Here's a more detailed look at the benefits:
Predictable Repayments:
Term loans provide a structured repayment plan with fixed monthly or periodic payments, making it easier to manage finances and forecast expenses.
Lower Interest Rates:
Compared to some other financing options, term loans can offer lower interest rates, potentially saving your business money over the loan's term.
Larger Loan Amounts:
Term loans typically provide access to larger sums of money compared to short-term financing options like lines of credit.
Long-Term Investments:
They are well-suited for financing long-term assets like equipment, real estate, or major renovations, which can lead to increased revenue or cost savings in the long run.
Building Business Credit:
Successfully repaying a term loan can help build or improve your business credit score, which can be beneficial for future financing needs.
Flexibility in Use:
While the funds are intended for specific purposes, term loans often allow for some flexibility in how they are used, such as purchasing inventory or covering operational expenses related to the investment.
Refinancing Debt:
Term loans can be used to consolidate or refinance existing high-interest debts, potentially reducing your overall interest expense.
💲BUSINESS BANK TERM LOAN ☆ $50,000 to $300,000
General info
☆ Fixed Annual Interest Rate Starting at 10.99%
☆ 2, 3, or 5 Year Term
☆ 2 week average to closing
Minimum Requirements
☆ 3+ Years in Business
☆ $250,000+ Annual Revenue
☆ 680+ Personal FICO Score
☆ 155+ Business Credit Score (Liquid Credit)
Use Of Funds:
Working capital Working capital is used to cover a company's short-term expenses like inventory, equipment, marketing, payroll, hiring, and payments on short-term debt.
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Debt refinancing Many entrepreneurs rely on expensive debt when launching or in the early stages of their business. If those debt obligations are cutting into cash flow, refinancing can help you save big.
Hiring employees A bank term loan can cover costs related to hiring like recruitment, training, salary, and benefits.
Purchase equipment Business equipment includes tangible property (other than land or buildings) used for operations.
Marketing A bank term loan can finance marketing efforts to build your brand, attract customers, and increase sales.
Inventory If you need to increase existing inventory or expand your product line, funds from a bank term loan can cover the costs.
Construction If you need funds for remodeling, bathroom updates, or other space improvements.
Partner buyouts A buyout is where one party purchases shares of a business to acquire a controlling interest in that company.
Business acquisitions Funds can be used to purchase an additional business. However, funds cannot be used for a new business purchase.