Traditional-Term Business Loan
$5,000.00 to $500,000.00
12 – 60 months
7 – 25%
As little as 2 days
A traditional term loan offers some of the easiest-to-understand terms available: you borrow a fixed amount of money and pay back that money over a fixed term, often at a fixed interest rate.
Traditional term loans with fixed interest rates and a fixed timeframe for repaying the loan let you pay predictable, monthly installments. This predictability makes it easy to plan and budget for your business expenses. Traditional term business loans also cover a wide range of business expenses, giving you flexibility in funding your business needs.
Traditional term loans also allow you to build your business credit by improving your credit score and providing a solid track record of your financial responsibility. When you have a proven record of repaying your loans, it becomes easier for your business to qualify for future financing.
Things to Keep in Mind:
While a traditional term loan gives you longer to repay your debt, getting approval for the loan also takes longer depending on the lending source. You may have to wait several weeks or months to get approval thanks to the process of filling out forms, submitting, having them processed, approved, and then funded. While the terms of traditional term loans are often easy to understand, fixed, and predictable, they may be less flexible than other financing options. Another downside includes the prepayment penalties associated with some traditional term loans. A prepayment penalty means that you have to pay a fee should you decide to pay off your loan early. This can be frustrating to business owners who feel this fee punishes them for trying to get out of debt, something typically viewed as a wise financial decision.
A traditional term loan may also require collateral. This depends on the state of your credit and financial situation.
Business Loan Networks is proud to help business owners find the best traditional term loans for their business needs. Our marketplace helps you find the best possible fit for your financial needs by comparing options all in one convenient place.