Commercial Loan

A commercial loan is a debt-based funding arrangement between a business and a financial institution, typically used to cover major capital expenditures or operational costs. These loans are commonly offered by banks, credit unions, and alternative lenders.

Commercial loans can be short-term or long-term, and they may be secured by collateral such as property, equipment, or inventory. The interest rates and terms vary depending on the borrower’s creditworthiness, business performance, and the loan purpose.