A line of credit is the most useful and the most misused tool on this list. Drawn against a timing gap it is excellent. Drawn against a losing month it hides the problem.
Lines of credit can provide flexibility, but they're often misunderstood. Used wisely, they help smooth timing gaps. Used incorrectly, they can hide deeper cash flow issues.
The test is whether the balance comes back down. A line that is drawn and repaid as receivables land is doing exactly its job; a line that only ever grows is financing a loss, and the sooner that gets named the more options you still have.
Four things we look at before we recommend this over anything else on the list.
Cash flow timing varies month to month
You need short-term working capital flexibility
You plan to pay balances down regularly
The line supports operations, not losses
If it's covering ongoing shortfalls, it's a sign to step back and reassess.
Whichever program you arrive asking about, these are the four things that actually decide the recommendation.
Sometimes the right move is borrowing. Sometimes it’s preparing first. And sometimes it’s choosing not to borrow at all.
Business owners and referral partners on what it’s actually like to work with KIBA.
Michael has been great to work with. Communication is always quick, and he genuinely looks out for my best interests rather than just trying to make a quick buck.
I talked with several other bankers before working with Michael, and most of them immediately pushed short-term loans and MCAs with high fees and aggressive payback terms. Michael took a completely different approach. He helped me find the funding I actually needed and guided me through the SBA process.
I expected the SBA process to be long and complicated, but Michael made it surprisingly smooth and moved things along much faster than I expected. He stayed on top of everything, communicated throughout the process, and kept things moving from start to finish.
It is hard to find a banker who takes the time to understand your situation and focuses on what is actually best for you. I highly recommend Michael to any business owner looking for financing.
I recently worked with Michael and his team at Kingdom Impact Business Advisors to secure a new SBA loan, and the entire experience was excellent. The process was simple, and straightforward from start to finish. Michael was easy to work with, communicated clearly, and made what can normally be a stressful and complicated process feel effortless.
Everything moved along smoothly, and I always knew where things stood. I would highly recommend Michael and Kingdom Impact Business Advisors to any business owner looking for financing or help navigating the SBA loan process. Great experience all around!
Michael worked tirelessly with us to obtain our SBA loan and helped us understand the process throughout. He made an otherwise stressful process easy and successful! Highly recommend his services!
Michael was excellent in trying to find every possible solution for my funding needs. He stayed connected to the deal at all times to make sure we got to the closing table.
Michael & Barbara helped us navigate the complexities of an SBA loan. They were patient and proficient with their work, and made the process extremely easy. I would work with them again.
We continue to work with Michael because of his deep experience in the lending space and his genuine commitment to doing what’s right for each client. He consistently goes above and beyond, giving every file the care and attention it deserves. That level of effort and integrity is why we confidently refer our clients to him whenever the need arises.
Most clients arrive asking about one program and leave with a different answer. Here’s the rest of the list.
Longer terms and lower payments, with more process.
Financing to buy a business, stress-tested first.
A defined purpose and a clear payoff date.
For assets that clearly pay for themselves.
Ownership, weighed against the cash it ties up.
Book a time with a KIBA advisor. You’ll get a straight answer on what your business actually qualifies for — and whether you should take it.