Top 5 Small Business Loans for Women in 2024

Despite the 13.6% increase in the number of women-owned businesses in the U.S. from 2019 to 2023, female business owners continue to face greater challenges in securing funding.

In 2022, a lower percentage of women were approved for small business loans than men, according to a 2023 Federal Reserve study. To find the loan that best suits your needs, it's crucial to compare lenders and their offerings.

CNBC Select has compiled the top loans for women-owned businesses, catering to various scenarios and requirements, including microloans, long-term loans, and loans for low credit scores. (For more details on our selection process, please refer to our methodology.)

Best for microloans

If you don't need to borrow a large amount of money, Kiva is worth considering. It is a non-profit crowdfunding platform that offers microloans of up to $15,000 with a mission of unlocking capital for underserved communities.

Kiva distinguishes itself by offering 0% interest and no fees, as well as not requiring traditional business and credit score qualifications.

Best for lower credit scores

What is the minimum FICO credit score requirement for OnDeck loans, and how does it benefit applicants with lower credit scores?

Depending on your state, OnDeck offers same-day funding for term loans up to $100,000 with a quick application process.

Best for long-term loans

Who is Funding Circle suitable for? It may be appealing to borrowers who require more time to repay their balances. Funding Circle offers repayment terms ranging from three months to 7 years. While a longer repayment term typically means smaller monthly payments, it may also result in paying interest over the entire loan term.

Borrowers can obtain funding quickly, with funding available in as little as 48 hours, and they will not be penalized for paying off their loan early.

Best for borrowing higher amounts

For female business owners seeking to borrow higher amounts of money, Fora Financial is the ideal choice. It offers loans as high as $1.5 million, which is significantly more than many competitors. Notable advantages include the ability to apply for additional funding, paying off at least 60% of the original loan amount, without incurring prepayment penalties. Additionally, Fora Financial provides prepayment discounts.

Best for educational resources

What sets Accion Opportunity Fund apart is its provision of borrowers with coaching and access to additional business resources and educational materials.

This lender takes into account more than just credit scores when determining eligibility and offers flexible loan terms, making it a good option for applicants with lower scores.

Compare offers to find the best loan

Kiva

Kiva is a non-profit platform that provides loans of up to $15,000 with 0% interest. After applying for a loan, you can invite friends and family to lend to you for up to 15 days. After that, you can make your campaign public to Kiva's network of lenders for up to 30 days. So far, Kiva has helped fund over $1.6 billion in loans.

Loan amounts

Up to $15,000

Eligibility requirements

To qualify for a loan, you must be over 18 years old and use the funds for business purposes. Your business must be located in the United States and not involve multi-level marketing, direct sales, illegal activities, or financial investing. Additionally, you cannot be in foreclosure, bankruptcy, or under any liens. To prove your creditworthiness, you will need to invite a small number of friends and family to make a loan to you.

Loan terms

Up to 3 years

OnDeck

Over $15 billion has been distributed by OnDeck to U.S. businesses, and the company holds an impressive A+ rating from the Better Business Bureau (BBB). To be eligible for a loan, businesses must have a minimum annual revenue of $100,000.

Loan amounts

$5,000 to $250,000

Eligibility requirements

To be eligible for a business loan, a company must have been in operation for at least one year, generate an annual revenue of $100,000 or more, and maintain a separate business bank account.

Loan terms

Up to 18 months

Funding Circle

A+ BB B-rated Funding Circle is a global lending platform that provides various small business loans, including term loans, lines of credit, and SBA (7) loans. To be eligible for a loan, businesses must have been in operation for at least two years.

Loan amounts

$5,000 to $500,000

Eligibility requirements

The business must have been operational for at least two years and have no bankruptcies within the past seven years.

Loan terms

3 months to 7 years

Fora Financial

Fora Financial has an A+ BBB rating, a straightforward application process, and fast funding. Although it offers high loan amounts, its longest loan term is only 15 months. Fora Financial's loans can be used for various purposes, such as buying equipment, renovating the workplace, or purchasing inventory.

Loan amounts

$5,000 to $1.5 million

Loan terms

Up to 15 months

Eligibility requirements

To be eligible for a loan, a business must have been in operation for at least six months, generate monthly revenue of at least $15,000, and have no open bankruptcies.

Accion Opportunity Fund

Accion Opportunity Fund is a non-profit lender that focuses on funding business owners of all identities. Its website states that its client base comprises over 90% women, people of color, and/or low-to-moderate income.

Loan amounts

$5,000 - $250,000

Eligibility requirements

To be eligible for a loan, you must be at least 18 years old and have been in business for at least 12 months. Your business must generate at least $50,000 in annual sales and you must own at least 20% of the business.

Loan terms

Customizable

Bottom line

Obtaining funding as a female entrepreneur can be challenging. However, there are numerous resources available, such as Women's Business Centers and lenders that cater to underserved groups, including women-owned businesses. When selecting a lender, it's crucial to evaluate factors such as credit score requirements, funding amounts, loan terms, fees, and educational resources.

Why trust CNBC Select?

Our mission at CNBC Select is to deliver top-notch service journalism and in-depth consumer advice to our readers, enabling them to make well-informed decisions when it comes to their finances. Each business loan review we publish is the result of thorough reporting by our team of expert writers and editors, who possess extensive knowledge of various business loan products. At CNBC Select, we maintain the highest journalistic standards and ethics, and we earn a commission from affiliate partners on many offers and links. However, our content creation process is entirely independent of our commercial team or any external third parties. To learn more about our methodology and how we select the best small business loans for women, please refer to our detailed explanation.

Our methodology

We analyzed over a dozen U.S. small business loans and compared them based on various features to determine which ones offer the best terms.

Minimum and maximum loan amounts
Length of term
Credit score needed
Application requirements
Streamlined application process
Fund disbursement
Customer support
Better Business Bureau rating, when available
Customer reviews, when available

The terms and conditions for small business loans may vary and can be affected by changes in the prime rate. Your APR, monthly payment, and loan amount are determined based on your credit history and creditworthiness.

Obtaining a small business loan involves submitting a full application and undergoing a hard credit inquiry, which may necessitate providing personal and business proof of income, identity verification, and proof of address. Additionally, collateral such as business equipment, real estate, or personal assets may be required.

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