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aditiahuja
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aditiahuja
Asked: July 30, 2019In: Finance

What is a business working capital loan?

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A capital loan is a term used for a type of business loan that finances the working capital of the company. The working capital for an organization is the capital used, in funding the regular operations of the company. It ...

businessfinanceworking capitalworking capital loan
  1. amirajesh97 Hello All
    Added an answer on January 28, 2022 at 6:37 am

    Working capital loans are used for businesses with irregular incoming cash flow and need working capital to purchase materials, pay workers, or cover overhead expenses. These types of loans are not meant to fund long-term assets or investments, as startup businesses often do not generate the profitRead more

    Working capital loans are used for businesses with irregular incoming cash flow and need working capital to purchase materials, pay workers, or cover overhead expenses. These types of loans are not meant to fund long-term assets or investments, as startup businesses often do not generate the profit needed to repay the loan.

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