A business loan is a financial product designed to provide funding to businesses for purposes such as expansion, inventory purchase, equipment upgrades, working capital, or managing cash flow. The lender provides a lump sum or credit line that the business repays over a predetermined period, typically with interest, through regular installments. Approval is generally based on factors like the business’s credit history, revenue, profitability, and repayment capacity. Business loans can be secured or unsecured, offering flexible solutions to support both short-term needs and long-term growth without disrupting daily operations.