Different forms of funding
Most types of funding come in several forms. A line of credit may need property to back it, or it may not. Some let you borrow again after you repay. Others do not. Limits may be based on property or business cash flow. Equipment financing may be a loan or a lease. Invoice financing may involve selling unpaid customer bills, borrowing part of their value, or using them to back a credit line.
What variants means
The form of funding affects the price, your control, and how you record it in your accounts. Two offers with the same name can work very differently. The right choice depends on your business.
We explain the different forms of each type of funding. This helps you compare more than just the rate.
How variants affects your funding
- The common forms of each type of funding
- How each form affects cost, what backs the funding, and what you can change
- Which form tends to fit each kind of business
- How cost, control, and your chance of approval compare
Questions to ask a funding partner
- — Which form of this funding am I being offered?
- — Could another form of this funding fit my needs better?
- — How does this form affect total cost and how I record it in my accounts?
Funding is subject to approval and not all applicants will qualify. Terms, structures, and availability are determined by the funding partner.
Other funding concepts
Structure
How funding works: what you get, what backs it, and the legal agreement behind it.
Learn moreRepayment
How and when you pay the money back: daily, weekly, monthly, or when customers pay. Learn how this affects your available cash.
Learn moreUnderwriting
What the funding partner checks: income, time in business, credit, property to back the funding, and your customers' ability to pay.
Learn moreTalk about your options with an advisor
We will explain how funding works, how payments work, and what partners review. No obligation.