Small Business Loans for Women: 7 Options You Can't Miss
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For many women entrepreneurs, access to capital serves as a crucial stepping stone to launch and scale their businesses. However, the path to funding remains fraught with barriers in 2024, only about 36% of loan applications from women-owned businesses were approved. Understanding these challenges, NextSky highlights effective financing options, including small business loans for women, to empower women to confidently grow their enterprises and elevate their presence in the marketplace.
Top 7 small business loans for women today
Below is a curated list of leading small business loans for women, selected by our experts based on accessibility, favorable terms, and practical benefits tailored to women-owned businesses.
1. SBA 7(a) loan
The SBA 7(a) loan stands out as a top choice for women entrepreneurs, offering up to $5 million in funding, competitive interest rates starting at 10.25%, and repayment terms of up to 25 years. Backed by the U.S. Small Business Administration (SBA) with a flexible approval process, this program facilitates access to capital for working capital, equipment purchases, real estate investments, or refinancing existing debt.
Key features:
- Maximum loan amount: $5,000,000
- Minimum credit score: 650
- Interest rate: Starting at 10.25%
- Loan term: Up to 25 years
- Best for: Working capital, equipment purchases, real estate, or debt refinancing
Pros:
- Large loan amounts
- Capped interest rates
- Flexible use of funds
- Long repayment terms
Cons:
- Often requires collateral
- Lengthy approval process
How to apply: Use the SBA's Lender Match tool to connect with approved lenders, or contact a local Women's Business Center (WBC) for application assistance.
Read more: What is A Small Business? A Comprehensive Guide to Definition
2. SBA microloan
The SBA microloan provides up to $50,000 through nonprofit intermediaries, making it ideal for women entrepreneurs starting out or needing modest funding. With interest rates starting at 8% and terms up to 7 years, it supports working capital, inventory, or equipment needs, helping women overcome credit hurdles and strengthen operations.
Key features:
- Maximum loan amount: $50,000
- Minimum credit score: 620
- Interest rate: Starting at 8%
- Loan term: Up to 7 years
- Best for: Working capital, inventory, or equipment
Pros:
- Low interest rates
- Flexible for startups
- Access to educational resources
- Competitive terms
Cons:
- Capped at $50,000
- Cannot be used for existing debt or real estate
- Slower funding timeline
How to apply: Reach out to SBA-affiliated nonprofits or community lenders via the SBA website or a local WBC.
3. Fora Financial online loan
Fora Financial delivers online loans up to $1.5 million for women entrepreneurs with credit scores as low as 570 and at least 6 months in business. Featuring rapid funding, no collateral requirement, and early repayment discounts, it's a strong option for those seeking flexible capital despite credit limitations.
Key features:
- Maximum loan amount: $1,500,000
- Minimum credit score: 570
- Interest rate: Factor rate (not publicly disclosed)
- Loan term: 4 to 18 months
- Best for: Bad credit or short-term funding needs
Pros:
- Low credit score requirement
- No collateral needed
- Fast funding (often within days)
- Early repayment discounts
Cons:
- Short repayment terms
- Factor rates can be costly
- Origination fees apply
How to apply: Submit an application directly on the Fora Financial website, providing business financial documents and revenue proof.
4. Accion Opportunity Fund
The Accion Opportunity Fund offers loans from $5,000 to $350,000 for women and minority communities, with up to 90% of borrowers from these groups. Starting at 8.49% interest with terms from 12 months to 5 years, plus bundled coaching and educational resources, it's well-suited for women entrepreneurs ineligible for bank loans to expand and manage finances effectively.
Key features:
- Maximum loan amount: $350,000
- Minimum credit score: 600
- Interest rate: Starting at 8.49%
- Loan term: 12 months to 5 years
- Best for: Women from minority groups or community-focused businesses
Pros:
- Flexible loan terms
- No early repayment penalties
- Support for underserved communities
- Additional business resources
Cons:
- Slower processing than online lenders
- Not available in all states
- Origination fees
How to apply: Visit the Accion Opportunity Fund website or contact a local branch for application guidance.
Read more: Small Business Finances Management from A-Z You Can't Miss
5. Bank of America Business Advantage unsecured loan
Bank of America provides unsecured loans with competitive rates for women entrepreneurs whose businesses have been operating for at least 2 years with credit scores of 700 or higher. This loan addresses diverse business needs while offering resources from the Business Empowerment Center, such as free Cornell University training programs to build skills and drive growth.
Key features:
- Maximum loan amount: Not disclosed
- Minimum credit score: 700
- Interest rate: Not disclosed
- Loan term: 12 months to 5 years
- Best for: Established businesses with strong credit
Pros:
- Competitive interest rates
- No collateral required
- Access to supplemental resources
- Preferred Rewards program benefits
Cons:
- High credit score requirement
- Slower funding
- Possible origination and prepayment fees
How to apply: Apply online (for existing customers) or in person at a Bank of America branch.
