Business Loan

A business loan is designed to help companies obtain funds for business purposes—ranging from covering day-to-day expenses to acquiring commercial property or investing in inventory and equipment. Lenders may issue loans as lump-sum term loans or revolving lines of credit, often requiring collateral (secured loans) or personal guarantees. Repayment terms vary, typically from 1 to 10 years, and depend on the loan type and business creditworthiness. In some markets, government-backed programs like SBA loans offer partial guarantees, sometimes resulting in lower rates and longer terms.