05-15-2018, 03:25 AM
Having a business credit line is a good way of securing funds for your business expansions and or construction and renovations. Business lines of credit are typically unsecured, which means collateral such as real estate or inventory is not required. It is a financial instrument typically used for an organization's working capital needs, such as inventory purchases, future project costs, and payroll purposes.
Credit Lines are better than Term Loans because a typical term loan will give you one lump sum of cash to use and that you'll pay back over a set period of time, while a business line of credit is more like a money reserve of a set amount which you could draw from when needed.
Credit Lines are better than Term Loans because a typical term loan will give you one lump sum of cash to use and that you'll pay back over a set period of time, while a business line of credit is more like a money reserve of a set amount which you could draw from when needed.