Guide to Business Lines of Credit for Startups

Why Business Lines of Credit for Startups Are a Game-Changer for Startups

Starting a business in the United States is an exhilarating journey, but it’s also fraught with financial challenges. From covering initial operational costs to managing cash flow gaps, startups often face unpredictable expenses that can make or break their early success. A business line of credit for startups offers a flexible, revolving funding solution that allows entrepreneurs to borrow funds as needed, pay interest only on the amount used, and reuse the credit as it’s repaid. Unlike traditional term loans, which provide a lump sum with fixed repayments, a business line of credit acts like a financial safety net, giving startups the agility to navigate the ups and downs of early-stage growth.

In 2025, with the U.S. economy showing resilience (GDP growth projected at 2.5% by the Federal Reserve) and startup activity booming (over 5 million new businesses registered in 2024 per U.S. Census Bureau data), securing the right financing is more critical than ever. This comprehensive guide dives deep into the world of business lines of credit, exploring what they are, why they’re ideal for startups, how to qualify, and which lenders offer the best options.
We’ll also compare U.S.-based lenders with international perspectives (e.g., India’s SBI MSME UDAAN scheme) to highlight global differences, ensuring you have a 360-degree view of your funding options. Whether you’re a tech startup in Silicon Valley or a retail business in Texas, this guide will empower you to make informed decisions.

What is a Business Line of Credit and Why Do Startups Need It?

Understanding the Basics of a Business Line of Credit

A business line of credit (LOC) is a flexible financing tool that provides startups with access to a predetermined credit limit, typically ranging from $1,000 to $250,000 in the U.S. Unlike a term loan, where you receive a lump sum and repay it over a fixed period, an LOC allows you to draw funds as needed, pay interest only on the borrowed amount, and reuse the credit as you repay. Think of it as a business credit card with lower interest rates and higher limits, tailored for operational needs.

For example, imagine you run a SaaS startup in Austin. You need $20,000 to hire a developer for a new feature but expect revenue from subscriptions in three months. With an LOC, you can borrow the $20,000, pay interest only on that amount, and repay it when revenue comes in, then draw again for marketing expenses. This flexibility is why LOCs are a lifeline for startups with fluctuating cash flows.

Why Startups Benefit from Lines of Credit

Startups face unique financial challenges: limited revenue, high upfront costs, and unpredictable expenses. Here’s why a business line of credit is ideal:

Flexibility: Borrow only what you need, when you need it, without committing to a large loan.
Cash Flow Management: Cover gaps between expenses (e.g., payroll, inventory) and revenue (e.g., client payments).
Lower Costs: Pay interest only on the drawn amount, unlike term loans where interest accrues on the full loan from day one.
Credit Building: On-time repayments improve your business credit score, unlocking better financing terms later.
Emergency Buffer: Handle unexpected costs, like equipment repairs or legal fees, without draining savings.

Data from the Federal Reserve (Q4 2024) shows median interest rates for LOCs at 6.50% (fixed) and 7.90% (variable) for urban banks, making them more affordable than business credit cards (often 20%+ APR). For startups, this cost-effectiveness is critical when margins are tight.

Common Uses for Startups

Startups can use LOCs for a variety of purposes, including:

Inventory Purchases: Stock up for peak seasons (e.g., holiday retail).
Payroll: Ensure employees are paid during lean months.
Marketing Campaigns: Fund digital ads or product launches.
Equipment: Purchase or lease computers, machinery, or software.
Cash Flow Gaps: Cover expenses while waiting for client payments or funding rounds.

For instance, a food truck startup in Miami might use an LOC to buy ingredients during a festival season, repaying it as sales roll in. This targeted approach ensures funds are used efficiently.

How to Qualify for a Business Line of Credit as a Startup

Qualifying for a business line of credit can be challenging for startups due to limited business history, revenue, or credit. However, lenders in 2025 have tailored options for early-stage businesses. Here’s a detailed look at the requirements and strategies to improve your approval odds.

