WE OFFER TWO TYPES OF TERM LOANS
A term loan is a lump sum of cash to be repaid plus interest over a predetermined period of time.
Working Capital Loan
- Up to $5,000,000
- In as fast as one day
- Simple interest as low as 9%
- Terms from 3 months to 3 years
- Daily, weekly, monthly payment options
HOW DO THEY WORK?
A Working Capital Loan is a hybrid product between a Merchant Advance and a Term Loan. It is an uncollateralized product paid back plus fixed simple interest. There is no interest rate and although there are fixed payments, the term is only an estimate based on a business’ projected gross revenue.
HOW DO THEY WORK?
Term Loans function just like traditional term loans, except you won’t secure them through your local bank. In some cases, you’ll have to provide collateral to back a term loan. You receive an agreed upon dollar amount at a fixed interest rate, that you pay back over a set period of time in regular intervals.
Term Loan
- Up to $500,000
- In as fast as one week
- Interest as low as 4.99%
- Terms from 6 months to 10 years
- Weekly, bi-weekly, monthly payment options
WHAT DO THEY COST?
Working Capital Loans
Working capital loans generally have a higher cost and a shorter term with more frequent payments because there is no collateral and usually no profitability analysis. They do not fully amortize because simple interest is just a cents-on-the-dollar payback, so working capital loans are structured for quicker turnaround and therefore normally do not make sense to pay off early.
TERM Loans
Term loans generally have a lower cost and a longer term with wider payment intervals because they are generally meant for larger-scale purposes. Term loans fully amortize with both principal and interest payments like traditional term loans. This means you will only be responsible for accrued interest and can save considerably by paying it off early!
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WHEN WOULD THEY MAKE SENSE?
Working Capital Loans
- Up to $500,000
- In as fast as one week
- Interest as low as 4.99%
- Terms from 6 months to 10 years
- Weekly, bi-weekly, monthly payment options
TERM Loans
TERM LOANS – FOR LONG TERM PROJECTS GENERATING DELAYED RETURN ON INVESTMENT LIKE:
- Up to $2,000,000
- In as fast as one week
- Interest as low as 4.99%
- Terms from 6 months to 10 years
- Weekly, bi-weekly, monthly payment options
WILL I QUALIFY?
TERM Loans
Term loans have the most stringent approval criteria. The typical borrower has great personal credit, low debt-to-income ratio and an established, profitable business to meet periodic payments regardless of changes in revenue during the normally longer term. You’ll usually need to provide both business and personal financial statements as well.
Working Captial Loans
The vast majority of small businesses can meet the minimum requirements for a working capital loan because of their considerably more lenient approval criteria, which is holistically based on time in business, industry, cash flow and more, instead of just on credit. You can secure this type of loan by just providing your business bank statements.