Will A Working Capital Loan Help Your Business?

Working capital is the money you use to keep your business operating, so essentially capital is one of the most important assets your business can have. The problem for small businesses is that sometimes you don’t have the money you need. Whether it’s unexpected expenses or you are waiting on accounts receivables to come in, it’s very common for cash flow to be tight in these situations. Many businesses don’t have stable revenue streams to rely on throughout the year, so business owners often find themselves strapped for cash and worried about paying for important expenses. Having extra cash on hand can make all the difference during these times. With a working capital loan, you can make sure to keep your business healthy and strong during any slow periods you may have.

One of the biggest benefits of getting a working capital loan with an alternative lender is the speed of the process. Most working capital loans from alternative lenders can be approved and processed very quickly, in a matter days, meaning your business gets access to the financing it needs when you need it. You can use your working capital loan for remodeling your store, purchasing equipment, purchasing inventory, payroll, etc. Basically, working capital financing can be used to handle any day-to-day business expense.

The availability of working capital influences your company’s ability to meet its debt obligations, as well as to remain a profitable business. If your current assets do not exceed your current liabilities, you run the risk of being unable to pay short term creditors in a timely fashion. Although, working capital does more than just keep the lights on and the doors open. It can also be used to take advantage of business opportunities that might otherwise pass you by.

Union Commercial Capital offers working capital for small businesses, helping these companies stabilize operations so that they can focus on growing and running their business smoothly. Call us today so we can discuss how a working capital loan might be a good fit for your funding needs.