Reliable Capital with Flexible Terms
At Overlap Capital, our Business Term Loan is designed to empower growing businesses with access to straightforward, low-cost capital. Whether you’re scaling operations, hiring key staff, upgrading equipment, or expanding into new markets, this loan product provides the funding you need—without unnecessary restrictions or delays.
We offer business term loans ranging from $50,000 to $500,000, making it an ideal fit for small to mid-sized companies that are past the startup phase and ready to grow more strategically. Our process emphasizes speed, transparency, and flexibility so you can move forward with confidence.
Key Features:
- Loan Amounts: $50,000 – $500,000
- Interest Rates: Competitive and typically lower than merchant cash advances or revenue-based financing
- Terms: Generous repayment schedules of 12 to 60 months
- Use of Funds: 100% unrestricted—use it to cover payroll, marketing, expansion, real estate deposits, or even to refinance higher-cost debt
- Credit Inquiry: Only soft pulls during prequalification—no impact to personal credit during the proposal stage
- Minimum Credit Score: At least 680 FICO for each majority business owner
Who It’s For:
This funding product is best suited for U.S.-based small business owners who:
- Have at least 2 years of operating history
- Generate $250,000+ in annual gross revenue
- Maintain a consistent deposit flow with low NSFs (non-sufficient funds)
- Want capital without being forced into specific use-case categories
Unlike lines of credit that refresh as you pay, a business term loan is a lump-sum disbursement with a fixed repayment plan. This gives borrowers predictability for cash flow planning and forecasting.
Typical Use Cases:
- Working capital for high-growth periods
- Inventory or equipment purchases
- Business acquisitions or buyouts
- Location expansion or lease improvements
- Strategic marketing and sales campaigns
- Refinancing expensive short-term debt
Pros:
- ✅ Predictable Payments – Fixed terms and scheduled payments simplify budgeting
- ✅ Lower Rates – Usually cheaper than daily debit or merchant cash options
- ✅ No Prepayment Penalty – Pay it off early and save on interest
- ✅ No Use Restrictions – You’re in control of how the funds are deployed
- ✅ Fast Approvals – Receive an offer within 1–3 business days
- ✅ Soft Pulls Only (Initially) – No damage to your credit profile during prequalification
Cons:
- ❌ Requires Strong Credit – 680+ FICO needed; not ideal for those with blemished reports
- ❌ Revenue Threshold – Must show sufficient business income (typically $250K+/yr)
- ❌ No Revolving Credit – Not reusable like a line of credit; you’ll need to reapply for more capital
- ❌ Documentation Needed – May require business bank statements, tax returns, and/or P&L statements for underwriting
Industry Guidelines for Success:
- Maintain clean bank statements – Avoid frequent overdrafts or NSF fees
- Demonstrate positive cash flow – Lenders want to see consistent income
- Keep business debt manageable – Avoid stacking multiple short-term loans
- Separate business and personal finances – Have a dedicated business checking account
- Build business credit – Strong tradelines and reporting vendors improve your long-term options
Ready to Grow?
Our Business Term Loan is a strategic choice for business owners who value stability, transparency, and growth capital that works on your terms. If you meet the credit and revenue requirements, this funding option provides fast access to large sums of capital—without sacrificing your financial flexibility.
Pre-Qualify Now or schedule a 15-minute consultation with an Overlap Capital advisor.