What credit score and documents do lenders actually require?

Lenders assess risk based on your business and personal credit, revenue and collateral. A good FICO score (around 670) can help unlock lower APRs, while newer businesses or applicants with limited credit history may see rates in the 15%–36% range. They will ask for tax returns, profit-and-loss statements, balance sheets and sometimes job history.

Securing a lower rate may require pledging inventory, receivables or equipment. Keep your books current and pay down revolving debt before applying. Remember, lenders aren’t required to take collateral for loans up to $50k, but they follow their own collateral policies for larger loans.

If your credit is bruised, partner with a co-signer or build credit for a few months before seeking funding.