A commercial loan is a type of financing provided to businesses to help them fund various operational needs, such as purchasing equipment, expanding facilities, or managing cash flow. These loans are typically offered by banks and financial institutions and can come in various forms, including term loans, lines of credit, and commercial mortgages. The terms of commercial loans often depend on the creditworthiness of the business and the purpose of the loan. Interest rates, repayment schedules, and collateral requirements can vary significantly, making it essential for businesses to carefully evaluate their options before borrowing.