Draw what you need, when you need it.
An approved limit you draw against as things come up, repaying what you used and drawing again. Nothing is owed on the part you never touch.
What it is
A business line of credit is a revolving facility. The funder sets a limit; you draw any amount up to it, repay on a schedule, and the credit becomes available again as you do. It suits costs that arrive unevenly: a supplier bill before an invoice clears, a repair, a run of payroll in a slow month.
Some lines in our network are built around revenue, with weekly rather than daily repayment and a discount for paying a draw off early. Which one fits depends on how your money moves, and that is what the application tells us.
- Limit
- Up to $250,000
- Timing
- Offers often within a day
- Repayment
- Weekly or monthly, on what you have drawn
- Access
- Revolving: draw, repay, draw again
Why it fits
Pay only on what you draw
An unused limit costs nothing. Fees and repayment apply to the amount you actually take.
Revolving
Repay a draw and that room comes back, without a new application each time.
Ready before you need it
Set the line up in a calm month and it is there for the difficult one.
Weekly, not daily
Lines in our network typically repay weekly, which is easier to plan around than a daily debit.
Early payoff can cost less
Some programs reduce the fee substantially when a draw is cleared early. The offer states the schedule.
Usually unsecured
Most lines at this size do not require pledged assets.
How it works
A limit is set
Based on the business's revenue, the funder approves a spending limit. Nothing is drawn yet and nothing is owed.
You draw as needed
Take what the moment requires. The rest of the limit stays available.
You repay what you drew
On a fixed schedule, sized to your revenue. As it is repaid, the room comes back.
Who it suits
Uneven cash flow
Businesses paid on invoice, waiting thirty to sixty days for money already earned.
Seasonal trades
Bridge the quiet months without a lump sum you do not need all of.
Repeat short-term needs
Stock runs, deposits on jobs, the odd emergency, without applying each time.
A buffer, not a purchase
When the point is to have room, rather than to buy one specific thing.
Questions
About line of credit
Line of Credit
An advance is a lump sum repaid as a share of sales until a fixed total is met. A line is a limit you draw against repeatedly, repaying only what you use. Take the advance for one known need, the line for needs that keep coming.
Generally no. Some programs charge a small maintenance fee; if one does, it is in the offer and we will point it out.
Usually the same day. Subsequent draws are typically funded within a business day.
On the revenue-based lines we place, paying off early can reduce the fee, sometimes by a lot. Whether and by how much is in the offer, and early payoff is at the funder's discretion.
The other ways to structure it
If this was not quite the one, the fit is usually one of these.