Key Eligibility Criteria

Lenders evaluate startups based on several factors:

Time in Business:
- Minimum: 3–24 months, depending on the lender.
- Examples: Fundbox requires 3 months, Bank of America’s cash-secured LOC needs 6 months, while American Express and OnDeck require 12 months.
- Challenge: Startups with less than 6 months in business may struggle, but options like Fundbox or Truist (no time requirement) are accessible.
Personal Credit Score:
- Minimum: 600–700 FICO, with most lenders preferring 625–660.
- Examples: Fundbox accepts 600, Bluevine requires 625, and Bank of America’s unsecured LOC typically needs 700+.
- Tip: A strong personal credit score compensates for limited business history, as lenders often require a personal guarantee.
Annual Revenue:
- Minimum: $36,000–$480,000.
- Examples: American Express requires $36,000, Bluevine needs $120,000, and Wells Fargo/Bank of America’s cash-secured LOC have no revenue minimum.
- Challenge: Early-stage startups with low revenue may need to target lenders like Fundbox ($100,000) or Bank of America’s cash-secured option.
Business Documentation:
- Employer Identification Number (EIN).
- Business bank statements (3–12 months).
- Tax returns (personal and business).
- Articles of incorporation or business license.
Collateral or Guarantee:
- Unsecured LOCs: Require personal guarantees (you’re personally liable if the business defaults).
- Secured LOCs: Require collateral, like business assets (Truist) or a cash deposit (Bank of America’s cash-secured LOC).
- Example: Bank of America’s secured LOC requires a blanket lien or certificate of deposit for loans over $25,000.

Strategies to Improve Approval Odds

Boost Personal Credit:
- Pay down personal credit card balances to keep utilization below 30%.
- Check your credit report (via Experian, Equifax, or TransUnion) for errors and dispute inaccuracies.
- Example: A founder with a 650 FICO score increased it to 700 by paying off $5,000 in credit card debt, qualifying for Bluevine’s LOC.
Build Business Revenue:
- Use invoicing software (e.g., QuickBooks) to track revenue and demonstrate consistent income.
- Focus on quick revenue streams, like pre-orders or service contracts, to meet minimum thresholds.
Choose Startup-Friendly Lenders:
- Opt for lenders with low time-in-business requirements (e.g., Fundbox: 3 months, Bank of America cash-secured: 6 months).
- Use LendingTree’s marketplace to compare multiple offers with one application.
Secure Collateral or Deposits:
- For startups with limited credit, a cash-secured LOC (e.g., Bank of America’s $1,000 deposit) or secured LOC (e.g., Truist) can bypass strict credit/revenue requirements.
Leverage Banking Relationships:
- Open a business checking account with lenders like Bank of America or Wells Fargo to access Preferred Rewards discounts (0.25%–0.75% rate reduction).
- Example: A startup with a Bank of America checking account qualified for a 0.5% rate discount, saving $500 annually on a $50,000 LOC.

Common Pitfalls to Avoid

Applying Without Research: Submitting multiple applications without prequalification can trigger hard credit pulls, lowering your score. Use soft-pull tools (e.g., LendingTree) to check eligibility.
Ignoring Fees: Watch for origination fees (1%–5%), maintenance fees, or wire transfer fees (e.g., Bluevine’s $15 wire fee).
Overborrowing: Drawing more than needed increases interest costs. Plan draws based on specific expenses (e.g., $10,000 for inventory vs. a vague $50,000).
Missing Payments: Late payments harm personal and business credit, raising future borrowing costs. Set up auto-payments to stay on track.

Top Business Line of Credit Lenders in the USA for Startups in 2025

Based on extensive research from Forbes Advisor, LendingTree, and Bank of America’s resources, here are the top lenders offering business lines of credit for startups in 2025, tailored for U.S. businesses. Each is evaluated for loan amounts, rates, eligibility, and startup suitability.

1. American Express® Business Line of Credit

Best For: Short-term financing with flexible terms.
Loan Amounts: $2,000–$250,000.
Interest Rates: 3%–9% (6 months), 6%–18% (12 months), 9%–27% (18 months), 12%–18% (24 months); single repayment loans: 0.95%–6.05% monthly fees.
Repayment Terms: 6, 12, 18, or 24 months (installment loans); 1–3 months (single repayment for existing AmEx customers).
Eligibility:
- 12 months in business.
- 660 FICO score.
- $36,000 annual revenue.
Pros:
- Low revenue requirement ($36,000) suits early-stage startups.
- Fast approval (minutes) and funding (same day with AmEx checking).
- No prepayment penalties or maintenance fees.
Cons:
- Not available in North Dakota, South Dakota, or Vermont.
- Higher rates for longer terms (up to 27%).
- Requires personal guarantee.
Startup Suitability: Ideal for startups with 1+ years in business needing quick, flexible funding for marketing or product launches. The low revenue threshold makes it accessible, but high rates for longer terms require careful planning.

