The short answer
Most lenders check three thresholds: time in business, usually six months to two years, annual revenue of roughly $100,000 or more, and a credit score above the floor for the product, from about 500 for advances to 680 for bank loans. Bank statements, a driver's license, and a voided check complete most applications.
The Three Thresholds Every Lender Checks
Business loan requirements are the minimum standards of time in business, annual revenue, and credit score that a lender applies before underwriting a file. Everything else, from documents to collateral, exists to verify those three numbers. Knowing the thresholds before applying prevents the two most common outcomes of blind applications: wasted hard credit inquiries and weeks lost to the wrong lender.
The thresholds vary by lender class. Online and direct lenders commonly accept six months in business, roughly $100,000 in annual revenue, and scores from 500 to 600 depending on product, per published requirement guides from NerdWallet and LendingTree. Banks commonly want two years of operations, $250,000 or more in revenue, and a 680 plus score, per published bank lending guides. SBA lenders sit near bank standards with more paperwork and longer timelines.
Time in Business and Revenue: The Real Numbers
Six months of operating history is the practical floor for most funding; below that, options narrow to advances against existing card volume. Twelve months opens standard short term loans and lines, and twenty four months opens bank and SBA products. Industry analyses consistently show approval rates climbing sharply at each of those marks.
On revenue, the working benchmark is $100,000 a year, about $8,300 a month in deposits. Lenders care about consistency as much as volume: twelve steady months of $9,000 reads better than a spiky year averaging $12,000, because the daily or monthly payment must clear in the weakest month, not the average one.
Credit Floors by Product
Approximate floors across the market: merchant cash advances from 500 or no minimum, short term loans from about 550, equipment financing from about 575, lines of credit from about 600, online term loans from 620 to 650, and bank or SBA loans from 680. Personal credit drives most small business decisions because owners sign personal guarantees.
A score below a product's floor is not always fatal. Strong deposits, low existing debt, and longer time in business routinely pull marginal files through, especially at direct lenders that underwrite in house rather than scoring against a rigid matrix. The reverse is also true: a 720 score cannot carry a file with three months of history and thin deposits.
Documents That Speed Approval
For most non bank products the checklist is short: three to six months of business bank statements, a government issued ID, a voided business check, and basic entity information. Larger loans add a year or two of tax returns, a profit and loss statement, and a balance sheet. Files that arrive complete routinely fund days faster than files built piecemeal.
Submitting to one lender that can decide on its own paper beats scattering the file across a broker network. Batch Capital, Batch Group's in house direct lender, underwrites term loans, lines of credit, and advances directly, including files brokers have declined.
Commonly Asked Questions
- How long do you need to be in business to get a loan?
- Six months is the practical minimum for most online and direct lenders. Banks and SBA lenders typically require two years of operating history.
- How much revenue do you need for a business loan?
- Roughly $100,000 a year is the common benchmark at alternative lenders, while banks often want $250,000 or more. Consistency of monthly deposits matters as much as the annual total.
- What documents do lenders require for a business loan?
- At minimum, three to six months of business bank statements, a government ID, and a voided check. Bank and SBA loans add tax returns and financial statements.
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