Guide
Business funding with less than a year in business
Month-by-month: what opens up at 0, 3, 6 and 12 months, and the three habits that make month 12 look good to a lender.
Updated September 2026.
The timeline lenders actually use
| Age of business | What realistically approves |
|---|---|
| 0–3 months | 0% intro business cards (on personal credit), personal loans, friends and family, grants and pitch competitions, crowdfunding, SBA microloans via nonprofits |
| 3–6 months | The above, plus revenue-based advances if deposits are $10k+/month, and equipment financing with a down payment |
| 6–12 months | Online lines of credit at some lenders, invoice factoring for B2B, CDFI loans |
| 12–24 months | Online term loans, larger lines, most equipment lenders with no money down |
| 24+ months | Bank lines and loans, SBA 7(a), the cheapest money available |
Full breakdown on the startup funding page.
The three habits
- Every dollar through one business account. Lenders underwrite from statements. Commingled personal accounts and cash under the mattress make you look smaller than you are.
- Zero overdrafts, zero negative days. Underwriters count them. Three in six months is often a decline.
- Build a paper trail early. EIN, business license, a business card that reports to the business bureaus, a net-30 vendor account or two. At month 12 you want a business credit file that exists.
Grants in year one
Year one is the best time for grants: many programs favor new businesses and competitions love a launch story. Build the master application in month one and batch applications monthly. Just do not budget on winning.
When an advance makes sense under a year
Only when the return is fast and specific: a wholesale order you have in hand, equipment that starts billing immediately. Never for “runway”.
See what fits at your stage →
Tell us your time in business and revenue; we skip the products that will decline you.