Best Business Debt Consolidation Loans for Small Business Owners

Running a small business is awesome, but man, it can hit you with some serious money stress. You’ve got loans, credit lines, maybe some surprise bills piling up, and suddenly you’re juggling payments like a circus act. If you’re a small business owner feeling the heat from high-interest debt, business debt consolidation might just save your sanity. It’s all about rolling those annoying debts into one loan with a better rate and one payment you can actually handle. I’m gonna break down the best business debt consolidation loans for 2025, give you the lowdown on what they offer, and toss in some tips to keep you from screwing it up. Whether you’re trying to manage cash flow or just wanna grow without debt dragging you down, this guide’s got everything you need. Let’s jump in!

Why Debt Consolidation’s a Lifesaver for Small Businesses

Small businesses are like the heart of the economy, but they get beat up financially sometimes. The SBA says over half of small businesses take on debt in their first five years—think credit cards, equipment loans, or those sketchy merchant cash advances. With business credit cards charging 19-25% interest and some short-term loans even worse, it’s easy to get stuck in a hole. One missed payment, and you’re drowning.

Business debt consolidation’s like a life raft. It takes all your debts and smushes ‘em into one loan with a lower rate, so you’re not bleeding cash on interest. That means lower monthly payments, more money to keep your business running, and less stress about due dates. In 2025, with the market still kinda wild, consolidation’s a smart move to stay ahead. Wanna dig into more debt hacks? Check out our Debt Management page.

What’s a Business Debt Consolidation Loan?

Okay, so a business debt consolidation loan is when you get a new loan to pay off all your other business debts—credit cards, loans, vendor bills, whatever. You end up with one payment, usually at a better interest rate, and it’s way easier to keep track of. These loans come from banks, online lenders, or even SBA programs, and the best ones are built for small businesses with flexible terms and quick cash.

Why It’s Awesome:

• Cheaper Rates: Swap 20%+ interest for something like 6-10%.
• One Bill: No more stressing over five different due dates.
• More Cash: Lower payments mean you’ve got money for stuff like inventory or marketing.
• Better Credit: Paying off revolving debt can bump up your business credit score.

Ready to find a lender? Let’s check out the best business debt consolidation loans for 2025.

How I Picked These Loans

I didn’t just throw darts at a board to pick these. I looked at what small business owners need most, like:

• Fair Rates: Interest that won’t make you cry.
• Loan Sizes: Options for small debts or bigger ones.
• Easy to Qualify: Loans for businesses with okay credit or shaky revenue.
• Flexible Terms: Payments that work with your cash flow.
• No Sneaky Fees: Clear costs, no gotchas.
• Real Feedback: What actual business owners say about the lender.

Here’s my top 10 list of the best business debt consolidation loans for small businesses in 2025.

Top 10 Business Debt Consolidation Loans for 2025

1. SBA 7(a) Loans – Best for Low Rates

What’s the Deal?
SBA 7(a) loans are like the gold standard for consolidation ‘cause they’ve got crazy low rates and long terms.

What You Get:

• APR: 8% to 13% (depends on the lender).
• Loan Amounts: Up to $5 million, but smaller’s common for consolidation.
• Terms: 5 to 25 years.
• Fees: Guarantee fee (0.5% to 3.5%), maybe some origination fees.
• Extras: Backed by the government, so lenders chill out.

Why It’s Cool:
These loans have some of the best rates out there, perfect for consolidating pricey commercial loans or credit cards. The catch? The application’s a pain—lots of paperwork—but the savings are worth it if you’ve got a solid business.

Best For: Businesses with good revenue and credit.
Check It Out: SBA.gov.

Tip: Go through an SBA-approved bank like Chase or Wells Fargo to make it easier.

2. Funding Circle – Best for Online Loans

What’s the Deal?
Funding Circle’s an online lender that’s super fast and easy to work with.

What You Get:

• APR: 7.49% to 24.99%.
• Loan Amounts: $25,000 to $500,000.
• Terms: 6 months to 7 years.
• Fees: Origination fee (3.49% to 6.99%).
• Extras: Cash in as little as 48 hours.

Why It’s Cool:
They’ve got decent rates and terms you can tweak, great for consolidating business credit cards or short-term loans. Their online setup’s a breeze for busy owners who don’t wanna deal with bank nonsense.

