Funding solutions
Business Line of Credit
A business line of credit is a revolving credit limit you can draw from, repay and draw again. You only pay interest on what you use, which makes it the most flexible way to cover uneven cash flow.
Check your Business Line of Credit options
Business Line of Credit may be a good fit if…
- Your expenses or revenue are seasonal or uneven
- You want a safety net for payroll or surprise costs
- You buy inventory ahead of sales
- You prefer to pay interest only on what you use
Consider something else if…
- One large planned purchase? A term loan gives a fixed payment. See Term Loans
- Slow-paying B2B customers? Invoice factoring advances on invoices. See Invoice Factoring
Requirements
What lenders typically look for.
These are common guidelines across our lender network, not hard cutoffs. Your advisor will tell you where you stand.
| Time in business | Usually 6+ months |
|---|---|
| Revenue | Often $10K+ in monthly revenue |
| Credit | Typically 600+ personal credit |
| Documents | Recent bank statements, ID |
How it works
How Business Line of Credit work with WellRounded
Apply
Tell us your revenue, time in business and what you need the line for.
Get a limit
Lenders review your bank activity and offer a credit limit and draw terms.
Draw anytime
Move money to your bank account when you need it, often same or next day.
Repay and reuse
As you repay, your available credit refills.
Costs
How Business Line of Credit are priced.
Lines of credit charge interest on the drawn balance, and some charge a draw fee or a maintenance fee. Bank lines are usually priced off prime; alternative lines may use a fee per draw. Your advisor will translate every offer into a comparable cost.
‡ Ranges shown are typical and illustrative, not an offer of credit. Final amounts, rates and terms are set by the lender.
Calculator
Estimate your payment.
Estimates for illustration only, not an offer of credit. Your actual rate, term and fees are set by the lender and depend on your business.
Industries that often use Business Line of Credit
Is a business line of credit revolving?
Yes. As you repay what you drew, that amount becomes available to draw again for the life of the line.
Do I pay interest if I do not draw?
Usually not on an undrawn balance, though some lines carry a small maintenance or annual fee.
How is a line of credit different from a credit card?
Lines usually offer higher limits and lower costs than business cards, and funds go straight to your bank account so you can pay any vendor.
Can a new business get a line of credit?
Some lenders offer lines from six months in business with consistent deposits. Under six months, options are more limited.
Ready to explore Business Line of Credit? See your options today.
- Decisions in as little as 24 hours*
- $10K–$5M+ across 10 products
- No hard credit pull to apply
- One dedicated funding advisor