A commercial credit application is also known as the commercial line of credit or business credit, is an amount of money issued by a bank to a company that is pre-approved and that can be taken by the borrowing company at any time to help meet the various financial obligations of the business. Commercial credit is commonly used to fund common day-to-day operations of the business and is often paid back to the bank once funds become available when a business makes profits.
This is usually used by companies to help fund new business opportunities, For example, presume that ABC Company Inc. has gotten the chance to buy some machinery at a discount. The piece of the machinery is actually $350,000 but is being sold to the company for $150,000. In such a case, ABC Company could access its commercial credit agreement with the bank to get the required funds immediately.
The firm would then pay the borrowed amount back at a later date. The company needs to fill out forms to apply for commercial credit. After which the bank can allow for credit or deny based on your situation. The bank looks at your assets because just in case you default or the company goes into bankruptcy, the bank will seize your assets.
A Commercial credit application form is a form to apply for credit from the bank which an individual or a business entity, obtains for business purposes. Below is a screenshot of this sample form, created in MS Word, that you can use to apply for your Credit.
← Previous ArticleBusiness Card Template with Front & Back Sides in MS Word
Next Article →Printable Business Flyer Design Created in MS Word