A business line of credit is meant to provide you with quick access to funds so that the business can borrow, pay it back and then borrow funds again when it needs the money. They are great for seasonal businesses with expected cash flow interruptions, but also well suited for general businesses of all types. Progressive Capital works with each business owner seeking a line of credit to personalize the perfect line of credit and determine the right terms for that specific business.

Often, a business will get a better interest rate with a line of credit because you will only pay interest on the amount you actually borrowed, instead of paying interest on the entire amount of credit you were approved to borrow. It may also be more ideal to fund your business using business credit in order to minimize, or possibly avoid, business liability depending on the funding needs of your business. As your business grows, you will be able to obtain larger amounts of funds as your credit builds with line of credit financing.

We find that our clients who qualify for a line of credit find it mostly beneficial to help their cash flow needs, including purchasing equipment or materials, paying service providers or vendors, and covering payroll or laborers. This allows you to focus on where you are spending the money that you borrow and whether the company or business is primed to borrow additional funds when the time arises.

We also have clients that acquire a business loan for bigger needs such as purchasing expensive equipment, while also obtaining a line of credit for smaller, continual needs such as covering cash flow. It may not be a bad idea to have both if you have short term needs and long-term goals to help your business grow and succeed.

Let Progressive Capital work with you to figure out which type of funding is best for your business needs – both in the present and with an eye looking out towards the future. We strive for maximizing the growth of your business without hindering your ability to reach new heights.