carlos hank rhon
July 17th, 2008, 01:31 PM
As the name suggests business finance is meant to provide financial help to fund business growth and start-up costs. Business finance is basically of two types, secured business finance and unsecured business finance. To obtain secured business finance you will have to place one of your properties as collateral against the loan amount. This can be any of your property like car, home, bank account etc. Placing a security helps you to secure the financing you need with a lower interest rate and flexible repayment duration. You can also secure large amounts of money by placing collateral of high equity. On the other hand no collateral is needed for unsecured business finance, but the interest rate is slightly higher compared to secured loans and the repayment duration is shorter.