Getting affordable financing is crucial for any business. In 2025, loans interest rates for business were more lenient than ever since banks and a multitude of online lenders have bloomed to cater to entrepreneurs with customized business loans interest rates programs. You’d save thousands of dollars over the life of a business loan if you’d just pick a lender with the best rate of interest for working capital, expansion, or equipment.
Banks Providing Low Interest Rates on Business Loans in 2025
1. Bank of America
Bank of America is a leader in all forms of small business finance, including term loans, lines of credit, and SBA loans. Business loans interest rates go down below 6.25% in 2025 for qualified borrowers. Usually, an applicant needs at least a 670 credit score and two years of operation. It goes without saying that Bank of America is suited for an established business seeking stability with competitive terms.
2. Wells Fargo
Wells Fargo provides a plethora of loan products like secured and unsecured loans. Depending on creditworthiness and collateral, their small business loans interest rates run from 6.75% to 12.5%. Their quick application process and broad selection of funding options make them attractive for businesses with steady cash flows.
3. Chase
Chase Bank offers low business loans interest rates for both traditional term loans and SBA-backed loans. Interest rates start at around 6.5%, and they offer great customer service and strong financial tools. They prefer borrowers who have a good revenue history and credit (above 680), making them the foremost choice for mid-sized businesses.
Online Best Lenders with Competitive Interest Rates for Business Loans
1. BlueVine
BlueVine has quickly cemented its place as one of the most prominent online lenders for small businesses. Their lines of credit come with business loans interest rates starting at 6.2%, and they boast a very simple application process with funding in 24 hours or less. BlueVine also emphasizes ease of access, partnering with businesses having as little as six months’ operating history.
2. Fundbox
Fundbox offers short-term loans and revolving business lines of credit, truly from a flexible standpoint around qualifying criteria. Their model strays away from ambiguities. Instead, it simply charges weekly fees that translate into an effective APR between 10% and 18%. Slightly higher than what banks can charm out of you in interest, the Fundbox advantage lies mostly with the speed of approvals and impressive technology.
3. OnDeck
Popular for its speedy funding and flexible length of contract, OnDeck offers business loans interest rates starting at 9%, with the average rates coming in at 11% depending on the credit worthiness. Businesses should have at least one year of operating history and $100,000 in annual revenue to qualify. Thus, OnDeck turns out to be a favorite capital injection choice for businesses needing funds in a tight time frame.
What Determines Your Business Loans Interest Rate?
Some of the factors affecting your business loans interest rates include:
- Credit Score: Higher personal and business credit scores lead to better interest rates.
- Time in Business: Lenders prefer businesses older than two years.
- Annual Revenue: High and stable revenues lessen perceived risk.
- Collateral: These are lower for secured loans.
- Loan Type and Term: SBA loans tend to give the best interest rate while short-term online loans may offer higher rates due to the speed and flexibility that they give.
SBA Loans – Cheap in Nature
Never rule out those SBA loans that boast a partial guarantee from the U.S. Small Business Administration. In all honesty, the SBA is not a lender but joins forces with banks and online lenders to reduce risk. Business loans interest rates for SBA 7(a) loans ranged from 7% to 9.5% at some points in 2025, with rates set as the function of the loan size and term. Businesses may wish to apply for such kinds of loans if they want to secure long-term funding with reasonable monthly loan prepayments.
How to Qualify for Low Business Loans Interest Rates
To increase the odds of qualifying for the lowest loans interest rates can offer, consider these tips:
- Improve Your Credit Score: Pay down your debts. Avoid late payments at all costs. Keep an eye out for any errors in your credit report.
- Preparation of Financial Documents: Be prepared to show returns, balance sheets, and profit-and-loss statements.
- Compare Multiple Offers: Do not accept an offer or proposal at once. Look through various lenders’ offers and terms.
- Consider a Cosigner or Collateral: Such risk mitigations will go a long way in lessening a lender’s perception of risk.
Conclusion
Into 2025, the small-business financing landscape is forever changing. Whether you are captivated by the bank’s stability or the online lender’s convenience, make sure to buy in and compare offers. Know those terms, repayment options, and most importantly, business loans interest rates, so you will know what is best suited for your company.
The so-called heavyweights still have an edge in business lending, along with the younger fintech establishments, such as Bank of America, Chase, BlueVine, and Fundbox. So, always consider how your loan interlinks with your larger financial strategy because a good loan is not just a cheap one; a good loan is a steppingstone for your long-term growth.