2. Fundbox

Best For: Startups with bad credit or minimal business history.
Loan Amounts: $1,000–$150,000.
Interest Rates: Starting at 4.66% (12 weeks), 8.99% (24 weeks).
Repayment Terms: 12 or 24 weeks.
Eligibility:
- 3 months in business.
- 600 FICO score.
- $100,000 annual revenue.
Pros:
- Lowest time-in-business requirement (3 months).
- Accepts lower credit scores (600 FICO).
- Fast approval (minutes) and funding (next business day).
Cons:
- Short repayment terms (12–24 weeks) may strain cash flow.
- Lower loan ceiling ($150,000).
- Customer service complaints reported.
Startup Suitability: Perfect for very early-stage startups (3–6 months) with fair credit needing small, quick loans for inventory or payroll. Short terms require strong repayment planning.

3. Bluevine

Best For: Quick funding with additional banking services.
Loan Amounts: $5,000–$250,000.
Interest Rates: Starting at 7.80%.
Repayment Terms: 6 or 12 months.
Eligibility:
- 6 months in business.
- 625 FICO score.
- $120,000 annual revenue ($10,000/month).
Pros:
- Instant funding with Bluevine Business Checking (free ACH, $15 wire fee).
- Competitive rates for online lenders.
- No maintenance or overdraft fees on checking accounts.
Cons:
- Not available in Nevada, North Dakota, or South Dakota.
- Higher revenue requirement ($120,000).
- Maximum rates not disclosed.
Startup Suitability: Great for startups with 6+ months in business needing fast funds for urgent expenses (e.g., marketing campaigns). The checking account integration adds value but excludes very new startups.

4. OnDeck

Best For: Same-day funding for immediate needs.
Loan Amounts: $6,000–$100,000.
Interest Rates: Not disclosed (typically 20%–80% APR).
Repayment Terms: 12, 18, or 24 months.
Eligibility:
- 12 months in business.
- 625 FICO score.
- $100,000 annual revenue.
Pros:
- Same-day funding available.
- Reports to credit bureaus, aiding credit building.
- Transparent application process.
Cons:
- High interest rates and fees.
- Not available in Nevada, North Dakota, or South Dakota.
- Daily/weekly payments may be burdensome.
Startup Suitability: Suitable for startups with 1+ years needing immediate funds for equipment or emergencies. High rates and frequent payments require robust cash flow.

5. Wells Fargo Small Business Advantage® Line of Credit

Best For: SBA-backed financing for startups.
Loan Amounts: $5,000–$50,000.
Interest Rates: Prime + 4.5% or higher (10.50%–14.00% as of Q4 2024).
Repayment Terms: Up to 5 years, with automatic renewal.
Eligibility:
- Less than 2 years in business.
- No minimum revenue requirement.
- Credit score typically 680+ (SBA-backed).
Pros:
- No revenue requirement, ideal for early-stage startups.
- Competitive rates due to SBA backing.
- Access to SCORE mentoring and SBA resources.
Cons:
- Lower loan ceiling ($50,000).
- Slower funding (5–10 days).
- May require collateral or personal guarantee.
Startup Suitability: Excellent for startups under 2 years needing affordable, SBA-backed funding. Lower loan amounts limit scalability, and slower funding isn’t ideal for urgent needs.

6. Bank of America Business Advantage Credit Line (Cash-Secured)

Best For: Building business credit for startups.
Loan Amounts: $1,000–$100,000 (equals deposit).
Interest Rates: As low as 8.50% (effective June 2, 2025).
Repayment Terms: Revolving with annual renewal; deposit refundable after 12 months.
Eligibility:
- 6 months in business.
- No minimum revenue requirement.
- Cash deposit ($1,000–$100,000).
Pros:
- Accessible for startups with limited credit (6 months in business).
- Credit-building with potential to graduate to unsecured LOC.
- Competitive rates with Preferred Rewards discounts (0.25%–0.75%).
Cons:
- Requires upfront cash deposit.
- Rates not fully disclosed.
- Slower funding than online lenders.
Startup Suitability: Ideal for startups with 6+ months aiming to build credit with minimal revenue. The deposit requirement may limit available capital.

