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Line Of Credit 

A business line of credit is a form of small business funding that provides a pool of funds to draw from when you need capital for business expenses. Draw on your small business line of credit to easily access capital to handle cash flow gaps, get more working capital, buy inventory, or address almost any other emergency or opportunity. You’ll only repay what you withdraw, and you’ll do so with an agreed-upon interest rate and repayment term.

$10K to over $1M

Maximum Loan Amount

6 months to 5 years

Loan Term

7% - 25%

Interest Rates

As fast as 1 day

Speed

Things to consider

PROS

  • Only pay interest on funds drawn
  • Capital is available when needed
  • Reasonable interest rates
  • Bad credit is acceptable
  • Suitable for a wide range of business purposes

CONS

  • Only can get approved up to $100K
  • Minimum business revenue is required of $25K

Who Qualifies for a Business Line Of Credit?


What sorts of businesses are eligible for this flexible financing?

Younger, less established businesses might be able to qualify for short-term lines of credit, while medium-term lines of credit are more for businesses with good credit and a solid financial history.

The maximum amount of funding available, introductory duration of the credit line, and repayment terms depend on your business’s revenues, credit rating, history, and other factors.


Most customers who were approved had

Annual Revenue

Over $25K

Credit Score

Not a factor

Time in Business

Over 1 year

How To Apply

A business line of credit application can be a very easy process, depending on the line of credit lender you’re working with. Online business line of credit providers will have quick, streamlined applications, thanks to the use of technology in their underwriting processes. On the other hand, traditional banks will have more intensive business line of credit applications.

Generally speaking, online business line of credit providers offers smaller, shorter-term options that will come with an easy and fast application process. Meanwhile, banks will offer larger and longer-term options might require more paperwork and could take slightly longer to fund.



Documents you need:

  • Driver's License
  • Voided Business Check
  • Profit & Loss Statements
  • Bank Statements
  • Balance Sheet

  • Business Tax Returns
  • Personal Tax Returns
  • Credit Score

How Does Business Line Of Credit Work?


Surprises happen—it’s a fact of life.

But how can you expect the unexpected when it comes to your business? A single accident could set you back a long way if you’re not prepared.

That’s why flexible business financing is so important.

And we help thousands of small business owners get that flexible funding in the form of a business line of credit.

Here’s what you need to know about a business line of credit—and how it can help you weather storms and take advantage of unforeseen opportunities.

Business Lines of Credit: The Fundamentals
An Example of “Revolving” Business Lines of Credit
Business Lines of Credit vs. Traditional Term Loans: How They Differ
Different Kinds of Business Lines of Credit
The Benefits of a Business Line of Credit
Business Line of Credit vs. Credit Card: What’s the Difference?

What Will ALine Of Credit Cost You?


What’s the bottom line for your business’s bottom line? How much will an SBA loan cost?

Well, the cost and repayment of your SBA loan depends on the program you choose. Here are the fees, interest rates, and repayment terms usually associated with each of SBA’s most popular loan programs.

An Example of Withdrawing Funds & Paying Them Back

Compared to other loan types 

Loan TypesMax AmountInterest RateSpeed
SBA Loan$5K - $5MStarting at 6.75%As fast as 3 weeks

Commercial Lending$25K to $5M7% - 30%As fast as 2 days
Invoice FinancingUp to 100% of
invoice value
8% - 30%As little as 1 day
Line of Credit$10K to over $1M7% - 25%As little as 1 day

Merchant Cash Advance$2.5K - $500K1.14 - 1.49As little as 1 day
Business Credit Card$500 - $250K0% - 25%As fast as 7 days