By definition, a line of credit, or commonly referred to as a LOC, is a preset borrowing limit that can be tapped into at any time. The borrower can take money out as needed until the limit is reached, and as money is repaid, it can be borrowed again in the case of an open line of credit. A business line of credit has more in common with a business credit card than with a small business loan and is a type of business loan that actually allows you to draw money when you need it and pay it back over time.
How Does It Work?
A business line of credit provided by lenders in the US Capital Group of America’s marketplace is a revolving line of credit. With a line of credit, you are able to draw funds when needed and repay them over time. You can keep reusing and repaying your line of credit as often as you’d like, as long as you make payments on time and don’t exceed your credit limit. That means you can use the funds over and over again if you meet our pay-off requirements and get approved for the loan.
To get approved for our business line of credit, your business has to be in good standing for at least one year. If so, it will take you less than 3 minutes to get approved. All you need is to connect your accounting software or business bank account to let us analyze your business situation.
Once approved, you will be able to draw loan funds at any time. They will be available for you as early as the next business day.
Each week, you will need to pay off the funds in fixed installments. The more you repay, the bigger amount of money (exclusive of fees) will be available to you again. Plus, if you pay off your loan early, we will waive all the remaining fees.