6. Huntington National Bank Lift Local Business program
Huntington's Lift Local Business program offers loans up to $150,000 with no origination or SBA fees, targeting women veterans. Since 2020, it has supported over 2,000 women-owned businesses with free business courses and in-depth planning assistance.
Key features:
- Maximum loan amount: $150,000
- Minimum credit score: Not disclosed
- Interest rate: Not disclosed
- Loan term: Not disclosed
- Best for: Women veterans or low-cost financing
Pros:
- No origination or SBA fees
- Free educational resources
- Flexible loan amounts (starting at $1,000)
- Veteran support
Cons:
- Limited to select states
- Lack of term transparency
- Lower maximum amount
How to apply: Contact Huntington National Bank directly or visit a branch in eligible states.
7. Giggle Finance merchant cash advance
Giggle Finance provides advances up to $10,000 with same-day funding and no minimum credit score requirement. Requiring just 3 months in business and $1,500 monthly revenue, it delivers quick working capital for freelancers and small business owners.
Key features:
- Maximum loan amount: $10,000 ($20,000 for repeat customers)
- Minimum credit score: None
- Interest rate: Factor rate (not disclosed)
- Loan term: Not disclosed
- Best for: Small, urgent funding needs
Pros:
- No credit score requirement
- Same-day funding
- Startup-friendly
- Designed for freelancers and solopreneurs
Cons:
- Low maximum amount
- Opaque fee structure
- Origination fees
How to apply: Apply online via the Giggle Finance website with minimal documentation.
Read more: Small Business Grants: A Comprehensive Guide to Unlocking Free
Top grants for women-owned businesses in 2025
Grants offer non-repayable funding, making them highly competitive yet invaluable for women entrepreneurs. Here are some of the best options:
- Amber Grant: Awards $10,000 monthly plus a $25,000 annual prize, open to all fields with a simple, transparent application process.
- Cartier Women’s Initiative: Provides up to $100,000, along with intensive mentoring and a global network to help women entrepreneurs expand and sustain growth.
- HerRise Microgrant: Delivers $1,000 monthly to women-owned businesses with under $1 million in revenue, prioritizing founders from underserved communities.
- SBA SBIR/STTR program: Targets women-owned businesses in technology and research, funding innovation and product development.
- State-level grants: Many states offer economic development programs specifically for women. Check your state's Department of Commerce for opportunities aligned with your business.
How to qualify for small business loans and grants
Verify eligibility:
- Grants: Confirm your business meets ownership criteria (at least 51% women-owned), industry, or impact requirements. Prepare a mission statement or registration proof.
- Loans: Ensure you meet minimum credit scores (typically 620+), business tenure (6 months to 2 years), and revenue thresholds ($50,000–$250,000 annually).
- Gather documentation: Compile a complete packet including a business plan or pitch deck, ownership proof, registration licenses, tax returns, financial statements, and 3–6 months of bank statements.
- Select the right partner: Use the SBA's Lender Match for suitable loans, or consider Fora Financial and Giggle Finance for quick funding. For grants, search Grants.gov or private funds like the Amber Grant for women-owned businesses.
- Craft a standout application: Highlight your business's impact, growth potential, and community contributions. Include clear financial projections, a reasonable fund usage plan, and tailor your submission to each grant or lender's criteria.
- Follow up and stay engaged: After submitting, note deadlines, track progress, and proactively update funders or lenders to demonstrate commitment and unlock additional opportunities.
Read more: The Ultimate Guide to Small Business Expense Tracking
Grants vs. loans: Which is right for you?
Choosing between grants and loans depends on your business's needs, stage, and financial capacity. Here's a side-by-side comparison:
| Feature | Grants for women-owned businesses | Small business loans for women |
|---|---|---|
| Repayment | No repayment required | Must repay with interest |
| Eligibility | Specific to industry, impact, or ownership share | Based on credit score, revenue, and business tenure |
| Competition | Highly competitive | Higher approval rates with strong financial prep |
| Flexibility | Restricted use per grant terms | Flexible for most business purposes |
| Timeline | Lengthy application and review process | Faster approvals (especially online lenders) |
When to choose grants:
- You have time for competitive applications.
- Your business aligns with specific criteria (e.g., STEM, social impact).
- You want funding without debt obligations.
When to choose loans:
- You need immediate or flexible funding.
- Your business has steady revenue to support repayments.
- You aim to build business credit for future financing.
Raising capital as a woman entrepreneur in 2025 presents both challenges and opportunities. With NextSky’s curated small business loans for women, female founders can surmount financial obstacles and propel their businesses forward.
