- Simple Application
- Frees Up Capital
- Hedges Against Inflation
- Potential Tax Advantages
- Easy Add-Ons and Trade-Ups
- Preserves Credit Lines
- Fixed Payments
- No Down Payment
- No Additional Collateral
- Easier Budgeting
- No Fee
| - Reduces Available Credit Line
- Extensive Documentation
- Extensive Monthly Reporting
- Often Requires Additional Collateral
- Often Requires Down Payment
- Inflexible
- Negative Impact on Balance Sheet
- Bank Loans Can Be Canceled by Lender at Any Time
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