Short-term bank loans refer to loans whose loan term is controlled within 1 year (inclusive). The length of the cycle also highlights its advantages and disadvantages:

Advantages:

1. The balance can be freely controlled, short-term loans can be freely matched according to their own capital use needs within the specified time, and the repayment pressure is small, and the loans can continue to be recycled after being returned;

2. The available loan amount is high, and the payment method is flexible, which can solve the need of urgently needed capital turnover in a short time;

3. Because it is a short-term loan, the period is not long, which can save interest and cost.

Disadvantages:

1. If the funds you borrowed need to meet the turnover for a long time, short-term loans are obviously inappropriate, because it is stipulated that they should be returned in a short time;

2. Interest on short-term loans shall be settled quarterly. If the repayment is not made on schedule, compound interest will be calculated according to the penalty interest. If it is not repaid in a short time, the creditor's rights will deteriorate.

Therefore, whether considering short-term loans or long-term loans, it is good to choose according to your actual capital needs.