Updated 26 March 2026

Best Business Line of Credit

Compare 8 lenders side by side. See credit limits, APR ranges, draw fees, and minimum requirements to find the best business line of credit for your company in 2026.

Limits up to $500,000
APR from 7.8%
Options for 600+ credit scores

Business Line of Credit Comparison 2026

All rates shown are representative ranges. Your actual rate depends on business revenue, credit score, and time in business. Figures sourced from lender websites, March 2026.

LenderCredit LimitAPR RangeDraw FeeRepaymentMin RevenueTime in BusinessMin Score
BluevineTOP PICKEstablished small businesses wanting low rates
$6,000 - $250,0007.8% - 24.9%None6 or 12 months per draw$120,000/yr24 months625+
OnDeckBusinesses needing fast approval
$6,000 - $100,00029.9% - 65.9%None12 or 18 months$100,000/yr12 months625+
FundboxNewer businesses with limited revenue
$1,000 - $150,00010.1% - 79.8%None12 or 24 weeks$30,000/yr6 months600+
American Express Business LineAmEx cardholders wanting flexible draws
$2,000 - $250,0003.00% - 27.00% (monthly fee structure)None6, 12, or 18 months$36,000/yr12 months660+
Wells Fargo BusinessLineExisting Wells Fargo business customers
$5,000 - $150,000Prime + 1.75% - Prime + 9.75%NoneRevolving (minimum monthly payment)$Not disclosed24 months680+
Kabbage (American Express)Businesses wanting a fintech-style experience
$1,000 - $150,0009.0% - 36.0%None6, 12, or 18 months$50,000/yr12 months640+
Headway CapitalBusinesses with average credit needing flexibility
$5,000 - $100,00020.0% - 35.9%None24 months$50,000/yr12 months625+
National FundingHigher-revenue businesses needing large limits
$5,000 - $500,00014.9% - 35.9%1% - 2% per draw4 - 24 months$250,000/yr24 months600+

Rates and eligibility requirements are subject to change. Verify with each lender before applying. This table is for informational purposes only.

How much can you borrow?

Credit limits typically range from $1,000 to $500,000 depending on the lender, your annual revenue, and credit score. Most small businesses qualify for $10,000 to $150,000. Higher limits are available for businesses with $500,000 or more in annual revenue and strong credit histories.

Secured vs. unsecured lines

Unsecured lines (most online lenders) require no collateral but carry higher APRs. Secured lines backed by accounts receivable, inventory, or equipment typically offer lower rates and higher limits. Bank lines often require a personal guarantee regardless of whether specific assets are pledged.

Draw fees and maintenance fees

Most online lenders charge no draw fee. Some charge 1% to 3% of each draw amount or a flat origination fee. Watch for annual maintenance fees of $100 to $500, which apply even if you do not draw. National Funding is one example that charges per-draw fees that can add meaningfully to the effective cost.

Business Line of Credit Cost Calculator

Estimate the total interest and monthly payments on a draw from your business line of credit.

$
$1,000$500,000
1%80%
1 month60 months

Monthly Payment

$4,512.92

per month for 12 months

Total Interest

$4,155

Total Repaid

$54,155

Effective Cost of Borrowing

8.3% of draw amount

Total interest as a share of the $50,000 draw

Summary

  • Draw amount: $50,000
  • APR: 15%
  • Term: 12 months
  • Interest paid: $4,155

Frequently Asked Questions

What is a business line of credit?

A business line of credit is a revolving financing facility that lets you draw funds up to an approved limit at any time, repay them, and draw again. Unlike a term loan, you only pay interest on the amount currently outstanding, not the full credit limit. This makes it well suited for managing cash flow gaps, covering payroll during slow periods, and funding short-term inventory or equipment needs.

How is a business line of credit different from a business credit card?

Both are revolving facilities, but a line of credit typically offers much higher limits, lower APRs, and direct bank account draws rather than card-based purchases. Lines of credit are better for large working capital needs (tens of thousands of dollars), while business credit cards are more convenient for everyday expenses and often come with rewards programs.

What credit score do I need to qualify?

Most lenders require a personal credit score of at least 600 to 625 for approval, though the best rates are reserved for borrowers at 680 or above. Some fintech lenders like Fundbox place less emphasis on credit score and instead weigh recent business revenue and bank account activity more heavily.

How long does it take to get approved?

Fintech lenders such as Bluevine, OnDeck, and Fundbox often provide approval decisions in minutes and fund within 1 to 3 business days. Traditional bank lines of credit typically take 1 to 4 weeks due to more extensive underwriting. If you need capital quickly, applying through an online lender is generally faster.

What documents do I need to apply?

Common requirements include 3 to 6 months of business bank statements, a completed business credit application, basic business details (EIN, formation date, address), personal information for all owners above 20% ownership, and most recent business tax return. Some lenders will also request a profit and loss statement or balance sheet.

Is a business line of credit good for startups?

Most lenders require at least 6 to 12 months in business and a minimum annual revenue. True startups with under 6 months of operating history will find traditional lines of credit difficult to access. SBA microloans, business credit cards, or revenue-based financing may be more accessible alternatives in the early months. See our startup guide for more detail.