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Five Star Financing Choices for the Lone Star State: Get Small Business Loans in Texas

Janet Gershen-Siegel
November 26, 2022
Small Business Loans in Texas Credit Suite

Are you on the hunt for small business loans in Texas? Find out how you can get financing even if your small business is a startup, or you have bad credit. Cover cash flow shortfalls, buy real estate—even get financing for oilfield services!

Any Texas business owner has several choices to become even bigger.

Here’s how.

Top Small Business Loan Providers In Texas

Do you think your only options come from banks? Well, think again—you don’t have to be stuck in a traditional funding ‘box’.

The Product Development and Small Business Incubator Fund

This fund offers long-term, asset-backed small business loans to product development companies and small business incubators/accelerators in Texas.

For small businesses in industries more likely to create jobs, the fund offers up to $5 million. 

You must be in business for at least 3 years and be able to provide at least three years’ worth of audited financial statements. These small business loans must be secured with tangible assets like land or equipment.

You may work with a third-party guarantor. Small business loan terms go up to 15 years for personal property or business capital; 20 years for real property.

Use the funds for capital purchases or capital infusions. Offered by the Texas Department of Economic Development. They also manage the Texas Enterprise Fund.

Texas Workforce Training Grants

Small Business Loans in Texas Credit SuiteThe Texas Workforce Commission (TWC) offers the Skills for Small Business grant. This is for small businesses with fewer than 100 employees. These Texas small business grants incentivize training for new, full-time workers. 

Skills for Small Business will pay business grants of up to $1,800 for each new employee being trained and $900 for existing employees per 12-month period. This training cannot be in pursuit of a degree.

Rather, the idea behind these business grants is to support training that will help out the entire small business. 

Support is also available to upgrade the skills of existing full-time workers. You can get training through community or technical colleges, or via the Texas Engineering Extension Service. 

Merchant Cash Advance from New Angle Capital

Small business owners with bad personal credit can get up to $200,00 per business location.

Merchant cash is like a fast business loan, in that your funding arrives quickly after approval. However, it is not an actual loan.

Rather, it is an advance on your business’s future credit card sales. The lender is paid back via a percentage of your sales being funneled back to them. You do not need to put up collateral. There is no loss of equity, and there are no closing costs. Plus, there are no application fees with this program.

Equipment Financing from Texas Capital Bank

This lender has experience with equipment financing for construction, healthcare, manufacturing, technology, and the transportation industry, among others. Hence they are willing to work with small businesses in riskier industries, like trucking.

Since they also provide business banking services, Texas Capital Bank is positioning itself as a kind of one-stop shop for small business financing and money management. 

Small Business Loans in Texas Credit SuiteIn effect, a small business can enhance its Fundability™ while developing a relationship with Texas Capital Bank. Combined with their willingness to work with riskier industries, you have an effective way for a business to finance itself now and set itself up for a better future.

Working Capital Loan from Texas Gulf Bank

This lender provides working capital lines of credit. These lines of credit are often secured by accounts receivable, inventory, or a generalized pledge of all company assets.

While small business owners wait for payments from customers, this loan provides enough cash to cover intervening expenses.

This enables a business to offer net terms to its customers, thereby gaining a competitive advantage. 

Industries they serve include chemicals, transportation, and industrial services. Note: you will need to personally guarantee this loan.

To apply, you must provide year-end balance sheets and income statements for the past 3 years of business operations.

Commercial Real Estate Lending from First Capital Bank of Texas

This lender provides real estate mortgages for terms of three, five, or fifteen years. They will finance both land development and construction.

You can also get a small business checking account with them, with a monthly fee of $12. A business can get a debit card through them, and they fully support online banking, with no cost for small business bill paying.

They also offer business savings accounts and certificates of deposit. You can even get letters of credit through them.

They have several locations in Texas, including Dallas, Lubbock, Wichita Falls, Odessa, Midland, and Amarillo.

SBA Lending from the Small Business Administration and the Bank of Texas

This lender offers both 504 and 7(a) loans from the Small Business Administration. They are a preferred SBA lender. This means that they handle everything in-house. You never need to interact with the SBA. 

Get 7(a) terms for up to 10 years for non-real estate loans and up to 25 years for real estate lending. With a 504 loan, they offer 20 or 25-year terms for commercial real estate, and up to 10 years for heavy equipment.

They suggest either type of Small Business Administration loan for purchasing real estate or equipment. 

An SBA loan is available through many of our other lending choices as well.

Business Cash Advance from Fordham Capital

With a business cash advance (a merchant cash advance), you can get money deposited within three to five business days. This is an advance on your business’s future receivables. 

Although this lender is based in Manhasset, New York, they will work in Dallas County. 

To qualify, you must:

  • Be in business for at least 6 months.
  • Have at least $10,000 in monthly revenues.
  • Be based in the United States.

In general, you will qualify for between 75% and 125% of your business’s monthly revenues. 

To apply, you must provide:

  • Bank statements
  • Drivers license
  • Lease agreement (if applicable) and 
  • A voided check from your business bank account.

Term Loan from Amegy Bank

Amegy specializes in energy lending products. That is financing for the oil and gas industries. Get a loan for up to $50 million, with up to $300 million available via syndication.

