Small Business Working Capital Loan Options

Last Updated on August 2, 2016

Building and growing a business can be very difficult—especially when income and capital aren’t always consistent. If you need to keep your business afloat, or grow certain aspects, there are many small business working capital loan options that are available for businesses of all types.

small business working capital loans

What are your Small Business Working Capital Options?

  • Business Line of Credit: Even if you don’t have an immediate need of cash, it can be beneficial to set up a line of credit—just in case. It is smart for emergencies, immediate needs, or in the event of unexpected opportunity that requires a little extra cash. You can improve your cash flow, borrow according to needs of the season, and eliminate the stress of large loans.
  • Merchant Cash Advances: It is important to understand that cash advances are not loans. It is essentially the purchase of future credit card receivables from the customers of the business. A business isn’t tied to monthly payments, and it isn’t based on credit history. The lending institution merely claims a percentage or sum of a credit card payment until the cash advance is repaid.
  • Equipment Leasing and Financing: If you need to purchase a new piece of machinery or equipment, but don’t have the cash, equipment leasing and financing can provide loans with affordable monthly repayments, which can often be specified to your business and its needs.
  • SBA Loans/Small Business Loans: Depending on the size and income of your business, you either need to apply for an SBA Loan (for larger businesses), or a Small Business Loan (for smaller businesses). They usually require small monthly payments, depending on agreed-upon terms, and can help with mergers and acquisitions, relocation, purchase of new equipment, etc.
  • Accounts Receivable Financing: Businesses that opt for accounts receivable financing can still generate capital by using receivables as collateral. Generally, businesses sell their accounts receivable, receive payment for them immediately (minus about 10%), then receive the final payment once the invoiced party has paid their dues (minus a small service fee).

No matter your type of business, National Business Capital has the perfect small business working capital loans for your business. Learn more about us, and let us help you grow your business today!

National Business Capital & Services is the #1 FinTech marketplace offering small business loans and services. Harnessing the power of smart technology and even smarter people, we’ve streamlined the approval process to secure over $1 billion in financing for small business owners to date.

Our expert Business Financing Advisors work within our 75+ Lender Marketplace in real time to give you easy access to the best low-interest SBA loans, short and long-term loans and business lines of credit, as well as a full suite of revenue-driving business services.

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About the Author, Megan Capobianco

Megan is passionate about helping business owners along their journey - providing them with relevant content they can use in their day-to-day operations.

Disclaimer: The information and insights in this article are provided for informational purposes only, and do not constitute financial, legal, tax, business or personal advise from National Business Capital & Services and the author. Do no rely on this information as advice and please consult with your financial advisor, accountant and/or attorney before making any decisions. If you rely solely in this information it is at your own risk. The information is true and accurate to the best of our knowledge, but there maybe errors, omissions, or mistakes.