Microloan

Microloans are often issued through nonprofit or community-based lenders (including the SBA’s own microloan program) rather than a traditional bank, and they frequently come with lower qualification barriers in exchange for a smaller loan amount and sometimes required business counseling.

They’re a common fit for a newer business covering a specific smaller need, like initial inventory or equipment, where a full-size term loan would be both harder to qualify for and more capital than the business actually needs.