title: “Term Loans for U.S. Businesses — Nicolas Lescalier’s Approach” description: “Learn how term loans can power U.S. business growth and why Nicolas Lescalier’s consultative process delivers the right financing solution.” layout: default permalink: /services/us-term-loans-approach/ —

Term Loans for U.S. Businesses

A term loan provides a lump sum of capital repaid over a fixed schedule—often with monthly or quarterly payments. Unlike merchant cash advances or lines of credit, term loans are structured for longer time horizons and typically offer lower rates, making them ideal for businesses planning major investments.

What is a term loan?

Term loans are straightforward: the lender advances a set amount and the borrower repays principal plus interest over an agreed term. They can be secured or unsecured and come in various forms such as installment loans, equipment loans and Small Business Administration (SBA) loans.

When to choose a term loan

• Expansion and renovation: Funding a new location, renovating your facility or purchasing vehicles and machinery.
• Large equipment: Manufacturing, construction and medical companies often rely on term loans to finance expensive equipment.
• Working capital: Longer-term working capital loans can smooth cash flow while you scale operations or hire staff.
• Refinancing: Consolidate higher-cost debt into a single, predictable payment.

If you need immediate cash tied to daily revenue, a merchant cash advance may be more appropriate—see our U.S. MCA expert guide for details.

Rates, terms and repayment

Term loan rates vary by product and credit profile. Bank loans may have single-digit annual percentage rates (APR) and repayment terms from one to ten years, while alternative lenders offer terms from six to thirty-six months with factor rates or fixed fees. It’s important to compare the total cost of capital and not just the periodic payment.

The SBA 7(a) program, for example, provides loans up to $5 million with terms up to 25 years for real estate and fixed-asset financing. You can learn more about how SBA term loans work at this SBA resource.

Nicolas Lescalier’s approach

Nicolas takes a consultative approach to term lending:

1. Cash flow analysis: He reviews your profit and loss statements, tax returns and projections to determine how much debt your business can comfortably support.
2. Collateral evaluation: Where appropriate, Nicolas structures deals that leverage collateral—equipment, inventory or real estate—to secure better rates.
3. Market comparison: By tapping into banks, credit unions and private lenders across the U.S., Nicolas finds competitive offers and explains trade‑offs in plain language.
4. Future planning: He looks beyond the immediate funding need to ensure the loan doesn’t constrain your growth or hinder future financing options.

Case study: Funding a manufacturing expansion

A Cleveland-based manufacturer needed $800,000 to expand production capacity and meet growing demand. Nicolas helped prepare financials and positioned the business for an SBA 7(a) term loan. The company secured a 10-year loan at 7.25% APR with a 10% down payment, enabling them to purchase new equipment and hire additional staff. Revenues grew 40% in the first year, and the company is now considering a second facility.

Term loans vs. other financing

• Term loans vs. MCAs: Term loans offer lower costs for longer horizons, while MCAs provide quick funding tied to sales. Review our U.S. MCA guide to compare.
• Term loans vs. lines of credit: Lines of credit provide flexibility but may have variable rates; term loans lock in fixed payments.
• Term loans vs. bridge financing: Bridge loans close quickly and repay within months; term loans finance longer projects. Learn more about Bridge financing in U.S. markets.

Get started today

If you’re considering a term loan, Nicolas Lescalier can help you evaluate your options, prepare documentation and connect with trusted lenders. Contact us via the contact page to schedule a consultation.