Maybe you know that you will have a number of slow months during the year, you can use the loan to meet your payroll or other recurring payment obligations during those months. Or, perhaps you need to stock up on inventory before the coming holiday season and you don’t have enough cash on hand. Along the same lines your loan would allow you to be able to take advantage of discounts on purchases offered to you by vendors.
Small businesses use these short term loans for to cover unexpected losses as well. Perhaps you have increased expenses due to additional marketing efforts, new employees, or relocation of an office. Or the time has come for you to update, expand or renovate your current office space or product lines. Maybe the economy has led to you having an additional number of slow paying customers and you need to make up funds. It’s possible that some recent operating losses could have reduced or depleted your cash reserves. To put it simply, for just about any business looking for some quick financing, a working capital loan is definitely a great choice to consider.
At Konnect Financial, we arranged working capital loans for businesses within 2-3 hours.
Konnect Financial can help you if your business needs cash quickly and a working capital loan provides the best solution. A working capital loan with Konnect Financial offers more benefits than an overdraft from a bank and is most notably a much easier approval process. A working capital loan is an unsecured debt, which means it doesn’t require the collateral or security of a bank loan. The end result is you have a much better chance of getting approved. Our team includes financing professionals who specialize in working capital loans, merchant cash advances and flexible small business loans, so you can count on getting expert recommendations and customer service.
Fast Cash for Business Success
Konnect Financial offers working capital loans that are hassle-free and tailored to meet the specific needs of your business. Once you fill out and submit our one-page working capital loan application, we will arrange funding with a fast credit decision. Plus, Konnect Financial can provide your business with a working capital loan of up to £150,000 in as little as one day. For immediate funding and busy business owners like you, this is excellent news.
Once you receive your cash, you can use the money as you see fit for your business. Use the cash to renovate, purchase new equipment, increase your inventory or expand your operations. You can even use your working capital loan to consolidate high-interest debt or pay taxes.
Speed and Flexibility
One advantage of working capital financing is that most eligible companies can obtain short-term loans, including accounts receivable credit lines, inventory loans or bank lines of credit, in a short period of time. The loan amounts are typically a fraction of revenues and are tied to assets that quickly convert to cash. Working capital financing is generally flexible, with varying interest rates and repayment terms. This flexibility can help companies with seasonal or periodic fluctuations smooth out cash flow.
Accounts receivable credit lines and factoring, which occurs when your company sells its receivables to a third party at a discount, directly tie to your company's accounts receivables. As your company's revenues and associated receivables grow, the credit line increases so as you need more money, these working capital options make those funds available. These also provide a viable choice for smaller or newer companies without the operational history or balance sheet strength to qualify for a bank term loan or unsecured line of credit.
Your company can also finance working capital with a term loan. Short-term working capital financing addresses cyclical needs throughout the fiscal year. Mid-term working capital financing provides the funds to purchase additional stock and generate the receivables that increase working capital. For companies with growth prospects over the next few years, this option provides access to a steady stream of capital to cover gaps created by growth-related expenses.