Apply for a Business Loan with an EIN: Options and Requirements
Let's just rip the band-aid off: you'll have a hard time finding a loan that only requires an EIN for the application. Most loans, whether from a traditional bank or a fintech, will ask for other forms of identification when you sign up: an SSN, a personal credit score, business credit history, or all of the above. If you're trying to apply for a business loan with your EIN only, set your expectations accordingly.
But a traditional term loan isn't the only way to finance your business. Some lines of credit only require an EIN, and there are alternative financing options worth considering, including invoice factoring, revenue-based financing, and merchant cash advances. In this guide, we'll walk through what applying for a loan with an EIN looks like across both traditional lending and the alternatives, explain what an EIN is and how to build business credit that helps you qualify, and cover the common challenges businesses run into when looking for funding.
If you need a short-term line of credit rather than a multi-year loan, Slash Capital Financing is one option to look at.⁵ Your businesses can apply through our partner Slope, draw funds directly from the Slash dashboard, and repay on 30, 60, or 90-day terms. Your business can make drawdowns whenever cash flow is tight: a receivable is running late, payroll is due, or inventory needs to be restocked before a busy season. Continue reading to learn more.
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What is an EIN?
An Employer Identification Number (EIN) is a nine-digit number the IRS assigns to a business for federal tax purposes. It's formatted like XX-XXXXXXX and functions as a business's federal tax ID, similar to how a Social Security number identifies an individual. The number stays with the business for its lifetime, even if the business moves states, changes address, or restructures.
Businesses use an EIN for a range of activities beyond filing taxes: opening a business bank account, hiring employees and running payroll, applying for licenses and permits, and establishing credit under the business's name. Sole proprietors without employees can technically operate on a Social Security number alone, but most banks and lenders still expect an EIN before opening an account or extending credit to the business as an entity. Getting an EIN is free and takes a few minutes through the IRS website.
For lending purposes, the EIN is what lets a lender pull the business's credit file (through bureaus like Dun & Bradstreet, Experian Business, and Equifax Business) and evaluate the entity itself, rather than only the owner. This identifier also anchors building business credit with EIN data that lenders can verify.
Steps to Apply for a Business Loan with an EIN
Applying for a business loan with an EIN mostly follows the same steps as any other credit application, with one important caveat: having an EIN doesn't mean the lender will approve the loan on the business alone. Most lenders still check the owner's personal credit and require a personal guarantee, a written promise from the owner to repay the debt personally if the business can't. That's why many "EIN-only" loan offers tend to be limited, expensive, or reserved for businesses with a strong standalone credit file.
Here’s a general overview of what you can expect during an EIN-only loan application for your business:
Step 1: Define why your business needs funding
Start by writing down the specific use of funds, the amount, and how quickly the money needs to arrive. A short-term cash flow gap, an equipment purchase, and a real estate acquisition all fit different loan structures, and lenders will ask about intended use during underwriting (the process by which a lender evaluates risk and decides whether to approve the loan). Being specific about the amount matters too: asking for more than the business can reasonably repay is a common reason applications get declined.
Step 2: Check both your personal and business credit scores
Even though the loan is for the business, most lenders will pull the owner's personal credit report, too. If you’re a beneficial owner of the business, check your own FICO or VantageScore ahead of time and note any errors to dispute. You’ll also need to pull business credit reports from Dun & Bradstreet (PAYDEX), Experian Business, and Equifax Business. If your business is new and has no file, the lender will lean more heavily on personal credit and cash flow metrics. Knowing where you stand before applying helps you target lenders whose approval ranges match your profile rather than triggering hard pulls at lenders with whom you aren’t likely to qualify.
Step 3: Gather documentation
Have a folder ready with your business's formation documents, EIN confirmation letter (IRS Form CP 575 or a 147C reprint), the last two years of your business’s tax returns, recent bank statements, a year-to-date profit and loss statement, and an updated balance sheet. Lenders vary in what they ask for, but assembling this ahead of time will give you a good baseline. See the Required Documentation subsection below for the fuller list.
Step 4: Compare lenders and pre-qualify
Traditional banks, credit unions, SBA-approved lenders, online lenders, and fintech providers each price and underwrite differently, so it's worth getting quotes from several before committing. Many lenders offer a soft-pull pre-qualification that returns an estimated rate and amount without hitting the applicant's credit report. Compare the APR, repayment term, prepayment penalties, and personal guarantee requirements. The lowest headline rate isn't always the cheapest loan once fees and terms are accounted for.
