An injection of funding can be a lifesaver when your business is desperate for money, and short-term loans are forever an excellent choice for many reasons.
A short-term loan is any form of funding you take out and repay within the year or12 months. These products are structured differently to serve specific use cases and are easier to access than traditional bank loans.
From credit lines that can see you through cash flow storms, to advance money you can take out and repay through your credit card sales, below are some top short term loans to consider.
- Merchant Cash Advances
Merchant cash advances offer an advance amount of money repayable as deductions from your daily credit card sales.
The lender remits a percentage from every sale until you pay out the full amount. Application is quick and painless (with no credit checks), and the lump sum arrives in less than 24 hours.
- Business line of Credit
A business credit line gives you access to a specific amount that you cannot surpass. With a credit line, you repay either instantly or over a period. The lender charges interest as soon as you borrow a lump sum.
Credit lines are small dollar, high-interest rate loans with minimum payment amounts than traditional loans.
Payments happen monthly and include both principal and interest. These products have a more instant impact on credit scores and credit reports.
- Invoice Financing
This short-term loan depend on your business’s accounts receivables. These include any unpaid invoices due for payment by your clients. The lender gives a loan and charges rates based on how due the pending invoices are.
As soon as the invoice is paid, then lender takes the portion of interest due for the loan. The rest enters your business account as invoice payments.
- Online Loans
These are personal loans that you apply for online. The lump sum is wired to the borrower’s bank account as soon as immediately.
These products are excellent ways to get your business back on its feet thanks to their accessibility, hassle-free application and instant money solutions.
Anyone is eligible as long as you don’t have more than $1,000 in your bank account.
Which product impressed you? There are many other short term loans but these will definitely solve most of your money problems.
Michael Hollis is a Detroit native who has helped hundreds of business owners with their short-term loans. He’s experimented with various occupations: computer programming, dog-training, accounting… But his favorite is the one he’s now doing — providing business funding for hard-working business owners across the country.