Short-term business loans with PayPal Working Capital are some of the fastest loans for PayPal-based e-commerce businesses. But it caps its no credit check loans at $200,000 for first-time borrowers, and it’s only for businesses that use PayPal to process their sales and have a PayPal business account history. If that doesn’t fit your needs, consider these alternatives instead.
8 loans like PayPal Working Capital
Alternative for comparing loans
Lendio business loans
Lendio is a business loan marketplace connecting over 75 lenders to business owners. Lendio’s partners offer a much wider range of loans and financing options than PayPal Working Capital, including SBA and term loans, cash advances, equipment financing, flexible lines of credit and more.
Just fill out a single online form with your information, and it will connect you with multiple lenders. Depending on the loan type, some lenders may even work with credit scores as low as 580. But be prepared to receive a large number of marketing calls and emails afterward.
| Loan amount | $1,000 – $5,000,000 |
|---|---|
| APR | Varies by lender |
| Min. Credit Score | 580 |
| Loan amount | $1,000 – $5,000,000 |
|---|---|
| APR | Varies by lender |
| Min. Credit Score | 580 |
Read review
Alternative for equipment financing
National Funding business loans
National Funding offers new and used equipment financing and leasing up to $150,000 through its network of lending partners. It funds up to 100% of the equipment cost with no down payment required, which means you can save your cash for other purposes.
It also guarantees you won’t find a lower monthly lease payment elsewhere, or it pays $1,000 toward the equipment lease. National Funding advertises fast approvals and funding in as soon as 24 hours, with early payment discounts and excellent customer reviews.
| Loan amount | $5,000 – $500,000 |
|---|---|
| APR | Undisclosed |
| Min. Credit Score | 600 |
| Loan amount | $5,000 – $500,000 |
|---|---|
| APR | Undisclosed |
| Min. Credit Score | 600 |
Read review
Alternative for invoice factoring
FundThrough Invoice Factoring and Financing
FundThrough offers no-doc invoice factoring with funding as fast as the next business day. It has no time in business requirements to qualify, and there is no impact on your credit. It’s also one of the few factoring firms that advances up to 100% of your invoices.
You submit your invoices by uploading them into your FundThrough account or pulling them in from QuickBooks or OpenInvoice. But you need to invoice B2B or government agencies and have outstanding invoices of at least $100,000 in accounts receivables or invoices to one customer. Fees range from 2.75% to 8.25% of your invoices’ value.
| Loan amount | $500 – $10,000,000 |
|---|---|
| APR | Not applicable |
| Min. Credit Score | 500 |
| Loan amount | $500 – $10,000,000 |
|---|---|
| APR | Not applicable |
| Min. Credit Score | 500 |
Read review
Alternative for lines of credit
Backd
Backd offers lines of credit up to $750,000 to businesses that have been in business for at least one year with at least $100,000 in annual revenue. This limit is much higher than PayPal’s maximum limit of $300,000 for repeat borrowers.
If you’re approved with Backd, you can get funds as soon as one to two business days. With its lines of credit, you can pay back each draw with fixed monthly or weekly payments over 6 or 16 months. After you repay, the funds are available for you to draw from again.
| Loan amount | $10,000 – $2,000,000 |
|---|---|
| APR | Competitive |
| Min. Credit Score | 600 |
| Loan amount | $10,000 – $2,000,000 |
|---|---|
| APR | Competitive |
| Min. Credit Score | 600 |
Alternative for fast funding
OnDeck short-term loans
Unlike PayPal, OnDeck offers two types of loans: term loans and lines of credit (LOC). Depending on the state, its term loans and lines of credit can be funded as soon as the same day. But rates can run high, with an average term loan rate of 56.1% APR and an average rate of 55.9% APR for LOCs.
To qualify, your business must have been operating for at least one year with $100,000 in annual revenue. But you only need a minimum credit score of 625 to qualify, and there are no prepayment penalties on its term loans or draw fees on its line of credit (LOC), which can help you save.
| Loan amount | $5,000 – $250,000 |
|---|---|
| APR | Average is 55.9% to 56.1%. |
| Min. Credit Score | 625 |
| Loan amount | $5,000 – $250,000 |
|---|---|
| APR | Average is 55.9% to 56.1%. |
| Min. Credit Score | 625 |
Read review
Alternative for SBA loans
SmartBiz business loans
SBA term loans provide longer-term funding than PayPal, with repayment terms of up to 25 years and competitive rates. With SmartBiz, you can speed up the SBA application process by filling out a single form and getting matched with multiple banks and online lenders that offer SBA loans.
