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Best Small Business Loans in Baltimore, MD

Dec. 13, 2019, 12:13 a.m.

If you’re starting or expanding a business in Baltimore, you need funding. A business loan is an ideal way for small businesses to get the capital they need, but getting one in Baltimore isn’t always easy. Our partners at ConsumerAffairs researched the best business loans in Baltimore to guide your search for the right lender.

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#1
RECOMMENDED
Seek Business Capital

Startup Consulting • Business Services

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#1 MOST POPULAR
Seek Business Capital
Seek Business Capital
Features
  • Available in Balitmore
  • More than 92% funding approval rate
  • Same-day funding approvals
  • Apply online
Read More
#2
Imperial Advance
Imperial Advance
Features
  • Available in Baltimore
  • Financial consulting available
  • Flexible loan programs
  • Get funds in 24 hours
Read More
VISIT WEBSITE
CALL IMPERIAL ADVANCE
(888) 633-2083
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#3
National Business Capital
National Business Capital
Features
  • Available in Baltimore
  • More than $1 bilion in funding secured
  • Multiple financing options available
  • Expert financial advisors
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#4
Baltimore Business Lending
Baltimore Business Lending
Features
  • Microloans of $10,000-$50,000
  • Loans for small, emerging & start-up businesses
  • No specific amount of collateral required
  • Non-profit community development financial institution
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Location
875 Hollins St., Ste. 301
Baltimore, MD 21201
(410) 727-8590
#5
SunTrust
SunTrust
Features
  • Term, equipment, SBA & commercial mortgage loans
  • Business resources and services
  • Small business, corporate & commercial expertise
  • Resources for cost savings & growing wealth
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Location
120 E. Baltimore St.
Baltimore, MD 21202
(410) 986-1540
Maryland Capital Enterprises Inc.
Maryland Capital Enterprises Inc.
Features
  • M-F: 9am - 4:30pm
  • Closed Sat and Sun
  • marylandcapital.org
Location
144 E. Main St.
Salisbury, MD 21801
(410) 546-1900
Baltimore Development Corporation
Baltimore Development Corporation
Features
  • M-F: 9am - 5pm
  • Closed Sat and Sun
  • baltimoredevelopment.com
Location
36 S. Charles St., Ste. 2100
Baltimore, MD 21201
(410) 837-9305
MECU of Baltimore
MECU of Baltimore
Features
  • M-W: 8:30am - 7pm
  • Th: 9am - 7pm
  • Fri: 8:30am - 7pm
  • Sat: 9am - 1pm
  • Closed Sun
  • mecu.com/Home
Location
301 E. Baltimore St.
Baltimore, MD 21202
(410) 752-8313
BB&T
BB&T
Features
  • M-Th: 9am - 4pm
  • Fri: 9am - 5pm
  • Closed Sat and Sun
  • bbt.com/small-business/start.page
Location
2 N. Charles St.
Baltimore, MD 21201
(410) 727-7511
Maryland Small Business Development Financing Authority (MSBDFA)
Maryland Small Business Development Financing Authority (MSBDFA)
Features
  • M-F: 9am - 5pm
  • Closed Sat and Sun
  • commerce.maryland.gov/fund/programs-for-businesses/msbdfa
Location
401 E. Pratt St.
Baltimore, MD 21202
(410) 767-6300

How to get a business loan in Baltimore

Baltimore skyline

Baltimore is ripe for small business development and startup companies, yet the number of new businesses here isn’t on par with business development in similarly sized and situated cities elsewhere in the country. A study by the 21st Century Cities Initiative at Johns Hopkins University shows that Baltimore has fewer business lenders than many other cities of similar size, which has slowed development.

With Baltimore’s lending infrastructure in need of improvement, many companies are looking to investors outside of the city to find the necessary capital to begin or expand a small business, according to the study. While this makes it more difficult to find small business loans, funding is still available for companies that know where to look.

Types of business loans in Baltimore

There are multiple types of business loans available for Baltimore businesses, and knowing which one fits your needs increases the likelihood you’ll be approved. Choosing the right loan for your company’s situation can also help you ease the burden of repayment.

