If you are looking for a business loan, there are many options for you to choose from. It is important to do some research before you select the right loan and apply for it. Not only are there many different types of business loans, but there are also many lenders that offer them. We at Mid-Atlantic Commercial Capital, LLC, can make the process much simpler by assessing your needs and profile to match you with the best loan and lender.
Types of Business Loans
Explore the key features of the most popular business loans you can apply for. Make sure to consider the loan amounts, interest rates, loan terms, and other factors before making the right choice.
i. Business Line of Credit
- Perfect option when you seek more flexibility
- Loan amounts range from $1,000 to $500,000
- Interest rates range from 8% to 24%
- Loan term ranges from 1 year to 2 years
This type of loan is revolving and allows you to access the funds as and when required. The amount can be used for a wide range of business purposes.
ii. SBA Loan
The Small Business Administration is focused on assisting small businesses secure funds if they are unable to do so from other sources.
- Loan amounts range from $50,000 to $5 million
- Loan terms range from 10 years to 25 years
- SBA guarantees a significant percentage of the loan amount and reduces the lender’s risk
Applications for SBA loans can take longer to process, but our experts can help you avail faster loans when you apply through our vast network of lenders. You can apply under different SBA loan programs and we can assist you in making the right choice:
- SBA 7(a)
- SBA 504
- SBA Express
We can also assist you in completing your SBA loan documentation.
iii. Short Term Loan
As the name suggests, these business loans allow you to access the funds within the shortest possible time.
- Loan amounts are up to $500,000
- Loan terms are shorter, ranging from 1 year to 3 years
- Interest rates can be as low as 8%
- Requirements are simpler to meet
You can address short-term business requirements such as paying for unexpected expenses, getting through sales slowdown, replacing old equipment, or take advantage of a business opportunity.
iv. Business Term Loan
This type of business loan is perfect for business decisions such as buying equipment, expanding operations, getting working capital, and hiring more staff.
- Highly popular business loan
- Loan amount ranges from $5,000 to $2 million
- Loan processing takes only a few days
- Loan term can range from 1 year to 5 years
- Interest rates start from just 6%
v. Merchant Cash Advance
Merchant cash advance is a type of business loan that allows you to borrow funds against future earnings. The repayments will be paid on an agreed percentage of your daily credit card transactions.
- Funds can be used for a wide range of business purposes
- Loan amount ranges from $5,000 to $200,000
- Funds can be received quickly
- Interest rates are high and start from 18%
- Lesser documentation and simpler processing is involved
vi. Equipment Loans
As the name suggests, equipment loans are available for buying a wide range of business systems, including hardware and software.
- Avail up to $5 million in loan amounts
- Buy any type of equipment required by your business
- Loan processing is quite fast
- Interest rate starts from just 7.5%
- Your business must have been in existence for over 1 year and must generate over $50,000 in annual business
- Credit score below 650 requires demonstration of regular ash flow
There are many more types of business loans and we at Mid-Atlantic Commercial Capital, LLC can assist you in securing the one that best matches your specific requirements and profile. You can also apply for Commercial Mortgage, Accounts Receivable Financing, Startup Loan, and Business Acquisition Loan. Call us today at (540) 825-9800 or send us an email at email@example.com for more information.