Conventionally, commercial loans are funding arrangements set up between a borrower’s business and a financial institution. More simply, these are loans advanced to businesses instead of individual consumers. The proceeds may be used to fund capital expenditures. There are many commercial loan lending products such as lines of credit, term loans and Equipment Financing. Depending on the source when going to a traditional lender, there may be expensive upfront costs and regulation related hurdles including restrictions on how the funds may be used, and if applicable which vendor to lease or purchase equipment from.
Other features of conventional commercial loans are their length: these are usually short-term agreements from 30 days to one year. Traditional lenders such as banks often require commercial borrowers to submit monthly and annual financial statements. Most commercial loans are provided to larger businesses who use the funds to make purchases such as equipment. Another common scenario is when a company needs money to secure supplies to fulfill a larger than expected seasonal order while still providing goods to other clients.
Are There Commercial Loans for Businesses With Low FICO Scores?
Creditworthiness is key to obtaining commercial loans from traditional lenders as these are offered at competitive rates of interest. There is no set timeline from application to approval to receipt of the funds. The process can take weeks or even months.
For companies of any size with or without spotless credit, weeks or months may be too long to wait. There is, however, another option: National Business Capital. As a leading alternative financing company, we have helped business owners obtain hundreds of millions of dollars to businesses of every size and nearly every industry across the country. When your business is seeking a short-term loans, we can assist you to determine the right commercial loans for businesses like yours to meet your firm’s immediate requirements.
Do not be concerned if your credit is less than stellar or even if your business has an open tax lien. National Business Capital looks at your entire business landscape, and makes our loan decisions based on realistic underwriting practices. Our application takes minutes to fill out and submit and requires less documentation than traditional lenders. You will have our decision within 24 hours and if approved, your funds will be available within days. If the monies are to be used to make equipment purchases, know that National Business Capital does not restrict your vendor choices. You may select and lease or purchase your equipment from whomever you choose.
If you are researching commercial loans for business, give National Business Capital a call. Our Business Consultants will gladly review your business, its goals and your current funding requirements. Then we will work hard to find the best financing options available. We want to be your financial partner whom you can turn to whenever your business requires working capital for the short and long term. Call us today and get a dialogue going: (888) 888-9124.