At Fundygo, we will help your business draw the cash you need directly into your business checking account at any time. Your business will only pay interest on what you draw. Additionally you can pay your balance early, or whenever is most convenient for you.
With minimal paperwork required and a super simple online application process, business owners can easily secure a line of credit from Fundygo. Our fully automated online marketplace is designed to get actual results for small businesses, saving them time and money.
Flexible Funds When You Need Them
When you operate a small business or large corporation, there will always be unexpected roadblocks and expenses that occur during daily operations. A business line of credit with Fundygo offers solutions to many different funding scenarios and features lenient repayment terms and flexible repayment. With a line of credit, you only pay interests on funds that you withdraw for your small or large business. There is limit, however, to funds that you can withdraw, and that limit is based on a number of different factors. You can draw and repay funds as you with much like a credit card. Whether you need to purchase equipment, inventory, or need to manage and fill gaps in cash flow, lines of credit are an ideal solution to businesses of all types and sizes. This model varies greatly from a traditional term loan, where a lump sum of capital is provided for immediate use and repayment terms are outlined for a fix rate over a specific timeframe, usually with a maximum of 10 years. The added benefit of a line of credit is the fast turn-around times for approval and the ability for immediate asset acquisition. Additionally, you can pay your balance early or in full after borrowing.
Do I Qualify for a Line of Credit?
A line of credit, much like a high-limit credit card, requires an acceptable credit score and business portfolio in order to negotiate agreeable terms with a lender. Generally speaking, however, approvals for lines of credit are higher than many other forms of loan acquisition. Additional documentation may need to be supplied, but paperwork is minimal and with our simple online process business owners can easily secure a line of credit. You’ll need to submit your credit score, business documentation, earnings reports, tax returns, and a few other important materials that prove the legitimacy and viability of your business. After the online process is complete, we find you the lender with the best terms for your business. Soon after, you’ll be able to easily and quickly draw the cash that you need directly into your business checking account at any time you wish.
As a rule of thumb, most lenders will consider qualification for businesses that have been run for at least a minimum of six months, can prove a $25,000 minimum on annual revenue. Additionally, the borrower must have at least a credit score of 500 or higher to qualify for a line of credit. We also recommend a line of credit over a business cred card, as the credit cards have the downside of annual fees, late-payment fees, as well as inflexible repayment plans.
Is a Line of Credit Right for Me?
If you’re a business owner with solid financial statements, a good credit score, a provable positive track record on the part of your business sustainability, as well ownership of substantial financial assets (including liquid capital) then you are a great candidate for a business line of credit. Even if one of these categories is lacking, you can still apply and be approved for a business line of credit. The benefits of this type of line of credit is a preservation of operational productivity – you can quickly invest funds in new equipment, inventory, and pay for unexpected expenses that may come up during normal business operations. It’s also a great way to preserve cash so that you can free up and redirect capital in other parts of your business. Flexible repayments means that you can choose repayment plans based on seasonal, quarterly, and entirely custom plans.
When compared to other loan types that we offer, a line of credit is a specialized form of liquid capital and can be a great asset to your financial portfolio and raise your chances of being approved for a higher, fixed rate type loan or line of credit down the road. If you’re looking to purchase a substantial asset like equipment, inventory, or real estate, another type of fixed rate loan may be a better match and provide lower interest rates down the line. We offer a number of secured, fixed rate loans including the option to use the equipment you purchase for your business as collateral, meaning you own the equipment outright once the loan is paid in full, but if you cannot repay your loan for whatever reason, the lender can seize the equipment and liquidate it for its full value. This is one of the most secure types of loans, and has one of the highest approval ratings for businesses of all sizes and scopes. If you’re a larger company that’s looking at making an up-front purchase, and you own the building your company operates in, you can also borrow against the ownership of your commercial real estate through Commercial Real Estate Secured Funding.