A revolving credit facility is a type of working capital loan that enables businesses to quickly draw down or withdraw funds, repay, and withdraw again. You have a credit limit, just as you would with a business credit card or bank overdraft.
It’s popular among businesses that need to boost their cash flow and working capital needs, so you might use it for short-term financing that you plan to pay off quickly.
A revolving credit line is a flexible, open-ended loan unsecured business loan. With the option to borrow money, pay it back, borrow some more, and so on, for the agreed duration of the term. Once you’ve repaid whatever you’ve used, you can withdraw more.
The lender tells you the maximum amount you can spend and you then have the freedom to decide how much you borrow and pay back each month. Options for new business loans and businesses that have been trading for 3+ months.
We offer many types of revolving credit facilities such as a merchant cash advance, invoice financing, stock loans and more. Terms for revolving credit facilities are typically between six months and two years – with usually, the option to renew at the end.
You’re probably more likely to get a revolving credit facility from an alternative lender than you are from your bank. Like an overdraft, a revolving credit facility isn’t a fixed* business loan. In both cases you can access pre-approved funds when you need to, and you pay interest on the amount you withdraw, while it’s outstanding.
Revolving credit facilities give businesses a fast source of funding while giving you flexibility to access funds when and if is needed. Its a quick and simple process and high acceptance rates, unlike an overdraft.
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Capital Business Loans Limited is registered in England and Wales, Registered No. 14491729, Capital Business Loans Limited is an independent credit broker and not a lender. We are authorised and regulated by the Financial Conduct Authority with firm reference number 1000382 Our registered office is at 20 Nicholas Street, Chester CH1 2NX. Not all Capital Business Loans Limited activities are regulated by the Financial Conduct Authority.
Telephone: 01244 906505| Email: hello@capitalbusinessloans.co.uk | Address: 20 Nicholas Street. Chester.CH1 2NX
Capital Business Loans Limited
20 Nicholas Street, Chester, CH1 2NX, United Kingdom