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This is the reason many startup business opt for unsecured credit lines. These are similar to credit cards wherein the business is given revolving credit and depending on the terms of credit, the startup business will either have to pay the interest on a monthly basis or will have to pay the entire principle and interest after a specified period of time.
To get startup business loans, the lender will carefully scrutinize the borrower’s credit score as it involves giving unsecured loans. Here the lender will check how often you fail to pay your monthly bills or carry them forward, how many times you have made payments in full and so on. If your credit score is 600 or less, you will be considered bad credit customer. However, if your credit score is over 650, the chances of getting a startup loan automatically increases as you will be seen as a less of a risk to creditors.
Getting startup business loans with bad credit is virtually impossible and it is best to wait until you build up your credit worthiness. You will stand a better chance of getting a loan. In addition, you should have an outstanding business plan so that the lender gains confidence in you, and if you are ready to put in your money into the business, the chances of getting a startup business loan increase dramatically.
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When you are borrowing money from legitimate financial institutes and banks, they will always check your credit history to evaluate your past repayment performance. This makes it very difficult for people with bad credit scores to get loans from legitimate finance organizations. 
