2 min read
Definition
A revolving credit facility is a committed borrowing limit that a company can draw down, repay and redraw repeatedly during the facility term, paying interest only on the outstanding balance. It behaves like a flexible overdraft with agreed terms.
In plain terms
It's a pool of funding on standby: use £10k this month, repay it, use £20k next month. You pay for what you use, when you use it.
Why it matters for your company
It suits fluctuating working-capital needs and seasonal swings. Compare it with a term loan for the right fit — see overdraft vs revolving credit.
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Credicorp lends to your company, not to you personally — short-term working capital with no personal guarantee. See what your business could access.