Business Loan Types

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What is it?

Accounts receivable financing allows you to get the cash you need while waiting to get paid. We’ll loan you the money you need now so you can keep business operations running smoothly.

How can you use it?

You’ll use your loan to make the purchases you need for your business while waiting for your outstanding invoices to be paid. This capital injection prevents business operations from slowing or stopping altogether when your working capital reserves run dry.

Best uses

General working capital

Loan TYPE

Accounts Receivable Financing

AMOUNT

Up to

90% Receivables

TERM

Up to

1 Year

TIME TO FUNDS

As soon as

24 Hours

INTEREST RATE

As low as

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What is it?

Accounts receivable financing allows you to get the cash you need while waiting to get paid. We’ll loan you the money you need now so you can keep business operations running smoothly.

How can you use it?

Best uses

General working capital

Startup Loan

$500—750,000

Up to

25 Years

As soon as

2-4 Weeks

As low as

0-17%

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What is it?

Starting a business costs money, and you might not have enough cash on hand for all the different kinds of expenses you’ll face. A startup loan helps you access the capital you need to get your business off the ground.

How can you use it?

Startup loans are versatile, allowing you to use the money for everything from real estate or machinery purchases to office supplies, initial inventory, and more.

Best uses

Real estate
Production equipment
Office furnishings
A “Now Open” sign!

Loan TYPE

Startup Loan

AMOUNT

$500—750,000

TERM

Up to

25 Years

TIME TO FUNDS

As soon as

2-4 Weeks

INTEREST RATE

As low as

0-17%

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What is it?

How can you use it?

Startup loans are versatile, allowing you to use the money for everything from real estate or machinery purchases to office supplies, initial inventory, and more.

Best uses

Real estate
Production equipment
Office furnishings
A “Now Open” sign!

Business Acquisition Loan

$5,000—5 Million

Revolving or

10-25 Years

As soon as

30 Days

As low as

5.5%

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What is it?

A business acquisition loan allows you to purchase an existing business or franchise. If you have a business in mind that you would like to take over but lack the funds to buy it outright, this type of financing can help you take advantage of the opportunity.

How can you use it?

A business acquisition loan enables you to take over ownership of an existing business or franchise, allowing you to become a business owner overnight. It’s also a great way to purchase a competitor and expand your existing operation, or you might buy out a partner who’s interested in relinquishing his or her stake and moving on to the next chapter.

Best uses

Business purchases
Franchise purchases
Business purchase with commercial real estate (CRE)

Loan TYPE

Business Acquisition Loan

AMOUNT

$5,000—5 Million

TERM

Revolving or

10-25 Years

TIME TO FUNDS

As soon as

30 Days

INTEREST RATE

As low as

5.5%

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What is it?

How can you use it?

Best uses

Business purchases
Franchise purchases
Business purchase with commercial real estate (CRE)

Commercial Mortgage

$250,000—5 Million

20-25 Years

As soon as

45 Days

As low as

4.25-6%

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What is it?

Just like a traditional mortgage loan you might take out to purchase a home, a commercial mortgage loan allows you to buy land or a property that will be used for business. It helps to have a functioning business with a track record of revenue, because you’ll need to make a down payment upfront. Loan-to-value ratios (the amount you borrow versus the total value of the purchase) typically range from 65% to 80% for a commercial mortgage.

How can you use it?

You can use a commercial mortgage to purchase a commercial property—whether it’s office space, a factory, a retail location, or even restaurant space. If you can’t find an existing building that’s right for your needs, you can use your building loan to cover the construction costs of building a new facility from scratch. Need to expand? A commercial mortgage covers that.

Best uses

Office space
A factory
Retail space
Restaurant space
Building to meet your business needs

Loan TYPE

Commercial Mortgage

AMOUNT

$250,000—5 Million

TERM

20-25 Years

TIME TO FUNDS

As soon as

45 Days

INTEREST RATE

As low as

4.25-6%

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What is it?

How can you use it?

Best uses

Office space
A factory
Retail space
Restaurant space
Building to meet your business needs

Equipment Financing

$5,000—5 Million

1-5 Years

As soon as

24 Hours

As low as

7.5%

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What is it?

Dentists need cleaning equipment, carpenters need tools, bakers need ovens—and all of them likely need computers, printers, and checkout systems to take payments and fulfill customer orders. Purchasing all of this equipment outright can make starting a business or expanding an existing one prohibitively expensive, which is where equipment financing comes in.

How can you use it?

Equipment financing ensures your business is armed with the tools you need to succeed, no matter your industry. Use these loans to make large equipment purchases while preserving the cash flow reserves you need to keep your inventory stocked and your employees paid.

Best uses

Computers and office supplies
All kinds of production equipment
Business vehicles

Loan TYPE

Equipment Financing

AMOUNT

$5,000—5 Million

TERM

1-5 Years

TIME TO FUNDS

As soon as

24 Hours

INTEREST RATE

As low as

7.5%

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What is it?

How can you use it?

Best uses

Computers and office supplies
All kinds of production equipment
Business vehicles

Merchant Cash Advance

$5,000—500,000

Up to

2 Years

As soon as

24 Hours

As low as

18%

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What is it?

A merchant cash advance is a good option for a business weathering a slowdown, provided you’re confident an uptick in business will be more than enough to repay the borrowed amount plus fees and interest when the time comes.

How can you use it?

