Business Term Loans
Explore term loans and find the funding solution that’s right for your small business.
Ready To Move Your Business Forward?
Finding the right funding solution is a critical step for small business owners. With all the loan options out there, it can become complicated. At National Funding, we want to make sure that our customers are equipped with the information they need to succeed.
Term loans are one such funding solution that can work for businesses in a wide variety of industries. Learn more about term loans and whether they match your businesses needs below.
What is a Term Loan?
A term loan is a loan for one lump sum of capital. The borrower then repays the lump sum over a scheduled period of time along with interest. Interest rates on term loans can be fixed or variable depending on the loan agreement.
Business term loans are very common and are often the main type of loan that comes to mind when people think of the word “loan.” They come in many shapes and sizes, ranging in amounts from $5,000 to $5 million, and can vary in length from less than a year up to 25 years or more with a range of interest rates, depending on the loan. Term loans can be used for anything, but are often used for equipment financing, working capital, or real estate expenses.
At National Funding, we understand that debt can end up hanging over a small business for years and years. That’s why we offer short term loans so that small businesses can get the capital they need and have nothing holding them back as they move forward.
What Are the Requirements for a Term Loan?
Credit Score
Credit scores are often used to give lenders more information about the borrower, but at National Funding, we recognize that a credit score can’t always tell the whole story. Traditional banks often have strict credit score requirements for those applying for a business term loan. Even when those qualifications are met, accessing funds from banks can take a long time and require a large amount of paperwork.
At National Funding, we’re worried less about your credit score and more about the potential of your business. That’s why we offer bad credit business loans and instead look at your last three months of statements to see if you qualify for a loan from us. We keep our application short, and simple, and we don’t worry too much about credit score. Apply now and see how much you qualify for.
Collateral
Term loans also vary in collateral requirements. Secured loans involve using personal or business collateral to ensure that the loan is repaid. Securing a term loan with collateral runs the risk of losing that asset and can be risky for the borrower. Unsecured loans are riskier for the lender so they often involve higher interest rates.
Alternative lenders like us have higher tolerance for risk than traditional banks. That’s why we offer unsecured business loans for small business owners. No collateral required.
Business Maturity
Lenders offering term loans also look at the age of your business to determine if you qualify for a term loan at all. Better rates are often offered to older businesses with a longer track record. This is also a factor that assures your usual lender that there is less risk for them.
As a less risk-averse lender, we at National Funding are happy to help provide funding to small businesses as young as one year old.
What Type of Loan is Best For Your Growing Business?
Short-Term Small Business Loans
Short-Term Business Line of Credit
provide a rolling cash infusion for small businesses. This type of loan can be effective when investing in needs with a slower rate of return on investment such as hiring new employees for a second location.
Merchant Cash Advances
Working Capital Loans
are best used to finance everyday business operations like wages, inventory, taxes and a range of other costs that keep your business going day-to-day, and are best for organizations that could use more flexibility with their funds. Working capital loans from National Funding can provide your business up to $500,000 to support your needs right now, quickly and with minimal paperwork.
What Customers Are Saying
Ron Beatty, Owner
Beatty Lawn & Tree Service
Knowing how hard it had been trying to secure small business loans in the past, this family-owned business sought out National Funding thanks to its reputation for accessible, hassle-free loans. Being able to purchase new, reliable equipment was a critical component for this growth business, and National Funding helped them make it happen.
How Do I Apply for a Loan From National Funding?
It’s easy. Securing the funds you need to keep your business running smoothly is simple with National Funding. Our application process is quick and secure. It takes just minutes to apply.
After applying, one of our friendly Funding Specialists will connect with you so we can learn more about you and your business. Your Funding Specialist can help answer any questions you have about the loan process and help you discover which loan is the right fit for your business.
Frequently Asked Questions
Deciding what is best for small business can be tricky, but it doesn’t have to be intimidating. Here are some frequently asked questions to consider as you explore loan options. For when you have additional questions, our Funding Specialists are here to help.
Ratings & Reviews
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