Loan type Recommend for Quick facts
Term loan Growing an established business Repayment over fixed period; collateral usually required
SBA loans Established small businesses Long wait times; extensive qualifications; low rates; longer terms
Microloans Startups and businesses in disadvantaged areas Smaller amount; extensive requirements; low cost
Equipment loans Equipment purchases Competitive rates; often requires down payment; equipment used as collateral
Business line of credit Short-term business needs and unexpected expenses No collateral required; higher fees and rates
Invoice financing Businesses with unpaid invoices High rates and fees; unpaid invoices serve as collateral
Merchant cash advances Businesses with high volume of credit card sales Fast cash; extremely high rates; rapid repayment
Purchase order loans Small businesses without capital to meet large orders Lender takes control over process and remits payment, minus their fees, to business owner
Rollover for business startups (ROBS) Young entrepreneurs with extensive retirement savings Risks retirement savings; no fees

Finding business lenders in Baltimore

While going through traditional lenders such as banks is still an option, many Baltimore small business owners are turning to nontraditional online lenders, non-profit organizations or government programs to find capital.

Online lenders offer convenience, easy application processes, few requirements, multiple loan types, speedy approval and quick access to money. While some online lenders require good credit scores, others may choose to focus on your business plan and viability when deciding whether your company qualifies for a loan.

The city and state offer several programs for small businesses. The Maryland Department of Commerce provides access to more than a dozen general business, industry-specific and location-based loans, and Baltimore offers community catalyst grants for neighborhood-based organizations and community development corporations as well as other redevelopment initiatives.

There are also a growing number of nonprofit lending options in the area, such as programs from the Maryland Small Business Development Financing Authority, Baltimore Development Corporation and Baltimore Business Lending.

Fees and requirements for business loans in Baltimore

Depending on the type of loan you qualify for, your lender may require collateral. The amount of collateral varies between lenders, but it’s not uncommon for collateral requirements to be equal to the amount of the loan.

Be prepared for application fees and have the following information ready before you apply:

  • Your credit score
  • Desired loan amount
  • Value of the assets you're willing to use as collateral
  • Proof of assets, income and revenue

Be sure to read all the eligibility requirements before applying for a loan. If your loan application is denied, it’s possible your credit score could be damaged. Lenders may also charge fees for the loan, so be sure you understand all fees and compare the total costs of loans before committing.

For more information on lending in Baltimore, check out this report by the National Community Reinvestment Coalition.

Seek Business Capital

Seek Business Capital

With a funding approval rate of more than 92 percent for qualified businesses, a well-designed and easy to use website and funding estimates that arrive within hours, Seek Business Capital is considered a go-to lender for startups and small businesses. Baltimore customers say the company got them the funding they needed quickly.

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Imperial Advance

Imperial Advance

CALL IMPERIAL ADVANCE

(888) 633-2083 VISIT IMPERIAL ADVANCE

Imperial Advance offers an online capital qualification calculator, same-day funding, flexible plans, no-obligation offers and financial consulting services. The company provides a variety of loans, including term loans, merchant cash advances and business lines of credit. Baltimore business owners appreciate how the company’s representatives work to find financing solutions.

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National Business Capital

National Business Capital

National Business Capital has put more than $1 billion into the global marketplace through their business financing and lending. The company offers options including term loans, equipment loans and commercial mortgages. Baltimore customers say this lender has a team that exceeds expectations, but the company could be more transparent about fees.

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Baltimore Business Lending

Baltimore Business Lending

Baltimore Business Lending provides microloans from $10,000 to $50,000 to small business owners and startups that lack the credit history for traditional lending service. The organization works to revitalize local neighborhoods by providing Baltimore business owners with access to capital and has the support of local officials and experienced lenders.

SunTrust

SunTrust

SunTrust offers many different financing options, including term loans, equipment loans and business lines of credit. Members have access to multiple business services and resources. SunTrust says their goal is to help clients achieve financial confidence. While long-time account holders in Baltimore recommend the service, owners of startups report having difficulty with the lender.

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