Which Small Business Lines of Credit Are Best for Your Business?

Quick access to cash is critical to small businesses. It is the “make or break” element that enables growth and avoids bankruptcy. The business line of credit offers a solution and has been described as “an insurance policy that never needs to be paid until you need it.” There are two main types of unsecured business lines of credit to consider: traditional and non-traditional.

Here is a brief overview of these financial products to assist you in determining which is best for you and your enterprise.

Traditional small business lines of credit are generally issued by banks. The drawback here is that these funding sources require a significant amount of qualification documentation. This paperwork includes financials, business and personal tax returns, bank account information and any business registration documents such as their LLC.

Another thing to take note is, even if the funds have not been used, the line undergoes a yearly financial review to retain. The results of these reviews could lead to a reduction in the credit amount available. According to the Small Business Administration, this has occurred in up to a third of traditional small business lines of credit.

National Business Capital, a leading alternative financing company, offers one of the best options when seeking a line of credit for small business: the non-traditional line of credit. It provides the fast access to cash when needed and also offers the same payment flexibility as the traditional credit line but without the drawbacks mentioned previously.

Qualifying for this type of revolving credit line is extremely easy when compared to a traditional lender. There are no yearly reviews, no excessive documentation nor the level of scrutiny that are associated with traditional credit lines.

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Non-traditional small business lines of credit highlights include:

1) Access to cash when you need it – You may utilize as much or as little credit from your line as you want to, at any time and even remotely.

2) Payment Flexibility – Only pay for what you use when you use it.

If you are seeking a line of credit for small business, talk with our Business Consultants at National Business Capital. We take a personal interest in assisting you and your business to achieve success, now and in the future. Give us a call at (888) 888-9124 or submit an application today!

National Business Capital & Services is the #1 FinTech marketplace offering small business loans and services. Harnessing the power of smart technology and even smarter people, we’ve streamlined the approval process to secure over $1 billion in financing for small business owners to date.

Our expert Business Financing Advisors work within our 75+ Lender Marketplace in real time to give you easy access to the best low-interest SBA loans, short and long-term loans and business lines of credit, as well as a full suite of revenue-driving business services.

We strengthen local communities one small business loan at a time. For every deal we fund, we donate 10 meals to Feeding America!


About the Author, Megan Capobianco

Megan is passionate about helping business owners along their journey - providing them with relevant content they can use in their day-to-day operations.

Disclaimer: The information and insights in this article are provided for informational purposes only, and do not constitute financial, legal, tax, business or personal advise from National Business Capital & Services and the author. Do no rely on this information as advice and please consult with your financial advisor, accountant and/or attorney before making any decisions. If you rely solely in this information it is at your own risk. The information is true and accurate to the best of our knowledge, but there maybe errors, omissions, or mistakes.