Skip to main content
_FB_2018-Icons-finalized-cleaned-up_new_FB_2018-Icons-finalized-cleaned-up_newGroup 9
Back
Scroll to top

Small Business Line of Credit


Obtaining a line of credit for your small business can help your entrepreneurial spirit take the company to the next level. This line of credit can be a more affordable option than a business loan because you only pay interest on the money you utilize. Acquiring this type of loan depends on your current credit score and how much a bank perceives you as a risk.

For small businesses, a line of credit is a good short-term option that works much like a credit card in the way it provides extra funds or cushion for financing “ongoing working capital.” Credit lines can be used in a variety of ways to benefit your business, including:

  • remodeling, expanding or upgrading your facilities;
  • buying new technological equipment;
  • purchasing extra inventory for future events;
  • launching a “new online marketing campaign”;
  • creating a “new product prototype” or pursuing a “promising business opportunity”; and
  • covering “unexpected expenses.”

No matter which benefit you’re looking for with a small business line of credit, there are some factors to consider when determining if it’s the best financial option for your business’ cash flow.

Top 3 Advantages of Obtaining a Small Business Line of Credit

  1. Stay in control—A line of credit enables you to further your business goals without bringing on investors, who will likely want at least some, if not a large portion, of control over your business in exchange for their financial backing. You also don’t have to “dip into personal savings or ask friends and family for money.”
  2. Financial flexibility—As previously mentioned, this credit line gives you more flexibility than a closed-end loan because you only “access money when you need it,” and you don’t have to pay interest on the funds you don’t use.
  3. Establish credit history—Building a good credit history for your business now helps to better your chances of obtaining “future credit accounts and loans.”

Get a Flexible Line of Credit for Your Small Business at First Bank

At First Bank, small businesses hold a special place in our hearts. Since 1935, when we opened our first branch in Troy, North Carolina, we’ve been known as a community bank that has strived to assist local businesses get the financial support they need to achieve their goals.

We offer lines of credit* that provide you convenient and flexible access to cash when you need it. This financial plan option allows you to repay and reuse your credit line as needed and simplifies how you track your business expenses.

Find out more about how to apply for a small business line of credit with First Bank by filling out this online form today!


*Loans subject to credit approval.

———
Sources:
https://www.nytimes.com/ref/open/finance/OPEN-CREDIT-BASICS.html
http://www.bizbest.com/how-to-get-a-small-business-line-of-credit/
http://smallbusiness.chron.com/pros-cons-line-credit-small-business-1578.html
https://localfirstbank.com/business/business-loans/

Trending Topics

Lowest Mortgage Rates High Point NC

Getting the lowest mortgage rate in High Point, North Carolina involves more than just shopping around. First, you need to know how to shop for the best rate. Shopping for…

HSA Rules and Regulations You Should Know

If you have a high-deductible health insurance plan, a Health Savings Account (HSA) can help you save for future medical expenses. Health Savings Accounts were established by the federal government…

6 Steps to Starting a Small Business in North Carolina

First, you had an idea for a small business. Now, you want to set that idea in motion. If you are looking to start a small business in North Carolina,…

Mobile Check Deposits from Anywhere

Before mobile phones and tablets, checks had to be cashed in person or by mail. Now, mobile check deposits allows you to deposit your checks from anywhere, so long as…

Find Remodeling Loans in Asheville, NC

First Bank offers remodeling loans in Asheville, NC, for homes or businesses to get you started on turning your vision into a reality. Our Asheville loan officers will work with…

The Best Personal Banking Services for You

Finding the best personal banking services for your financial needs doesn’t need to be difficult. The factors that go into evaluating available options can include convenience, fees, and interest rates.…

The Benefits of Checking Accounts with Online Access

Out of all the factors that tend to influence our decisions regarding financial management, levels of convenience tend to play a heavier role than others. For that reason, online tools,…

Get Maximum Flexibility With a Small Business Credit Card

Many small business owners often find themselves managing their business operations, financials, customer service and more. First Bank wants to lessen your workload with a small business credit card to…

Student Checking Account Asheville NC

First Bank in Asheville, NC, makes it easy for students to manage their funds with Campus Checking, our student checking account. Campus Checking is open to all qualified and currently…

What You Need to Open a Business Banking Account

Once you’ve started a business, the money is going to be coming in. You will need a business banking account to keep finances in order and manage cash flow. But,…