9 Best Banks for Small-Business Loans in 2024

Bank of America issues both fixed-rate secured and unsecured term loans. Its secured loan requires greater annual revenue: $250,000 versus $100,000 for the unsecured option. But it also offers higher borrowing limits — up to $250,000 — and a potentially lower interest rate. Both business loans require at least two years in business and can have repayment terms of up to five years, which is less than some other banks may offer.

For newer businesses (those with at least six months in operation and $50,000 in annualized revenue), Bank of America offers a cash secured business line of credit. With this product, you must provide a security deposit to match your credit line limit with minimum initial deposits starting at $1,000. You can then use the line of credit to cover daily expenses, make regular payments and establish a positive account history — with the goal to transition to an unsecured business line of credit.

Bank of America is a preferred Small Business Administration lender, but other banks on this list are more active in issuing SBA loans. For example, Wells Fargo and U.S. Bank approved a higher number of 7(a) loans — the most common type of SBA funding — in the 2023 fiscal year. ^[0]

Bank of America offers business auto loans starting at $10,000, as well as commercial real estate loans and equipment loans, which both start at $25,000.

Chase offers fixed-rate and adjustable-rate term loans starting at $5,000 — which is a small starting amount than lenders like Bank of America or PNC Bank — and repayment terms that can last up to seven years. Some small-business loan options have amounts as high as $500,000 with no origination fee. However, a prepayment fee may apply for loans greater than $250,000 that are paid off early.

Chase has business and commercial lines of credit. Its business line of credit provides $10,000 to $500,000 in funding on a renewable five-year revolving term. The commercial line is above $500,000, with one- to two-year terms that may be renewed.

Chase is an SBA preferred lender and approved 1,545 SBA 7(a) loans totaling almost $334 million in fiscal year 2023^[0]

Chase offers commercial real estate loans with fixed or variable rates that start at $50,000. Terms are available for up to 25 years. Chase also gives you the option to pay back the loan on a standard repayment schedule — or make interest-only payments for a set period with a large payment at the end of the term.

Wells Fargo has three lines of credit — two unsecured and one secured by collateral — ranging from $5,000 to $1 million. Credit lines of up to $150,000 are revolving with automatic enrollment in a free rewards program. You’ll typically need at least $2 million to $10 million in annual sales to qualify for Wells Fargo’s most generous business line of credit. This line of credit has a one-year term. Fees vary by product.

Wells Fargo is one of the most active SBA loan lenders. In the 2023 fiscal year, the bank approved over 2,000 SBA 7(a) loans, worth more than $427 million in funding^[0]

U.S. Bank offers fixed-rate, secured term loans as well as a fast business loan, which has a limit of $250,000 and a quick online application process. The Quick loan can be secured or unsecured and offers repayment terms of up to seven years. This product can be a good option for newer companies as you only need a minimum of six months in business to apply.

U.S. Bank has four business lines of credit that can be used to manage cash flow, fund major purchases and protect from overdraft charges. The bank’s revolving line of credit, called Cash Flow Manager, goes up to $250,000 and only requires a minimum of six months in business to qualify. That product has a $150 annual fee if the line of credit is less than $50,000.

U.S. Bank is another good choice if you’re in the market for an SBA loan. For fiscal year 2023, it approved over 2,200 SBA 7(a) loan applications^[0]

U.S. Bank offers equipment loans of up to $1 million, and soft costs of up to 25% can be included. The bank has fixed- and variable-rate commercial real estate loans with five-, 10- or 15-year repayment terms, with amortizations up to 25 years.

Citibank’s term loan ranges from $5,000 to $5 million. Interest rates are fixed, terms last up to seven years and loans require a personal guarantee. Citi doesn’t offer a specific equipment loan, but term loans can be used for this purpose.

Citibank offers two business lines of credit, with amounts ranging from $10,000 to $5 million. Both lines come with variable interest rates and revolving terms and require a personal guarantee.

Citi is an SBA preferred lender and issues SBA loans (up to $10 million) and lines of credit to finance working capital and equipment, inventory, commercial real estate and other purchases. However, it doesn’t do a large volume of SBA loans. In fiscal year 2023, it approved just 76 SBA 7(a) loans totaling approximately $57 million^[0]

Citi also provides specialized healthcare practice business loans from $250,000 to $5 million and commercial mortgage loans, ranging from $250,000 to $10 million.

PNC offers $20,000 to $100,000 for unsecured term loans and $100,001 and above for loans secured by collateral. Unsecured loans come with a fixed interest rate and terms of up to five years, whereas rates on secured loans can be fixed or variable and terms can last up to seven years.

The amounts for PNC’s lines of credit mirror the bank’s term loans, with unsecured options ranging from $20,000 to $100,000 and secured options of $100,001 and up. Both have variable interest rates and revolving terms. The unsecured line has an annual fee of $175, while the secured credit line charges 0.25% of the committed line amount.

PNC is a preferred SBA lender, but the bank is less active than some others issuing these loans. For fiscal year 2023, PNC approved 669 SBA 7(a) loans, compared to Wells Fargo and U.S. Bank, which each approved over 2,100^[0]

PNC business auto loans range from $10,000 to $250,000 with repayment terms up to six years. The bank’s commercial real estate loans come with fixed or variable interest rates, repayment terms up to 20 years (with up to a 25-year amortization) and financing amounts of $100,001 and up.

TD Bank offers secured loans from $10,000 to $1 million at fixed interest rates and terms up to five years. Loans can be secured by equipment, inventory or cash, and monthly payments will be deducted from your checking account automatically.

Secured, revolving lines are available that range from $25,000 to $500,000 with variable interest rates. To qualify, you will need a TD Bank business checking account with a minimum balance of $40,000 and to agree to automatic loan payment deductions from the account.

TD Bank is an SBA preferred lender that offers SBA 7(a), 504 and Express loans. TD Bank was one of the top lenders by volume in fiscal year 2023. It approved 3,811 SBA 7(a) loans, ranking only behind Huntington National Bank^[0]

TD Bank offers real estate loans up to $1 million with five-year terms to buy or refinance commercial real estate. Healthcare practice financing up to $12 million is also offered with 100% financing plus working capital.

Business loans have minimum amounts of $10,000 and maximum amounts of $5 million. Collateral or a deposit may be required to secure the loan. You have to visit a Capital One location and talk with a representative to start the application process and a business checking account is required.

Amounts for lines of credit are the same as for loans, ranging from $10,000 to $5 million — one of the largest limits offered by the lenders on our list. A business checking account and visit to a Capital One location are needed to apply.

Capital One offers SBA loans including the 7(a), 504 and the Express program, but it is not a very active SBA lender based on the number of loans it funds. Capital One approved only 75 SBA 7(a) loans for a total amount of about $68 million in fiscal year 2023^[0]

Equipment loans, real estate loans up to $5 million and medical practice loans are also offered by Capital One.

Two options are offered for term loans, both with fixed interest rates. Loan amounts for secured term loans are undisclosed, but the unsecured term loan offers amounts from $10,000 to $100,000.

Both secured and unsecured lines of credit are offered. Amounts for the unsecured line of credit range from $10,000 to $100,000 and secured lines of credit are for amounts over $100,000.

SBA 7(a), SBA 504 and SBA Express loans are offered by the bank. While not at the top of SBA lenders, Fifth Third Bank approved 182 SBA 7(a) loans for a total amount of over $122 million in fiscal year 2023^[0]

Fifth Third Bank also offers real estate loans and healthcare practice financing for medical, dental, optometry and veterinary practices.