Business Loans in Texas: Options, Rates and Resources for Texas Business Owners

Texas is home to over 3.1 million small businesses, making it one of the most active states for business lending in the country. Whether you operate in Houston, Dallas-Fort Worth, San Antonio, Austin, or anywhere across the state, Texas business owners have access to numerous financing options through national lenders, regional banks, and state-specific programs.

As a Liminal partner, you have access to 75+ lenders nationwide who actively serve Texas businesses. This guide covers standard loan products available to Texas business owners, state-specific programs and resources, and key considerations for financing in the Texas economy.

Business Loan Options Available in Texas

Texas business owners have access to the full range of business financing products available nationally:

• SBA 7(a) Loans — $25K–$5M with 10–25 year terms. Government-guaranteed loans offering the lowest rates for qualified borrowers. Ideal for expansion, equipment, real estate, and working capital.
• Term Loans — $25K–$500K+ with 1–5 year terms. Lump-sum financing for specific business needs. Faster approval than SBA but typically higher rates.
• Business Lines of Credit — $10K–$250K revolving credit. Draw funds as needed and only pay interest on what you use. Perfect for managing cash flow fluctuations.
• Equipment Financing — Finance up to 100% of equipment cost. The equipment serves as collateral, making approval easier. Common for construction, manufacturing, and trucking.
• Merchant Cash Advances — Fast funding based on credit card sales. Higher cost but minimal credit requirements. Use cautiously and understand the true cost.
• Invoice Factoring — Convert unpaid invoices to immediate cash. Ideal for B2B businesses with long payment terms.

Texas-Specific Business Programs and Resources

Texas offers several state-backed programs and resources to support small business growth:

• Texas Capital Access Fund — A state program that helps lenders make loans to businesses that might not qualify for conventional financing. Works with participating banks throughout Texas.
• Texas Enterprise Fund — Deal-closing fund for significant economic development projects. Typically for larger businesses creating substantial jobs.
• Texas Economic Development Corporation — Provides resources and connections for business growth, including export financing assistance.
• Texas Workforce Commission — Skills Development Fund provides training grants that can free up capital for business operations.

Small Business Development Centers (SBDCs) in Texas

Texas hosts one of the largest SBDC networks in the country, with over 60 centers across the state. SBDCs provide free, confidential business consulting on topics including:

• Business plan development and loan application preparation
• Financial analysis and projections
• Government contracting assistance
• Export and international trade support
• Technology commercialization

Major SBDC locations include the University of Houston, University of Texas at San Antonio, University of Texas at Dallas, and Texas Tech University networks.

Top Industries in Texas and Their Financing Needs

Understanding what drives the Texas economy helps contextualize financing needs:

Texas Business Lending Statistics

Understanding the lending landscape in Texas:

• Number of Small Businesses: Over 3.1 million (99.8% of all Texas businesses)
• SBA 7(a) Lending Volume: Texas consistently ranks #2 nationally in SBA lending, with over $4 billion in annual SBA loan approvals
• Average SBA Loan Size in Texas: Approximately $410,000
• Top SBA Lending Counties: Harris (Houston), Dallas, Tarrant (Fort Worth), Bexar (San Antonio), Travis (Austin)

Considerations for Texas Business Owners

Several factors are relevant when financing a Texas business:

• No State Income Tax — Texas has no personal or corporate income tax, which can make loan payments more manageable relative to income.
• Property-Based Collateral — Commercial real estate values vary significantly across Texas metros. Dallas, Austin, and Houston command different valuations.
• Energy Sector Exposure — Lenders may ask about oil/gas industry exposure, especially for businesses in Houston or West Texas.
• Seasonal Considerations — Tourism-dependent businesses in coastal areas or agricultural operations have predictable seasonal patterns lenders understand.
• Cross-Border Activity — Businesses near the Mexican border may have export/import financing considerations.

How Liminal Serves Texas Businesses

Through the Liminal marketplace, Texas business owners can:

• Compare offers from 75+ lenders who actively serve Texas
• Complete one application that reaches multiple lenders
• Receive personalized matches based on your specific profile
• Work with lenders experienced in Texas industries