Working Capital Funding: Operating Without The Headache

Working capital is among the most important metrics for a business. This metric is not a number, but a ratio that indicates whether a company is profitable, or its expenses are too high.

The formula for working capital is straightforward, calculated as:

Current Assets – Current Liabilities = Working Capital

Working capital is what determines whether small business owners are able to pay their creditors on time. When the equation results in a positive number for a given business, it means that they should be able to remain operational, paying off their debt at the expected rate.

When a company has taken on too much inventory or failed to properly reinvest in their business, it can severely harm working capital.

Quick Working Capital

If a company has a negative ratio, it is in a working capital deficit and may need help to get out of the hole. Normal business loans involve long waiting periods, often as long as 90 days or even six months. These long approval periods can be extremely restrictive on businesses, making it even more difficult to run their operations while they are waiting for approval. Where banks are unable to provide short-term business loans, Fast Capital 360 is able to help small and medium size businesses, getting them out of their deficit.

Fast business capital can be the difference between paying on time and racking up overdue and overdraft fees by the dozen. Despite a factor rate, in many cases, it may actually be less expensive to borrow funds from a cash flow lender than operate in a working capital deficit due to the costs incurred by the associated fees of late payments.

Working Capital Loans

If a company is in danger of being unable to afford its everyday operational expenses, a working capital loan can enable it to continue operations without a hitch. This form of funding is intended to cover short-term expenses and be paid back over several months.

For small businesses that see distinct changes due to the seasonality of products, short-term loans allow them to staff and run adequately even during their slowest seasons. This type of loan is especially popular for retail business financing as these businesses commonly see a decrease in sales during the summer months. It is also a common option for residential contractor financing as these types of businesses often experience a lull during the coldest months of the year.

Fast Capital 360 provides small and medium-sized businesses with unsecured funding so that they continue to operate the way they intended. This type of loans requires no collateral, no pledging of property. Instead, businesses make daily, weekly or monthly payments at a quicker rate so that debt is on the books for a shorter period of time.


  • At least six months in business previous to applying for working capital
  • Minimum $75,000 operating revenue
  • Up-to-date bank statements and lending history
  • A personal credit score of 500 or higher.

Our approach to funding working capital allows us to evaluate the larger picture of a business to give them the best possible loan options. Even if a small business doesn’t meet one of the above requirements, we still may be able to help by creating a program that works for the given financial situation.

We understand that taking out loans for working capital is a big decision for business owners. We’re here to help you make sense of every option available to you, even if it isn’t one we offer.

If you are unsure if a working capital loan is the best option for you and your small business, give one of our business advisors a call today to learn more about financing options.

For more information on why Fast Capital 360 is the best choice for quick working capital funding, contact us today!

Getting started is fast, easy,

and won't impact your credit score.