What Is A Business Overdraft | Finlease
Published
17 July 2023
[facetwp facet="resource_categories"]
[facetwp facet="applications"]
[facetwp facet="locations"]
[facetwp facet="sort_by_copy"]
What is a business overdraft?
A business overdraft is a type of credit facility that allows businesses to borrow money from a bank to cover short-term cash flow gaps. The overdraft limit is set by the bank, and businesses are allowed to borrow up to that limit at any time. Businesses must repay the overdraft, plus interest, when the cash flow situation improves or when the overdraft is cancelled. An overdraft is an important financial tool for businesses that need quick access to cash.
Next Steps
Get in touch with a finance broker.
Don’t forget to follow us on Facebook and Instagram for more tips.
More News
21 February 2025
When the Bills Stack Up Faster Than the Income
For many small businesses, BAS payments represent one of the biggest cash flow challenges, particularly the December BAS, which was due at the end of February. If you found yourself […]
Read More
17 December 2024
The Importance of Trust and Transparency in Equipment and Vehicle Finance | Finlease
In today’s business environment, trust has never been more important. Business owners rely on service providers to not only do their jobs but to do the right thing. One of […]
Read More
28 November 2024
The Benefits of Capital Investment vs. Paying Wages | Finlease
When managing a business, one of the crucial decisions involves allocating resources between capital investment and paying wages. Both approaches have their unique advantages and can significantly impact a company’s […]
Read More