Loans For Commercial Borrowers: Different Loans For Different Needs
Commercial lending is an all-encompassing phrase. It includes every kind of commercial loan for every kind of commercial need. What is it you are trying to do with your business? What is it you want to do, or hope to do? There is probably a loan for it. Take a look at the following loans available for commercial borrowers to see if any of these can help you.
Construction Loan
Build the commercial building you want with the construction loan from a lender. This type of loan helps you build from the ground up, or overhaul an existing building that can suit your business's needs. A construction loan can also remodel an existing building when that building needs tens or hundreds of thousands of dollars to remodel it into a suitable business structure that is pertinent to your business.
Startup Loan
A lot of business owners come to banks and lenders looking for startup cash. They have a great idea, service, or product, but they cannot do anything about it when they do not have the money to back it up and get a business going that will promote what they are selling. A startup loan can pay wages and salaries, pay for production, secure an office building or a manufacturing plant, or pay for operating costs for six months or more, to name a few examples.
Debt Consolidation
Debt consolidation loans are for commercial companies that have been in business for some time, but now have an insurmountable amount of debt. Rather than file for bankruptcy, these companies can apply for debt consolidation loans. When all of the debt is consolidated, the companies that were in trouble because of their debt now only have to pay back the one lender.
Keeping the Business Afloat When Accounts Receivable Remain Unpaid
Nobody wants to get in to business to worry about money owed to their companies by consumers. However, it does happen. There may be a time when many of your customers cannot or will not pay you what they owe. When that happens, you cannot keep running your business with no funds. Based on past accounts receivable, lenders give these businesses loans commensurate with what the companies need to continue operating for the next one to six months until the companies can force the consumers to pay their bills. Some lenders will even give you six months or more to pay back this type of loan.