“Help! I’m a Start-Up. How Do I Get a Business Loan with No Credit?”

Small Business Loans - 1 Min Read

Since we opened our doors in 2008, we’ve had the privilege of helping thousands of small and mid-sized business owners get access to the working capital loans they both need and deserve.

Along the way, some of the most memorable interactions we’ve had have been with the owners of start-ups, who invariably ask us the following question in one form or another: “Help! I’m a start-up. How do I get a business loan with no credit?” 

Banks are less willing to assume risk

Before answering this very important question, it’s worth highlighting why the banks often say NO when it comes to approving business loans for start-ups.

Essentially, since the Great Recession of 2008, banks – or more specifically, their investors, shareholders and board members — don’t want to take on any risk; at least not when it comes to loaning funds to small and mid-sized businesses. And so, in order to shield themselves from even the slightest possibility of loss, they demand that all loan applicants have a stellar business and personal credit score.

Of course, this begs the question that incredulous start-up business owners across the country have been asking for years: But I don’t have credit – not even bad credit! I’m a start-up business owner! How can I get a credit history if my bank won’t give me a loan in the first place?

The Mulligan Funding Position: Let’s Do This!

At Mulligan Funding, we live in the “real world,” which means that we know that many start-up business owners don’t have a credit history — at least not one that the banks consider substantial enough.

That’s why, when we assess a working capital loan application from a start-up business owner, we focus on aspects such as:

  • Average sales and revenues over the past 12 months
  • The sustainability of the business in its marketplace
  • The commitment and character of the owner

We know from years of experience that these aspects provide us with a solid, reliable basis on which to make a smart lending decision. And more times than not, we have the honor of saying to start-up business owners: Let’s do this!

Talk to our experts today and learn more about our transparent, customer-focused business financing programs. We can help your start-up stay alive — and thrive!

Call Mulligan Funding at 855-326-3564 to discuss your financing options today!

The information shared is intended to be used for informational purposes only and you should independently research and verify.

Note: Prior to January 23, 2020, Mulligan Funding operated solely as a direct lender, originating all of its own loans and Merchant Cash Advance contracts. From that date onwards, the majority of funding offered by Mulligan Funding will be by Loans originated by FinWise Bank, a Utah-chartered Bank, pursuant to a Loan Program conducted jointly by Mulligan Funding and FinWise Bank.