What a Business Line of Credit Is
A business line of credit gives your company a revolving pool of capital to draw from as needed, repaying and reusing it over time. It's flexible for managing cash flow, seizing opportunities, or bridging timing gaps.
Who It's For
- Business owners managing variable cash flow
- Companies funding inventory, payroll, or growth
- Real estate investors needing flexible short-term capital
- Owners who want capital available before they need it
How It Works
You're approved for a limit and draw against it as needed, paying interest only on the outstanding balance. As you repay, credit becomes available again. Terms depend on your business's financials, time in operation, and credit profile.
Frequently Asked Questions
How is a line of credit different from a term loan?
A term loan is a lump sum repaid on a schedule; a line of credit is revolving — draw, repay, and redraw as needed, paying interest only on what's outstanding.
What do I need to qualify?
Typically business financials, time in operation, and a credit profile. Requirements vary by lender and the size of the line.
Can real estate investors use this?
Yes — many investors use business lines for flexible short-term capital between deals or for renovations.