Business Lines Of Credit
A business line of credit allows a business to borrow money, repay it and borrow again, up to the credit limit — similar to a credit card.
Business lines of credit aren’t all alike. Some are offered by banks. Others are offered by nonbank finance companies. Some are secured, which means they may require collateral. Collateral may take the form of business assets, commercial property, personal property (generally your home) or certificates of deposit. Other lines are unsecured, which means no collateral is required.
A line of credit comes with a credit limit, which is the maximum amount that you can borrow from it at any one time. It’s often a good idea to have a credit line for unexpected expenses or to take advantage of business opportunities. You typically don’t have to pay to keep a line open. If you are actively using a Credit Line and paying it off, you usually don’t have to re-apply to draw. As an added benefit, if it is secured with your business credit and not your personal, it doesn’t have an effect on your personal credit score.
If you would like, feel free to give us a call or send an email so we can go over your options. You can also put in a request below.