Working Capital Loans
Competitive Rates on Small Business Funding
What Is a Working Capital Loan?
The definition of a working capital loan is financing obtained and used to support a company’s operations, daily or project-based. In most cases, a working capital loan is defined by shorter terms.
Your business can use this type of loan for a number of reasons. You can pay your employees and rent during your annual lulls, or you can purchase a vital piece of equipment without depleting the working capital you currently have.
How Does a Working Capital Loan Work?
Working capital loans often work as bridge loans. They aren’t used to make investments or purchases that focus on the long-term benefit of the business. Instead, these loans are meant to cover regular operational costs like rent, payroll and debt payments.
How to Get a Working Capital Loan or Financing for Your Small Business
Getting a working capital loan is easier and faster than obtaining a traditional term loan.
While each lender has its own working capital loan requirements, the qualifications are dependent on the loan or financing type.