FLEXIBLE BANK FINANCING
A term loan can be used for many business purposes – from expansion to the purchase of new equipment to debt consolidation. This is a bank product and process so the time to funding can be quite lengthy. But with some planning ahead, a term loan can be a great option for your business.
2 years in business
$250,000 annual revenue
680+ FICO
Profitable and cash flow positive
Completed application
2 most recent business tax returns
6 most recent business bank statements
YTD financials
Current debt schedule
Detailed use of proceeds
I had several high interest business loans and the payments were really eating into my cash flow. Clear helped me secure a term loan to consolidate my debt and lower my total monthly payments by over 60%.
A term loan can be used for a wide range of business purposes including expansion, inventory, equipment, acquisitions, debt consolidation, commercial real estate and working capital.
This is a bank loan with a typical bank process. It requires collateral, involves a lot of documentation and the business, guarantors and use of funds are all underwritten.
Interest rate can be either fixed or variable.
While not as difficult as an SBA loan, we consider this a fairly difficult loan to get approved for.
There typically is no prepayment penalty.
The lender typically charges an origination fee.
Payments are made monthly.
Real estate is preferred although, in some cases, other assets such as inventory and equipment can be used.
