Understanding a Business Line of Credit
It’s always a good idea to keep a parachute handy.
It is there if you require it, but there is no obligation to use it.
BUSINESS LINE OF CREDIT
With a business loan, you have access to a pool of funds that you can draw on when you need capital. You have the flexibility to borrow a set amount – usually between $50,000 and $500,000 – when you need capital. You make no payments and accrue no interest until you draw down those funds.
You can draw on a small business line of credit to fill cash flow gaps, get more working capital, deal with an emergency or take advantage of a business opportunity.
Details
MAX LOAN AMOUNT:
$10K to over $1M
LOAN TERM:
3 months to 18 months
INTEREST RATES:
7% – 25%
SPEED:
Under 24 hours (in some cases)