Use a merchant cash advance to pay off business expenses while you’re short on cash flow. This product is particularly useful for businesses with seasonal highs and lows—you can pay bills during your lows, knowing you will have an abundance of cash flow in the future to pay back the advance.

Best uses

Rent
Payroll
Utilities
Repairs
General working capital

Loan TYPE

Merchant Cash Advance

AMOUNT

$5,000—500,000

TERM

Up to

2 Years

TIME TO FUNDS

As soon as

24 Hours

INTEREST RATE

As low as

18%

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What is it?

How can you use it?

Best uses

Rent
Payroll
Utilities
Repairs
General working capital

Business Term Loan

$5,000—2 Million

1-5 Years

As soon as

24 Hours

As low as

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What is it?

A business term loan describes a loan with a fixed interest rate and regular payments over a period ranging from one to five years. Because the payments will stay the same over time, these loans allow you to plan for the additional expense and fit a large business purchase into your budget.

How can you use it?

Business term loans are useful if you want to fund a real estate purchase such as a new location for your business, you need additional equipment or inventory to grow, or you’re experiencing payroll increases as your team expands. Thanks to the versatility and predictable cost of a business term loan, it’s one of the most common sources of business financing.

Best uses

New equipment
Working capital
Debt refinance
Commercial real estate
Long-term investments
Payroll costs

Loan TYPE

Business Term Loan

AMOUNT

$5,000—2 Million

TERM

1-5 Years

TIME TO FUNDS

As soon as

24 Hours

INTEREST RATE

As low as

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What is it?

How can you use it?

Best uses

New equipment
Working capital
Debt refinance
Commercial real estate
Long-term investments
Payroll costs

Short Term Loan

$2,500—500,000

1-3 Years

As soon as

24 Hours

As low as

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What is it?

A short-term business loan will generally have a term length between one and three years. These loans might allow seasonal businesses to weather an offseason, or they could help more traditional business navigate a brief economic downturn that causes revenue to sink.

How can you use it?

Short-term business loans are most commonly used as a source of fast cash for a business owner who needs to fund an expensive repair, make an emergency hire, or maintain depleted inventory to keep profits coming into the business. Because these loans need to be paid back quickly (hence the “short-term” moniker) and may come with higher interest rates, it’s important to borrow with a concrete repayment plan.

Best uses

Working capital
Smaller, immediate business needs

Loan TYPE

Short Term Loan

AMOUNT

$2,500—500,000

TERM

1-3 Years

TIME TO FUNDS

As soon as

24 Hours

INTEREST RATE

As low as

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What is it?

How can you use it?

Best uses

Working capital
Smaller, immediate business needs

SBA Loan

Up to

$5 Million

10-30 Years

After approval:

1-2 Months

Prime+

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What is it?

SBA Loans are partially backed by the US Small Business Administration (SBA), which reduces the risk taken on by the lenders issuing the loans. As a result, SBA loans will generally offer the highest loan amounts available to small businesses, and at some of the best rates and longest repayment terms.

How can you use it?

There are a variety of different types of SBA loans. If you can qualify, these loans are an excellent option for financing everything from real estate purchases and business acquisitions to new equipment and added inventory. Repayment terms will vary depending on the specific type of loan, with some more suited to short-term purchases and others funding long-term investments with payment periods as long as 25 years.

Best uses

Starting a business
Real estate
Working capital
Acquisitions

Loan TYPE

SBA Loan

AMOUNT

Up to

$5 Million

TERM

10-30 Years

TIME TO FUNDS

After approval:

1-2 Months

INTEREST RATE

Prime+

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What is it?

How can you use it?

Best uses

Starting a business
Real estate
Working capital
Acquisitions

Business Line of Credit

$6,000—250,000

Maturity:

1-2 Years

As soon as

1-2 Days

As low as

8-24%

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What is it?

A business line of credit (LOC) is an unsecured line of credit that works like a revolving charge account, and it’s an excellent way to set up low-cost, short-term financing to help cover expenses during slow periods.

How can you use it?

You can use a business line of credit for almost any small business need, whether you’re upgrading your business space or hiring new staff. It can also serve as a safety net for your business by providing a set amount of money that you can wait to borrow until you actually need it.

Best uses

Expansion
Inventory
Marketing expenses
Hiring
Working capital

Loan TYPE

Business Line of Credit

AMOUNT

$6,000—250,000

TERM

Maturity:

1-2 Years

TIME TO FUNDS

As soon as

1-2 Days

INTEREST RATE

As low as

8-24%

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What is it?

How can you use it?

Best uses

Expansion
Inventory
Marketing expenses
Hiring
Working capital

Credit Cards

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What is it?

A business credit card is almost identical to a consumer credit card, although they may come with different fees, rewards or bonuses, and interest rates. Business credit cards also tend to have higher credit limits, enabling you to make larger purchases without impacting your credit score.

How can you use it?

Like a consumer credit card, you can use a business credit card for whatever you want, but you’ll need to be mindful of the often-steep interest rates that will apply to any unpaid balance at the end of each billing period. When used carefully, however, these cards can provide a source of liquidity your business needs to get from the time you purchase goods or perform services to the time you get paid by your customers.

Best uses

Small purchases like office supplies
Separating your personal and business expenses
Giving employees access to business spending

Loan TYPE

Credit Cards

AMOUNT

TERM

TIME TO FUNDS

INTEREST RATE