$100,000 to $1,000,000
8.00% Based on the current prime rate of 7.50% + an added 0.50% from Wells Fargo
12 months (with annual review)
The Wells Fargo Prime Line of Credit provides up to $1,000,000 for established, high-revenue companies to use for a range of short- and long-term expenses. You can enjoy unlimited draws up to your credit limit — only paying interest on withdrawn amounts, plus an annual origination fee.
As a traditional bank with almost 7,000 branches nationwide, Wells Fargo Bank is an ideal one-stop shop for your business needs: business bank accounts, merchant services, credit cards, tailored support and more.
Early-stage startups with limited funds might want to consider the Wells Fargo Small Business Advantage unsecured line of credit instead.
Read our full Wells Fargo Bank review.
In order to qualify for Wells Fargo Prime Line of Credit, you’ll need to meet its criteria of:
Up to $500,000
10.50% to 14.00%
14.00% for loans $50,000 or less
13.50% for loans $50,001 to $250,000
12.00% for loans $250,001 to $350,000
10.50% for loans above $350,000
Based on the current prime rate of 7.50% + a rate maximum set by the SBA.
12.50% to 15.50%
15.50% for loans $25,000 or less
14.50% for loans $25,001 to $50,000
13.50% for loans $50,001 to $250,000
12.50% for loans above $250,000
Based on the current prime rate of 7.50% + a rate maximum set by the SBA.
Up to 120 months
As an SBA Preferred Lender, Chase Bank processes funds faster than standard SBA lenders, making them a solid option if you’re looking for quick access to SBA funds. Turnarounds for an SBA Express loan or line of credit typically take 36 hours, compared to five to 10 business days for an SBA 7(a) loan.
Chase Bank offers SBA Express loans and lines of credit up to $500,000 to companies meeting the SBA size standards. Like all SBA loans, the Small Business Administration (SBA) guarantees a portion of the funds to reduce lender risk. With capped interest rates, an SBA line of credit can help make borrowing more affordable for your business.
Read our full Chase Bank review.
Although Chase Bank doesn’t list any of its business loan requirements, you may need to meet the following SBA loan requirements to qualify.
Starting at $1,000
Variable
12 months (with annual review)
Bank of America’s cash-secured line of credit is our top pick for building credit. With only six months’ business history required, this credit line can boost your business credit profile while improving your chances of securing more financing later.
But it doesn’t work like traditional financing, and isn’t a good option if your business needs new funding coming in. You provide an upfront cash deposit — starting as low as $1,000 – and your credit limit is equal to your deposit.
After a year, you can get your deposit refunded with a successful review. Over time, you can graduate to Bank of America’s unsecured line of credit to access up to $100,000 in flexible funding.
Read our full Bank of America review.
In order to qualify for the cash-secured business line of credit, you’ll need to meet Bank of America’s criteria of:
Starting at $100,001
Variable, based on prime rate
Revolving
PNC offers a collateralized line of credit for well-established companies needing access to significant funding on an as-needed basis. Credit lines start at $100,001 — with no max limit specified. You can also connect your credit line to your PNC checking account for overdraft protection. While PNC offers interest-only payments, it’s best to make principal payments to avoid additional interest charges. Note that a 0.25% annual fee applies.
PNC also offers a wide range of business services, including payroll services, business credit cards, term loans, commercial loans, vehicle financing, SBA loans and more. If you’re looking for a bank to work with long-term, this can be a major benefit.
Read our full PNC review.
In order to qualify for the secured business line of credit, you’ll need to meet PNC’s criteria of:
$3,500 to $250,000
Not disclosed
12 to 60 months
While many bank business loans require at least two years of business history, Truist offers up to $250,000 for brand-new companies with no minimum annual revenue requirement. Additionally, you can enjoy longer repayment terms and a wide selection of small business solutions, making Truist a great choice for flexible startup financing.
However, Truist charges an origination fee of 0.50% or $100 (whichever is greater) and doesn’t list potential interest rates or minimum credit score requirements. Collateral is required for lines of credit above $100,000.
Read our full Truist review.
In order to qualify for a secured business line of credit, you’ll need to meet Truist’s criteria of:
| Pros | Cons |
|---|---|
| More lenient qualifications: Collateral can reduce lender risk, helping strengthen your loan application. More favorable rates and terms: With the extra security, lenders are typically able to provide lower interest rates and longer terms. Greater flexibility: A line of credit allows you to withdraw funds as needed, using the funds to cover a range of small business expenses. | Assets at risk: If you can’t pay your loan, the lender could seize the assets you pledged as collateral. Slower time to funding: Lenders typically need extra time to appraise your collateral, which can lengthen the funding timeline. Additional fees: Some lenders charge maintenance and draw fees, as well as annual origination fees. |
Yes, securing a line of credit with collateral can improve your chances of approval and potentially get you a more competitive rate. Acceptable forms of collateral typically include fixed assets like equipment, inventory or real estate, as well as financial assets like cash and certificates of deposit.
Most lenders require a personal FICO Score of 600 or higher when applying for a business line of credit. Providing collateral could help strengthen your application, even if you have a less-than-ideal credit score.
Alternatively, you can consider business financing for bad credit, with some lenders accepting credit scores as low as 500. While these loans can help in a pinch, they typically come with high rates and unfavorable terms.
Business owners might struggle to qualify for a business line of credit without steady revenue or acceptable collateral. However, here are some other ways to get funds for your startup business:
