A business line of credit or overdraft facility is a very flexible form of lending where you have cash available from a lender for you to draw down on as and when you need it, at previously agreed upon terms.
Maintaining a business line of credit allows your business to be nimble in the event of a sudden business opportunity or large order while simultaneously reducing business risk should any unforeseen or emergency expenditures occur. Businesses that operate in industries that experience highly seasonal revenues find a line of credit especially useful to balance cash flows.