Small Business Loans For Minorities

Faster, easier small business financing with one simple application—no bank needed.

Applying is free and won’t impact your credit.

Reviews From Minority Business Owners

Closing The Lending Gap

The lending gap for minority-owned businesses is real. For example, minority firms with gross receipts under $500,000 experience loan denial rates three times higher than those of their non-minority counterparts. 

But the numbers suggest that fintech lending and automation may have the power to level the playing field by eliminating the human bias that comes with manual review. Black-owned businesses, for instance, were 12 percentage points more likely to get their PPP loan from a fintech lender. 

At Lendio, we’re dedicated to closing this gap with an online application that connects minority business owners to a marketplace of lenders where they can receive equal access to business financing.

Black-owned businesses were 12 percentage points more likely than other firms to get their PPP loan from a fintech lender.

Why Lendio?

Quick & Easy

It only takes 15 minutes to apply for minority business loans. Once your application has been approved, you’ll receive your loan amount within 24 hours or less.

Your Partner In Business Financing

Have a question about small business startup loans for minorities? Need a recommendation? Just ask your funding manager. With Lendio, you get personalized support throughout the entire application and funding process for all minority business loans.

Offers Tailored To Your Business

It’s not necessary to apply to each and every lender for a quote when you work with Lendio. Simply apply and compare rates and terms between lenders. We’ve partnered with 75+ lenders, making it easy to find the best loan for your business. If you’re ever unsure which loan you should choose, ask your funding manager for some expert guidance.

How Our Loan Matching Process Works.


Fill out our simple application.

Answer just a few questions about your business to see which lending products you qualify for. We’ve partnered with over 75 lenders, allowing us to find the best option or your business.


We’ll connect you with a funding specialist.

One of our funding specialists will reach out to you to get to know your business better. Since every business is unique, we want to make sure we find the loan type that’s perfect for your needs.


Compare loan offers.

Compare different offers curated for your business. Select the capital amount and rate that will help take your business to the next level.


Get funded.

We work with lenders that can fund you fast. Once you’re approved, you’ll be able to access your capital in as little as 24 hours.

Types of Business Loans For Minorities

Asset- or Revenue-Based Financing

With asset-based financing (also known as invoice factoring), a funder purchases an invoice from the borrower at a discounted rate, instead of waiting for clients to pay invoices. Then, the business pays back the funder as the business collects on the invoice. Similarly, revenue-based financing gives you an advance on expected future revenue.


1-15 months

$1 million (revenue-based financing); $50 million (factoring)

Debt Financing

When borrowers think of a business loan, they are likely to think of debt financing. By choosing an SBA (Small Business Administration) or term loan, borrowers receive the loan amount in one lump sum and make fixed monthly payments until the loan is paid off with interest. 


6 months-25 years

$5 million

Line of Credit

Minority small business loans can also be accessed through a business line of credit. A business line of credit is similar to a credit card in that it’s a type of revolving credit—as you pay off your balance, the funds once again become available.


6-24 months



Business Center for New Americans Microloans

These loans are provided by the Business Center for New Americans and are earmarked for minority business owners. While they’re technically referred to as “microloans,” the amounts can range anywhere from $500 up to $50,000.

To qualify, you need to meet some financial criteria and have—or be in the process of obtaining—all your necessary business licenses. If you’ve been turned down for loans in the past, don’t give up hope. There’s no minimum credit score required, so as long as you show a willingness and ability to make payments, you stand a good chance of getting approved.

Accion Loans

With microloans of up to $50,000, this nonprofit lender is dedicated to helping disadvantaged borrowers build their businesses up to meaningful scale. With operations worldwide, most Accion loans go to Asia, Latin America, sub-Saharan Africa, and the United States.

Qualifying isn’t too difficult, as long as you have a solid credit history and can provide financial records that demonstrate the health of your business.

While minority entrepreneurs undoubtedly face unique challenges, it’s important to remember that you also have lots of friends rooting for you. By connecting with the diverse resources available, ranging from the federal government to local organizations, you can become empowered to write your own success story.

There are many grants available to minority small business owners. One of the easiest places to find them is through—a large listing of active and upcoming grants and a great resource for any business owner having trouble getting approved for minority startup business loans. 

If your business is in a rural area or an area deemed in need of economic development, you may qualify for a USDA grant. Your business must have 50 or fewer employees and make less than $1 million each year.  

If your business is new, you may qualify for a $4,000 grant through the National Association for the Self-Employed. The money can be used for any business-related expense, and there are multiple deadlines throughout the year. 
Because some programs are competitive, you should consider still pursuing business loans for minorities. This way your immediate capital needs will still be addressed.


The SBA has a lot of online content to help minority small business owners succeed. For example, it has a network of field offices throughout the U.S. that offer both counseling and training opportunities. Even once you get funding, running a business is difficult, and it can be beneficial to correspond with other business owners who have undergone similar trials.  
The Minority Business Development Agency also offers similar services. In addition to helping business owners connect with other professionals, it also helps minority entrepreneurs get small business loans.

The U.S. Small Business Administration runs the 8(a) Business Development Program, which is intended to “help provide a level playing field for small businesses owned by socially and economically disadvantaged people or entities.”

In a nutshell, the government plans to award at least 5% of their contracting dollars to disadvantaged businesses. Other offerings include development assistance, training, and technical guidance. Qualifying businesses must be more than 50% owned by a citizen who has experienced prejudice and is disadvantaged due to race or ethnicity.

Minority small business owners can get certified through the following agencies:

If your business is one that would compete for federal transportation contracts, you can also get certified through the Disadvantaged Business Enterprise program, which is run by the U.S. Department of Transportation

8 out of 10 Lendio employees* or their families own a small business.

*based on 136 Lendio employees who responded to an internal poll

Quickly Compare Loan Offers from Multiple Lenders

Applying is free and won’t impact your credit

Talk to a rep at (855) 853-6346
Mon-Fri 7:30am-5pm MST