The Top Loans for Women Entrepreneurs

Woman holding money

During a research study conducted in 2018 on loan size, online credit resource Biz2Credit found that the average funded amount for women-owned businesses was 31% lower than their male counterparts. Gender gaps can make it discouraging to take the next step toward financing your business.

On the bright side, the number of women-owned businesses has been steadily increasing; there are plenty of financial resources out there that are dedicated to helping female entrepreneurs start, maintain, and expand their businesses.

We’ll share a list of the top loans for women in business, their general requirements, and their benefits; continue reading to discover the right financing opportunity for you.

Small Business Administration (SBA) Loans

About

Established in 1953, the SBA is an organization with a mission to help Americans start and succeed in their small businesses. They provide access to capital, entrepreneurial training programs, and a variety of other business resources.

The SBA features a guide on their website specifically for female entrepreneurs, outlining different training and funding opportunities. They also created the Office of Women’s Business Ownership (OWBO) to help educate and empower women nationwide.

SBA loans are reliable and typically have lower interest rates. You can apply for different types of loan programs; you may consider a primary SBA 7(a) loan or an SBA microloan.

The SBA 7(a) Loan Program

The minimum loan amount for the SBA 7(a) Loan Program is $50,000, while the maximum is $5M. Depending on the type, the 7(a) loan program provides working capital and fixed assets for business owners.

The SBA Microloan Program

The SBA Microloan Program is specifically geared toward women and minority-owned businesses. The maximum loan amount is $50,000, while the average is $13,000. Like the 7(a) program, loans can be used toward working capital and fixed assets.

General Requirements

  • Your business must be registered, for-profit
  • Individual must conduct business in the U.S.
  • Individual must already have invested their time into the business
  • Individual must be able to repay
  • Individual must exhaust other financing options

Benefits of an SBA Loan

  • Flexibility with funds
  • Lower interest rates
  • Continued support and education


Learn more about SBA loans here.

Kabbage Small Business Loans for Women

About

Kabbage is a financial tech company that provides funding to small businesses. Kabbage is also incredibly dedicated to women entrepreneurs; their blog covers a variety of news and tips for “womenpreneurs.” If you visit their page on loans for women, you’ll discover that they have loans up to $250,000.

Kabbage also shares valuable information on the types of business loans, when you should apply for one, how to use one, how to easily apply through their mobile app, and additional resources for women in business.

Kabbage’s loan application process is fairly straightforward:

  1. Enter the required information (basic information, revenue data, etc.) online or through the mobile app
  2. Kabbage will review the information to find out if you qualify
  3. Once they determine the working capital, they’ll provide the funds for your business

General Requirements

  • Individual must be in business for at least 1 year
  • Your business must be making at least $50,000 per year or $4,200 per month over the last 3 months

Benefits of a Kabbage Loan

  • Simple and convenient application process
  • Flexibility with funds
  • Clear terms and conditions
  • Continued support from experts


Learn more about Kabbage loans here.

The Tory Burch Foundation Capital Program

About

American fashion designer Tory Burch launched her foundation in 2009 as a way to help women in business overcome common obstacles. The Tory Burch Foundation provides mentorship and networking, entrepreneurial education, and access to capital.

The foundation’s Capital Program is powered by Bank of America and helps women entrepreneurs gain access to loans through Community Lenders, also referred to as Community Development Financial Institutions (CDFIs).

Through the Tory Burch Foundation Capital, these local lenders offer affordable loans to female entrepreneurs. The minimum loan amount is $500, while the maximum loan amount is $100,000, with a two percent interest rate reduction.

General Requirements

  • Individual must have a business that can be maintained
  • Individual must have an adequate credit rating
  • Individual must be in business for at least 2 years

Benefits of a Tory Burch Foundation Loan

  • Access to a Bank of America financial mentor
  • Access to the Tory Burch entrepreneurial community


Learn more about Tory Burch Foundation loans here.

Accion Women-Owned Business Loans

About

Accion is an American nonprofit lending network with a variety of resources for female entrepreneurs featured on their website. They specifically recognize the value of women-owned businesses, and several of their loans go toward women, minorities, and lower-income individuals. Accion offers loans up to $50,000 and loans vary depending on the type of business and location.

General Requirements

  • Individual must be no more than 30 days late on any payments, such as loans, bills, or credit. If so, the late balance cannot be more than $3,000
  • Individual must not have declared bankruptcy in the last 12 months
  • Most loans require a minimum credit score of 575

Benefits of an Accion Loan

  • Loan flexibility
  • Simple application process
  • Access to business experts and further resources
  • Ongoing support and encouragement


Learn more about Accion Small Business Loans here.

Grameen America Microloans for Women Entrepreneurs

About

Founded in 2008, Grameen America is a nonprofit microfinance organization dedicated to helping low-income women achieve their entrepreneurial dreams. They provide microloans starting at $1,500, training and networking, further education, and future opportunity for larger loans.

Grameen America uses a model by Nobel Peace Prize Laureate Professor Muhammad Yunus, which includes six steps titled: Group, Training, Microloan, Weekly Meetings, Successful Women, Continued Support.

General Requirements

  • Individual must be living below the poverty line
  • Individual must be in a location where there is a Grameen America branch

Benefits of Grameen America Loans

  • Effective step-by-step method
  • Continued education and training
  • Ongoing support network


Learn more about Grameen America Microloans here.

Kiva Business Loans

About

Kiva is a nonprofit organization that uses crowdfunding to provide underserved communities access to capital and other financial resources. Kiva loans are specifically for those who are dedicated to making a difference in their communities or those who are financially-excluded. You can browse loans by category, including women, education, eco-friendly, and so forth. Loans reach up to $10,000 at 0% interest.

Kiva’s application process is fairly straightforward:

  1. Apply for a loan
  2. Loan goes through an approval process
  3. If approved, loan is posted to Kiva for lenders to crowdfund
  4. Loan is repaid
  5. Repayments are used for new loans, donations to Kiva, etc.

General Requirements

  • Individual must conduct business in the U.S.
  • Individual must be at least 18 years old
  • Individual must be using the loan for business purposes

Benefits of a Kiva Loan

  • Ongoing support and resources
  • Marketing and networking through Kiva’s community


Learn more about Kiva business loans here.

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