Commercial Loan

A Commercial Loan is a type of financing specifically designed to help businesses cover operational costs or capital expenditures. Unlike residential loans, which are typically used for personal real estate purchases, commercial loans are utilized for a variety of business needs including purchasing commercial property, funding expansions, or providing working capital. These loans can be provided by banks, credit unions, or private lenders and can come in various forms such as a term loan, a line of credit, or a commercial mortgage. Interest rates, repayment terms, and collateral requirements can vary widely based on the lender and the financial status of the business.

Borrowers often need to demonstrate the profitability and stability of their business, and personal guarantees may be required.