Business loans for marketing

Swoop is a credit broker and does not provide capital. We work with a range of companies to offer clear comparisons that allow customers to make choices on financial products & services. Swoop may receive a commission, which may vary by product but typically in the form of a fixed percentage of the loan amount. For certain lenders, we do have influence over the interest rate, and this can impact the amount you pay under the agreement.

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Page written by Chris Godfrey. Last reviewed on March 13, 2025. Next review due July 1, 2026.

The old saw that says advertising pays still rings true. Getting your business name out there, building awareness for your products and services and creating a brand identity that draws in your customers are essential actions to succeed. However, marketing activities can be expensive and for businesses without deep pockets, using valuable working capital to fund an ad campaign or promotion can be risky.

Business marketing loans are designed to overcome this problem. Don’t put strain on cash flow. Borrow the funds you need to put your business name up in lights.

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What is a business marketing loan?

A business marketing loan is a type of financing designed to help businesses fund advertising, branding, and promotional activities to attract customers and increase sales. Businesses use marketing loans to enhance brand awareness, launch new products, or expand into new markets. These loans can be short- or long-term, secured or unsecured, with repayment terms that vary from lender to lender.

What can a marketing loan be used for?

Marketing loans can be used to fund almost any type of marketing activity:

Traditional advertising such as TV, radio, print and billboards
Digital marketing, including social media campaigns, online ads, and website development
Promotions
Events
Influencer partnerships
Sponsorships
Etc

You can also use marketing loans to cover the costs of hiring professional ad agencies, videographers, photographers, PR agencies and more.

What types of business marketing loan are there?

There are many types of business marketing loan. Popular options include:

Term Loans

Term loans are the most common type of commercial loan. Offered by traditional banks, credit unions and online lenders, these loans are typically used for one-off investments where borrowers know exactly how much cash they need. You receive a single, lump-sum cash injection and then pay it back in regular instalments over a fixed period. Collateral may be required.

Business Line of Credit

Also known as a revolving line of credit, this is a loan that functions like a high-value credit card but comes with lower interest rates and fees. Borrowers can withdraw as much as they want when they want from a loan facility up to the limit of their borrowing. Collateral may be required.

Merchant cash advance

Available for businesses that accept customer payments by credit and debit card. With a merchant cash advance businesses borrow against the value of their card sales. As their card sales increase, their borrowing limit goes up. The loan is paid back via a fixed percentage of card sales on a daily, weekly or monthly basis. The card sales act as security for the loan, no added collateral is required.

Revenue-based financing

Revenue-based financing is similar to a merchant cash advance but with higher borrowing limits. Based on the size and regularity of their total revenues, (not just their credit card sales), businesses may receive a lump sum and pay it back over a short-term schedule, typically by small deductions from their daily sales. This type of loan can usually be secured quickly as qualification rules are less intensive and credit scores are not so critical. The loan may also be structured as subordinated debt which can keep the pressure off existing and future banking relationships. Collateral may be required.

How to apply for a marketing loan

Eligibility criteria for business marketing loans varies by lender and the type of loan. However, common factors that influence qualification include:

Length of time in business: Most lenders prefer to work with businesses that have been in operation for at least two or three years. Start-ups may find it harder to qualify for a marketing loan, but microloans and grants may offer opportunities for new businesses.
Annual revenues: The financial performance of your organization plays a significant role in the loan approval process. Higher revenues generally indicate a lower risk for lenders, increasing your chances of success.
Credit score: Both personal and business credit scores are crucial. A higher credit score will result in better loan terms and interest rates. If your credit score is weak, you may do better by applying for loan programs designed for those with less-than-perfect credit.

What documents do you need to get a marketing loan?

Typical documentation requirements include:

Business details: Basic information about your organization, including business licenses, permits and articles of incorporation.
Business plan: A detailed plan showing how the loan will help grow or sustain your business.
Financial statements: Documents such as income statements, balance sheets, and cash flow statements.
Tax returns: Several years of personal and business tax returns.
Collateral information: If the loan is secured, full details of the collateral being used to support the loan (such as equipment or property) is essential.

Where can I get a business marketing loan?

The interest rate, fees, and terms and conditions of marketing loans can vary significantly. Shopping around before settling on a deal is essential. You can do this by approaching banks, credit unions and online lenders one by one over days, weeks, or even months, or you can use the services of a loan marketplace that can quickly introduce you to a choice of marketing loan from a range of lenders.

Some marketplace platforms can also give you advice and help you with the application process. This can be especially useful for business owners who have never taken out a marketing loan before.

Get started with Swoop

Working with business finance experts can make all the difference when applying for a marketing loan. Contact Swoop to discuss your borrowing needs, get help with your application and to compare high-quality marketing loans from a choice of lenders. Make your business famous. Register with Swoop today.

Written by

Chris Godfrey

Chris is a freelance copywriter and content creator. He has been active in the marketing, advertising, and publishing industries for more than twenty-five years. Writing for Barclays Bank, Metro Bank, Wells Fargo, ABN Amro, Quidco, Legal and General, Inshur Zego, AIG, Met Life, State Farm, Direct Line, insurers and pension funds, his words have appeared online and in print to inform, entertain and explain the complex world of consumer and business finance and insurance.

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