Revolving Line of Credit
A line of credit LOC is a flexible financing option that allows businesses to borrow funds up to a certain limit, which can be used as needed for various purposes such as inventory, supplies, or operating expenses. Unlike a term loan with fixed repayment schedules, a line of credit offers more flexibility. You can draw on the funds at any time, and repayments can be made as you go, typically without penalties for early repayment. Interest is usually only charged on the amount borrowed, rather than the entire credit limit, making it a more cost-effective option if you need to borrow intermittently or for shorter periods. The primary benefits of a line of credit are flexibility and accessibility, as it allows businesses to manage cash flow effectively and cover unforeseen expenses without committing to a fixed loan repayment plan.
- Unlimited Draws up to your allowed Credit Limit
- Only pay for what you borrow
- Pay only 1-4%
- Monthly Payments Options
