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Principis Capital-
Your future capital working for you today.
 Unsecured Business Line of Credit     May 17, 2012  
 
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Unsecured Business Line of Credit

Unsecured business lines of credit allow for your business to receive financing without the need for collateral such as real estate, inventory, or office equipment.  This has advantages but typically means higher interest rates.

Cash flow is king in business and having an unsecured line of credit can be worth its weight in gold. To qualify for one of these lines of credit, you must have good business credit and personal credit as you will most likely have to personally be the guarantor of the loan (meaning you will personally be responsible for the payment of the unsecured business loan even if your business can’t pay for it).


That’s why another option for financing is a merchant cash advance. Merchant cash advance companies will give you money based off of how much you process in credit cards each month. They take as payment for their loan a percentage of the dollar amount you process on cards each month. It’s a great option because it is technically not a loan but it will help your business credit.


 
 
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