Best Business Loan Reviews: Lender Rates, Terms and More

Looking for a business loan?  You have lots of options available.  The key is to decide which type of business loan you need.

Are you starting a new business?  Trying to expand an existing business?

Business Line of Credit – Typically used to purchase inventory and cover operating expenses.  Depending on the lender, and your financial situation, this type of loan typically has lower interest rates.  Additionally, you have access to a credit line when you need it.

Installment Loan – Another good funding option for small business owners.  Unlike a business line of credit, you can use an installment loan for just about any business needs.

Ballon Loans– With a ballon loan, you’ll pay nothing but interest payments for the duration of the loan, with one exception:  on the final day of the loan contract, you’ll make a one-time payment for the balance of the principal of the loan.  This isn’t always ideal for most small business owners.

Secured Business Loans – If you have real estate or inventory you can use for collateral, a secured business loan may be the way to go.  This type of loan typically comes with lower interest rates, due to the fact that you’re putting collateral up.

Unsecured Business Loans – If your business has healthy revenue growth, plus stellar business credit history, you may be eligible for an unsecured business loan.  In this case, you don’t have to put up any collateral.  And if you have good business credit history, you may even get a loan with low interest rates.

Business Term Loans – A term loan is simply a loan that is paid back over a specific time period, with a fixed interest rate.  It’s very similar to an installment loan.

Working Capital Loans – If you have short-term financing needs and need to cover operational costs, a working capital loan may be what you need.  This type of loan is used to cover your operational costs, such as payroll, taxes, inventory costs, etc.

Merchant Cash Advance – This loan type is very similar to a consumer payday loan.  It comes with very high interest rates, often in the triple digits. In many cases, you may end up paying up to 30% in interest and fees of the advance.  Be careful with this type of business loan.

Invoice Factoring – If you have unpaid invoices and need working capital to run your business, invoice factoring may be an option.  Small business owners often have customers that pay on a net 30,60 or 90 day cycle.  In this case, you can sell your accounts receivables (invoices) to a 3rd party (factor) to get paid right away, minus the lender fee. One of the downsides to this is the factoring company typically wants to handle your accounts receivables their self; which means they will be in contact with your customers on the billing side of things.

Invoice Financing – Very similar to Invoice Factoring, however invoice financing companies give you more control over accounts receivables.  With this type of financing, you remain in control of the billing side of things with your customers–and they never know you have an invoice financing loan.

You can read more about the different types of business loans here.

Lender Rates and Terms

Check back soon for our updated list of lenders!

 

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Need a Business Loan?  First, Determine What Type of Business Loan You Need.  Then Compare Rates and Terms on Our Site to Find The Best Loan #business #businessloans #loans