The money being borrowed can be used to purchase new equipment that is needed, purchasing additional inventory or materials, hiring employees, covering payday, etc. But as with all loans, it is very important that the borrower takes this money very seriously and plans out first how the funds will be used. Once i decided i want to take on this to come up with a business plan to present to the lender. will come up with a business plan and data sheets that are easy enough for the loan officer to understand my field of work. The loan officer will need to be convinced that i will be able to take on this loan and pay it back with ease. If i can achieve this, then there should be no problem getting this type of loan to help my business and pay back in time.