Commercial Lines of Credit
Commercial lines of credit fill in short-term gaps in cash flow for business rather than personal purposes. They are vital in instances when a business needs a temporary increase in spending for a specific purpose, and has a solid financial footing, but does not have other immediate ways to raise capital for important projects.
MIDFLORIDA has a range of options for commercial lines of credit that your company can use for many different purposes, such as:
- Finance accounts receivable
- Buy inventory
- Plan and deliver a marketing campaign to draw in new customers
- Other forms of business investment and expansion
- Seasonal inventory & labor expenses
How can my business use a commercial line of credit?
As with other lines of credit (such as credit cards or home equity lines of credit), you are under no obligation to use the entire business line of credit you are extended. One of the major advantages of a commercial line of credit is just this—you do not have to use it and you will only pay interest on the amount you borrow. Many companies open a commercial line of credit before they actually need to use it because they appreciate the peace of mind that comes with knowing the credit line is available if something unexpected occurs and the business requires an infusion of funds.
However, business lines of credit are also quite different from other financing options like credit cards. It’s possible to get a lower interest rate on a business line of credit than a credit card depending on your company’s credit history and current financial situation.
Why open a line of credit for my business with a local credit union?
MIDFLORIDA has been a trusted and valuable source of commercial lines of credit for the business community over the past six decades. Unlike some financial institutions, we don’t have set requirements, but instead evaluate each application on a case by case basis. This personalized approach to commercial lending allows us to meet the diverse needs of businesses of all sizes and circumstances.
As your local credit union, we have an ongoing interest in your success, and a knowledge of the community you will be operating in. Our Commercial Relationship Managers are ready to help you take the next step in the success of your business. Call us today or stop by your local branch to apply for a business line of credit.