Line of Credit

The line of credit (“LOC”) is the Rolls Royce of small business financing because of the price and flexibility. The LOC offers business owners the opportunity to draw capital as needed, and only pay for the money that is withdrawn. We offer unsecured lines of credit with APRs as low as 13.99%, the most competitive in the marketplace.

Think of a line of credit as “sidelined cash”, there when you need it. It’s the perfect funding mechanism to capitalize on opportunities or quickly solve emergencies.

We offer lines of credit for businesses earning $6,000 to $100,000 a month in sales. This is a great tool to add to your capital stack, because it does not interfere with existing financing, because it is unsecured.

The annual percentage rate (APR) on the lines of credit are as low as 5.99% and as high as 13.99%. The pricing is largely based on your personal credit score, however, your payment history is not reflected on your personal credit.

The lender will automatically take out weekly payments from your bank account, so you don’t have to worry about setting up a wire or writing and sending a check. This allows you to focus on what you do best: grow your business.

You don’t have to take any money once you’re approved for a line of credit. However, there is a $20 monthly maintenance fee, which is waived with an initial draw of $5,000. The best part is, you only pay for what you use.

Payments (and missed payments) get reported to the credit bureau agencies under your business file, not your personal file. Therefore this is a great way to re-establish and build business credit in order to obtain future financing.

Grow & Expand

The line of credit is a great product to grow and expand your business. You should use the line of credit if you have a short cash life cycle or only need the capital for a very, very short period of time. Popular growth uses for a line of credit include:

• Purchasing inventory
• Purchasing materials
• Starting a new job
• Advertising campaigns

Manage Cash Flow

The line of credit can also be used for simple cash flow management. Cash flow gaps are usually a major pitfall for businesses and could have catastrophic consequences. A line of credit is good for the following cash flow management purposes:

• Supporting day-to-day operations
• Meeting short term obligations, i.e. bills
• Paying vendors
• Unexpected opportunities or emergencies

Minimum Requirements

Although these are the minimum requirements to qualify for a line of credit, we have a very established and diverse customer base. Line of credit customers typically have $450,000 in annual revenue, owner FICO of 660+, and a median time in business is 7 years