Small Business Loans NC
Helping You Find Small Business Loans in NC
Finding a small business loan in North Carolina is not always an easy task. With so many business funding options, you can spend lots of time and resources searching for the loan that best fits your needs.
Your FundingTree is here to make that process simple by connecting you to banks and other industry specific lenders with speed and efficiency. Instead of filling out multiple lengthy applications, you can submit a brief 90-second application to us by clicking here. We will then find the best lenders for you. Finding a small business in in NC has never been easier.
Our network of small business lenders gives us the ability to offer a range of loan options to fit every funding scenario for your company. We offer the following small business loans in NC:
- Accounts Receivable Financing use your unpaid invoices as collateral in exchange for a cash advance.
- Asset-Based Lending to take advantage of your businesses assets to secure a business loan in NC.
- Bridge Loans for short-term financing while you search for a long-term business loan.
- Business Line of Credit to access working capital on a revolving basis to help improve cash flow or to cover unexpected expenses.
- Commercial Real Estate Loans to assist in the acquisition of new assets for your company.
- DIP Financing to work through restructuring in a Chapter 11 bankruptcy by continuing operations and paying off other debts.
- Equipment Financing for capital to purchase necessary equipment and machinery to help grow your business.
- Invoice Factoring to obtain a loan for cash flow assistance by leveraging unpaid invoices as collateral.
- Payroll Funding for help meeting the payroll obligations to your hardworking staff and employees.
- Purchase Order Financing to use the power of future orders as collateral to keep paying suppliers and other production costs.
- SBA Loans NC are from the government which provides small business loans in North Carolina to eligible businesses.
- Small Business Loans NC for every stage of your company’s journey from initial launch to expansion or other growth opportunities.
- Term Loans for borrowers that want an amortized repayment plan over a fixed period of time.
- Working Capital Loans for daily operating costs of your business whether planned or unexpected.
Our Standards for Providing Quality Small Business Loans NC
Our funding platform is not like those of other business loan brokers. We believe in providing consistent and quality service through an application process that is easy to navigate. Some of the highlighted features for using Your FundingTree include:
- A fast, easy, and free application process that doesn’t require setting up an account with passwords or confirmation emails.
- Applying through Your FundingTree doesn’t involve us running a personal credit check, so no harm to your credit score.
- Avoid the hassle of submitting forms to different lenders by completing our single 90-second application.
- Know that we only work with the most trusted lenders who have specific industry knowledge that allows them to understand the needs of your business.
North Carolina Factoring Company
Invoice factoring, also called accounts receivable financing, is a common way for businesses to maintain a consistent cash flow while waiting for customers to pay their outstanding invoices. It is a great way of taking advantage of your unpaid invoices in order to obtain a small business loan in NC. The structure of the loan is relatively similar among different lenders; however, terms and rates can vary.
The process of factoring your invoices with a North Carolina factoring company is a relatively simple process. You decide which of your unpaid invoices you want an immediate cash advance on. You submit the invoices to your lender and in turn, the lender sends you a cash advance.
Depending on the creditworthiness of your customers, some lenders will purchase your unpaid invoices at their full value. However, it’s more common that a North Carolina factoring company will purchase them at a slight discount because of the risk that the invoices go unpaid. Additionally, the lender will likely apply a financing fee once the transaction is complete. The amount of the fee generally correlates to the length of time it takes for your customers to pay the invoice. Learn more about both A/R financing options here.
Bridge Loans North Carolina
Unbeatable business opportunities can arise with very little notice such as a massive inventory sale or a more favorable location that necessitates a move. When these situations arise, a bridge loan is a short-term financing option that can help you accomplish the goal quickly. These NC business loans will almost always require collateral and can involve higher interest rates. Other common terms of bridge loans include:
- Shorter repayment schedules (anywhere from 6 months to a few years).
- Possibility of a prepayment incentive or prepayment penalty. Some lenders charge a prepayment penalty to compensate for the future missed interest payments, which is how they profit.
- Quick closing timelines, which means you receive funding fast.
A bridge loan is also a popular option for a business that is experiencing a seasonal dip in working capital or are awaiting more permanent financing options. This short-term financing option is sometimes called gap financing, swing financing, a hard money loan, or interim financing. Learn about bridge loans here.
Commercial Real Estate Loans
Most businesses require some form of real estate to operate whether it’s for production, holding inventory, or a storefront where customers can make purchases. You may want to own the land where your business operates to avoid lease payments, add an asset to your balance sheet, and have ultimate control over the space. However, most businesses lack the capital necessary to purchase a commercial property outright.
Commercial real estate loans in North Carolina can provide businesses with the capital to buy real estate and is typically structured like a residential mortgage. The key terms of a commercial real estate loan in NC may include the following:
- The lender will hold a security interest in the commercial property you purchase with the loan.
- Amortized repayment schedule over a period of time that can range from 5 to 20 years.
- Down payment that can vary from 10% to 50% of the property’s value.
- Fees for appraisal, applying, and loan origination are common.
