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Commercial Finance

Commercial finance is a function which deals with offering loans to businesses. Generally, this is done by a bank. However, other lenders may also offer loans to businesses.

Most commercial banks will offer commercial finance. These loans may be either secured or unsecured. The loans may be secured by business assets. When unsecured, the lender will rely upon the cash flows of the borrowing business.

There are many different assets that may be used to collateralize commercial finance loans. Real estate is a major one. Others include receivables from invoices and general equipment or supplies.

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