A line of credit or LOC is a loan offered by the bank that allows the borrower to withdraw and repay funds based on the client’s schedule and needs. This makes a line of credit ideal for both new businesses and existing businesses that need access to additional working capital. Understanding exactly how they work, why they are beneficial, and potential downfalls for LOCs will enable you to see if they are right for your business.
When a business needs to establish a physical location the first thing they consider is the old adage “Location, location, location”. What they should really consider is “financial, financial, financial”. Understanding the different types of real estate loans, which ones will apply to which properties, and how they will affect your business, is the first step to figuring out the best path forward for your company’s real estate needs.