Massachusetts Small Business Loans

Small business financing doesn’t have to be a hassle anymore, as now there are so many organizations that are more than eager to help you find the best way to loan money for your future business. This guide will allow you to acquire the necessary information you need to embark on your new business journey in Massachusetts.

At a glance - There are over 669,224 small businesses in the state of Massachusetts with over 1.5 million employees.  Massachusetts is ranked 5th on the list of the 10 best states to get a business loan. In this guide, our experts provide you with the information you need to select the top Massachusetts small business loan for your business.

Top Three Massachusetts Small Business Loan Options

1. Century Bank

Century Bank offers small business loans to businesses that contribute to their community. Century Bank provides small businesses with up to $500,000 and, depending on your checking, a Century checking account. Lower interest rates may apply. Century’s repayment terms are anywhere from 12 months to 20 years, depending on whether the loan is for real estate or equipment.

Century Bank takes pride in helping veterans and their families start their businesses and provide the needed funding. Veterans can borrow up to $350,000 for lines of credit and $500,000 for term loans. These loan programs are veteran’s advantage loans. Lower interest rates apply in the same way if they have a business checking account with Century Bank. The repayment terms would be the same as any other small business owner.

They can meet all your loan and financing needs, and their specialty is SBA loans. Century Bank can open up your very own business account and keep all your finances in check.

  • Borrow $500,000
  • Veterans can borrow $350,000 - $500,000
  • Low-interest rates for persons with Century’s business checking accounts
  • Repayment terms:
    • 12 to 24 months for lines of credit
    • Up to 7 years for equipment
    • Up to 20 years for real estate

2. Wells Fargo

When you require the ultimate head start to move your business forward, Wells Fargo is one of the financial options you should consider. 

Wells Fargo offers two types of loans. The SBA 7(a) loan is when a business wants to take over an existing business or expand or purchase real estate and equipment. This loan is ideal for companies with a net income below $5 million. The loan amount would be no more than $5,000,000. Repayment terms are up to 25 years for real estate and 10 years for any other loans. The interest rate can be fixed but also variable.

The SBA 504 loan is for businesses that feel the need to expand their horizons or purchase equipment. Wells Fargo loans an amount of up to $6,500,000, and a certified development company funds the rest of the loan amount. Interest rates and payment terms remain the same as the SBA 7(a) loan.

  • Borrow $5,000,000 - $6,500,000
  • Interest rates are fixed as well as variable
  • Two different loans to choose from
  • Payment terms are 25 years for real estate and 10 years for other loans


3. Live Oak Bank

The Live Oak Bank makes it its duty to help small businesses get the loans that they deserve. Live Oak Bank has specific teams who work with certain companies and guide them through loan approval and loan duration. This bank has loaned billions of dollars to small businesses. 

Live Oak Bank provides the 7(a) loan, which amounts to $5,000,000 and a repayment term of 25 years. The provider gives you the option to refinance or expand your business. Live Oak Bank is faster than other lenders when it comes to approval for SBA-backed loans. The lender also has low interest rates, which makes it cost-efficient.

For Massachusetts small business loans to be approved, one has to have a credit score of 680, and they also have to have at least three years of business experience. 

  • Borrow $5,000,000
  • Low-interest rates
  • Repayment terms: 25 Years

Summary of the Small Business Loans in Massachusetts


Type of Loan


Interest Rate


Century Bank

Business loan & line of credit

Up to $500,000

3.99% fixed guaranteed for 12 months

12 to 24 months for lines,

Up to 7 years for equipment,

Up to 20 years for real estate

Wells Fargo

Real estate and normal loans

Up to $6.5 million

It depends on the type of loan and amount borrowed

10 - 25 years

Live Oak Bank

SBA-backed loan

Up to $5 million

It depends on the amount borrowed and loan term

Up to 25 years

Top Online Massachusetts Small Business Loan Options

Future small business owners should keep in mind that online loan options involve only a few clicks of a button. Online providers make our lives so much easier by allowing us to find the most beneficial loans without leaving the house. 

1. SmartBiz

SmartBiz is the reason small business owners have received more than $1 billion in SBA loan programs.

After deciding on the SBA loan that could purchase inventory, working capital, and employees, you could receive $30,000 to $350,000. The interest rates would range from 8.25% to 9.25%, with the terms that repayment should take place within 10 years.

