What are Working Capital Loans?
A working capital loan is short-term financing that helps businesses cover day-to-day operational expenses: payroll, inventory, accounts payable, rent, etc.
| Typical Amount | $100,000 - $5,000,000 |
| Cost | 1-3% |
| Funding Timeline | 3-5 business days |
| Best For | Unexpected payroll shortfalls, Seasonal cash flow gaps, Rapid growth cash flow needs, New customer order financing, Accounts payable management, Bridge between funding rounds |
How It Works
Working capital funding is typically funded on a revenue-based underwriting model. They can be closed quickly – often within days – and provide essential funding for managing day-to-day operating expenses. They are typically used for help to cover payroll, fund additional inventory, address accounts payable, and more. Working capital loans ensure smooth operations amid cash flow challenges stemming from the unexpected to seasonal fluctuations.
Key Features & Benefits
Loan amounts from $100K to $5MM+
Flexible terms from 6 to 24 months
Approval within 1-3 business days
Monthly factor rates of 1.25-3% +
For B2B and B2C businesses
Fast-growing companies across industries
Rates & Terms
| min Amount | $100,000 |
| max Amount | $5,000,000 |
| monthly Factor Rate | 1-3% |
| flat Interest Rate | 8-25% |
| annualized Cost | 12-36%+ |
| approval Time | 1-3 business days |
| funding Time | 3-5 business days |
| term Length | 6-24 months |
Working Capital Loans - Common Questions
Get answers to the most common questions about working capital loans
Who Qualifies?
minimum Monthly Revenue:
minimum Time In Business: 1-2 years
credit Score Range: 500+ (better credit = better rates)
business Type: Any B2B or B2C business
