Term Loan
A lump sum and a fixed schedule, for the purchase you have already priced.
- Amount
- $25,000 – $500,000
- Rate
- Set in the lender's offer
Term loan
Term Loan
A lump sum and a fixed schedule, for the purchase you have already priced.
- Amount
- $25,000 – $500,000
- Term
- 6 months – 5 years
- Repayment
- Fixed monthly payments
- Rate
- Set in the lender's offer
Term loan
What it is, and who it suits
A term loan is the most familiar shape of business finance: one amount paid out at the start and repaid in equal instalments over an agreed period, from six months to five years. Because the payment does not move, it can be written into a budget before the money arrives.
It suits spending with a clear price and a long payback — a new location, a production line, a fit-out, a year of hiring — and it asks the most of a business in return: a year trading, a credit score of 600, and $100,000 a year coming in.
What it is for
Six things term loan pays for
- Expansion
- A new location, a new market, more capacity.
- Equipment and technology
- Machinery and systems that pay back over years.
- Premises
- Buying or renovating the space the business works from.
- Hiring
- Taking on people ahead of the revenue they will bring.
- Stock
- Bulk buying and product launches.
- Consolidation
- Replacing several repayments with one.
The bar
What a lender will look for
- At least 12 months in business
- Personal credit score of 600 or higher
- At least $100,000 in annual revenue
- No recent bankruptcies
A minimum is where an assessment starts, not a promise of an offer.
And what it will ask to see
- Three months of business bank statements
- Two years of business tax returns
- Two years of personal tax returns
- A driver's license or other government ID
The application
Get a free quote
About fifteen minutes, a soft inquiry rather than a hard pull, and no obligation to take what comes back.
Rather talk to somebody first? (213) 204-5628.
The six programs
All six, this one marked
Business Line of Credit
A limit to draw on when it is needed, and interest only on what is drawn.
- Limit
- $10,000 – $250,000
- Interest
- On the amount drawn only
Short-Term Business Loan
A smaller sum repaid within months, for a need that cannot wait for a bank.
- Amount
- $5,000 – $100,000
- Rate
- Set in the lender's offer
Working Capital Loan
Money for the running of the business — wages, rent, suppliers — without pledging what it owns.
- Amount
- $15,000 – $300,000
- Term
- 6 months – 3 years
Equipment Financing
Buy or lease what the business runs on, and let the equipment secure it.
- Amount
- $20,000 – $1,000,000
- Term
- 2 – 7 years
Merchant Cash Advance
Cash now against future card sales, repaid as a share of each day's takings.
- Advance
- $5,000 – $200,000
- Repayment
- A share of daily card sales