Term Loans
Are you looking for financing options for your business? There are many types of term loans that you can choose, but which one is the best for you? It may be time to think about a term loan. Here is everything you need to know about these loans to make the best decision for your business.
Contact Us To See How New Bridge
Can help your business grow, fast.
Contact Us To See How New Bridge
Can help your business grow, fast.
Term loans
Up to $2,500,000.00
Lines Of Credit
Up to $150,000.00
MCA's
Up to $500,000.00
Apply for Term Loans In 3 Easy Steps
Applying for a small business loan at New Bridge Merchant Capital is Quick and Simple!
1
Complete the Application
All of your information is kept safe and we only ask for basic information about your business and three months of your most recent bank statements.
2
Get A Decision
Your dedicated loan advisor will review small business loan options with you to find the one that best suits your needs.
3
Recieve Your Funds
Once you complete the online checkout, you can receive your funds as soon as the same day.
What Is a Business Term Loan?
A business term loan is similar to a traditional business loan. You will be approved for a specific lump sum amount that is deposited into your bank account. When it comes to repayment, you can make weekly or monthly payments over a certain period. Many of these loans have flexible terms. You can use them for working capital to supplement multiple expenses or spend on one asset. These types of loans are an excellent choice for larger purchases and investment projects.
Who Qualifies for a Business Term Loan?
Depending on your lender, these loans have a wide range of qualification requirements. Short-term loans have higher interest rates and shorter repayment periods. In many cases, they are easier qualification requirements than other types of loans. Medium term business loans do have better terms, lower rates, and extended repayment periods. Finally, those long-term loans will have the lowest interest rates and longest repayment terms.
While the qualifications will be different, here are the typical requirements for these loans.
Advantages of Term Loans
Advantages of Term Loans
With these business loans, there are many advantages. You will have access to a large lump sum of money at one time. Plus, there are limited restrictions on loan usage. In some situations, lenders will approve loans with bad credit. With New Bridge Merchant Capital, you can find out in 24 Hours or less!
What Is the Difference Between These Types of Term Loans?
Besides the loan terms, what are the differences between short-, medium-, and long-term loans? Take a look at these differences.
MCA/Credit Card Splits
Payback is based on credit card volume and bank deposits (Ex.15 cents on the dollar to the lender, 85 cents to the business owner)
LOC (Line of Credit)
Money made available that you can tap into as needed, no interest charged unless you take money.
TERM LOANS
These are based on bank deposit volume in your business bank account. Different terms apply for industry type and strength of account (ex. deposit amount, number of deposits, average daily ledgers). Terms stretch as far as 10 years (LITERALLY), with monthly payments options. More common terms are still available as well (6 months to 2 years with daily and weekly payment options)
Reverse Consolidations
We offer some of the most liberal reverse consolidation programs in the industry. If you are currently over leveraged and feel like you're drowning in payments. This may be a good option for you to restructure your cash position.
Collateralized Term Loans (Property based)
We offer short-term and flexible property based commercial loans for a range of operational needs. These loans are based on property value and terms extend as far as 36 months. Monthly interest rates range from 1-3% with weekly and monthly payment options available.
Are There Other Loan Products?
Are There Other Loan Products?
A term loan is usually a great choice when you need to obtain working capital for your business. However, there are other options available for small business owners. Here are some alternatives to a traditional working capital business loan.
Business Line of Credit
A business line of credit can give you flexible terms like a business term loan. You will get a pre-approved credit line, allowing you to draw from that amount for your business needs. With these lines of credit, you will pay interest on only what you use for your business. When you repay the balance, the line of credit will "re-up," and you can continue to keep drawing on the amount. A business line of credit combines a term loan and a business credit card.
Invoice Financing
With this type of credit, you can get an advance on any unpaid invoices. This credit alternative is a good solution if you have trade credit from customers but don't necessarily have the cash flow as you wait for payment. In these situations, the lender will front the money on the invoice or purchase the remaining balance. These loans do have fees, but you can access working capital in a short amount of time.
SBA Loans
Many small business owners will apply for these loans. SBA loans do have some of the best financing options. You can usually apply for these loans through a bank. These loans are considered long-term options. In some cases, they have terms of up to 25 years, and some capital amounts can reach over $1 million. While these loans may seem like the best option for working capital, they have restrictive requirements.
What Is the Difference Between These Types of Term Loans?
If you are ready to apply for these types of loans, you must gather all the appropriate paperwork. In some cases, you can get approval in a few days. Before you can apply, you need to figure out how much working capital you need and what you want for repayment terms.
You should also have an idea about your personal credit score. Make sure to have your business license, incorporation documents, financial statements, and tax returns ready for the application.
For those who want to apply for a long-term business loan, you will need more documentation., such as profit and loss statements, balance sheets, and business debt schedules. Remember that this required documentation may vary depending on your lender and loan program.