7. Truist

Best For: New businesses with assets.
Loan Amounts: Up to $250,000.
Interest Rates: Not disclosed (competitive for secured LOCs).
Repayment Terms: Up to 60 months.
Eligibility:
- No minimum time in business or revenue.
- Collateral required for loans over $100,000.
- Credit score: Mid-600s (not specified).
Pros:
- No time-in-business or revenue requirements.
- Long repayment terms (up to 5 years).
- In-person support at 2,000 branches.
Cons:
- Collateral required for larger loans.
- Rates and credit requirements not transparent.
- Slower funding than online lenders.
Startup Suitability: Perfect for startups with assets (e.g., equipment) needing flexible terms without time/revenue restrictions. Collateral requirements limit accessibility.

Comparing U.S. Lenders with SBI MSME UDAAN (India)

To provide a global perspective, let’s compare U.S. lenders with the SBI MSME UDAAN scheme, a startup-focused financing program in India.

SBI MSME UDAAN Overview

Loan Amounts: Up to ₹50 Crores ($6 million USD); minimum ₹50 Lakhs ($60,000 USD) requires AIF investment.
Interest Rates: ~9% (EBLR: Repo Rate + 2.65%) or 6-month MCLR; 50 bps concession for women.
Repayment Terms: Up to 120 months (10 years), including moratorium, with potential bullet repayment.
Eligibility:
- DPIIT recognition and Udyam Registration.
- Support from recognized incubators/accelerators.
- Sustainable business model with Proof of Concept.
Collateral: Collateral-free up to ₹50 Lakhs under CGTMSE/CGSS; 25% tangible collateral or AIF investment for larger loans.
Funding Speed: 45 minutes for loans up to ₹50 Lakhs; longer for larger loans.
Support: Mentorship, networking, and incubator ties.

Key Comparisons

Loan Amounts:
- U.S. Lenders: $1,000–$250,000 (Bank of America, Truist); Wells Fargo up to $50,000.
- SBI: Up to $6 million, far exceeding U.S. options.
- Insight: SBI suits scaling startups needing large capital; U.S. lenders are better for smaller, early-stage needs.
Eligibility:
- U.S. Lenders: 3–24 months in business, 600–700 FICO, $0–$480,000 revenue.
- SBI: Strict DPIIT/Udyam requirements and incubator support.
- Insight: U.S. lenders are more accessible for early-stage startups; SBI targets established Indian startups.
Interest Rates:
- U.S. Lenders: 3%–80%+ APR (American Express: 3%–27%, Bank of America: 8.50%–10.25%+).
- SBI: ~9%, lower and more predictable.
- Insight: SBI’s rates are more affordable, but U.S. lenders like Bank of America and Wells Fargo are competitive for secured/SBA-backed options.
Repayment Terms:
- U.S. Lenders: 12 weeks (Fundbox) to 5 years (Wells Fargo, Truist).
- SBI: Up to 10 years.
- Insight: SBI’s long terms are ideal for long-term projects; U.S. lenders suit short-term, cyclical needs.
Collateral:
- U.S. Lenders: Mostly unsecured (personal guarantees); Bank of America’s cash-secured requires a deposit; Truist needs collateral for larger loans.
- SBI: Collateral-free up to $60,000; 25% collateral for larger loans.
- Insight: Both offer collateral-free options for smaller loans, but SBI’s higher ceiling requires assets.
Funding Speed:
- U.S. Lenders: Same day (OnDeck, Bluevine) to 5–10 days (Wells Fargo).
- SBI: 45 minutes for smaller loans; longer for larger ones.
- Insight: U.S. online lenders are faster for urgent needs; SBI’s digital process is competitive for smaller loans.
Support:
- U.S. Lenders: Bank of America offers financial education; Wells Fargo provides SBA mentoring; others focus on loan access.
- SBI: Robust mentorship and incubator support.
- Insight: SBI’s ecosystem support is unmatched; Bank of America’s resources are strong but less comprehensive.

When to Choose Each

U.S. Lenders: Ideal for U.S. startups needing quick, smaller loans ($1,000–$250,000) with minimal business history (3–24 months). Choose Fundbox or Bank of America’s cash-secured LOC for early-stage startups, or Wells Fargo for SBA-backed affordability.
SBI MSME UDAAN: Best for Indian startups with DPIIT recognition needing large-scale funding ($60,000–$6 million) and ecosystem support. Not applicable for U.S. startups.

