Best Business Acquisition Loans in 2021
We’ve included a mixture of specialist acquisition lenders as well as some all-purpose options in our list below. Most platforms can be quite flexible in what you use your funding for but startup loans might have stricter criteria.
Get a loan
$5,000 - $5 million
Starting from 5.5%
You must present a business plan
Funding will usually take around 30 days on average
$5,000 - $250,000
Credit score of 600
Minimum annual revenue of $100,000
Ondeck specializes in fast funding and you could have your cash within 24 hours
$5,000 - 500,000
Fair credit score between 580-669
You can usually get funded within 48 hours
$5,000 - $400,000
9.99% - 45%
A minimum credit score of 500
Minimum monthly revenue of $15,000
$30,000 - $500,000
Starting from 6.99%
A minimum credit score of 660
Minimum of two years in business
Funding usually received within one week
Lendio is one of the largest loan marketplaces in the country. It’s disbursed more than $12 billion in funding since it was founded in 2011 and has partnered with more than 75 lenders. It’s one of the few alternative lenders that offers specific business acquisition loans.
- Low starting rates
- Tailored business acquisition loans on offer
- Generous borrowing limits
- Applications open to all
- Long funding time
- A lot of documentation is required
Lendio offers excellent rates, starting at just 5.5%, and a generous borrowing limit of up to $5 million. Terms are pretty good too and you can repay your loan between a 10 and 25 year period. Best of all, there are no minimum requirements to apply other than needing to submit a business plan, meaning all applicants are welcome.
It’s easy to see why Lendio is our top pick as it’s perfect for even the smallest of businesses looking to apply for an acquisition loan. There’s no hard pull to your credit rating for taking a look at offers, and it’s a good way to see the kind of deals you can get. Read more in the full Lendio review.
OnDeck doesn’t offer a specific business acquisition loan, but it's term loans can be used for any purpose. The platform is a direct lender that offers discounts to repeat customers.
- Very fast funding
- No restrictions on loan use
- Lenient eligibility criteria
- No additional fees
- High interest rates
- Short repayment terms
All of OnDeck’s term loans are intended as short-term products that can be funded quickly, usually within 24 hours. It’s perfect for small businesses that need to make a fast acquisition where time is of the essence. However, this convenience comes at the cost of higher interest rates.
While interest rates might be a little high, OnDeck should be your go-to lender in a pinch. If you need to purchase a business quickly or have an emergency that needs funding there’s a good chance you’ll be accepted. Read more in the full OnDeck review.
LendingClub specializes in low-dollar, short-term loans. Eligibility criteria are quite lenient and it makes the ideal choice for borrowers that need fast funding to buy into a franchise business, or are founding a startup, even though loans can go up to $500,00 .
- Great for startups and franchise acquisitions
- Simple application process
- Fast funding times
- No income requirements needed
- Customers with less than $50,000 in revenue or 12 months in business will not qualify for loans.
- An origination fee will be charged
LendingClub is friendly to new businesses and all applications are welcome as long as you have a credit score between 580-669. The platform can usually arrange funding within 48 hours of being approved.
If you’re looking for a way to fund a new startup, or just need a quick injection of cash, you needn’t look any further than LendingClub. A quick call to the friendly customer service team will help you understand what options are open to you and how best to use your loan. Read more in the full LendingClub review.
Credibly is a direct lender that focuses on those with bad credit, welcoming applications from anyone with scores of 500 and above. The platform was founded in 2010 and now works with more than 325 industries when sourcing acquisition loans.
- Tailored business acquisition loans
- Access to a personal loan advisor
- Bad credit welcome
- Fast turnaround on loans
- An origination fee will be charged
- Low borrowing limits
Credibly actually offers highly tailored business acquisition loans over the long term. The figures in our table above represent a very broad range of possible terms and you may be offered something different to this. Each application will be reviewed by your personal loan advisor and many factors go into determining your final offer.
If you’re looking for a long-term loan, and aren’t in a rush to apply, then Credibly is a good place to start. Its customer service is top-notch and having access to a personal loan advisor throughout the process makes everything that much easier. Read more in the full Credibly review.
SmartBiz is an online platform that connects borrowers to some of the biggest banks across the country. It’s usually able to secure pretty good rates but you’ll find eligibility criteria a little stricter here.
- Connections to dozens of banks
- Low interest rates
- Easy-to-follow application process
- Great customer service
- High minimum qualification criteria
- Limited customer service options
When applying at SmartBiz you’ll be offered a long-term bank loan. However, you can use this for business acquisition purposes if you wish. You’ll need a good credit rating as a minimum and need to have been in business for two years. Rates start at a very respectable 6.99% and terms extend to five years.
It’s a little harder to get a loan here than other providers on our list, but we think it’s definitely worth it if you have good credit. The platform is reliable, efficient, and offers solid rates and terms. Read more in the full SmartBiz review.