Use a business loan calculator to help understand the impact of interest rates and terms on debt repayment. There are various types of business loans available to help you acquire, grow, or stabilize your company. There are many small business lenders and commercial banks where borrowers can submit their deals to different lenders. There are life insurance companies, conduits, credit unions, savings banks (S&Ls), REITs, hard money lenders, SBA lenders, and USDA business and industry specialty lenders. They will make permanent loans, construction loans, bridge loans, SBA loans, USDA B&I loans, mezzanine loans, preferred equity investments, SBA construction loans, and USDA construction loans.
This page will help determine which loan product will best fit your company. Financing an existing business is among the most significant barriers for entrepreneurs and would-be entrepreneurs to acquire a company. Buying an existing business is less risky than starting from scratch. Many of the unknowns are known in an existing business. Customers, vendors, employees, location, and profitability are all known and discoverable in the due diligence process.
By doing adequate due diligence, you have an excellent idea of what to expect and how to manage your risk accordingly. Buying an existing business is more expensive than a start-up; however, startups produce zero revenue and have no track record. An existing business has a revenue and cash flow history that makes it bankable.
Business Loan Calculator
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Different Types of Business Loans
Merchant Cash Advance
Receive up to 200% of monthly credit card processing. Programs range from 3 months to 15 months. No more than 12% of monthly gross sales can be debited, with a minimum of $3,000 in monthly processing required. The merchant must net at least 50% of the current balance. Merchant cash advances don’t build business or personal credit—a minimum of 3 months in business and processing credit cards. Require four months of processing and four months of bank statements.
Unsecured Loan
Receive up to 75% of monthly gross sales. Programs range from 3 months to 18 months. The fixed payment is ACH Monday – Friday, with no weekends or holidays—minimum $10,000 gross monthly volume required. The merchant must net at least 50% of the current balance. There is a minimum of one month in business to qualify. A minimum FICO score of 500 is required. No more than three negative days and 6 NSFs in the bank. Interest can be written off in business taxes using a 1099-INT form. Apply with four months of processing and four months of bank statements.
Working Capital Loan
Working Capital Loans provide small and mid-sized businesses with short-term loans available to business owners with low credit scores or other financial challenges. The loans are based on the business’s cash flow, not personal credit score. We give 50% -75% or more of what your business is averaging monthly. You can get 100% – 150% or more if you have collateral.
Business Line of Credit
A Business Line of Credit helps business owners secure a longer-term loan without incurring a penalty for prepayment. The line of credit is based on the equity in any residential or commercial property that you own, provided it has equity. This product offers an interest-only payment option, allowing you to repay the loan more quickly with minimal additional cost.
Traditional Loan
The loan amount can range from $100,000 to $2 million with terms from one to five years. The term can range from 1 to 15 years, depending on the purpose of the financing and whether real estate is being used as collateral. This loan has a low-interest rate and flexible payment terms.
The Small Business Administration (SBA) Loan Guarantee
Bankable businesses are those that banks and others will invest in, expecting a reasonable return supported by the business’s historical performance. Savvy business purchasers use leverage to get the controlling interest in their acquisition. Commercial loans generally fund about 75% of the purchase price, with payments for up to twenty years. Collateral and a personal guarantee are usually part of the deal. Alternative sources are available but will come with higher interest rates and higher costs. The Small Business Administration (SBA) encourages small business lending by guaranteeing 75% of the loan. SBA loans are the best deal you can get if you have the time and can navigate the required hurdles.
Alternative Non-Banking Solutions
Other alternative non-banking solutions can loan very quickly but at higher rates than traditional loans. Always consider traditional loans and SBA loans as your first options. If time or circumstance doesn’t allow the conventional loan sources, there are other lenders, or you can use your 401(k), 403(b), IRA account, or another pension fund. Special rules waive taxation and penalty if you use a specially designed trust to facilitate your business acquisition.
Finding The Best Small Business Lender
You can pursue SBA funding later, after acquiring your business, using alternative methods. If you desire to own a business or need money for your existing business, we can help. Our lending sources offer merchant cash advances, unsecured loans, lines of credit, invoice factoring, SBA funding, and hard money loans. You can also use retirement funds (401K or ROBS) and other sources for funds. Use our loan calculator to find loans ranging from $50,000 to over $5 million for purchasing a business or expanding your company. We have higher approval rates than standard banks with better deals.
Ready to turn your loan results into real funding? Don’t just calculate—get connected with flexible financing tailored to your business needs. Whether you’re looking for working capital, equipment financing, or a line of credit, we can help. We have partnered with the best lenders who are fast and safe, trusted partners. Click the get funding now button below, and we will begin working with you to secure the right solution quickly.
