A line of credit may be the ideal solution. This flexible financing option provides funding for any type of expense or purchase, any time you need access to cash.
Learn more about applying for an unsecured business line of credit from Nexi.
When running a small business or startup, having access to cash at any moment can be crucial for keeping operations up and running. That’s where a line of credit (LOC), aka an unsecured business line of credit comes in. This type of financing offers a convenient way for small business owners to access short-term flexible funding when they need it.
Having a line of credit is like having money in reserve, waiting to be drawn at any time. The borrower makes monthly interest payments only on the amount used, and then pays down the balance over time.
With anytime-access to cash, an unsecured line of credit can give small businesses the breathing room they need for getting through tough times—or quickly capitalizing on new opportunities.
Draw money anytime from your LOC account
Use money for any type of purchase or expense
Amount used accrues interest
Repay amount used + interest
Line of credit replenishes as it is paid back
With a line of credit, you can enjoy the flexibility of being able to withdraw funds on-demand. Nearing the pre-set borrowing maximum? Simply repay it and the line of credit is automatically replenished.
Unlike with a loan, a line of credit doesn’t have one specific purpose. Rather, you can use it again and again for whatever business expense or investment you need. That can include unexpected emergencies or costs, ongoing expenses like payroll, or to bridge gaps between when accounts payable are settled and accounts receivable are collected.
Interest on your line of credit only accrues on what you withdraw, not on the full amount approved by your lender. In other words, you don’t need to worry about interest racking up on funds you haven’t used.
With a line of credit, you can get access to competitive interest rates that could save you more money versus the typical personal loan or high-interest credit card. Plus, those savings increase if variable interest rates drop.
Establishing a line of credit is the first step in creating strong credit for small businesses or startups. By making on-time payments and building upon this foundation, you’ll be able to open new doors with improved access to larger loans down the road.
To keep your business finances neat and orderly, establish a line of credit that specifically caters to your entrepreneurial ventures. This way, you can easily distinguish between professional costs and personal ones—and better keep track of spending.
Borrow up to $150,000
Interest rates as low as 10%
Application approval within 24 hours
Receive funding within 24-48 hours of approval
Term/draw period of 1-2 years
To qualify for a line of credit with Nexi, small businesses must have:
What you’ll need to provide:
With Nexi, the road to responsible alternative funding is simple and fast:
