Best Long-Term Business Loans

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If you’re ready to invest in your business, choosing the right long-term business loan can help you reach the next level. The business loan world is a bit more scattershot than you might be used to for your personal finances, so it’s especially important to choose from the best long-term business loans. 

To create our list we gathered hundreds of data points from 20 top lenders. We considered interest rates, fees, loan amounts, borrower qualifications, repayment terms, and other factors. We also evaluated the prospective borrower’s shopping experience as demonstrated by ease of application, availability of pricing and other information, and the quality of customer resources available, pre-purchase. 

Best Long-Term Business Loans for May 2023

Best for Rapid Funding : Rapid Financing

Rapid Finance logo

Rapid Finance

  • Loan Terms: 3 months–5 years
  • Loan Amounts: $5,000–$1,000,000
  • Minimum Annual Revenue: Not disclosed
Pros & Cons
  • Quick funding timelines

  • Many products to choose from

  • Offers preapproval for business loans

  • Not very transparent

  • Relies on lending partners

  • Requires automatic payments

Why We Chose It

Like many alternative small business lenders, Rapid Finance doesn’t provide a ton of information to help you make a decision. Instead, it relies on you to proactively reach out to the company to speak with a salesperson to get any concrete details on what your business loan might look like. It also echoes other lenders in this space because it relies on a network of partner lenders, acting as a broker to match you up with a loan and provide customer service. 

However, it does offer a wide variety of funding options—both among its small business loans and among its products. If you like working with Rapid Finance, you can come back if you need a merchant cash advance, a commercial mortgage, a business line of credit, and other types of funding. It’s also a decent option for very small businesses since the minimum loan amount ($5,000) is smaller than for many other lenders.

  • Requires you to sign up for autopay on a daily, weekly, or monthly cycle

Be cautious with lenders that don’t share loan details online because you may be put into a high-pressure sales situation to get accurate pricing. Don’t be afraid to say no if you think you can get a better deal elsewhere.  

Best From a Lender Comparison Site : Fundit



  • Loan Terms: Up to 10 years
  • Loan Amounts: $30,000–$350,000
  • Minimum Annual Revenue: Not disclosed
Pros & Cons
  • Potential for low rates

  • Quick same-day funding 

  • Offers business loan pre-approval

  • Sparse loan details

  • Not available in many states

  • Limited customer reviews available

Why We Chose It

Breaking the trend among alternative small business lenders, Fundit actually does sprinkle a few loan details in its marketing. You may qualify for rates as low as 6% or 8%, depending on where you look on its website. The minimum loan amount is a bit higher, so you may be excluded if you’re running a very small business.

Fundit doesn’t have as much information from actual customers available on most of the popular review websites like Trustpilot and the Better Business Bureau, making this one a bit harder to gauge. In addition, it still doesn’t really provide any real information about what fees are involved, maximum APRs, business loan qualifications, etc. But on the bright side, it offers pre-approval for its business loans so you don’t need to worry about harming your credit in order to check your options. 

  • Not available in CA, NE, NV, NC, ND, OR, RI, TN, VT, and Washington D.C.

Best for SBA Loans : Live Oak Bank

Live Oak Bank

 Live Oak Bank

  • Loan Terms: Up to 25 years
  • Loan Amounts: $150,000—$5,000,000 for SBA 7(a) loans
  • Minimum Annual Revenue: Not disclosed
Pros & Cons
  • SBA Preferred lender

  • Largest SBA lender in the country

  • Full-service bank offering good accounts

  • High loan minimums

  • No online loan management or payment tools

  • Doesn’t work with newer or seasonal businesses

Why We Chose It

Live Oak Bank is one of the leading nationwide lenders. Live Oak Bank actually distributed more SBA dollars than any other lender during the first half of 2023, approving 651 applicants for an average loan size of $1,465,076. Since it’s an SBA Preferred lender, it also offers a speedier experience since it has approval authority for these loans, rather than requiring sign-off from the SBA itself. According to the company, this makes the whole process three to four weeks shorter. 

One of the big downsides of this lender is that despite being an online bank, it doesn’t actually offer an online account for any of its business loans. To manage your account, you’ll need to pay attention to your account statements or call up the bank itself. In addition, these loans are really geared toward larger businesses. Live Oak Bank’s minimum SBA loan amounts are even higher than the average loan size of many other top SBA loan originators. 

  • No bankruptcies
  • Minimum 680 credit score
  • Minimum $250,000 annual revenue 

Largest Loan Amount : Citibank



  • Loan Terms: Up to 7 years
  • Loan Amounts: $5,000–$5,000,000
  • Minimum Annual Revenue: Not disclosed
Pros & Cons
  • SBA Preferred lender

  • Full-service business bank 

  • Business loans up to $5,000,000

  • Can’t apply online

  • Poor customer reviews

  • Very little information available

Why We Chose It

Citibank follows the trend of many other large banks in specializing in equally-large business loans: up to $5,000,000. In addition to business loans, it also offers other small business financing options—including a line of popular small business rewards credit cards. Its credit card line is much more accessible to the average business owner since you can apply online. 

