Commercial Equity Line of Credit, known for short as CELOC, can help small businesses – especially start ups. A commercial equity line of credit (CELOC) allows a business to borrow money on a regular basis so that they can finance their business. Usually, you can just write out a check when you need the money. It’s an operating loan where you can just borrow what you need as you need it.
A line of credit can help you better manage your small business, assuming you can manage the credit itself. When I first opened my consulting business, I avoided debt like the plague. That meant going on a strict cash basis, avoiding a credit card or a line of credit. But, over the years, I’ve loosened my standards and realized that a little credit here and there can actually help with growing a business.