Most small businesses use finance when they’re starting out. Access to finance can also help you manage your cash flow, cover unexpected expenses and purchase the equipment you need to grow. Different loans are designed for different circumstances so it’s important to find one that meets your needs in a cost-effective way. To help you get started, we’ve taken a look at the pros and cons of some of the most popular options. An overdraft or line of credit How they work Both an overdraft and a line of credit can provide access to revolving credit, which means the money you repay is available for you to use again as you need it. An overdraft allows you to overdraw on your business bank account