Best For: Tech-savvy businesses with steady income.
Check It Out: Funding Circle’s site.

3. BlueVine – Best for Okay Credit

What’s the Deal?
BlueVine’s chill with businesses that don’t have perfect credit.

What You Get:

• APR: 6.2% to 29.9% (simple interest).
• Loan Amounts: $5,000 to $250,000.
• Terms: 6 to 12 months (sometimes up to 24).
• Fees: Sometimes no origination fee.
• Extras: Fast approvals, quick cash.

Why It’s Cool:
BlueVine doesn’t need you to have stellar credit or years in business, so it’s a lifesaver for newer companies. Their short-term loans are great if you wanna pay off debt fast.

Best For: Startups or businesses with fair credit.
Check It Out: BlueVine’s site.

More Options: Got personal debt too? Peek at our Top 10 Debt Consolidation Loan Companies in 2025.

4. OnDeck – Best for Short-Term Fixes

What’s the Deal?
OnDeck’s all about speed and short-term loans for consolidation.

What You Get:

• APR: 9.99% to 99% (yeah, it varies a lot).
• Loan Amounts: $5,000 to $250,000.
• Terms: 3 to 24 months.
• Fees: Origination fee (0% to 4%).
• Extras: Same-day funding sometimes.

Why It’s Cool:
OnDeck’s perfect for wiping out high-interest debts like merchant cash advances quick. Their APRs can get wild, so make sure you check the terms, but the speed’s unmatched.

Best For: Businesses needing cash flow relief ASAP.
Check It Out: OnDeck’s site.

5. Kabbage Funding (by American Express) – Best for Line of Credit

What’s the Deal?
Kabbage gives you a line of credit, which is kinda different for consolidation.

What You Get:

• APR: 8% to 24% (based on draw fees).
• Loan Amounts: $1,000 to $150,000.
• Terms: 6 to 18 months per draw.
• Fees: Monthly fee instead of regular interest.
• Extras: Pull cash whenever you need it.

Why It’s Cool:
You can draw funds as you go to pay off creditors, which is great if your cash flow’s up and down. It’s like having a credit card just for consolidation.

Best For: Flexible business finance needs.
Check It Out: Kabbage’s site.

6. Credibly – Best for Risky Businesses

What’s the Deal?
Credibly’s got your back if you’re in a high-risk industry or your credit’s not great.

What You Get:

• APR: 9.99% to 36% (factor rates sometimes).
• Loan Amounts: $5,000 to $400,000.
• Terms: 6 months to 2 years.
• Fees: Origination fee (2.5% to 5%).
• Extras: Approvals even with low credit.

Why It’s Cool:
They work with businesses in weird niches or seasonal ones that banks usually ditch. If you’ve been turned down elsewhere, Credibly’s worth a look.

Best For: High-risk or seasonal businesses.
Check It Out: Credibly’s site.

7. Lendio – Best for Shopping Around

What’s the Deal?
Lendio’s a marketplace that hooks you up with tons of lenders.

What You Get:

• APR: 6% to 30% (depends on the lender).
• Loan Amounts: $5,000 to $2 million.
• Terms: 1 to 10 years.
• Fees: Varies by lender.
• Extras: One application, lots of offers.

Why It’s Cool:
You fill out one form, and Lendio shows you loans from banks, online lenders, even SBA folks. It’s like speed-dating for loans—find the best deal quick.

Best For: Comparing multiple loan options.
Check It Out: Lendio’s site.

8. SmartBiz – Best for Easy SBA Loans

What’s the Deal?
SmartBiz makes SBA loans less of a headache.

What You Get:

• APR: 8% to 11% (SBA rates).
• Loan Amounts: $30,000 to $350,000.
• Terms: 10 to 25 years.
• Fees: Referral and packaging fees (2% to 3%).
• Extras: Faster SBA process.

Why It’s Cool:
They cut through the SBA red tape and get you low rates with long terms, perfect for consolidating big debts without killing your cash flow.

Best For: Long-term debt management.
Check It Out: SmartBiz’s site.

9. Balboa Capital – Best for Quick Approvals

What’s the Deal?
Balboa’s all about getting you cash fast for consolidation.

What You Get:

• APR: 8% to 35%.
• Loan Amounts: $5,000 to $250,000.
• Terms: 3 months to 5 years.
• Fees: Origination fee (varies).
• Extras: Funding in 24-48 hours.

