Long-Term Business Loans

Move Your Business Foward with a Long Term Line of Credit

How Much Will It Cost to Make a Draw?

Select the amount you wish to borrow:

$18,000

Choose your repayment term

12 months
18 months
24 months

How frequently do you want to make payments?

Weekly
Monthly

Weekly payment amount*:

$360.00
Do I Qualify?
This won't affect your credit score!
*This business loan calculator assumes a monthly interest rate of 5%. Your interest rate may vary based on your application information.

Apply for a credit limit up to $35,000

Get next-business-day funding after approval

Borrow any time through your online account

What Is a Long-Term Business Loan?

Long-term business loans are used to meet long-term capital needs such as construction, equipment financing or purchasing an existing business. Terms usually start at two years or more, although 10 to 20 years is more likely, with amounts from $25,000 to $200,000.

There’s a variety of criteria lenders consider in granting long-term business loans:

Cash and credit: lenders will examine your cash flows and operating expenses. Do you have a steady business income that will ensure timely payments? They’ll also consider your credit score.

Collateral: a lender may want to know what tangible assets a business has that could cover the cost of the loan in case of default. This could be any property the business owns, such as real estate or equipment. It could also include the owner’s personal assets, such as a home. In some cases, a co-signer might be used. While this could help a small business owner obtain a loan, the co-signer would have to pay back the loan if the business fails to do so.

Your track record: an established business with years of success will usually have an easier time obtaining long-term business loans, whereas a relatively new startup can find it harder to obtain credit.

Your stake in the business: lenders will want to see that an owner is personally invested in a business before granting a loan. A lender might ask whether the owners could invest their own money in the business rather than seeking a loan.

What and why: the lender will want to know what this money is used for and why it’s needed, whether it’s for purchasing equipment or expanding business space.

Business plan: what are your goals for the business and how will you achieve them? Are your goals attainable? The lender may also want to know the backgrounds and history of the owner and any key players involved in reaching these goals.

Insurance: just like with a home mortgage, lenders want to make sure a business is properly insured in case of fire, flood or similar losses.

Short-Term vs. Long-Term Loans

While long-term business loans are typically used for major capital investments, short-term busienss loans might be used to pay for lesser and more immediate expenses such as paying a vender or small equipment purchases.

The amount a business can borrow is more limited with a short-term loan, but the loans can be easier to obtain and the approval process is usually much faster — sometimes within a day or so.

Short-term loans tend to come with higher interest rates, but they’re paid back over much shorter time periods. If paid back on time, a shorter-term loan can have a lower total cost than a longer-term loan, where the payment period can extend for up to a decade or more.

Flexible Line of Credit from Headway Capital

Headway Capital can help you grow your business with a flexible line of credit from $5,000 to $35,000 to fill any of your short-term or long-term borrowing needs. It’s available when you want it for any legitimate business expense: anything from working capital to restocking inventory.

Credit Line

Up to
$35,000

Repayment Term

12, 18 or 24 months

Payment Frequency

Weekly or monthly

Loan Type

Loan Type

Business line of credit
No Hidden Fees

No Hidden Fees

No application fee or non-sufficient funds (NSF) fee
Clear Cost

Clear Cost

Clear payment terms, interest does not compound, no penalty for early payoff

Apply now for a flexible business line of credit. If approved, you’ll have your money by the next business day.

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