They work with many of the subsets of the oil and gas industries, such as refineries, pipeline companies, oilfield service companies, and petroleum storage terminals.

This lender provides a number of ancillary services like letters of credit, foreign exchange, escrow accounts, and wire transfers.

This is an extensive suite of services for very risky industries. 

You can also get marine finance through them, with a similar array of attendant services.

Startup Loan via Élan Capital

Unlike lenders, Élan Capital is more of a lending marketplace with hundreds of options.

You can get a startup business loan even if your new business in Texas has been in operation for less than a year and has low revenues. Get new unsecured business and startup loans for up to $150,000.

No collateral or assets are necessary, and no business license is required. Pay no application costs. They will work with all sorts of industries. 

This provider also offers equipment leases, factoring, lines of credit, business capital loans, and asset-based financing, among other things. 

Demolish your funding problems with 27 killer ways to get cash for your business. Get money FAST.  Via Credit Suite

Online Loan Options

Many of the choices we’ve already outlined have online options as well. Here are even more.

Credit Line Hybrid from Credit Suite

If you have good personal credit, you can get up to $150,000 via our Credit Line Hybrid program. You can get 24 hour preapproval and 0% financing for 6 – 18 months—vital during times of inflation! Our Credit Line Hybrid is true ‘no doc’ financing, and even startups can get it.

Don’t have good personal credit? That’s okay. Just bring in a guarantor who does.

Contact us today to learn more about this great way to get business credit cards for your Texas small business.

Gud Capital

Gud Capital provides a variety of loans to Texas businesses. Get term loans with rates of 5 – 20% and terms of one to thirty years. A line of credit has rates of 5 – 15% and terms of one to two years.

Or try factoring, with rates as low as 1% and terms of a year. Equipment funding has rates of 8 – 15% and terms of one to ten years.

For the best business loan in terms of time to financing, choose a cash advance with rates of 1.08 – 1.49 and terms of four to twenty-four months. Get your money in one to three days.

Sunwise Capital

Sunwise will only do a soft credit pull. Get approved and funded the same day. 

To qualify, you must:

  • Be in business for at least twelve months
  • Bring in at least $15,000 in monthly revenue and
  • Have a FICO score of at least 500

This low minimum personal credit score requirement makes them a good choice for business owners who do not have good personal credit.

Sunwise provides an unsecured business line of credit, business capital loans (small business loan amount goes up to $2 million), and SBA loans (to $5 million). For an SBA loan, you must have a FICO score of at least 680. 

Fundera

A Texas small business owner can compare several options. Fill out an application, and they connect you with a funding advisor. The advisor locates the best options and helps you decide among offers.

After your business is funded, your funding advisor will work with you to plan on getting you better lending products in the future. 

Available lending products include more than one kind of SBA loan, merchant cash advances, short-term loans, business lines of credit, term loans, and equipment funding.

Fundera also compares choices of essential business services like bank accounts and point-of-sale systems, helping you find the best fit for your business.

Funding Circle

They are a direct lender, offering SBA 7(a) loans, business lines of credit, and business term loans.

Term loans are available for up to $500,000, at a fixed interest rate. Terms run from six months to seven years. There are no prepayment penalties. Get money in as little as three days.

7(a) loans run up to $5 million, with term lengths of up to ten years. Rates are as low as Prime + 2.75%.

Business lines of credit run up to $250,000, with same-day funding. Pay a 1.6% average draw fee.

Demolish your funding problems with 27 killer ways to get cash for your business. Get money FAST.  Via Credit Suite

How to Qualify for a Business Loan in Texas

Fundability Foundation™ 

A business owner should make sure their company has a Fundability Foundation™ before they start to apply for business loans. In particular, this will help you to save time, because you will have already gotten together some of the requirements that many lenders have.

For more information on Fundability, check out our Fundability mini course, and convert denials into approvals.

Have a Good Credit Score

A good personal credit score will always help you get Texas small business funding. Small business owners who can prove they responsibly pay back everything from a business credit card to a small business loan will be in an advantageous position.

In fact, good credit can help you get any type of financing.

Have a Proper Business Plan

A proper business plan, prepared by a professional, will increase any small business’s chances of loan approval. You would be hard-pressed to find lenders who don’t want a valid business plan as part of a funding application.

This is not the time to wing it. Professional preparation will increase your small business’s Fundability™.

Business Revenues

Proving your small business is bringing in consistent business revenues will also increase your chances of qualifying for a Texas business loan. 

In general, you can prove your business revenues with business tax returns and other business financial statements, such as a Profit and Loss statement.

Here, too, professional preparation makes a difference.

Demolish your funding problems with 27 killer ways to get cash for your business. Get money FAST.  Via Credit Suite

Finding the Right Lender

Do you need help with finding the right lender? There are a lot of choices, which can be daunting. 

Let us work with you to find the best lender, with the most money to offer and the best terms—where you can qualify! 

Get Your Free Business Finance Assessment to Discover your Optimal Path to Improve Fundability™, Build Business Credit, and Get Business Loans

Takeaways

Your choices for business money in the Lone Star State vary, with options for every size of business. Entrepreneurs with poor personal credit, startups, or risky industries, all have multiple options.

Texas is a business-friendly state, and these choices for entrepreneurial cash are one of the many reasons why.

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