Conversely, if it’s a business loan you’re interested in, you’ll need to get in line—literally. You can only apply for a Citibank business loan in person, and while the company does operate over 600 branches, they’re mostly located near large coastal metropolitan areas. Citibank also has a poor reputation among its customers according to websites like Trustpilot and Better Business Bureau, which is fairly typical for large banks. It fared much better in the 2022 J.D. Power Small Business Satisfaction survey, taking first overall among 17 large banks.

  • Need to make an appointment to apply for the loan in person

Best from a Major National Bank : Bank of America

Bank of America
  • Loan Terms: 1–5 years
  • Loan Amounts: $10,000–$100,000
  • Minimum Annual Revenue: $100,000
Pros & Cons
  • SBA Preferred lender

  • Potential for very low rates

  • Full suite of banking and loan products

  • Poor customer reputation

  • Charges an origination fee

  • Only current customers can apply online

Why We Chose It

Bank of America is the second-largest bank in America. Along with a full suite of personal and business deposit accounts, it also offers many types of loans. Some of these rates are surprisingly low for such a large bank. 

If you currently bank with Bank of America you have an advantage here because you can apply for your business loan right in your online account portal. Otherwise, you’ll need to apply over the phone or visit one of its 3,800+ branch locations. In terms of customer service, Bank of America is in the middle of the pack, ranking 8th of 17 in J.D. Power’s 2022 Small Business Satisfaction survey.

  • Minimum 670 credit score
  • Minimum $100,000 annual revenue
  • Minimum two years’ time in business

Best From a Regional Bank : PNC Bank

PNC Bank logo

PNC Bank logo

  • Loan Terms: Up to 5 years
  • Loan Amounts: $20,000–$3,000,000
  • Minimum Annual Revenue: Not disclosed
Pros & Cons
  • Full-service business bank

  • 0% down financing on some loans

  • Secured and unsecured business loans available

  • Can’t apply online

  • Requires you to sign up for autopay

  • Branches only available in 28 U.S. states

Why We Chose It

Regional banks are often more willing to develop a banking relationship with you than the massive mega-banks, and that seems to be true for PNC Bank as well. Although it does have some lending requirements, it does offer many options to work with you on a solution. 

In particular, it offers two business loan programs. You can opt for a $100,000–$3,000,000 secured business loan ranging from two to seven years, or a $20,000–$100,000 unsecured business loan ranging from two to five years. The downside is that—logically—PNC Bank isn’t widely available. It only operates in 28 U.S. states, and you can’t apply online. You’ll need to either walk into a branch or apply over the phone.   


Final Verdict

If you’re looking for a larger SBA loan, Live Oak Bank is an excellent first stop. If you happen to live within PNC Bank’s footprint, it’s also a solid choice for a reputable bank that may be more willing to work with you than, say, Bank of America. And if you have trouble applying elsewhere, consider an alternative lender like Rapid Financing or Fundit—just be aware that these loans may come with high costs than other options so you’ll need to consider these options carefully.  

Compare the Best Long-Term Business Loans

Name Loan Terms Loan Amounts Minimum Annual Revenue
Rapid Financing 3 months–5 years $5,000–$1,000,000 Not disclosed
Fundit Up to 10 years $30,000–$350,000 Not disclosed
Live Oak Bank Not disclosed SBA 7(a) loans: $150,000 – $5,000,000  Not disclosed
Citibank Up to 7 years $5,000–$5,000,000 Not disclosed
Bank of America 1–5 years $10,000–$100,000 $100,000
PNC Bank Up to 5 years $20,000–$100,000 Not disclosed

Guide to Choosing the Best Long-Term Business Loans

Types of Long-Term Business Loans

There are a few different types of long-term business loans you might see advertised on lender websites:

  • SBA loan: These loans, ranging up to 25 years in length, are offered through lenders and backed by the Small Business Administration. They often feature lower rates.
  • Business term loan: Most banks, credit unions, and online lenders advertise a generic “business term loan” that can be used for a wide range of purposes and generally come with term lengths of one or more years. Loans may be secured or unsecured.
  • Equipment financing: Some lenders offer “equipment financing,” a type of secured loan or lease used to purchase expensive equipment and pay it back over several years.
  • Commercial real estate loan: A very large and long-term business loan used to buy the largest investment of all for many businesses: real estate.

