Line of Credit
Flexible funds, on tap, only when you need them.
- Draw, repay, reuse
- Pay only what you use
- Revolving access
Decision as fast as 24 hours · No hard credit pull
Only pay for what you draw, the limit refreshes as you repay.
Overview
A line of credit gives your business a set credit limit you can draw from whenever you need it. You don't take the full amount up front, you pull what you need, repay it, and the limit becomes available again. You typically only pay for the portion you actually draw, which makes it a flexible safety net rather than a one-time loan.
This option fits businesses with uneven or seasonal cash flow and recurring short-term needs, covering payroll during a slow stretch, buying inventory ahead of a busy season, or handling unexpected expenses. Because it's revolving, it works as ongoing access to working capital rather than funding a single defined purchase.
- Draw, repay, reuse
- Pay only what you use
- Revolving access
Is a line of credit right for you?
Great for:
- Smoothing seasonal cash flow
- Covering short-term payroll gaps
- Stocking inventory before peaks
- Handling unexpected expenses
How it works
How a line of credit works.
You check your options with a soft credit pull that doesn't affect your score. Palm connects you with funding partners, and once approved you're given a credit limit to draw against.
When you need funds, you request a draw and the money moves to your business checking account, often the same day. You only draw what you need, when you need it.
You repay what you've drawn over time, and as you pay it back your available credit replenishes. You can draw again and again without reapplying, paying only for what you use.
At a glance
Line of Credit terms.
The upside
- Pay only for what you draw
- Reusable revolving access
- Fast draws when needed
- Strong cash-flow safety net
Things to weigh
- Limit may be lower than a loan
- Discipline needed to avoid overuse
- Rates vary with each draw
Common questions
Line of Credit FAQs.
Do I pay interest on the full limit?
No. You typically only pay for the amount you actually draw, not your full credit limit. Undrawn funds usually sit available at no cost until you use them.
Can I reuse the funds after paying them back?
Yes. A line of credit is revolving, so as you repay what you've drawn, that amount becomes available to use again without reapplying.
Does checking my options hurt my credit?
No. Checking your options uses a soft credit pull with no impact on your score. Amounts and terms shown are illustrative, not a final offer.
How It Works
Funding that moves at your speed.
Apply in minutes
A short online application, no hard credit pull to see your options.
Get matched
We review your profile and match you to the financing that fits your business.
Review your offer
Talk it through with a real funding specialist. No pressure, no jargon.
Get funded
Accept your offer and receive funds, as soon as the same day.
Do You Qualify?
Our basic requirements.
Other underwriting factors may apply. Not all applicants will qualify.
Apply for a line of credit.
Tell us about your business and a funding specialist will reach out with your options. About 2 minutes, no hard credit pull, no obligation.
Start Your Application