When businesses consider term financing
Term financing is generally designed around a specific amount and repayment schedule. Businesses may explore it for defined projects such as purchasing equipment, renovating a location or supporting an expansion.
Product names do not tell the full story. Payment frequency, total repayment, fees, term length, collateral or guarantee requirements and the identity of the funding provider should all be confirmed in the written offer and closing documents.
Application and review
Sutton Funding may collect business, owner and financial information, request supporting documents and work with prospective funding providers to evaluate available options. Information may be verified using banks, credit bureaus, references, public records and fraud-prevention or identity-verification services.
Every application is subject to underwriting and verification. An application, estimate, calculator result or prospective term sheet is not a binding offer and may be changed or withdrawn before final documents are executed.
Questions to answer before signing
- What amount will the business receive, and what is the total repayment obligation?
- How often are payments due, and for how long?
- Which fees, prepayment terms, guarantees or security interests apply?
- Which company is the funding provider named in the agreement?
Compare other structures
For operating or seasonal needs, review working capital. For flexible access rather than one lump sum, learn about a business line of credit. Specific availability varies by applicant and provider.
Use the educational term financing vs. line of credit comparison and the business funding cost guide and calculator to compare written terms on a consistent basis.