A working capital loan is any form of business financing used to fund day-to-day operations rather than long-term investments like real estate or major equipment. The core idea is simple: your business needs cash to operate between the time you spend money (on inventory, payroll, marketing, supplies) and the time you collect revenue from customers. Working capital financing fills that gap.
Unlike SBA loans or commercial real estate loans that fund long-term assets, working capital loans are typically short-term (3 to 18 months) and designed to be repaid quickly as revenue comes in. The application process reflects this: lenders focus more on your recent cash flow, bank statements, and revenue trends than on long-term projections or extensive business plans. Most working capital lenders want to see 3 to 6 months of bank statements, proof of revenue, and a minimum credit score.
The repayment structure varies by product type. Term loans have fixed daily or weekly payments. Lines of credit let you draw and repay as needed, only paying interest on what you use. Merchant cash advances take a percentage of daily credit card or bank deposit volume, so payments flex with your revenue. Invoice factoring advances you cash against outstanding invoices and collects directly from your customers.
At PeerSense, we do not operate as a marketplace where dozens of lenders bid on your deal. Instead, we evaluate your situation during a single conversation, identify the one or two programs that genuinely fit, and make a direct introduction to the lender. This means less noise, faster decisions, and no stacking of multiple high-cost products that can crush a business.
1
Tell Us Your Situation
15-minute call covering your revenue, credit, timeline, and funding need
2
We Match the Program
We identify the best-fit product based on your profile and urgency
3
Direct Lender Intro
One introduction to the right lender. No bidding, no spam.
4
Get Funded
Complete underwriting and receive funds, often within 24 hours to 5 days