What Are Some Ways You Can Use a Business Term Loan?
These loans have one purpose: working capital. That capital is the money that your business needs to run its day-to-day operations. There is good news. You have the flexibility to spend these loans as you see fit. With these term loans, you can get help with the following:
- General operating costs
- Equipment Financing
- Investments
- Inventory purchases
- Payroll expenses
- Large fixed-asset purchases
Many business owners apply for these term loans to fund their larger investments. You can use the working capital to buy real estate or heavy equipment. Sometimes, business owners apply for an SBA loan for those big investment purchases. As previously mentioned, many small business owners cannot access these loans. Plus, if they are approved for them, it could take weeks or months to access the capital. Also, big-purchase loans will need some type of collateral.
For that reason, many small business owners look for alternatives, like short- and medium-term loans. Since they have shorter repayment periods, short-term loans for small business owners are not the best choice if you want to make an investment or large purchase for the company. The medium-term loan could be a better option, but you will always want to check out the specific repayment terms of these types of loans. If you can get the right terms, a medium-term loan could be the best option for making those large purchases.
Work With a Leading Commercial Lender
At NewBridge Capital, our loan products can help businesses of all sizes. With our exceptional customer service and reputable funding, we have become a trusted leader in the commercial finance industry. If you want to apply for a term loan that can provide working capital for your business, make sure to contact us.
See Why our Customers Trust New Bridge For Term Loans
Celebrating Over 190,000 small business funding transactions with over &7 billion in working capital
Above & Beyond
Matt went above & beyond to get Me the very best deal with the best terms A+ overall experience
-Erik Owner
Thank You
I had the pleasure of working with Mark in early February 2020. I was able to get the money I needed in a timely fashion. I have worked with other companies in the past and Newbridge was the first time I’ve felt completely taken care of, and like my interests were put first. Thank you Mark, I look forward to working with this company in the future.
– Chelsea Owner
Best Experience
I have worked with Mark at Newbridge on several occasions. And have had THE BEST experience each time. He is caring compassionate goes ABOVE his job. The funding I receive is SO MUCH better than anyone else regarding rates.
-Susan S. Owner
Frequently Asked Questions:
What Can A Term Loan Do For My Business?
A term loan can provide your business with a lump sum of funds to finance capital expenditures, business expansion, or working capital needs. It typically has a fixed interest rate and a repayment period of 1-10 years, providing predictable monthly payments to manage cash flow. It can help build business credit and improve overall financial stability.
How Long Does It Take To Process My Loan Application?
Cash advance/Term Loan application processing time varies, but it’s typically faster than traditional loan processing. Some lenders offer quick approvals, with funding available in as little as 24 hours.
Am I Penalized For Repaying My Loan Early?
Early repayment of a cash advance loan does not result in a penalty. Some lenders may offer discounts for early repayment or renewing with them before the full term expires. It’s important to review the loan agreement and understand all fees and terms before accepting the loan.
What Paperwork Do I need For An Online Business Loan?
To start the process the typical documents include our application filled out and the last three months of your business banking statements (all pages). In order to close (fund your account) we will need a valid color copy of your driver’s license, a voided check from the account supplied to us and proof of ownership for the business.
Are There Other Fees Involved In An Online Business Loan Application?
Origination fee: This is a fee charged for processing and approving the loan application, which includes verifying a borrower’s information. This is fee is offset by the funding amount at completion of the loan.
Annual fees: (lines of credit): Some lenders charge an annual fee to keep your business line of credit open and active.
Application fee: Lenders sometimes charge a fee for processing your loan application. Put simply, you get charged just for applying. Luckily, these fees don’t seem to be the status quo for business lenders. We rarely see banks or online lenders charge application fees.
Missed payments: This one’s simple. If you miss making a payment on your business loan, your lender might charge you a fee. Most lenders charge a fixed late fee, but many charge a percentage of the missed payment as well. If they do not charge a percentage then they will require a “make up” payment to be made. The vast majority of business loans include late payment fees. If a specified amount of payments (usually 5) is missed, you may go into default status and be charged an additional fee. For more details on how this please reference the Appendix A of the agreement and make sure to read the agreement in full.
How Do I know Which Loan Is Right For Me?
Purpose of loan: Determine why you need the loan and what you will use it for.
Loan amount: Determine the amount you need and make sure the loan amount fits your budget.
Repayment terms: Consider the length of time you have to repay the loan and what your monthly payments will be.
Interest rates: Compare interest rates and determine which one offers the most favorable terms.
Terms and conditions: Read and fully understand the terms and conditions of the loan before accepting it.
Consult with a New Bridge Merchant Capital Advisor to help you make an informed decision.
Mon - Fri 9:00am - 5:OOpm
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