River Valley Loans
www.rivervalleyloans247.com/As you’re comparing short-term small business loan options, you might see the cost of the loan expressed in different ways:
Interest rate. The percentage rate at which your loan will accrue interest.
Annual percentage rate (APR). The total cost to borrow the money over the course of the year, including interest and fees, expressed as a percentage
Factor rates. The cost of a loan is expressed as a decimal figure (typically 1.1 to 1.5). To determine the borrowing cost, you multiply the factor rate by the total loan amount. Unlike interest, factor rates don’t accrue over time — they’re fixed for the life of the loan.