Qualifying for this loan means the following requirements need to be met:

  • Permanent U.S citizenship
  • Personal Credit Score of 640 or more
  • Cash flow for loan payments 
  • No foreclosures in the last three years
  • Two years of business experience

SmartBiz offers a second small business loan, an SBA 7(a) Commercial Real Estate Loan. With this loan you can obtain between $500,000 to $5 million to purchase commercial real estate or refinance a mortgage you may already have. The interest rates would be 7% to 8.25%, and the repayment terms are up to 25 years. Your credit score should be 675.

2. BlueVine

BlueVine offers short-term business loans with a fixed interest rate of 4.8%. Instead of loaning you a specific sum of money, BlueVine lets you decide what you need, and an agreement is made regarding repayment terms.

BlueVine is one of the quickest ways to get cash. Once you are approved, you’ll receive your funds on the same day. Credit approval usually takes 12 hours or less, and invoice factoring takes a few minutes to a day. Usually, a credit check is where small business owners are lacking, but BlueVine considers approving your loan even if your credit score is below 630.

BlueVine is perfect for you if:

  • You need cash in 12 to 24 hours for business purchases.
  • You have business-to-business customers who haven’t paid punctually.
  • Other loan providers haven’t approved your loan request.

3. Fundbox

Fundbox created a small loaning business to help other future small business owners reach their full potential. Fundbox keeps cash flowing by offering advanced payments when specific invoices are outstanding.

Fundbox is entirely online, and they have no subscription or early repayment fees. You only repay the funds for the period that you used the loan. Money is transferred into your business  bank account within the same day. Fundbox should be used regularly because then the fees decrease and the credit increases. 

Outstanding invoices are cleared within 24 hours, saving you the hassle that most businesses go through when waiting for a client’s payment. Small companies no longer have to get worked up over unpaid invoices as Fundbox pulls these invoices out of your bookkeeping application and puts the funds into your bank account.

4. Square Capital

Square Capital gives you as much as they think you’ll need to help your business move forward and be successful. 

With Square Capital, there aren’t any forms to fill out, and as soon as you apply, you’ll find out if you were approved. Repayments are made automatically, but even though there aren’t any specific payment dates, Square Capital requires that you meet their 60-day minimum. The repayment of your loan depends on your sales. 

The interest on your loan isn’t ongoing, and it’s simply a flat rate. Square Capital offers small business loans from $30 to $100,000, depending on your business’ sales. Square does not rely on credit scores or tax returns to make an informed decision on whether to approve your loan. A card system is used to determine if your business is growing and if you can continue getting loans. No collateral is required for your loan approval.

Additional Massachusetts Small Business Financial Resources

General Programs

The Massachusetts Growth Capital Corporation assists businesses who struggle to acquire traditional loans.

Clean Energy and Environment

If your business has any environmental aspect, there are loans and grant programs within easy reach. Financing options are available from the Massachusetts Clean Energy Center.


Massventures is a venture capital investment group that provides loans to companies that are based on technology.

How to Prepare for a Massachusetts Small Business Loan

To acquire a Massachusetts small business loan, you have to have a solid foundation and structure for your future business. 

The Business Plan

This step is probably the most crucial when starting a business. The lender would want to see that you know what you want to do in terms of growth and that you have the skills to achieve this said growth.

Prepare Financial Statements

You should include any financial documents that can show the provider that you could make money back that you’re borrowing from them and that you have a rock-solid plan in terms of generating an income for your business.

These documents should include your income statements and your balance sheets for the past 3 to 5 years.

State the Purpose and Amount of your Loan

Describe to the lenders precisely what you would need in terms of equipment, marketing, etc. Also, do research and add the exact amount that you’ll need for your business.

Research Your Options of Lenders

Ensure that you conduct thorough research, as some banks might look like the best option, but their loan approval standards might be shocking. Be prepared because all providers will check your credit score, so keep it up to par.

The Bottom Line

Many lenders are willing to provide Massachusetts small business loans; therefore, you should explore your options before deciding on an online service or heading into your local bank for a traditional means of funding. 

Qualifying for the loan that suits your small business needs requires you to have all the necessary paperwork in order. Weigh all your options after consulting with a few lenders and decide which financing method best suits your needs.