Term Loans
A term loan is what you’re probably thinking of when you say “small business loan.” It’s a classic financing option to help power the growth of small businesses. With a business term loan, a small business can borrow a lump sum from a lender that is paid back in steady increments over the set borrowing period, or term.
How can you use a business term loan?Business term loans are set up to meet pretty much any business need, no matter how unique. You can leverage your loan for everything from capital improvements to financing new equipment or hiring more staff.
How to Apply for a business term loanYou could do it the hard way, where you spend upward of 29 hours completing a bank application, or you can do it the Lendio way, where you fill out a single 15-minute application to compare offers from our curated network of 75+ lenders.
What will lenders use to qualify you for a business term loan?A business term loan typically comes with a fixed interest rate or flat fee. That means your payments will stay constant over the lifetime of your loan term (1–5 years). These terms enable you to easily calculate how much financing your business can afford to ensure you keep up with your monthly payments until the loan is repaid.
Business term loans benefits: