Term Loans in the Panhandle and South Plains

A square on the map

The Texas Panhandle consists of the northernmost 26 counties of the state, in a square-shaped area bordered by New Mexico to the west and Oklahoma to the north and east. This grouping includes 40 counties, adding the South Plains to the south, with Potter and Randall counties at one end and Lubbock County at the other. It is an editorial grouping, not an official region.

Wide-open spaces mean long trips. Farm, ranch, trucking, construction and service businesses here run on vehicles and equipment, and the largest decisions tend to be about replacing or adding machinery.

Capital decisions by season

Spring

Input and equipment decisions are made ahead of planting. A machine that is down at the wrong time costs more than the repair bill.

Summer and fall

Harvest and hauling put equipment under its heaviest use. This is when payments are easiest to carry for businesses tied to crops.

Winter

Income slows for many agriculture-linked businesses. A payment schedule should not assume the high season's cash flow all year.

Beyond the farm

Towns such as the county seats in Potter, Randall and Lubbock counties have restaurants, clinics, contractors and retailers whose calendars follow the school year, the weather and regional events. They use term loans for renovations, equipment, second locations and vehicles. The test is the same as anywhere: a defined purchase with a believable payback.

A worked example, for illustration

Suppose a hauling and equipment-rental business wants to add a second trailer and truck for $110,000. The owner estimates that the unit will be booked for most weeks during busy months and less in winter. Those are round numbers, not our terms. The planning step is to lay out income and payments month by month and see where the winter months fall. If they are negative, either size the purchase down or set aside a cash cushion for the slow stretch.

Questions worth asking before you sign anything

Ask what the total repayment will be, not just the payment. Ask how often payments are made, and whether the schedule matches the way your income arrives. A business that earns most of its money in a few months may find a payment structure that looks small on paper heavy in the winter. Ask what happens if you want to repay early. These are questions to ask of any offer, including ours, and the answers should be in front of you before you accept.

The funding facts

The application takes about five minutes and uses a soft credit pull. Funding from $25,000 to $5,000,000 can arrive in as little as 24 hours. Sole proprietors can apply.