Business Line of Credit
Day to day demands can cripple an unprepared business.
Every business faces times of perilous cash flow. Smart entrepreneurs proactively establish a lifeline with which to navigate those perils. Even the simplest of demands can seriously drain daily operating cash and stunt growth or worse yet injure a vendor relationship to the point of no return. A business line of credit will help keep a reserve for the tough days.
Request Funding
Apply online in just a few minutes or call us directly at 1 (877) 446-2194 (M-F 9AM – 6PM ET) to see if you qualify.
Receive Funds
Our funding specialist evaluates your business and provides a decision. Receive funding in as fast as 24 hours
Ongoing Support
Get help from dedicated Loan Specialists which can help you to understand ways to scale your business.
Why do I need a Business Line of Credit?
If cash is “King”, (and it is), then a Business Line of Credit is “Queen.” A business line of credit is there, by your side, when you need it; ready to help you through a shortfall or assist in the purchase of supplies or inventory or other operating expenses. It provides a day to day level of consistency and constancy that is needed for the long-term relationship between payables and receivables.
Understanding Business Lines of Credit
A business line of credit does not require anything to secure it. Unlike other loans that dictate inventory as collateral, there is no such requirement for a line of credit making it an unsecured loan.
There is a maximum amount set that can be borrowed, and, business owners can “draw down” on that loan as they deem necessary; they might take some today and some more tomorrow. A loan of this nature often dictates a higher interest rate, however, that is not the case with this type of loan. There can be times where the bank can limit or reduce access to the line of credit making it somewhat fickle.
Another attractive component of a business line of credit is that there is no monthly payment until the loan is used, and then only on the amount withdrawn. This is quite a bit different than standard loans which may have a 30-day grace period, but, set interest on the whole loan and require a payment of the total.
A business line of credit is a partner, that if used the correct way can provide a high degree of positive impact on your business. Used unwisely it can have the total opposite effect. It is not commonly a tool that can be used for everyday use or long-term. There is generally a fee each time it is “drawn upon”, and as mentioned the interest rates can become an issue. It is better when used as a partnership to promote the union.
Often times lenders are going to want to secure the loan with some type of personal collateral; a house, cash, stock, property, equipment or vehicles. Meeting this requirement is the first step in getting a business line of credit. If there is sufficient demand for periodic operating expenses, this loan can be a good option as long as you have a good borrowing history and the income available for repayment.
We’ll help you find the perfect partner for your business line of credit needs. We’re so confident we can make the perfect match for you that we developed one simple application with a “Soft Credit pull” that produces a list of potential suitors who are perfectly matched to your needs. The link below will get you started down the road to perfect business sense.
Additional Funding Options
Business Loans, Financing, and Business Line of Credit Products
Clover Capital provides a full range of business financing options, which ensures that merchants find the right financing option. Our experienced funding specialists guide our customers into selecting the best-suited loan product for their needs.
PDF Application
Expedite the funding process. Download the upload it as part of your online funding request.
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Get Funded Today For a Business Line of Credit
Simple Process. Quick Decisions. Generous Funding Terms
