If you’re a small business owner who has had their PayPal working capital denied, you’re not alone.
Many small business owners are finding that the PayPal working capital that they’ve been approved for has been denied.
There is a fine line between what is a working capital loan and what is a capital loan.
A working capital loan is a short-term loan that is used to cover recurring expenses. This is a type of loan that is used to cover payroll expenses, rent, utilities, etc.
A capital loan is a long-term loan that is used to purchase assets, like equipment, inventory, etc.
If you’re not sure if your PayPal working capital request is a working capital loan or a capital loan, you should probably keep reading.
If it is a capital loan, you need to be careful. Paypal is not going to loan you money to buy equipment or pay for inventory.
If it is a working capital loan, you should be fine.