What to Consider When Applying for a Long-Term Business Loan

Taking out a business loan is a big decision, especially one that you’ll be repaying for an extended period of time. Here are some points to consider before you apply for a loan:

  • Loan purpose: There are many types of business loans available depending on what you need. You wouldn’t necessarily take out a long-term business loan to pay for short-term working capital, for example, and you wouldn’t use a working capital loan to buy real estate.
  • Loan term length: The longer the loan, the smaller your monthly payments, and the less risk your business will have of defaulting. On the flip side, you will be at risk of default for longer and you’ll pay more in interest. 
  • Creditworthiness: Consider how a lender would evaluate your business using your credit score, time in business, and annual cash flow. You may have better luck with alternative lenders if your business isn’t very creditworthy, but that can be expensive.
  • Urgency of loan need: If your business isn’t very creditworthy, consider whether you can afford to take some time and grow your credit or seek other ways to grow your business until you’re better able to get approved for a loan. 
  • Your cash flow and reserves: Make sure you have a budget for your business so you can verify whether you’d actually be able to make your loan payments. Also consider what happens if your business goes through a downswing—do you have enough cash reserves to weather a storm?

How to Apply for a Long-Term Business Loan

If you’re a smaller or newer business, you’ll need to do a lot of legwork to make sure you get the funding you need. Here’s a good strategy to boost your odds of success:

  • Decide on financing: Research the different types of business financing options so you’re crystal-clear on what type of business financing product you need, what the requirements are, and what the application process looks like. 
  • Put together an application packet: Gather up the documents you’ll need. Most business loans require the same few items: a formal business plan, business license or registration records, business formation documents, a current profit and loss statement, bank statements, and your most recent business and personal tax returns.
  • Research lenders: Take some time to research different lender options. Take note of what rates, terms, and loan amounts each offers, along with any publicized approval requirements. If the lender offers loan pre-approval with a soft credit check, go ahead and see what rates it can offer you.
  • Submit a business loan application: Pick your favorite option and submit a complete business loan application. Keep an eye out for any additional documents the lender might require, along with any requests for more information after you submit the application. 
  • Sign the contract and receive funds: If the lender approves your application, read through the contract so you know exactly what you’re signing up for. Keep a close eye out for any prepayment penalties and the lender’s policies if you have trouble making payments. You can decline the loan anytime up until you sign on the dotted line. 

Be cautious with loans that require a personal guarantee or personal collateral. If your business fails, your lender can force you to repay the loan with personal funds—even placing a lien on your collateral, such as your home, in some cases. 

Frequently Asked Questions

  • How Long Are Long-Term Business Loans?

    Most long-term business loans range from three to 10 years. For very large purchases, such as commercial real estate, loan term lengths can be 30 or more years. 

  • Can You Get a Long-Term Business Loan with Bad Credit?

    Yes, it may be possible to get a long-term business loan even if you have bad credit. However, you’ll face much tougher odds, and you may have a better chance of approval by seeking out alternative online lenders. Be careful, though, because the rates that these lenders charge may put your business at risk.

  • Why Is a Long-Term Loan Good for Business?

    If you need to make a significant investment in your business, such as opening up your doors in the first place or upgrading to specialized equipment to boost your profit, a long-term business loan allows you to spread that cost out over a longer period of time. That makes each payment smaller and more manageable for your business. 

  • What Is the Disadvantage of a Long-Term Loan?

    Longer-term loans in general tend to come with higher interest rates. And since you’ll be paying that higher interest rate over a longer period of time, you’ll end up paying more in interest over the life of the loan than you would with a shorter-term loan. You’ll also be in debt for a longer period of time, which puts you at increased risk of credit and financial damage if you run into problems making your payment.

  • Do Banks Prefer Short or Long-Term Loans?

    It depends on the bank. Large banks, in general, tend to focus on larger businesses borrowing higher amounts of cash for a longer period of time because these loans are more profitable for the bank. Smaller regional and local banks may be more likely to offer smaller business loans with shorter term lengths because they often prioritize building a relationship over maximizing profit.


Investopedia is dedicated to providing readers with unbiased, comprehensive reviews of financial products and services. To rate long-term business loan lenders, we collected hundreds of data points across 20 top lenders, including interest rates, fees, loan amounts, and repayment terms. We also considered the prospective borrower’s shopping experience: availability of key pricing and terms information, ease of application, depth of customer support resources and information. 

Female business owner dressing dress form

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Article Sources
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  1. J.D. Power. “Stressed Small Business Owners Looking for Banks to Help Weather Tough Economy, J.D. Power Finds.”

  2. Small Business Administration. "Terms, Conditions, and Eligibility."

  3. Small Business Administration. "Business Equipment Financing & Leasing: 7 Key Tips to Know."

  4. U.S. Chamber of Commerce. "How to Apply for a Small Business Loan for Your Startup."