Business Line of Credit

Revolving capital for cash flow, inventory, or unexpected costs. Pay interest only on what you draw.

When a Line of Credit Fits Best

Cash Flow Gaps

Cover payroll and rent between receivables.

Inventory Buys

Stock up ahead of seasonal demand spikes.

Emergency Reserve

Keep capital on standby without paying for idle funds.

Opportunity Capital

Move fast on bulk discounts and vendor terms.

Open a Line of Credit

Lendmate Capital offers revolving lines from $10,000 to $250,000 with same-day approval and draws in minutes.

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Soft credit check. Won't affect your credit score.

What to Know

Line of Credit vs. Term Loan

A term loan gives you a lump sum upfront with a fixed repayment schedule -- good for one-time projects with known costs. A line of credit is revolving: you get approved for a maximum, draw only what you need, pay it back, and redraw without reapplying. You only pay interest on the outstanding balance. That makes lines ideal for variable or unpredictable costs.

Secured vs. Unsecured

Unsecured lines typically go up to $250,000 and rely on business revenue and personal credit. Secured lines, backed by accounts receivable or inventory, can reach $500,000+ with lower rates but require more underwriting. Most small businesses start with an unsecured line and graduate to secured as they grow.

What It Costs

Expect APRs of 8-30% on unsecured business lines, with draw fees of 1-3% on some products and no annual fee for qualified borrowers. Interest accrues daily on the outstanding balance and is calculated on the drawn amount, not the full credit limit.

Frequently Asked Questions

What is the difference between a credit card and a line of credit?
Lines of credit typically offer higher limits, lower APRs, and cash access (wire or ACH) rather than just card swipes. Credit cards are optimized for rewards and purchases; lines are optimized for cash flow and working capital.
How much can I get?
Unsecured business lines commonly range from $10,000 to $250,000. Secured lines can go higher. Your approved limit depends on revenue, time in business, and credit.
What credit score do I need?
Most lenders want personal credit of 600+ with 6+ months in business and $10,000+ monthly revenue. Higher limits and lower rates require 700+ and stronger financials.
Does drawing affect my credit?
Drawing from a business line of credit is generally reported to business credit bureaus, not personal. Some small-business lenders do report to personal bureaus -- ask before signing.
Is there an annual fee?
Many unsecured business lines have no annual fee for qualified borrowers. Some products charge $0 but apply a draw fee of 1-3% each time you pull funds.
Can I pay off a draw early?
Yes. Lines of credit typically have no prepayment penalty. Paying down the balance immediately frees up that portion of the limit for future draws.