Why It’s Cool:
They approve quick and give you flexible terms, great for clearing out high-cost debts in a hurry.

Best For: Urgent debt relief needs.
Check It Out: Balboa Capital’s site.

10. Wells Fargo – Best for Bank Lovers

What’s the Deal?
Wells Fargo’s a big bank with solid consolidation loans.

What You Get:

• APR: 7.5% to 22% (unsecured loans).
• Loan Amounts: $10,000 to $100,000 (more if you’ve got collateral).
• Terms: 1 to 7 years.
• Fees: Might have an origination fee.
• Extras: Discounts if you’re already a customer.

Why It’s Cool:
They’ve got competitive rates and that big-bank reliability. If you’ve got a Wells Fargo account, you might score a better deal.

Best For: Established businesses with bank relationships.
Check It Out: Wells Fargo’s site.

How to Pick the Right Loan for Your Business

With all these loans, how do you choose? Think about:

• Your Credit: Got good credit? SBA or Wells Fargo’s your jam. Fair credit? Try BlueVine or Credibly.
• Debt Size: Small debts? Kabbage or OnDeck. Bigger ones? Funding Circle or SmartBiz.
• Payback Time: Want it quick? OnDeck’s short terms. Need longer? SBA’s 25 years.
• Business Stage: Newer businesses like BlueVine; older ones go Wells Fargo.

Dealing with personal debt too? Check out our Top 10 Debt Consolidation Loan Companies in 2025.

Why Consolidation’s a Win for Your Business

These loans do some sweet stuff:

• Save Cash: Lower rates mean you’re not throwing money at interest.
• Better Cash Flow: One payment frees up money for your business.
• Grow Easier: Extra cash lets you hire, market, or stock up.
• Credit Boost: Paying off credit cards can lift your business credit score.

The SBA says in a 2024 report that 60% of businesses using consolidation loans made more profit within a year. That’s real money!

Don’t Screw This Up: Mistakes to Avoid

To make these loans work, watch out for:

• Borrowing Too Much: Only consolidate what you owe—don’t tack on extra.
• Missing Fees: Check for origination or prepayment penalties.
• Late Payments: Missing payments hurts your credit and cash. Set up autopay.
• Wrong Terms: Short terms like OnDeck’s mean big payments—make sure you can handle ‘em.

More tips? Hit up our Debt Management page.

Step-by-Step: How to Consolidate Your Business Debt

Ready to do this? Here’s my plan:

1. List Your Debts: Write down every balance, rate, and term. Know what you’re dealing with.
2. Check Your Credit: Look at your business and personal credit scores.
3. Set Goals: Wanna cut rates? Stretch payments? Both?
4. Shop Lenders: Use my list—SBA for cheap, OnDeck for fast.
5. Prequalify: See rates without messing up your credit.
6. Apply: Send in revenue docs, debt details, financials.
7. Pay Off Debts: Use the loan to clear everything out.
8. Stay on Track: Autopay your new loan and keep an eye on cash flow.

Real Stories, Real Results

Here’s a couple folks who nailed it:

• Mike’s Manufacturing: Mike had $50,000 in credit card debt at 20% interest. He got an SBA 7(a) loan at 9%, saved $12,000 over 10 years, and says, “Now I’m buying new machines.”
• Jenny’s Boutique: Jenny owed $30,000 and used Funding Circle at 10% APR. Her payments dropped 40%, and she opened a second store. “Total game-changer,” she told me.

These show what a good loan can do for your business.

Other Ways to Tackle Debt

Not feeling consolidation? Try these:

• Debt Settlement: Pay less than you owe with folks like National Debt Relief.
• Business Credit Cards: Some have 0% APR deals for small debts.
• Equity Financing: Use business assets for cheaper loans.

Got personal credit card debt? See our Best Credit Card Debt Consolidation Loan Companies.

Wrapping It Up: Take Control in 2025

Small business owners, you don’t have to let debt run your life. In 2025, the best business debt consolidation loans—like SBA’s low rates or Funding Circle’s online ease—can cut your payments, free up cash, and let you focus on growing. Pick a lender that fits your business, avoid the dumb mistakes, and get your finances in order.

Start today—check out SBA.gov, Funding Circle, or our Debt Management page. Got a debt story or question? Drop it below, and let’s make 2025 your year!