Time loan,

Definition of Time loan:

1. Short-term (usually between one to six months) asset based business loan payable usually in one installment on the maturity date. Time loans are commonly used to finance revenue generating assets (such as inventory) which provide the funds to pay back the loan. These loans differ from the demand loans in that (1) the borrower has to pay the full interest up front when the loan is advanced, and (2) the lender cannot demand the repayment (call the loan) before the loans maturity date.