A line of credit and a credit card are similar in that you have a fixed limit you can borrow, and you only pay interest on the amount you use until you pay it back. The main difference is the amount you can borrow. We offer lines of credit from $20k up to $5MM.
A loan is different because once approved, the total amount you want to borrow is made available, but you start making monthly repayments on the total amount plus interest until it is all paid back to the lender. This is the agreement whether you use the funds or not.
A line of credit is revolving, meaning once you pay back the amount you have used, you can borrow that money again for other business-related purposes and continue this cycle as needed. A line of credit gives you cash on demand when you need it. Talk to FV Vantage today to discuss how a line of credit can help your business grow.