Swing Loan

Swing loan can be your bridge to opportunity.

Swing loan financing has to be paid back much quicker than a standard business loan. This type of financing gives you the ability to take advantage of excellent purchase opportunities. A swing loan generally needs to be paid back in 6 months to 36 months.

You can use a swing loan for anything for your business. This could include expansion, marketing, investments, commercial property purchases, etc. Swing loans will often times carry a little higher interest than a more lengthy business loan. Typically you would pay off the swing loan with a larger loan with a lower interest rate once you get approved for that. A swing loan is also commonly referred to as a bridge loan or bridge financing.

Lenders are still taking a risk by granting your business with a swing loan, so they are extremely diligent about determining your business’s creditworthiness. If they find little or no past business credit history, you may be forced to personally guarantee the loan. This can put you and your family in a difficult position. On top of that, it may be difficult to even be approved for the loan. This could be detrimental to your business, especially if you found a great piece of commercial property you wanted or needed, and couldn’t buy it on the spot without a loan.

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