Step 5: Submit the application and respond quickly
Once you've chosen a lender, submit the full application and be ready to answer follow-up questions promptly. Underwriters commonly ask for clarifications on tax return line items, unusual bank transactions, or forward projections. Deals sometimes fall apart not because the borrower doesn't qualify but because documentation requests sit unanswered for weeks. Fast, complete responses tend to move applications to closing.
Eligibility Criteria for Business Loans: What to Expect
Most lenders will ask for the same core set of information and supporting documents, so it's easier to prepare the whole package up front than to hunt for pieces mid-application. Typical requests include:
- EIN confirmation letter (IRS Form CP 575, or a 147C reprint if the original is lost)
- Business formation documents (articles of incorporation or organization, operating agreement, DBA filing)
- The last two years of business tax returns, plus the owner's personal tax returns
- Recent business bank statements, usually the last 3 to 12 months
- Year-to-date profit and loss statement and balance sheet
- Debt schedule listing existing business obligations and their terms
- Business licenses relevant to the industry
- A business plan or use-of-funds statement for larger loans
For SBA loans and larger commercial loans, expect additional forms like SBA Form 1919 (borrower information) and personal financial statements from each owner with 20% or more equity.
Credit Score Requirements
When it comes to your personal credit score, traditional banks generally look for a personal FICO score of 680 or higher and prefer 700+ for their best pricing. SBA loans use the FICO Small Business Scoring Service (SBSS), which runs from 0 to 300; the SBA sets a minimum SBSS score of 155 for its 7(a) Small Loan program, and many participating lenders set their own floors higher. Online and alternative lenders often accept scores as low as 500 to 600, though the trade-off tends to be higher rates and shorter terms.
Then there’s your business credit score, which is a separate measure not tied to you as an individual. Lenders may check the Dun & Bradstreet PAYDEX, Experian Business Intelliscore Plus, and Equifax Business. A newer business with a thin or nonexistent business credit file will be evaluated primarily on personal credit and bank statements. Ranges quoted here are typical, not guarantees; each lender sets its own thresholds.
Time in Business Requirements
Time in business is a proxy for how well the business has survived the early years, which are statistically the riskiest for new companies. Most traditional banks require at least two years in business, and SBA 7(a) loans generally follow the same guideline. Online lenders and revenue-based financing providers are often more flexible, with many willing to work with businesses that have been operating for six months to a year, provided they can show consistent revenue.
How to Build Business Credit for a Loan
Business credit is the record of a business's borrowing and repayment activity under its EIN, separate from the owner's personal credit history. It's what lets a business qualify for financing based on its own track record rather than the owner's, and it's what supports the corporate veil, which is the legal separation that keeps personal and business finances distinct so the owner isn't personally liable for the business's debts.
A strong business credit profile can support higher credit limits, better rates, and, over time, financing that doesn't require a personal guarantee. Getting there takes deliberate effort; business credit doesn't build automatically the way personal credit does after the first credit card.
Building your business credit is mostly a matter of making on-time payments under your business’s name. Here’s what that typically looks like:
- If you haven’t already, the first thing to do is register your business with Dun & Bradstreet. Get a D-U-N-S number; it's free, and it's a prerequisite for a PAYDEX score. We have a full guide on the registration process, which you can read by clicking here.
- Establish trade lines with vendors that report to business credit bureaus. Net-30 accounts with office suppliers, wholesalers, or fuel programs are common starting points. Not every vendor reports, but you can confirm just by asking.
- Apply for a business credit card or charge card in the business's name, and use it for regular business expenses. Card issuers that report to the business credit bureaus will start building the file within a billing cycle or two.
- Pay every obligation on or before the due date. PAYDEX rewards early payment more than personal FICO does, so paying a few days ahead can significantly move the score.
Business credit usually takes six to twelve months of consistent activity to build a file, so it's worth starting well before you need to borrow. These habits support building business credit with EIN-linked accounts and trade lines.
Types of Business Loans Available
Business loans come in a range of structures, and the right choice depends on both what the money is for and how much of the underwriting the business can carry on its EIN alone. Some products can be obtained on the EIN without an SSN or personal credit check; others will pull the owner's personal information regardless of business credit.
