A business loan makes it easier for companies to cover business expenses. In addition, there are various forms of business loans to consider.
What is business credit?
Business credit is a business financing to free up money for your company and to finance your expenses.
Examples of business credit
There are different types of business credit, such as debtor financing that allows you to further simplify debtor management, such as with complete software provided by Payt. In this case, you receive pre-financing for invoices. Another form is overdraft facility, in which you have a temporary overdraft on a bank account. It is also possible to take out a business loan for investments or to finance an asset through a business lease. For the purchase of real estate, business credit is available in the form of a business mortgage.
Advantages of business credit
Business credit offers many advantages to businesses, such as increased working capital. This enables you to meet payment obligations at short notice and provides you with additional purchasing power. In that sense, business credit also creates space to keep a budget for other matters. In addition, with accounts receivable financing, you will have the advantage of advance financing, reducing your payment risk. A business loan is an opportunity to purchase business equipment or to carry out renovations. For example, in the case of a business lease, you benefit from the possibility of financing a company car. The general advantage is that you have extra financial space with a business loan.
Use business credit to pre-finance invoices
Debtor financing is one of the most popular business loans among business owners. Payt offers users the opportunity to benefit from the advantages of this business credit with pre-financing of invoices, otherwise known as Factoring 2.0. For this purpose, we partner up with New10 and Floryn. It is possible to arrange the financing of invoices against a low interest rate within one day.
Schedule an online demo
Curious about the benefits of Payt for your organisation? Schedule your personal online demo with Alastair! You will receive an interactive demonstration of our platform for accounts receivable management, without any obligations.