Home/Startups

Most business funding needs history you don’t have yet.

That is the honest starting point, and almost nobody in this industry will tell you. Here is what a new business can actually get, what to avoid, and how to be fundable in six months instead of guessing for two years.

Where you stand

What opens up, and when.

Nearly every lender underwrites two things first: how long you have been operating and what your bank statements show. Find your row.

Funding options by business stage
Your stageRealistic optionsOur six products
Idea, no entity yetFree advising, business plan, personal savingsWe help you plan
Formed, pre-revenueSBA microloan, friends & family, personal creditWe help you plan
0 – 6 months revenueSBA microloan, equipment financingSome products open
6 – 12 months revenueMerchant advance, some lines of credit, factoringMost products open
1 – 2 years revenueLines of credit, equipment, factoring, term loansNearly everything
2+ years revenueEverything, including SBA 7(a) and 504Everything

General guidance, not underwriting criteria. Strong personal credit, industry experience, or collateral can move you up a row.

Before you have revenue

Four things that actually work.

Two of these we can help you with directly. Two we cannot earn a dollar on, and we are telling you about them anyway.

SBA Microloans

Up to $50,000, though the average is closer to $13,000. Terms run to seven years and rates generally fall between 8% and 13%. These are the most realistic formal financing for a business without much history.

Where it helps

  • Available far earlier than conventional lending
  • Long terms and reasonable rates for the stage
  • The nonprofit lenders that issue them usually provide free business advising alongside

Where it bites

  • Cannot be used to pay off existing debt or buy real estate
  • Issued by nonprofit intermediary lenders, not banks — availability varies by area
  • Smaller amounts than most founders expect

Equipment Financing

The one product on our main list that sometimes reaches a young business, because the equipment itself is the collateral rather than your operating history.

Where it helps

  • Approval leans on the asset and your personal credit
  • Often the fastest path to real capacity for a new operation
  • Builds business credit from the start

Where it bites

  • Only pays for the equipment — no working capital
  • A young business usually needs a down payment
  • Strong personal credit effectively required

Full details

Personal credit and business credit cards

The most common way new businesses actually get funded, and the one that deserves the most caution. It is fast and it is available. It is also personally guaranteed, at rates that punish you if revenue arrives slower than planned.

Where it helps

  • Available immediately with good personal credit
  • Introductory 0% periods can genuinely bridge a short, defined gap
  • No business history required

Where it bites

  • You are personally liable — this is your house and your credit score, not a corporate risk
  • Rates jump hard when the introductory period ends
  • "Credit stacking" services that open many cards at once are the single most common way new owners get buried

Friends and family

Funds more new businesses than every formal product combined. The money is the easy part; the structure is what determines whether you still have the relationship in three years.

Where it helps

  • Flexible terms and patient capital
  • No credit requirement
  • Often the only option at the true idea stage

Where it bites

  • Put it in writing — loan or equity, what happens if it fails, and what "paid back" means
  • A handshake deal between family is a dispute waiting for a bad quarter
  • Never take money someone cannot afford to lose

SBA microloan figures are current SBA program terms as published by the agency and can change. Amounts, rates, and terms are set by the individual intermediary lender.

Costs you nothing

Free help in the Treasure Valley that we earn nothing from.

If you are early, these will do more for you this month than any lender will. Use them before you borrow anything.

Idaho SBDC

State office at Boise State University · idahosbdc.org

No-cost, confidential business consulting and low-cost training for Idaho entrepreneurs, with a regional center covering southwest Idaho and a dedicated capital access team. If you are pre-revenue and reading this page, they are almost certainly your best first call.

SCORE Treasure Valley

treasurevalley.score.org

Free mentoring from people who have run businesses. Useful for the questions that are not really financing questions — pricing, whether the model works, whether to do this at all.

Business.Idaho.gov

State of Idaho

Registration, licensing, and the administrative sequence of actually forming the business. Dull, necessary, and free.

The next six months

How to be fundable, deliberately.

Almost every business that struggles to borrow at month eighteen made avoidable choices at month one. None of this costs money.

  1. Separate everything

    A business entity, an EIN, and a business bank account that every dollar runs through. Lenders underwrite bank statements. Commingled personal and business money is the most common reason a promising file cannot be placed.

  2. Build deposit history

    Consistent monthly deposits into that account matter more than the amount. Six months of steady, explainable revenue opens more doors than one big month.

  3. Protect personal credit

    For the first two years your personal score largely is your business credit. Keep utilization low and do not let a growth push wreck it.

  4. Start business credit early

    A small equipment loan or a vendor line, paid on time, starts a file that will matter at month eighteen. Establish it before you need it.

  5. Keep books from day one

    Not a shoebox. Clean monthly statements make the difference between an approval and a request for documents you cannot produce.

  6. Come back at six months

    That is roughly when the products on the rest of this site start to open. We will tell you honestly when you cross that line.

What we do at this stage

Tell you the truth, and mean it about coming back.

If you are pre-revenue, we are not going to run your credit and submit you to six lenders hoping something sticks. Every one of those inquiries is a mark on a file you will need later.

What we will do is look at where you actually are, tell you which of the options above fits, point you at the free help that beats anything we sell, and give you a specific list of what to have in place before you come back.

There is no fee for that, and there is no obligation attached to it. We are a lending brokerage; we get paid by lenders when a deal funds. A conversation with a founder at month one earns us nothing today. It is still the best use of an hour either of us has.

Bring whatever you have

  • What the business is, or will be
  • What you need money for, and how much
  • Whether you have revenue yet, and roughly how much
  • A rough sense of your personal credit

No documents, no application, no credit pull for this conversation.

Set up a call

Questions

What new owners ask us.

Can I get a business loan with no revenue?
Rarely, and not the ones advertised everywhere. Term loans, lines of credit, merchant advances, and factoring all need operating history and deposits — typically six months at an absolute minimum, more often a year or two. Before that, realistic options are SBA microloans, equipment financing, personal credit, and friends and family. Anyone telling you otherwise is either selling you an expensive product or is about to run a hard inquiry that will not fund.
What about the lenders advertising "startup business loans"?
Most are one of three things: personal loans underwritten on your credit score, credit card stacking services that open several cards at once for a fee, or merchant advances that still require card volume you do not yet have. None are inherently fraudulent, but the marketing implies a business loan and the reality is personal liability. Read what you are actually signing.
Do you charge for help at this stage?
No. We are paid by lenders when a deal funds, so a conversation with a pre-revenue founder earns us nothing — and we would rather have it anyway. Some of what we recommend here, like the Idaho SBDC, is free and pays us nothing at all. That is not generosity; the founder we help honestly at month one is the client we fund at month eighteen.
How long until I can qualify for real business financing?
Six months of clean, separated revenue puts a few products within reach. Twelve months opens most. Two years with solid credit and books opens everything, including SBA. The founders who get there fastest are the ones who set up the banking and bookkeeping properly in month one.
Is an SBA loan realistic for a brand new business?
A microloan, often yes. A standard 7(a) loan, occasionally — it takes relevant industry experience, a genuine business plan with projections, and a larger equity injection from you. It is harder, not impossible, and it is worth an honest conversation before you invest weeks in the paperwork.

Already running, and past the startup stage?

If you have six months or more of revenue, the products on the rest of the site are open to you. Start there instead.