Business Lines of Credit Demand Line of Credit A line of credit that can be called for repayment at any time.
Business Lines of Credit Draw Period The window during which a borrower can pull funds from a line of credit.
Business Lines of Credit Line of Credit (LOC) A revolving loan with a set limit, drawable and repayable as needed.
Business Lines of Credit Personal Guarantor An individual pledging personal assets to secure a business line of credit.
Business Lines of Credit Repayment Period The phase after the draw period when the borrower must pay down the outstanding balance.
Business Lines of Credit Revolving Credit Credit that can be reused as it’s repaid, like a credit card or LOC.
Business Lines of Credit Secured Line of Credit A line of credit backed by collateral such as real estate or inventory.
Business Lines of Credit Stand-By LOC A line of credit that guarantees payment to a beneficiary if the principal defaults.
Business Lines of Credit Unsecured Line of Credit A line of credit not backed by collateral, typically requiring strong credit.
Capital Structure & Equity Accredited Investor An investor meeting SEC income or net-worth thresholds, allowed to participate in private offerings.
Capital Structure & Equity Capital Call A formal request to investors to fund a previously committed amount.
