You can absolutely get a business loan with bad credit — owners with scores as low as 500 get funded every day. The trick isn't fixing your credit first; it's reaching the funders that don't lead with credit. Most funders won't. Here's how to find the ones that will.
Why one funder declines you for credit
A direct funder builds one underwriting box, and for many of them credit score is the gate. Apply with a 540 and you're an automatic no — not because you can't repay, but because you fell outside their single profile. Plenty of other funders barely look at FICO and underwrite your deposits instead. You just have to reach them.
One funder = one credit box
If their box wants 650+ and you're at 540, you're declined on the spot — no matter how strong your revenue is. One profile, one answer.
the right funders = a yes for your file
Many of our the right funders underwrite monthly revenue, not just credit. We route your file to the ones that fund your score — and negotiate the best terms they'll give.
Going to one funder vs. The Broker Shop
| What matters | Going to one funder | The Broker Shop |
|---|---|---|
| What they lead with | Your credit score | Your revenue and business health |
| Minimum credit | Their one cutoff (often 600+) | Funders that work with 500+ — some lower |
| If your score is low | Declined | Routed to a revenue-first funder who approves |
| Who negotiates your terms | No one | We do, across the right funders |
| Cost to you | Varies | $0 — the funder pays our fee |
Your revenue matters more than your FICO
Here's what most owners don't realize: a business doing $30K/month with a 540 score gets funded, while a 700-score business with thin revenue often doesn't. The funders that think this way exist — they're just not the one funder you happened to apply to.
The Broker Shop matches your file to the funders whose guidelines you meet, finds the ones that underwrite revenue over credit, and negotiates your terms. One application, funded in 24 hours, free to you.
Find a Funder Who Says Yes →What actually determines your cost
With bad credit, these factors decide whether you get funded and at what cost:
- Monthly revenue — the single biggest factor. $10K+ in consistent deposits opens most doors.
- How many funders see your file — one credit box vs. 50+, including revenue-first funders.
- Bank-statement health — no recent NSFs matters more than your score.
- Time in business — 6+ months unlocks the widest set of bad-credit-friendly funders.
- Whether anyone negotiates — bad-credit offers vary wildly; a broker pushes them down.
Learn more about how a business funding broker works, or compare all funding options.