The six categories below cover the practical range for small businesses, with a note on EIN-only availability for each:
Term Loans
A term loan is a lump sum with a fixed repayment schedule over a set period, usually 1 to 10 years. It can be secured (backed by specific collateral like real estate or equipment) or unsecured (relying on the borrower's credit profile, cash flow, and typically a personal guarantee). Secured versions carry lower rates, longer terms, and higher maximum amounts because the collateral reduces the lender's risk; unsecured versions close faster and don't tie up business assets, but pricing and term length reflect the added risk.
Available EIN-only? Rarely. Traditional term loans almost always require the owner's SSN and a personal credit check.
Best for: One-time investments with a predictable payback, like a buildout, expansion, or acquisition.
SBA Loans
SBA loans are business loans issued by private lenders and partially guaranteed by the U.S. Small Business Administration. The guarantee can cover up to 85% of the loan for smaller amounts and up to 75% for larger ones, which lets participating lenders offer longer terms and lower rates than they otherwise would.
The two most common programs are the 7(a), a general-purpose loan with amounts up to $5 million and terms up to 10 years for equipment and general business use or 25 years for real estate, and the 504, designed for real estate and major equipment purchases through a Certified Development Company. The trade-offs: applications are documentation-heavy, decisions can take 30 to 90 days or longer, and owners with 20% or more equity are generally required to personally guarantee the loan.
Available EIN-only? No. SBA rules require personal information and a personal guarantee from any owner with 20% or more equity.
Best for: Established businesses (typically 2+ years in business) making a large capital investment with time to run through the approval process.
Business Line of Credit
A line of credit gives the business a revolving credit limit it can draw against as needed, repay, and draw again, paying interest only on the drawn portion. Lines can be secured or unsecured, and they generally close faster than term loans.
Slash's Working Capital Financing is one example: a short-term line of credit that businesses can apply for through partner Slope, draw from the Slash dashboard, and repay on 30, 60, or 90-day terms. That structure fits gaps like waiting on a large receivable, funding payroll ahead of a customer payment, or covering inventory before a seasonal push, without committing the business to a multi-year term loan.
Available EIN-only? Rarely from mainstream lenders. A handful of fintech providers offer no-SSN lines, but usually require substantial revenue and time in business.
Best for: Recurring or unpredictable short-term liquidity needs where the exact amount and timing vary.
Equipment Financing
Equipment financing is a loan or lease specifically for buying business equipment (vehicles, machinery, computers, kitchen or manufacturing hardware), with the equipment itself serving as collateral. Because the lender can repossess the equipment if the borrower defaults, rates tend to be lower and approvals easier than for a comparable unsecured loan. Terms usually track the useful life of the asset, so payments align with the period over which the equipment generates revenue.
Available EIN-only? Typically not for small businesses, though larger, established borrowers can sometimes qualify on the equipment collateral alone.
Best for: Buying a specific tangible asset the business will use to generate revenue for years.
Invoice Financing
Invoice financing gives the business cash against outstanding customer invoices, with the invoices serving as collateral. In factoring, the business sells the invoices to a financing company at a discount and the factor collects from the customer; in invoice financing (also called invoice discounting), the business borrows against the invoices and repays when the customer pays. Approval is usually faster and easier than for a bank loan because the underwriting focuses on the customer's ability to pay rather than the business's, though the cost is higher than traditional credit.
Available EIN-only? Often yes, because factors underwrite the customer paying the invoice rather than the business owner's personal credit.
Best for: Businesses with long payment cycles (Net-30, Net-60, Net-90) that need cash before invoices settle.
Merchant Cash Advance
A merchant cash advance is an upfront lump sum in exchange for a percentage of the business's future card sales, repaid as an automatic deduction from daily or weekly revenue. Approval is fast and doesn't rely heavily on credit, but effective APRs are often the highest of any commercial financing product because pricing is quoted as a "factor rate" (e.g. 1.3x the advance) rather than an interest rate. The daily deduction can also compound cash flow pressure during slow periods.
Available EIN-only? Often yes, since MCAs are technically a purchase of future receivables rather than a loan, and many providers underwrite on card sales history alone.
Best for: Card-heavy businesses in a short-term emergency when other financing isn't available; it's rarely the cheapest option when it isn't the only option.
Challenges of Applying for a Business Loan
Even a business that checks every eligibility box can experience challenges during the application process. Below are some of the common pitfalls for business applying for a loan, regardless of the type:
- Credit thresholds and time in business: Newer businesses without two years of tax returns or an established business credit file often find that the products they qualify for come with meaningfully higher rates and shorter terms than a more established peer would see.
