Fuel Your Daily Operations with Working Capital
A working capital loan is designed to help you manage your day-to-day business expenses. This funding can be used for things like paying rent, covering utility bills, or handling unexpected maintenance costs. It’s the ideal solution for bridging cash flow gaps and ensuring smooth operations.
How It Helps Your Business
- Immediate access to funds for essential expenses.
- Improve cash flow and manage seasonal fluctuations.
- Quick approval process to get you funded fast.
How to Use Your Working Capital Loan
Your working capital loan from Glavisloan can be used to cover everyday business costs, from purchasing raw materials and inventory to covering expenses like payroll while you wait for customers to pay. Working capital loans can even be used to pay debts and bills, including utilities and insurance premiums, and they can cover short-term investments that you plan to sell off within the year. Outside of purchasing long-term assets and real estate, you'll have the flexibility to use your working capital loan for numerous purposes to keep your day-to-day operations running smoothly and help your business thrive.
Ways to Use a Working Capital Loan
Designed for short-term business needs, there are many ways you can use your working capital loan from Glavisloan. Some business owners use it when cash flow is tight, while others use the financing to cover unexpected costs like damaged inventory that needs replacing or equipment that requires emergency repairs. Working capital loans can also cover payroll when there's a seasonal lull and sales didn't meet their goals, or when sales have exceeded expectations and you have the perfect opportunity to expand. Most short-term business needs are covered with your working capital loan from Glavisloan. Here are a few of the most popular uses.
Hire More Staff
- Hire new employees to support your business growth
- Make sure payroll is covered so your workers are paid on time
Finance Equipment
- Replace outdated equipment with newer models for your business
- Cover the cost of equipment maintenance or repairs
Add Inventory
- Introduce new items, product lines, or services to drive revenue for your business
- Stock more best-selling items during your peak sales seasons
Manage Cash Flow
- Maintain daily operations even through gaps in cash flow
- Continue running your business seamlessly during seasonal lulls
How to Apply for a Working Capital Loan
To apply for a working capital loan: Determine the amount of financing you need. Fill out the form on this page completing all necessary fields. Submit your recent bank statements. A Funding Specialist will reach out to you with any questions. Receive a decision quickly. To determine the amount of financing you need, you’ll want to create a list of the expenses you’ll be covering. If you’re expanding, expenses could include a new lease, additional staff, more inventory, and new machinery. Next, look at what you can use from your cash reserves and what you can put up for a deposit. Add up the total planned expenses and subtract that from the amount you can cover with your current finances, and this is what you need for your working capital loan. The last step is to gather your financial and business information, including tax returns and income statements, as these will help to determine your eligibility for financing.
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Our Simple Process
Discover the seamless path to funding with our easy-to-follow process.
Fast & Easy Application Process
No-cost, no-obligation application with minimal paperwork.
Helpful Loan Guidance
A Funding Specialist will contact you to help you choose the right business financing option.
Quick Decision, Fast Funding
You could be approved, and funds deposited into your account, in as little as 24 hours.
When Should Your Business Consider Working Capital Loans?
In general, a small business owner seeks working capital loans when they are short of cash flow and struggling to keep the business running on a daily basis. To know if your business needs a working capital loan, you must first calculate the company’s working capital on hand.
Calculating Working Capital & Working Capital Ratio
You can find your business’ working capital by deducting the current liabilities from current assets.
Working Capital = Current Assets - Current Liabilities
Current Assets include cash on hand, accounts receivable, short term investments, inventories, and so on. On the other hand, current liabilities include existing debt, account payable, employee wages, and income tax owed. If your working capital is too little or in negative, your business could definitely use a cash flow boost with a working capital loan.
Another way to comprehend if you need working capital loan is by calculating the working capital ratio.
Working Capital Ratio = Current Assets ÷ Current Liabilities
If your working capital ratio is equal to 1 or less than 1, it indicates the lack of cash flow, which can be resolved through a working capital loan.
Types of Working Capital Business Loans
SBA Loans
SBA 7(a) loans are backed by the U.S. Small Business Administration and can be used as working capital loans to cover payroll, advertising, marketing, and stocking inventory. The SBA 7(a) is harder to get approved for because of the demand, so if you don't get approved try a traditional short-term working capital loan.
Short-Term Loans
Our short-term loans for working capital provide quick approval decisions. Funding can be deposited in as fast as 24 hours1, which is important if you need the working capital loan for fixing equipment or to cover payroll quickly.
Make Working Capital Work for You!
A working capital loan provides a quick and easy way to achieve your business goals. If your business needs access to business funding for short-term or long-term planning, a working capital loan can help you get there. Working capital helps cover financial shortcomings until business can stabilize and gives access to funds for critical payments to maintain regular operations. Working capital loans can be customized to your unique business needs. With experience in almost every industry, Glavisloan provides highly tailored financing solutions to meet your specific business goals.