Operating Line of Credit (Unsecured)
Small Business Loans from $100k-$500k and up
Suitable candidates: Medium enterprises, with established cash flow and verified balance sheet, requiring capital in order to fund its operating expenses such as wages, lease, account payables inventory etc.
- Significant assets and accounts receivable of the business ($1M+).
- Established positive cash flows.
- Credit rating for loans of significant size.
This product is mostly catered to companies of medium size and up (revenue of 4-5Million +) with proven cash flows, and ability to service this unsecured interest only debt with minimum of 125% of service coverage (sometimes more). Our associates have massive experience arranging this type of financing in a range of $50k-$2Million.
Typically the pricing (interest rate) for this product is much more expansive than interest for term loans and other secured type of loans, but also operating lines are very flexible as they are mostly based on accounts receivable and can be controlled (increase/decrease) based on the size and aging of accounts receivables. Typically all medium and large scale enterprises have at least one or in many cases several operating lines of credit, lack of cash, is the most common reason for slow growth of the medium enterprise and could be an intricate solution for many possible clients.