Lightning-fast financing for your online business — with no credit check.

  • Best for new retailers that rely on PayPal payments.
  • Pick something else if your business just meets the revenue requirements.

$1,000

Min. Amount

$300,000

Max. Amount

Details

Product Name PayPal Working Capital
Min. Amount $1,000
Max. Amount $300,000
Requirements Have a PayPal Premier or Business account for 3+ months and your business should make from $15,000 to $20 million in PayPal sales.

Application Criteria

  • PayPal Business or Premier account for 3+ months
  • Process between $20,000 and $20 million in annual PayPal sales (Premier PayPal account) or between $15,000 and $20 million in annual PayPal sales (Business PayPal account)
  • Pay off any existing PayPal Working Capital loan

How much will this loan cost me?

PayPal Working Capital charges a fixed fee instead of interest, which PayPal doesn’t disclose. But you can use a calculator on its website to find out how much you might pay, depending on the loan amount and your PayPal sales.

Generally, lower fees go to businesses with high revenue and low advance amounts who pay it off with a high percentage of daily sales.

How it works

PayPal Working Capital works like a merchant cash advance. Instead of monthly repayments, you repay the loan with between 10% and 30% of your PayPal sales each day until it’s fully paid off.

But to really understand how PayPal Working Capital works, let’s take a look at a couple examples.

Example 1: High revenue, low advance amount

Say you had $1 million in annual PayPal revenue and wanted to borrow $10,000.

Here’s how much your loan would cost, depending on the repayment percentage you choose:

Repayment percentage of daily sales One-time fixed fee Total repayment
30%
$45
$10,045
25%
$54
$10,045
20%
$67
$10,067
15%
$88
$10,088
10%
$131
$10,131

This loan costs the equivalent of a low 1.31% APR if you paid it back over a year.

Example 2: Low revenue, high advance amount

But say you brought in just $15,000 in annual PayPal sales and needed to borrow $5,200.

Here’s how much your loan would cost:

Repayment percentage of daily sales/th> One-time fixed fee Total repayment
30%
$950
$6,150
25%
$1,203
$6,403
20%
$1,641
$6,841
15%
$2,680
$7,808
10%
$7,173
$12,273

This loan costs as much as the equivalent of a 138% APR if you paid it back over a year — or higher if you pay it back in a shorter amount of time.

How much can I borrow with PayPal Working Capital?

You can borrow up to 35% of your annual PayPal sales — as long as it falls into the range of $1,000 to $300,000. And first-time borrowers can only qualify for up to $200,000 in funding.

What do I need to qualify?

You must meet these three requirements to qualify for a PayPal Working Capital loan:

  • PayPal account. You must have a PayPal Premier or PayPal Business account open for at least three months.
  • Minimum annual revenue. You must bring in at least $15,000 in PayPal Business or $20,000 in PayPal Premier sales each year.
  • No outstanding debt. You must have fully paid off any previous PayPal Working Capital loans.

What information do I need to apply?

PayPal should already have most of the info it needs about you and your business when you apply for a loan. But you might need to provide the following details about other primary business owners and business management:

  • Phone number, email and address
  • Birth dates
  • Social Security numbers

What industries does PayPal work with?

PayPal works with any ecommerce business that brings in enough revenue through an eligible PayPal account.

What other types of financing does PayPal offer?

PayPal also offers business term loans from $5,000 to $500,000 to Business PayPal account holders. But you have to apply to find out how much it costs.

To qualify, your business must make more than $42,000 in annual revenue and be around for at least nine months. You can receive funds as soon as the next business day, which your business repays each week.

Pros

  • Inexpensive if you have high revenue and borrow a small advance
  • Funding as soon as the same business day
  • No documents needed or credit check required

Cons

  • High cost for businesses with low PayPal sales
  • Not an advance on full business revenue
  • Doesn’t display costs in a way that’s easy to compare

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