Business Loans in Indiana

Low taxes, affordable real estate, and an established workplace make Indiana a great place to own a small business. If you’re ready to run a successful venture in the Hoosier State, business loans can help you do just that. 

Types of Business Loans in Indiana

No matter your industry, business loans can help you obtain the funds you need to get up and running or expand what you’ve already established. When you shop around for financing, you’ll likely come across the following options. 

SBA Loans

SBA loans are backed by the U.S. Small Business Administration (SBA), meaning the SBA will guarantee a portion of the funds you borrow. If you have strong credit, you may lock in up to $5 million in funding with terms of up to 25 years, usually at lower interest rates. 

Line of Credit

A line of credit lets you borrow as much or as little as you’d like, up to a set credit limit.  You’ll use special checks or a credit card to withdraw money and only pay interest on what you borrow. If you’re unsure of your current or future funding needs, a line of credit can be a great, flexible option.

Term Loan

When most people think of traditional small business loans, term loans typically come to mind first. With a term loan, you’ll receive a set amount of money at once. Then, you’ll repay it over time over an agreed-upon term, ranging from a few months to a few years or longer. 

Equipment Finance

Equipment loans are designed to help you cover the cost of new or used equipment for your business. Depending on the lender, you may be able to finance between 80% and 100% of its cost. Terms may be anywhere from a few months to 10 years. 

Accounts Receivable Financing

Accounts receivable financing is when you sell your outstanding invoices to a company. The company may advance you anywhere from 70% to 90% of the invoices and collect them on your behalf. Once they receive the payments, they’ll distribute the remaining invoice amount, minus a fee.

Indiana Business Loan Options

Several organizations service loans to small businesses that set up shop in Indiana.

Purdue Federal Credit Union offers a variety of business loans, such as SBA 504 loans, lines of credit, equipment loans, real estate loans, and business credit cards. It has several branches throughout Greater Lafayette, Crown Point, and La Porte. 

The IU Credit Union in Bloomington is another option with similar products to Purdue Federal Credit Union.

In addition to these credit unions, you might want to explore the Indy Chamber, a nonprofit that advocates for business owners in the Indianapolis area and offers business term loans ranging from $1,000 to $50,000. As long as you have less than five employees, you may qualify. 

Bankable exists to offer Indiana small businesses a second chance to secure the funding they need through microloans that are safe and affordable until they are ready for more traditional funding sources.

The Build Fund is a small business loan fund operated by Intend Indiana and focuses exclusively on helping businesses grow and create jobs.

If your business is located in Harrison County then the HCEDC has a great loan option for you.

In partnership with a bank lender, the Small Business Administration (SBA) 504 Program provides financing for fixed assets, real estate, machinery, and equipment. 

How to apply for a small business loan

Fill out the 15-minute online application.

It’s secured with bank-grade encryption and SSL technology, so you know your information is safe.

Receive matches.

See which credit cards you qualify for before choosing the one that best suits your business needs and offers the cash rewards you’re looking for.

Get funded.

Once you choose a card, you can get approved in as little as 7-10 days.

Apply Now

FAQ about Small Business Loans in Indiana

Northeast Indiana SCORE provides mentorship and workshops to small business owners in Fort Wayne, Angola, Kendallville, Warsaw, and Huntington. The Indiana Small Business Development Center (SBDC) is another resource that offers no-cost business advising, training, and referrals. If you get involved with Indiana Small Business Connection (Indiana SBC), you can attend a small business expo and promote your offerings, while networking with other small business owners in the state. 


The Indiana Small Business Development Center launched the Indiana Technical Assistance Program to help small businesses grow. If you’re an eligible small business, you can receive up to $15,000 in professional services. Grants are also available to minority businesses in the state through the Indiana Black Expo.


To qualify for a business loan in Indiana, you’ll need to decide how you’ll structure your business (sole proprietorship, LLC, etc.) Once you do, use the INBiz search to determine if you can use your preferred business name. In addition to finalizing your business and structure, you’ll need to maintain a registered agent who will be responsible for receiving important legal and tax documents on your behalf. You may apply for loans once you’re ready to operate. Just keep in mind, you’ll need to meet certain thresholds in regards to your credit score, monthly revenue, and other requirements to be eligible. 

The right loan for your Indiana business depends on a number of factors, like your credit, time in business, annual revenue, and particular goals. Lendio can help you search for financing options and hone in on the ideal ones. If you’re looking for a flexible loan, a line of credit may make sense. But if you’d like to pay for new machines and tools for your business, for example, equipment financing might be the better choice.

An Indiana business loan can help you obtain the funds necessary to launch or grow your venture. Unless you have unlimited amounts of cash at your disposal, it will be vital for your small business in the Hoosier State.

An SBA preferred lender is a lender that’s been approved by the Small Business Administration to administer SBA loans without additional approvals from the SBA. Typically these lenders have years of experience and can approve SBA loans faster than non-preferred lenders.

SBA loans are backed by the government and offer lower interest rates than other types of small business loans. They typically require a minimum time in business of two years and a credit score of 650+.

An SBA 7(a) loan is a form of financing that is partially guaranteed by the SBA. These loans are named after article 7(a) of the Small Business Act of 1953, which launched the SBA and tasked the agency with supporting American small businesses through lending. You can learn more about the SBA 7(a) loan on our blog.

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