Small-business owners can have a particularly difficult time getting capital from a bank if they’ve been in business fewer than two years, if their credit score is less than 640 or if they need less than $250,000. Fortunately, there are alternatives to the traditional bank-installment loan.
Online lending has been a source of innovation and promise for small businesses that are looking to invest and grow. According to statistics from Harvard Business School, although the total volume of small-business bank loans decreased by 3.1 percent in 2014, small-business online lending increased twofold.