Unlock Business Growth in California with Loans up to $10 Million

With its dynamic and competitive business environment, California is home to a myriad of opportunities for unlocking business growth and taking your company to the next level. 

Securing the right financing is among the first – and most important – steps that you can take if you are looking to seize new opportunities and overcome the challenges that are keeping you away from success.

Whether you are aiming to expand your business operations, invest in cutting-edge equipment, or optimize your cash flow, having access to substantial capital is essential for achieving your business goals in the Golden State.

So, if you are ready to drive business growth with a $10 million business loan in California, continue reading to discover the diverse loan options available at your disposal.

How Can I Secure a $10 Million Business Loan in California?

Securing a $10 million business loan in California requires a good understanding of the application process, as well as a careful assessment of the different types of loans that you can apply for – and what your chances are for approval. 

Before we get into the different types of loans of up to $10 million, let’s take a quick look at the process:

1. Define Your Goals – Before you even begin your research for loans and lenders, it’s essential to clearly define the purpose of the loan and whether $10 million is the right amount for you – you may end up needing less (or more) to meet your goals.
2. Evaluate Your Financial Situation – Understanding your financial health is key to knowing your chances for loan approval. Prepare and review your financial statements and evaluate your creditworthiness; You should have a personal credit score of at least 680 and a business credit score of 720 or above. 
3. Develop a Business Plan – To secure a $10 million business loan in California, you should develop a detailed strategy for your project and provide realistic financial projections.
4. Prepare Collateral – While not all types of loans require a collateral (only secured ones do), be prepared to provide one if needed. Determine which assets can be used as collateral – it can be real estate, equipment, or inventory.
5. Calculate Key Financial Ratios – Ensure your DSCR is 1.25 or higher to demonstrate sufficient income to cover debt payments.
6. Gather Required Documentation – This typically includes personal and business tax returns for the past three years, as well as bank statements and legal documents. You might have to provide resumes and personal financial statements for all owners.
7. Research Lenders – Researching lenders is an important part of securing a $10 million business loan in California. However, it can also be very time-consuming – it is best to apply with an alternative lender that gives you access to dozens of offers simultaneously. 
8. Submit Loan Application – Once you’ve prepared everything you need for a $10 million business loan, the next step is to submit your loan application with your lender of choice. Make sure to attach all the necessary documents, including your business plan and statements.
9. Prepare For Due Diligence – As a part of the application process, the lender will perform a detailed review of your business and financial health. Be prepared to respond promptly to all questions, and provide additional information if needed.
10. Close The Loan – If you get approved for the loan, the last step is to conduct a final review of the agreement. Keep in mind that traditional banks may reject your loan if you have a less-than-perfect credit score – but if you apply with NBC, your chances for approval go up significantly! We approve approximately 90% of all applications.

Getting a good understanding of the application process is key for securing a $10 million business loan in California, and unlocking business growth. So, make sure to perform your due diligence before you begin your journey. 

What Are The Types of Business Loans in California?

If you are looking to get a $10 million business loan in California, you might be wondering – what are the different types of loans that would allow me to secure this amount? How do they differ when it comes to rates and repayment terms?

Let’s take a look:

Term Loans

• Repayment terms: 6 months to 25 years
• Funding Amount: From $100K to $10MM+
• Interest rates: Fixed or variable
• Time to Fund: As fast as 24 hours (non-banks)

Term loans are among the most sought-after types of business loans in California. They allow you to get a lump sum of money for your business goals (such as expenses, investing, bridging payment gaps, etc.) and repay it in up to 25 years with regular payments.

You can choose between short-term, intermediate-term, and long-term loans depending on your needs and get funding of up to $10 million. 

Keep in mind that, if you are applying for a term loan with a bank, it may take up to 90 days to get your funds – while with alternative lenders, you can be moved from application to funding in as little as 24 hours.

Revenue-Based Financing

• Repayment terms: Varies based on business revenue
• Funding Amount: From $100K to $10MM+
• Interest rates: Implicit, calculated based on the total repayment amount compared to the funding amount
• Time to Fund: As fast as 24 hours (non-banks)

Revenue-based financing is another form of funding that you can apply for if you are looking to secure a $10 million business loan in California. As opposed to term loans, where you get a lump sum of money, repayment for revenue-based financing is made as a percentage of your monthly revenue.

The funding amount is generally tied to the monthly or annual revenue of your business. Lenders often provide up to a certain percentage of your annual recurring revenue (ARR) or monthly recurring revenue (MRR).

Business Line of Credit

• Draw period: From 6 months to several years
• Funding Amount: From $100K to $10MM+
• Interest rates: Variable, typically ranging from 5% to 30%
• Time to Fund: 24 to 48 Hours

If you want to secure a $10 million business loan in California but are looking for a more flexible financing option, a business line of credit may be exactly what you need to unlock business growth. 

This type of loan is revolving, which means that you can draw funds up to a set limit on an as-needed basis and pay interest only on the used amount. 

Some lines of credit are secured, requiring collateral such as inventory, receivables, or other business assets. Unsecured lines of credit do not require collateral but might have higher interest rates.

Asset-Based Loans

• Repayment period: Up to 25 Years
• Funding Amount: Corresponds to the asset’s value
• Interest rates: Typically range between 5% and 15%
• Time to Fund: 1 to 7 days (non-banks)

Another way to secure a $10 million business loan in California is to apply for an asset-based loan. This type of funding is secured by your company’s assets, which can include accounts receivable, inventory, equipment, or other balance sheet assets.

As opposed to other types of financing, in which you will need a minimum credit score of at least 680, your business can qualify for asset-based financing even with a low credit score or no long-standing history.

However, keep in mind that asset-based loans often come with covenants that you must adhere to, such as maintaining certain financial ratios or providing regular financial statements and asset reports.

Equipment Financing

• Repayment period: Up to 10 Years
• Funding Amount: Depends on the cost of the equipment
• Interest rates: Typically range between 4% and 20%
• Time to Fund: 1 to 7 Days (non-banks)

As opposed to other types of financing, which provide you with funds that you can use for a variety of purposes, equipment financing has a very specific intended purpose – purchasing business equipment. 

This typically includes office equipment, manufacturing and industrial equipment such as heavy machinery, construction equipment, medical and healthcare equipment, and more.

The duration of the loan is aligned with the useful life of the equipment, usually between 1 and 10 years, but it can be longer in certain cases.

What Are the Eligibility Criteria for a $10 Million Business Loan in California?

The eligibility criteria for a $10 million business loan in California will depend on the type of loan and the lender. For example, traditional banks typically have very stringent criteria, including:

• Demonstrated consistent and substantial annual revenue
• Positive cash flow and profitability over the past few years
• Personal credit score of at least 680
• Business credit score of at least 75
• Sufficient collateral to secure the loan
• Business history of 2-3 years or longer
• Personal guarantee

Outside of banks and credit unions, non-bank lenders and Debt Advisory Groups can offer more flexible eligibility criteria, even if your credit score is less-than-perfect or you don’t have a very long business history. National Business Capital has the following criteria for most of the loans:

• $500,000+ in Annual Revenue
• 1+ Year in Business

Secure a $10 Million Business Loan in California with NBC

If you are looking to leverage the benefits of a $10 million business loan in California, look no further than National Business Capital. With a single application, you can get access to dozens of exclusive offers so you can make the best decision for your business.

With $2+ billion financed since 2007, multiple awards, and an experienced team of Business Finance Advisors, we have everything you need to find the best financing options for your project.

Are you ready to get started? Apply here.