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    Revolving term loans/ Term Loans

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    This is help with research on the benefits and disadvantages of revolving term loans /term loans to medium sized companies.

    I would prefer if the material is sourced from academic journals, not websites. Please provide the link to the research as well.

    Thanks much

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    https://brainmass.com/economics/investments/revolving-term-loans-term-loans-615087

    Solution Preview

    In compliance with BrainMass rules, this is not a hand in ready assignment but is only guidance.
    There are several benefits of revolving term loans /term loans to medium sized companies. These loans are relatively cheaper source of finance for medium sized companies (1). They bring tax benefits, flexibility, and financial discipline to the borrower. Interest on debt is tax deductible and the lenders perceive revolving term loans /term loans to medium sized companies less risky and offer attractive interest rates. The term loan is medium-term finance provided by banks or financial institutions. The revolving term loans /term loans to medium sized companies are beneficial because they help financing of diversification, modernization, and expansion of business operations. These loans are primarily used for ...

    Solution Summary

    The answer to this problem explains the benefits and disadvantages of revolving credit/term loans to medium sized companies. The references related to the answer are also included.

    $2.19