This article needs additional citations for verification. (October 2012) (Learn how and when to remove this template message)
In the United States, commercial finance is the function of offering loans to businesses. Commercial financing is generally offered by a bank or other commercial lender. Most commercial banks offer commercial financing, and the loans are either secured by business assets or alternatively can be unsecured, where the lender relies on the cash flows of the business to repay the facility.
Assets used to collatoralize commercial finance loans include:
- Real Estate
- Receivables from invoices
- Equipment or supplies
While qualifying for financing is generally easier for large, well-established companies, some small businesses can qualify for commercial financing from the Small Business Administration (SBA). The SBA may provide either financing or insure a lender who takes a risk on a smaller company to provide commercial finance.
Businesses can also seek the assistance of Commercial finance advisors in the structuring and sourcing of commercial finance. These are known as Independent Financial Advisers or Commercial Finance Brokers.
- "Small Business Administration Information on Commercial Finance". Sba.gov. 2009-10-20. Archived from the original on 2009-10-20. Retrieved 2012-10-06.
|This finance-related article is a stub. You can help Wikipedia by expanding it.|