How to Choose the Right Business Line of Credit for Your Startup

Selecting the best business line of credit for startups requires aligning the loan with your business needs, financial health, and growth goals. Here’s a step-by-step guide to make an informed decision.

Step 1: Assess Your Funding Needs

Determine Amount: Estimate the funds needed for specific expenses (e.g., $15,000 for inventory, $30,000 for marketing). Avoid overborrowing to minimize interest costs.
Identify Purpose: Are you covering short-term gaps (e.g., payroll) or long-term investments (e.g., equipment)? Short-term needs suit Fundbox’s 12–24-week terms; long-term needs align with Wells Fargo’s 5-year terms.
Example: A Seattle e-commerce startup needed $50,000 for holiday inventory. They chose Bluevine for fast funding and a 12-month term to repay during peak sales.

Step 2: Evaluate Eligibility Fit

Time in Business: If under 6 months, target Fundbox or Truist. For 6–12 months, consider Bank of America’s cash-secured LOC or Bluevine.
Credit Score: Below 625 FICO? Fundbox (600) is your best bet. Above 660? American Express or Bank of America’s unsecured LOC are options.
Revenue: No revenue? Wells Fargo or Bank of America’s cash-secured LOC. Over $100,000? Most lenders qualify.
Tip: Use LendingTree’s soft-pull prequalification to check eligibility without harming your credit.

Step 3: Compare Costs and Terms

Interest Rates: Prioritize lower rates (Bank of America: 8.50%+, Wells Fargo: 10.50%–14.00%) over high-APR online lenders (OnDeck: 20%–80%).
Repayment Terms: Short terms (Fundbox: 12–24 weeks) suit quick turnarounds; longer terms (Truist: 5 years) support sustained growth.
Fees: Watch for origination fees (1%–5%), wire fees (Bluevine: $15), or maintenance fees. Bank of America’s veteran discounts (25% on fees) and Preferred Rewards (0.25%–0.75% rate reduction) save costs.
Example: A Chicago startup chose Bank of America’s cash-secured LOC (8.50% rate, $10,000 deposit) over OnDeck (20%+ APR) to save $2,000 in annual interest.

Step 4: Consider Funding Speed

Urgent Needs: OnDeck or Bluevine for same-day funding.
Moderate Needs: American Express or Fundbox (1–3 days).
Longer Timeline: Wells Fargo or Bank of America’s secured LOC (5–10 days).
Tip: If speed is critical, open a Bluevine Business Checking account for instant funding.

Step 5: Factor in Additional Benefits

Credit Building: Bank of America’s cash-secured LOC and OnDeck report to credit bureaus, improving business credit.
Support: Bank of America’s Center for Business Empowerment and Wells Fargo’s SBA mentoring add value.
Banking Integration: Bluevine and Bank of America offer checking accounts, streamlining financial management.

Step 6: Apply Strategically

Use LendingTree: Compare multiple offers with one application to save time.
Prepare Documents: Gather EIN, bank statements, tax returns, and collateral details (if needed).
Start Small: For startups with limited credit, begin with a cash-secured LOC (Bank of America) or low-amount LOC (Fundbox) to build credit before scaling.

Practical Applications: How Startups Can Use a Line of Credit

Case Study 1: Tech Startup in San Francisco

Business: A SaaS company developing a customer relationship management tool.
Need: $50,000 for hiring developers and launching a beta version.
Solution: Secured a $75,000 LOC from American Express (12-month term, 6% rate).
Outcome: Launched the beta in 3 months, repaid $30,000 from early subscriptions, and reused the LOC for marketing, achieving 1,000 users in 6 months.

Case Study 2: Retail Startup in Atlanta

Business: A boutique clothing store targeting holiday shoppers.
Need: $20,000 for inventory and marketing.
Solution: Obtained a $25,000 Fundbox LOC (12 weeks, 4.66% rate).
Outcome: Stocked inventory for Black Friday, repaid the loan in 10 weeks from sales, and maintained cash flow for rent.

Case Study 3: Food Truck in Denver

Business: A mobile taco truck with 6 months in business.
Need: $15,000 for equipment repairs and festival supplies.
Solution: Used Bank of America’s cash-secured LOC ($15,000 deposit, 8.50% rate).
Outcome: Repaired equipment, served at festivals, and graduated to an unsecured LOC after 12 months, building business credit.

