Some purchases or expenses are beyond the immediate reach of business, so money has to be borrowed. Funds are given through two vehicles - secured and unsecured loans. Secured loans are backed by something tangible, some item that has specific value. For businesses, that could be money due the company from customers or creditors, inventory, or real property. By contrast, unsecured loans require no collateral with the bank relying solely on the credit history of the borrower.

Loans can also be obtained from sources other than banks, such as other businesses. This can be a short-term means of financing with the company's good credit or track record of profitability standing behind the loan.