Business Loan

A business loan is a debt-based financial product intended purely for business purposes. Loans can be disbursed as lump sums (term loans) or lines of credit and must be repaid with interest according to agreed terms.

Common types of business loans:

• Term Loans – Lump-sum funds repaid over a fixed term; useful for purchases or expansion. Often come with fixed interest rates and predictable payments.

• Lines of Credit – Flexible, revolving credit up to a preset limit; interest applies only to the drawn amount. Ideal for working capital and unexpected needs.
• SBA Loans – Government-guaranteed loans (e.g., SBA 7(a)) offering large funding (up to ~$5M) with favorable rates and longer terms, though application processes can be extensive.