- Documentation: Lenders will ask for tax returns, financials, bank statements, and personal information for every owner with 20% or more equity. Inconsistencies between the numbers, missing schedules, or unexplained transactions can slow or kill a deal even when the underlying business is healthy.
- Cash flow scrutiny: Recurring negative balances, excessive NSF (non-sufficient funds) fees, or large unexplained transfers get flagged in underwriting, sometimes despite strong aggregate revenue. Clean bank statements matter as much as the P&L.
- Personal guarantees: A personal guarantee means the owner is personally responsible for the debt if the business can't pay, which extends to personal assets in most jurisdictions and typically survives a business bankruptcy. PGs are nearly universal for small business loans.
- Speed: Traditional bank loans and SBA loans can take 30 to 90 days or more to close, which is fine for planned capital purchases but a poor match for urgent short-term cash needs. Businesses facing near-term liquidity gaps often turn to lines of credit or invoice factoring instead.
Access Flexible Financing for Your Business with Slash
Slash's Capital Financing is for short-term gaps that don't warrant a multi-year term loan or a 90-day SBA cycle. You can make drawdowns from the Slash dashboard and repay on 30, 60, or 90-day terms to match your cash flow cycle. It isn't EIN-only – Slope still checks the owner's personal credit, like most bank-issued lines of credit – but the whole process stays in one place and takes less than 30 minutes instead of dragging out for weeks at a bank. Full requirements are in our help center.
Invoice factoring and MCAs are the two paths where EIN-only financing is realistic. Slash doesn't originate either, but its invoicing and business banking can put a company in a better position to get started.¹ For factoring, Slash Invoicing keeps a clean record of every invoice and payment, which is what factors want to see before advancing against a receivable. For MCAs, which underwrite off bank statements, a Slash business account unifies all of your financial activity in one place, so lenders have a clean look at your cards, accounts, payments, and treasury when making a decision.
Here’s what else your business gets with Slash:
- Slash Visa Platinum Card: Corporate charge cards that can earn up to 2% cash back with granular spend controls, spend limits, and card grouping.
- Business banking: FDIC-insured business checking, protected up to $150M through Column N.A.'s insured cash sweep network.²
- Multiple payment methods: Send and receive funds via same-day ACH, wires on SWIFT to 180+ countries, RTP, FedNow, and stablecoin transfers in USDC or USDT.⁴
- Accounts payable and receivable: Create invoices, track payment status, and collect payments via multiple methods all in your dashboard. For your bills, Slash can parse an uploaded invoice, route each bill for approval, and track its status from pending to paid, so payables don't slip through the cracks.
- Integrated treasury: High-yield treasury accounts earning up to 3.79% annualized yield backed by Morgan Stanley and BlackRock money market funds, with no minimum balance to get started.⁶
- Accounting integrations: Two-way sync with QuickBooks, Xero, NetSuite, and Sage Intacct.
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Frequently Asked Questions
How do I get an EIN?
Apply directly through the IRS at irs.gov using the online EIN Assistant, which is free and issues the number immediately for eligible applicants (a responsible party with a valid U.S. taxpayer ID). You can also apply by fax with Form SS-4, which typically takes about four business days, or by mail, which typically takes about four weeks.
What is an EIN? Meaning, Uses, and How to Apply
Do I need an EIN for a loan?
Most business lenders will require an EIN before extending credit in the business's name, and it's a prerequisite for opening a business bank account, which lenders also expect to see on the application. Sole proprietors without employees can sometimes borrow using a Social Security number alone, but the loan is treated as personal debt in that case, not business debt, and it won't help build a business credit file. If your goal is to ‘apply for a business loan with my EIN number alone,’ expect most providers to still check personal credit and cash flow.
How to Find My EIN Number Online: Quick Tax Guide
How to Get a Working Capital Loan: Key Insights for Small Business Owners
Where do I find my business credit score?
The three main business credit bureaus are Dun & Bradstreet (PAYDEX), Experian Business (Intelliscore Plus), and Equifax Business. Each maintains its own file under your EIN and, in Dun & Bradstreet's case, your D-U-N-S number, and each sells reports directly to businesses. Free monitoring products like Dun & Bradstreet's CreditSignal and third-party services like Nav can give ongoing visibility across bureaus without paying for full reports each time.
How to Get a DUNS Number: What It Is, and What You’ll Need to Apply
Business Tradelines: What Are They, and How Do They Build Credit?
