Facilitate everyday business transactions

Business Line of Credit in Houston, TX

Flexible access to cash used for any purpose.

What is a Line of Credit?

Accessible, Flexible Funding

A line of credit loan in Houston, TX operates much like your credit card. When your business applies and receives approval for a line of credit, they receive access to a certain amount of available capital. They can use this funding whenever they want for whatever they want. Whether they need to meet payroll demands, cover expenses or grow the enterprise, a line of credit is always accessible.

Business lines of credit differ in a few ways: the line is offered by a bank, credit union or local lender. Interest rates are often lower than a consumer credit card, and often there are annual fees and/or secured assets required to keep the line open.

Business Line of Credit

Funding details

Business lines of credit in Houston, TX are commonly offered as secured lines or unsecured lines. By providing a lien on an asset such as a building, land, equipment or fleet vehicles, a secured line offers higher limits and lower interest, but your assets are at stake. An unsecured line often comes with lower limits, higher interest, and a higher expected credit score, but no assets are placed at risk.

Lines of credit are best applied to routine expenses such as supplies, expendables and items that can be turned around for cash within the payment period specified by your lender.

TERM LOAN

This kind of loan functions as a short-term financing option. Instead of receiving funding for the entirety of the project, the term loan would act as full financing for one specific section. The time between applying and approval for a term loan is usually only a couple of days.

TERM-TO-PERM LOAN

This loan can really assist with an ongoing construction project. What begins as short-term funding morphs into a long-term loan after completion of the project, easing the burden of the repayment process.

SBA LOAN

The Small Business Administration (SBA) offers loans that can help small businesses begin their endeavor, including a new construction process. The SBA offers many advantages including low-interest rates.

LINE OF CREDIT

Is Financing Right for Your Business?

Financing empowers your business by allowing you to retain cash for operating expenses while moving ahead on major projects. Finding the right funding is often about matching your business plan with the right lenders.

F.A.Q.'s

When is a Line of Credit Right?
Businesses with higher credit scores can get the most out of a line of credit. They will see lower interest rates and may reduce risk through an unsecured line of credit.
What are the Interest Rates?
Interest rates vary depending on the lendee’s credit score. However, failure to repay a line of credit typically comes with more intense consequences than on a traditional loan.
Can I use a Line of Credit to Improve my Credit Score?
Absolutely. So long as you make the required repayments on time, you can help raise your credit score with a line of credit. However, missing a payment can really hurt your credit score.

Advantages of

Lines of Credit

Ready access to financing

Secured and unsecured options available

Lower interest rates than business credit cards

Borrow several times