Missouri is renowned for its small-business providers. A small business in Missouri is defined as one with fewer than 750 employees. The average loan sum for small businesses in the state is $40,515, and the state currently has over 461,000 registered small businesses. Small enterprises employ almost 1.6 million workers and account for more than 99% of the privatized workforce in the state of Missouri.
| At a glance —Missouri has been ranked as the seventh-best state in the U.S. to own or start a small company. The state has a wide range of loans, incentives, and state grant applications. In this article, we’ll examine small business grants in Missouri, as well as popular loans from leading lenders. We will also look at alternative resources to help you start and grow your business the right way. |
Let’s start by taking a look at the best small business loan options currently available in Missouri:
US Bank provides a range of small company lending opportunities. You may need funds to launch a business or grow your enterprise. Alternatively, you may want a loan to make sure that your suppliers are paid on time, or to expand your business. US Bank offers several business loan options, to cover a variety of business needs.
Certain loans are best suited to larger businesses, while others are tailored for small business owners, such as the Quick Loan. A Quick Loan is ideal for companies that need capital fast to, for example, finance a project.
If you need access to vast amounts of capital over a long period of time, a Term Loan is a suitable option. US Bank provides term loans with fixed interest rates and conditions, up to $1 million.
US Bank provides speedy loans that can be approved in as little as 24 hours after you submit an application.
OakStar Bank is a Preferred SBA Lender. It’s a well-established, accredited SBA lender. It has extensive experience and the ability to process and effectively distribute SBA loans. OakStar Bank conducts local assessments, so you don’t have to submit your application to the SBA for acceptance. This makes the process faster and simpler.
Working capital loans are available for both large and small businesses. OakStar Bank understands that capital requirements are critical and sometimes urgent. It processes applications for credit lines swiftly, and provides flexible terms and low rates. Also, all of your commercial property needs can be met with the help of OakStar Bank.
OakStar’s flexible payment schedules and personalized service make it easy to obtain the funds your business requires to run a successful company.
The Bank of Missouri is passionate about assisting small businesses. The institution has been helping local companies of all sizes achieve financial targets for decades. The Bank of Missouri boasts diverse lending products and highly personalized services.
The bank understands that obtaining a loan is just the beginning. After the paperwork is signed, the real work starts. Loan experts will get to know you and your company to find the right loan package for you. The bank also has a local decision-making authority to expedite the acceptance and processing of loans.
Additionally, the Bank of Missouri provides revolving lines of credit to provide developing companies with working capital. It offers term loans that are tailored to your company's needs. If you’re expanding, need to buy equipment, and require extra operating funds, you may choose to apply for one of the bank’s secured and unsecured loans.
Institution | Type of Financing | Loan Amount | Interest Rate | Loan Term |
US Bank | Quick Loans Term Loans Equipment Finance Loans SBA Express Loans | Up to $250,000 $5,000 to $1,000,000 Up to $500,000 Up to $12.375 million | Fixed rates depending on amount and term for all loan types | Up to 7 years Depends on amount 24 to 60 months 7 to 25 years |
OakStar Bank | SBA Loans Equipment Loans Working Capital Lines of Credit Commercial Real Estate Loans Agricultural Loans Business Credit Cards | Average SBA loan $704,296 $80,000 - $484,350 for standard loans $484,350 - $900,000 for Jumbo loans | Fixed and variable rates depending on the amount, term, credit score, and loan types Average rate 6.04% | Up to 30 years, depending on the loan amount |
The Bank of Missouri | Lines of Credit Term Loans Agricultural Loans SBA Loans Business and Commercial Property Loans | Loan amounts vary according to the business and loan size; they can go up to $5,000,000 | Fixed and variable interest rates depending on the loan amount and term | Up to 25 years, depending on the loan amount |
The biggest obstacle that most startup companies face is obtaining financing. Crowdfunding is an appealing choice for those who are unable to obtain conventional finance. In Missouri, many businesses turn to crowdfunding companies like Indiegogo or Kickstarter.
Typically, crowdfunding involves collecting funds through an entirely online initiative. Typically, the objective of crowdfunding is to raise the amount of money needed to get a company up and running. Crowdfunding isn't as well-known or as traditional as other loan options. However, many profitable entrepreneurs have benefited from crowdfunding initiatives.
American Express is another traditional financial institution that is also present online. American Express offers fantastic solutions for small businesses with bad credit. The Blue Business Plus option is the perfect choice when it comes to American Express credit cards. It has an affordable line of credit for small companies that are just getting started.
There’s no enrollment charge, and the first 12 months are interest-free, provided you make repayments on time and in full. Individuals or businesses must have a minimum credit score of 700 to qualify for an American Express loan, which can be difficult for those with poor credit or who have recently started and therefore lack credit history.
The Chase Ink Cash credit card for businesses is a great option for new enterprises in Missouri. You will need to pay $750 to open an account. Also, $7,500 must be paid within the first three months of opening the account and receiving the loan.
The interest rates are very low, beginning at 1% and rising to 5%. The interest rates are based on how much you spend and how long it will take you to repay the loan. You’ll need a credit score of about 660 to apply.
There are various government-backed loans and other financing options available for businesses wishing to start or expand in Missouri. Many businesses start their search for funding by applying for a grant. To qualify for a state grant, an applicant must either be disadvantaged, have a great business idea, be from a minority group, or have a business that would significantly impact the state of Missouri.
Talk with your local economic development agency/local government to learn about this loan program. This loan can help finance new machinery, operating equipment, or building space. It can also provide your business with working capital if your startup has exhausted all other funding options.
Here, you’ll find resources for starting, growing, and managing your business. This page will provide you with many resources, which you may wish to pursue.
Small companies may use these low-interest direct loans to grow and hire more people.
The eligibility requirements are as follows:
Furthermore, certain business sectors are not eligible for this loan type. Check to see that your business qualifies for this program.
There are also several non-financial resources and providers you can use to help you succeed with your new or existing business venture in Missouri.
MOSourceLink's goal is to help Missouri-based entrepreneurs and small businesses develop and thrive. They offer free and simple access to the resources designed for small businesses.
This comprehensive 52 page PDF guide will provide you with everything you need to know to get your small businesses up and running. It is compiled by the United States Small Business Association.
Here we outline, in bullet form, how to get a small business loan in Missouri:
Finding the financing to cover the initial startup costs of your business is often said to be the most challenging part of the small business process. Many people have ambitious business ideas, but they lack the necessary resources to see their plans through to the end. If you want your company to take off, it’s imperative that you explore all possible financing opportunities.
Missouri residents can apply for SBA-approved, term, and express loans. They can also find financing for equipment, working capital, and real estate. Credit lines and business credit cards are other options. Each solution carries with it its own set of risks as well as its own benefits.
Additionally, you can explore crowdfunding or a personal online credit card loan. These are frequently used as last resorts with no promise of success. Do your research to find the right solution for your small business in Missouri.