Practical Tips for Usage

Budget Draws: Plan each draw for specific expenses (e.g., $10,000 for payroll) to track spending and minimize interest.
Monitor Cash Flow: Use tools like QuickBooks to forecast revenue and ensure repayment aligns with income.
Leverage Rewards: Enroll in Bank of America’s Preferred Rewards or Bluevine’s checking for rate discounts or faster funding.
Reinvest Profits: Use revenue to repay draws quickly, freeing up credit for future needs.

Broader Context: The Role of Financing in Startup Success

Economic Context in 2025

The U.S. startup ecosystem is thriving, with over 5 million new businesses registered in 2024 (U.S. Census Bureau). However, 20% of startups fail within the first year due to cash flow issues (Bureau of Labor Statistics). A business line of credit mitigates this risk by providing a flexible funding source, allowing startups to survive lean periods and capitalize on growth opportunities.

Lifestyle and Stress Factors

Running a startup is stressful, with founders juggling multiple roles. A 2024 survey by StartupNation found 65% of entrepreneurs reported financial stress as their top challenge. An LOC reduces this by:

Easing Cash Flow Worries: Covering payroll or rent during slow months.
Supporting Work-Life Balance: Allowing founders to focus on strategy rather than daily financial crises.
Enabling Growth: Funding marketing or hiring without draining personal savings.

Related Financing Options

Business Credit Cards: Higher rates (20%+ APR) but no time-in-business requirement. Best for small, frequent expenses.
SBA Loans: Lower rates (7%–11%) and longer terms (5–25 years) but stricter eligibility and slower funding.
Term Loans: Fixed lump sums for large investments (e.g., equipment) but less flexible than LOCs.
Equity Financing: Trading equity for capital avoids debt but dilutes ownership. Compare to LOCs for cost-effectiveness.

Safety Precautions and Common Mistakes to Avoid

Safety Precautions

Consult a Financial Advisor: Before applying, discuss with a financial professional to ensure an LOC aligns with your business plan. This prevents overborrowing or mismatching loan types.
Understand Terms: Read the fine print for interest rates, fees, and repayment schedules. For example, Fundbox’s 12–24-week terms require quick repayment, which may not suit all startups.
Monitor Credit Impact: Multiple hard credit pulls can lower your FICO score. Use soft-pull prequalification (e.g., LendingTree) to compare offers.
Plan Repayments: Ensure cash flow can cover payments, especially for daily/weekly schedules (e.g., OnDeck). Use budgeting tools to forecast income.

Common Mistakes

Overborrowing: Drawing the full credit limit unnecessarily increases interest costs. Example: A startup drew $50,000 but needed only $20,000, paying $3,000 extra in interest.
Ignoring Fees: Origination fees (1%–5%) or wire fees (Bluevine: $15) can add up. Compare total costs across lenders.
Missing Payments: Late payments damage credit and incur fees. Set up auto-payments to stay on track.
Choosing the Wrong Lender: Applying to a lender with high revenue requirements (e.g., Bluevine: $120,000) when your startup earns $50,000 wastes time. Target Fundbox or Bank of America’s cash-secured LOC instead.

Frequently Asked Questions

1. What is the easiest business line of credit to get for a startup?

Fundbox is the easiest, requiring only 3 months in business, a 600 FICO score, and $100,000 in revenue. Bank of America’s cash-secured LOC (6 months, $1,000 deposit) is also accessible for startups with limited credit.

2. How much can a startup borrow with a business line of credit?

Startups can borrow $1,000–$250,000, depending on the lender. Fundbox offers $1,000–$150,000, American Express and Bluevine up to $250,000, and Wells Fargo up to $50,000. Revenue and credit score determine the limit.

3. Are business lines of credit better than business credit cards?

LOCs typically have lower rates (8.50%–27% vs. 20%+ for cards) and higher limits ($250,000 vs. $50,000 for cards). However, cards don’t require time in business, making them easier for brand-new startups.

4. Can a startup with bad credit get a line of credit?

Yes, Fundbox (600 FICO) and Bank of America’s cash-secured LOC (deposit-based) accept lower credit scores. Improving personal credit and providing a deposit or collateral increase approval odds.

The Ultimate Guide to Business Lines of Credit for Startups: Everything You Need to Know to Secure Funding in 2025