Another important concept to consider with commercial real estate loans in North Carolina is that the business is the borrower. A young business, or one that lacks credit with no prior loan history, may also need a personal guarantee from the owner to qualify for a commercial real estate loan. A personal guarantee acts as another remedy for the lender in case the business cannot repay the loan. Learn more about commercial real estate loans in NC here.
Applying for SBA Loans NC
America understands the valuable role small businesses play in fueling a healthy economy. The Small Business Administration (SBA) is a federal agency whose objective is to provide funding opportunities for small business owners who may not qualify for traditional financing. The SBA also helps businesses that operate in communities with limited lending options such as low-income or rural areas.
Although the SBA uses banks and other direct lenders to help administer their loan program, the terms can be more favorable than other forms of financing. These government-backed loans may offer more borrower-friendly terms like low down payments, no collateral requirements, or flexible repayment schedules. Borrowers can receive up to $5.5 million for a wide range of business purposes including:
- Working capital
- Refinancing debt
- Purchasing equipment
- Buying real estate
You can learn more about the details and application requirements for different SBA loans NC here.
Term Loans Charlotte and NC
A term loan is a broad category of business financing that including both short and long-term options for a variety of commercial needs. The common denominator for these types of loans is the fixed repayment schedule – meaning you know your monthly obligations from the loan and can more accurately manage cash flow. The interest rates on term loans are often fixed but can sometimes be variable and based on the current market rate. Term loans may require collateral or a personal guarantee depending on your businesses credit and the loan amount.
The repayment period for a short-term loan will range anywhere from 3 to 12 months. A medium-term loan will have an amortization schedule of 2 to 5 years, and a long-term loan can be 10+ years. Consider the loan amount and intended use of the proceeds when deciding on an appropriate term.
For example, a large loan with a short repayment will create a higher repayment installment amount. Long-term loans might be best for expensive renovations or major equipment purchases. Whereas a shorter-term loan might be more appropriate for working capital, covering utilities, payroll, minor equipment, etc. Learn more about term loans Charlotte and NC here.
Working Capital Loans
Working capital loans in North Carolina are meant to cover the daily and short-term needs of your business. This includes items like employee salaries, rent, utilities, inventory, and administrative costs like accounting, legal, etc. Leveraging the power of a working capital loan can help a business set aside profits and revenue to cover expenses or reinvest in the company for improvements, expansions, new product lines, etc. The cash-flow flexibility from a working capital loan can also free up other money to pay down debt or other obligations.
The versatility of these loans also makes them ideal for seasonal businesses that experience brief lulls in revenue and cash flow. A working capital loan allows them to cover short-term obligations while awaiting the uptick in business that happens during the busy part of their season.
Additionally, a business with an unexpected expense such as broken equipment, may also benefit from a working capital loan to maintain cash flow while waiting for reimbursement from an insurance policy. Learn more about the benefits of working capital loans in North Carolina here.
Best Small Business Loans NC
Small business loans come in a variety of shapes and sizes to meet the needs of the borrower and lender depending on the nature of the transaction. These loans serve a wide range of purposes for business owners as they navigate the goals of their operation. A small business loan in NC can help with common expenses for a growing business such as:
- Purchasing equipment that will automate or improve your operations
- Ordering additional inventory to meet rising demands
- Hiring staff
- Leasing commercial space
- Paying for marketing and advertising
With a small business loan in NC, you retain control over the finances and direction of your company. A benefit that might not exist when you seek funding from friends or family who may seek an ownership stake in the business. If you’re not sure which type of loan will best suit your needs, apply anyway. One of our advisors will be there to help understand your goal and the loan type that aligns with it. Learn more small business loans NC here.
Business Line of Credit in North Carolina
The expensive needs of a successful business can arise without little warning. Likewise, the steady revenue of a company can hit unexpected declines due to factors outside your control. Sometimes, a valuable business opportunity can present itself and require fast action on your part. When these situations occur, you may not have the cash available to close the deal or keep the business running. Additionally, taking the time to apply for a small business loan in NC might risk you missing out on the opportunity.
To have accessible funds when you need them, you may want to open a business line of credit. This type of financing operates much like a personal credit card but instead, is for your business. When you withdraw funds, your balance will accrue interest and you may have to make minimum repayments of principal and interest until you fully repay the debt. A lender may secure your line of credit with your business’ equity or other assets. Learn more about a business line of credit in North Carolina here.
Learn About Our Other Types of Small Business Loans NC
Whatever your borrowing needs are, Your FundingTree simplifies the process for you without sacrificing the quality of loan options available to you. Tap into our network of trusted lenders who have decades of experience with offering small business loans in North Carolina. We’ll help you find multiple lenders to choose from and all it takes is the completion of a our free 90-second application. Take the next step in your business’ path towards growth today by learning about our other types of financing:
- Equipment Financing
- Payroll Funding
- Asset-Based Lending
- DIP Financing
- Invoice Factoring
- Purchase Order Financing
Contact Your FundingTree today to see your financing options available in North Carolina, or other parts of the country.