28th Oct 2009 by Gary
While it depends upon what you're financing, normally long term financing is thought of in terms of 15 years or longer. But again, because almost every sector you're buying something in looks at long and short term loans differently, it's hard to define exactly what it is.
For example, long-term financing of a home is usually considered to be 25 to 30 years, while long term financing of a car would be 5 years. So it varies from industry to industry and product to product.
In retail businesses, long term financing could be several months, while short term financing in many cases is 30 days.
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