Business Line of Credit — Draw What You Need, When You Need It

Access revolving capital up to $500K. Pay interest only on what you use. The Broker Shop finds the best line of credit for your business — fast, free, and no obligation to start.

No obligation to pre-qualify
Revolving access to capital
100% free service
All 50 states
$5K–$500K
Credit Limits
Revolving
Draw & Repay Anytime
All 50
States Served
580+
Min. Credit Score

What Is a Business Line of Credit?

The most flexible form of business financing — use it, repay it, use it again.

A business line of credit works like a credit card for your business — but with higher limits, lower rates, and no plastic required. You're approved for a maximum credit limit, and you can draw funds any time you need them, up to that limit. You only pay interest on the amount you've actually drawn, not on the full available balance.

As you repay what you've drawn, those funds become available again — giving you continuous access to working capital without reapplying. This makes a line of credit the ideal financial safety net for managing cash flow gaps, seizing unexpected opportunities, or handling seasonal fluctuations.

When to Use a Business Line of Credit

Perfect for flexible, ongoing capital needs.

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Cash Flow Gaps

Bridge the gap between invoices going out and payments coming in without disrupting operations.

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Inventory Purchases

Stock up before your busy season or take advantage of bulk supplier discounts.

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Payroll Coverage

Make payroll on time even during slow periods — keep your team paid and your reputation intact.

Emergency Repairs

Equipment breaks down. A line of credit means you fix it today, not when the bank approves a loan.

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Growth Opportunities

A big contract lands. Draw from your line to fulfill it — without waiting weeks for loan approval.

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Seasonal Businesses

Draw in slow months, repay in strong months. A line of credit naturally fits seasonal cash flow patterns.

How It Works

Get approved once, draw funds whenever you need them.

1

Apply & Get Approved

Pre-qualify in 2 minutes — checking your options won't affect your credit score. Funders in our network compete for your business, and we bring you the strongest limit and terms offered.

2

Draw Funds Anytime

Once approved, draw as much or as little as you need — up to your credit limit. Funds hit your account fast.

3

Repay & Reuse

Make regular payments on what you've drawn. As you repay, your available balance resets — ready to use again.

Qualification Requirements

What most funders look for.

Time in Business
6+ months
Monthly Revenue
$10,000+
Credit Score
580+ (varies)
Collateral
Usually none
Credit Limit
$5K – $500K
Interest
On drawn amount only

How do you get a business line of credit?

One application, compared across the funders whose guidelines you meet.

You get a business line of credit by showing consistent revenue through a business bank account. Most funders want roughly six months of trading history, steady monthly deposits, and a business account the money actually flows through. You apply once, the file is matched to funders whose guidelines you meet, and you compare the limits and terms that come back.

The documents are lighter than a bank package: three to six months of business bank statements, a government ID, your EIN, and a voided check are the usual starting set. Two things slow a file down more than anything else — revenue split across several accounts, so no single statement shows the real monthly figure, and an undisclosed advance or loan already being repaid out of the same account. Both are far easier to explain up front than to explain after an underwriter finds them. Our guide to the documents needed for business funding covers the full list.

The Broker Shop is a funding broker, not a funder, so this is one application rather than a series of them. That matters more for a line of credit than for most products, because a line is something you want in place before you need to draw on it — and a business applying while its statements still look strong is a materially different file from the same business applying after two thin months. Borrowing is ordinary, not exceptional: in the Federal Reserve's 2026 Report on Employer Firms, 38 percent of small employer firms had applied for a loan, line of credit or merchant cash advance in the prior 12 months, and the most common reason firms sought financing at all was simply to meet operating expenses (56 percent).

What does a business line of credit actually cost?

Interest on what you draw — plus the fees that sit around it.

A line of credit costs interest on your drawn balance, charged only while that balance is outstanding, plus whatever fees the agreement attaches to the facility itself. Nothing accrues on the undrawn portion. That is the structural advantage over a term loan: an unused line is close to free, while an unused lump sum is being paid for from day one.

The rate you are offered is not a number anyone can quote you in advance, because it is built from your file: time in business, monthly revenue and how steady it is, credit profile, industry, and whether anything else is already being repaid out of the account. What you can do is compare offers on the same basis. Ask every funder the same four questions — how interest is calculated and over what period, whether there is a draw fee each time you pull funds, whether a monthly or annual maintenance fee applies whether or not you draw, and what the minimum draw and repayment term are.

Those fees are where two apparently similar offers separate. A facility with a slightly higher rate and no draw fee can easily cost less than a cheaper-looking one that charges every time you access it, if you draw often and repay quickly — which is exactly how most owners use a line. Work out the total cost across the way you will actually use the facility over a year, not the headline number. If your need is a single, known, one-time amount rather than a recurring gap, compare against a business term loan; if the gap is money customers already owe you, invoice factoring is usually the cheaper instrument.

Sources: Federal Reserve Banks — 2026 Report on Employer Firms: Findings from the 2025 Small Business Credit Survey · U.S. Small Business Administration — 7(a) loan program, including SBA-backed lines of credit

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Business Line of Credit FAQs

Everything you need to know.

What is a business line of credit?
A business line of credit gives your company access to a set pool of capital you can draw from whenever needed. You only pay interest on what you actually use, and as you repay, the funds become available again — making it a revolving, reusable source of working capital.
How is a line of credit different from a business loan?
A term loan gives you a lump sum you repay on a fixed schedule. A line of credit lets you draw and repay repeatedly as needed — you only pay interest on what you've drawn, not the full available amount. Lines of credit are best for ongoing, flexible capital needs; term loans are better for one-time, larger purchases.
What credit score do I need?
Most funders in our network require a minimum credit score of around 580 for a business line of credit, though this varies. We'll match you with funders that fit your actual profile.
How much can I get on a business line of credit?
Through The Broker Shop, business lines of credit are available from $5,000 to $500,000. The limit is based on your monthly revenue, time in business, and credit profile. Many clients qualify for significantly more than they expected.
Is there a cost to work with The Broker Shop?
No — our service is 100% free. We're paid by the funder when a deal closes, which means we're motivated to find you the best line of credit available, not just any approval.
Does an unused business line of credit cost anything?
Interest accrues only on what you have drawn, so an untouched line costs nothing in interest. Some facilities do carry a maintenance or non-use fee that applies whether or not you draw, so ask about it before you sign — it is the main reason two similar-looking offers end up costing different amounts.
Can I get a business line of credit if I already have other funding?
Often yes, but disclose it up front. Underwriters read your bank statements and will see existing repayments coming out of the account, so an undisclosed advance or loan is the fastest way to stall a file. Existing obligations affect the limit you are offered rather than automatically ruling you out.

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