SBA loans through SmartBiz typically take just one month for funding, instead of the regular two- to three-month waiting period for SBA loans. Prequalification takes a few minutes, but the process isn’t free: SmartBiz lending partners may charge a packaging fee of up to $2,500, plus closing costs.
| Loan amount | $50,000 – $500,000 |
|---|---|
| APR | Prime Rate, plus 2.75% to 4.75% |
| Min. Credit Score | 650 |
| Loan amount | $50,000 – $500,000 |
|---|---|
| APR | Prime Rate, plus 2.75% to 4.75% |
| Min. Credit Score | 650 |
Alternative for merchant cash advances
Credibly business financing
Offering advances up to $10,000,000 and with a factor rate of 1.11, Credibly is one of the less expensive options out there for merchant cash advances. If you’re approved, you can get funds as soon as the same day you apply and repay the advance from your future sales.
However, it has a $15,000 monthly minimum revenue requirement, which is much higher than PayPal’s $15,000 annual requirement – but you’re not restricted to advances based only on PayPal sales. Credibly comes highly rated by past customers and only requires a 500 credit score to qualify.
| Loan amount | $5,000 – $10,000,000 |
|---|---|
| APR | Factor rates start at 1.11 |
| Min. Credit Score | 500 |
| Loan amount | $5,000 – $10,000,000 |
|---|---|
| APR | Factor rates start at 1.11 |
| Min. Credit Score | 500 |
Read review
Alternative for startups
Finance Factory business loans
Startup financing can be harder to find, but with Finance Factory, you can search multiple startup funding options through a single form. Entrepreneurs can find a range of loans and financing options between $5,000 and $350,000 that can be used to fund a new business.
While it’s not a direct lender, it’s transparent about its terms and rates, with APRs ranging between 0% (for up to 21 months) and 15%. But you may need good to excellent credit to qualify with Finance Factory, and funding can take a few weeks.
| Loan amount | $5,000 – $5,000,000 |
|---|---|
| APR | Varies by loan type |
| Min. Credit Score | 550 |
| Loan amount | $5,000 – $5,000,000 |
|---|---|
| APR | Varies by loan type |
| Min. Credit Score | 550 |
How does PayPal Working Capital compare?
PayPal Working Capital is a business loan based on your PayPal business account history that you repay with a share of your PayPal sales. Eligibility requirements are much lower than with other types of loans. There’s no credit check, and you only need $15,000 in annual PayPal sales to qualify — or $20,000 with a Premier account.
Loan amounts are flexible, and can be as little as $1,000 or as high as $300,000 for repeat borrowers. Repayments come from your sales, and you choose how much of a percentage PayPal deducts. But rates can run high, and it’s only for PayPal customers, making it more limited than other types of business loans. Compare the best working capital loans to find the deal that fits your needs.
Pros
- No credit check
- Approval in minutes
- Low minimum loan amount
Cons
- Fees not disclosed
- For PayPal business customers only
- Non-PayPal revenue doesn’t count
Compare business loans
Enter your time in business, annual revenue and credit score ranges to unlock lenders you may qualify with. Then select Go to site to get started on your application. Alternatively, you can visit our review page by selecting More info.
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How we picked these
What is the Finder Score?
The Finder Score crunches 12+ types of business loans across 35+ lenders. It takes into account the product’s interest rate, fees and features, as well as the type of loan eg investor, variable, fixed rate – this gives you a simple score out of 10.
To provide a Score, we compare like-for-like loans. So if you’re comparing the best business loans for startups loans, you can see how each business loan stacks up against other business loans with the same borrower type, rate type and repayment type.
Read the full Finder Score breakdown
Frequently asked questions/h3>
Does PayPal Working Capital affect my credit score?
No. Your eligibility is based on your PayPal sales history, not your personal or business credit scores.
Why am I not eligible for PayPal Working Capital?
If you haven’t had a PayPal Business or Premier account for at least 90 days and/or you don’t have at least $15,000 to $20,000 in annual sales entirely through PayPal, your loan application may be denied.
Can you have two PayPal Working Capital loans?
You can only have one PayPal loan at a time. After you pay it back, though, you can apply for a new loan, which is common.
