Commercial Lending Services

Installment Loans

• With an installment loan, a specific lump sum of money is loaned to the member. Regular payments, or installments, are made by the borrower on a scheduled basis, which is typically every month on the same day. This payment will be applied to the principal amount (or the amount that was borrowed), as well as to interest charged by the credit union. Mortgages and car loans are just two examples of installment loans.
• Smaller installment loans may be paid off within a few months, while larger loans may be paid over a lengthier term, such as 20 years or more. Installment loans are best suited for larger purchases that will allow a business to purchase the asset without paying the full sum upfront.
• For larger installment loans, collateral from the borrower is typically required. This could include business assets such as equipment or personal assets like real estate. Collateral policies vary by lender.

Lines of Credit

• With a line of credit, a borrower is given a credit limit. Multiple draws can be made on the account by the borrower up to and including this amount. This differs slightly from installment loans and other types of loans, which are distributed as one lump sum payment.
• Lines of credit for businesses can be used in multiple ways, from covering emergency expenses to resolving cash flow issues during slow seasons. A line of credit can also be used to purchase supplies, inventory, or pay for other business expenses.
• Interest will only be applied to the portion of the credit line that has been used by the borrower.

SBA Loans

• Small business owners with a strong credit history and established businesses can turn to credit unions for Small Business Administration loans.
• Small businesses will enjoy some of the most competitive interest rates on the market through a number of programs designed to help small businesses succeed. Since SBA loans are so competitive, businesses with strong business and personal credit histories have the best odds of approval.
• There are several programs to choose from when applying for an SBA loan. This includes the standard 7(a) program, which provides up to $5 million for almost any business expense, as well as the 504 program that provides up to 40% of funding for commercial real estate improvements or purchases.

Startup Loans

• Whether you’ve been operating for a just few months or haven’t actually opened your doors yet, we have lending options available for you.