- Amount
- $10,000 – $5 million
- Term
- Revolving, typically renewed annually
- Speed
- 24–72 hours once approved
A line of credit is approved once and used many times. You draw against it when you need the money, repay it, and the availability returns. Nothing accrues on the portion you leave untouched.
That makes it the right answer to a recurring or unpredictable need, where a term loan would leave you paying interest on money sitting in the account. Most businesses that carry one treat it as insurance against timing — the facility is in place well before the month it is needed.
Commonly used for
- Uneven or seasonal cash flow
- Bridging recurring gaps between payables and receivables
- Taking an opportunistic inventory buy
- Holding standby capacity for the unexpected
What it generally takes to qualify
- At least one year in business
- Around $15,000 or more in monthly revenue
- A credit score of roughly 500 or better
Guidelines, not hard cut-offs — tell us the situation and we will tell you where it stands.
Questions
Do I pay anything if I never draw on it?
Some lines carry a small maintenance or unused-line fee. Many do not. It is worth asking specifically, because it changes the cost of holding a line you rarely touch.
How is the limit set?
Typically off revenue, deposit activity and, on secured lines, the value of the collateral behind it.
Can the limit be increased later?
Yes — most lines are reviewed at renewal, and a clean payment history is the strongest argument for a higher limit.
Related products
Apply for business line of credit
A few minutes, no cost and no credit pull. The application is specific to this product.
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