Commercial Loan

A commercial loan is a financial product offered by banks, credit unions, or other lenders specifically to businesses rather than individuals. These loans are designed to support various business needs, including purchasing equipment, financing inventory, expanding operations, or managing cash flow. Commercial loans can be short-term, medium-term, or long-term, and often require collateral, a solid business plan, and financial statements for approval. Interest rates, repayment schedules, and loan amounts vary depending on the lender, the business’s financial health, and the purpose of the loan. Common types include term loans, lines of credit, equipment financing, and commercial real estate loans.