian, Equifax, and TransUnion)
Many lenders will set a minimum credit score as part of their eligibility criteria. For example, Backd looks for a FICO Score of 650 or higher, while SBA loan applicants generally need a credit score of 640 or higher.
If you have a good credit score — your score is equal to or higher than a lender’s minimum — they’re more likely to approve your loan application.
If you have a bad credit score — your score is lower than their minimum — they’re more likely to reject your application or charge you a higher interest rate.
Hard Credit Check vs. Soft Credit Check
Lenders can either run a hard credit check or a soft credit check:
Hard credit check: This is a detailed look at your credit history. It shows all your credit account details, including your debt balances, repayment history, credit limits, and past defaults. Lenders can see other loans you’ve applied for. A hard credit check may also slightly lower your credit score.
Soft credit check: This is like a preview of a hard credit check. They’ll see your credit score but not detailed account information like your balances, individual debts, or missed payments. A soft credit check doesn’t affect your credit score or show on your report.
Many lenders who advertise that they offer no-credit-check loans do run soft credit checks during the application process. For example, Backd uses soft credit checks during the approval process for their funding options.
8 Options for Same-Day Business Loans With No Credit Check
Here are eight different finance options where funds are received quickly and some lenders do not run hard credit checks on borrowers during the loan approval process.
1. Equipment Financing
Equipment financing can help with the purchase of equipment and machinery. Equipment loans are secured with the assets themselves. This means if you can’t keep up with the repayments, your lender will repossess the item from you.
Because lenders have this security, they are less concerned about your credit history and may not need to run a hard credit check to approve your application. Whether you can get the loan within one business day will depend on the lender.
2. Business Credit Cards
When it comes to business credit cards, there are a couple options. Most providers will run hard credit checks on borrowers, similar to when you apply for a personal credit card.
But if you have a low credit score, you can look into an EIN-only credit card. This is a credit card that’s tied to your business EIN instead of your personal SSN. Some providers in this space don’t require a credit check or will only perform a soft pull.
Another alternative is to get a secured credit card. With this small business financing option, you will pay a security deposit equal to your credit limit. While a credit check will still be run for this type of credit card, the deposit makes them less risky for the card provider. So they can be a good option if you have no or little credit.
You can get same-day approval from some credit card providers, but it may take 7-10 business days to receive your card in the mail. However, check to see if a virtual card is available that you can begin using right away.
3. Merchant Cash Advances
Merchant cash advances (MCAs) are a popular type of bad credit business loan. You don’t need to provide a personal guarantee or offer your lender security. Some MCA lenders don’t run hard credit checks, while others do. Many will provide same-day funding.
However, MCAs are a very expensive business funding option and come with a lot of risk.
With a merchant cash advance, you borrow against your future credit and debit card sales. You then pay a factor rate of between 1.2 and 1.5 on the loan amount. So, if you borrow $10,000 and your factor rate is 1.5%, you’ll owe the lender $15,000 in total repayments. You then give the lender a fixed percentage of your daily debit and credit card sales until you’ve settled the loan in full.
Merchant cash advances are very short-term loans with repayment terms of a few weeks or months. If you operate on a low profit margin and your revenue dips before you’ve paid the loan off, this may trigger a cash flow crisis because the daily repayments keep going even when your sales slow down.
4. Revenue-Based Financing
Revenue-based financing is similar to a merchant cash advance:
You borrow against your future sales.
You pay back the loan by giving your lender a fixed percentage of your monthly turnover until the debt is cleared.
While an MCA is often used by restaurants, salons, and retail stores, revenue-based financing is better for tech startups, SaaS companies, and ecommerce businesses due to the higher loan amounts and longer repayment terms.
Like with an MCA, many revenue-based finance lenders offer no credit check or soft-pull-only financing and same-day approvals.
5. Invoice Factoring
Invoice factoring is a popular alternative financing solution to small business loans. With invoice factoring, you sell your unpaid invoices to a lender and they reimburse you up to 90% of the invoice value on the same day or the following day. They pay the remainder minus the factoring fee into your business bank account when your client settles their bill.
As for credit checks, factoring companies often don’t consider your credit history. Instead, they’re more concerned with the credit history of your customers. That’s because your customers are ones who need to pay in order for the lender to get repaid.
6. Working Capital Advances
If your business needs to access extra funding and you don’t want to impact your personal credit, a working capital advance is a popular option. Companies use working capital advances to help them bridge short-term cash flow gaps caused by seasonal fluctuations, inventory needs, or unexpected equipment costs.
Backd offers working capital advances with no hard credit check. You can apply online in a few minutes, and if approved, you’ll receive the funding within 24 hours.
7. Business line of credit
Another option for companies needing same-day or next-day funding with no hard credit check is a business line of credit. Unlike a standard loan, a business line of credit gives you a flexible funding pool you can dip into repeatedly, as long as you stay within your credit limit. Whenever you make a repayment, you can borrow that money again.
Backd offers soft-credit-check-only business lines of credit with funding of up to $750,000. This financing option is ideal for managing short-term needs, like payroll, equipment purchases, or other immediate expenses, without waiting days or weeks for approval from a traditional lender. You’ll receive funding within 24 hours of approval.
8. B2B Buy Now, Pay Later
B2B buy now, pay later (B2B BNPL) allows you to make purchases without having the cash upfront. You then make installment payments over the next 12 months.
When your vendor offers BackdPay as a payment option, you apply at checkout and, after a soft credit check, receive an instant approval decision on amounts up to $50,000. The invoice is then paid in full on your behalf, and you set up automatic repayments.
One advantage B2B BNPL has over business credit cards is that the interest rates are often lower, so you save money.
How to Choose a Reputable Lender
Lenders offering same-day business loans with no credit check can provide you with the capital your business needs in a hurry. When it comes to quick and flexible financing, there is a risk of predatory lending. So it’s important to choose the right lender to work with.
Treat the following as red flags:
Very high interest or factor rates
Hidden fees and charges
High-pressure selling
High early repayment charges
Instead, look for the following when seeking a same-day business loan with no credit check:
Transparency about fees
Great customer reviews on sites like Trustpilot, Google Reviews, or Better Business Bureau
Clear documentation and repayment terms
Turn to Backd for Fast Financing
Business owners today have a number of funding options thanks to alternative and online lenders. Better still, you don’t have to wait weeks or months for financing like you would with a traditional bank loan. Instead, you can apply for a same-day business loan with no credit check.
When you apply for funding through Backd, you can receive approval within as little as 4 hours, with just a soft credit pull that won’t impact your credit score.
All you need is a minimum credit score of 650 and monthly revenue of $100,000 to qualify for our two fast and flexible funding options:
Working capital advance: Access between $25,000 and $2 million (minimum one year in business required).
Business line of credit: Borrow between $50,000 and $750,000 (minimum two years in business required).
To be eligible for our lending solutions, you must be based in the U.S., have established business credit, and have a brick-and-mortar address.
Apply now and receive a funding offer within as little as 4 hours.
