PayPal Working Captial announced today that they have provided more than $2 billion to over 90,000 businesses in the UK, US and Australia.
For the first time they’ve broken out figures for the UK having advanced £185 million to more than 14,000 small businesses, since November 2014. Due to the success of the program and obvious need for small business finance which often isn’t readily available from traditional banking sources, PayPal has now increased the maximum advance available in the UK to £60,000.
Nicola Longfield, Director, Small and Medium Business – UK & Ireland at PayPal said “Small businesses play a crucial role in powering the UK economy – last year small businesses accounted for 99.3% of all private sector business, with a combined annual turnover of £1.8 trillion. At PayPal, because of our close relationships with small businesses, we are uniquely positioned to help them succeed. We understand that for small businesses the pace of change is rapid and, on occasions, unpredictable. PayPal Working Capital is designed to respond to this by providing flexible capital, which can typically be approved and funds obtained within minutes”.
We’re coming up to the time of year that you are most likely to benefit from a short term finance loan as you start to place orders for stock in preparation for the Black Friday and Christmas selling seasons.
Obviously there are alternatives to PayPal but you’ll likely be paying a fixed monthly fee – the nice part of the PayPal offer is that you only repay when the cash comes in so you’re likely to repay the majority of the loan when the stock is sold in the run up to Christmas instead of needing to find large repayments before your stock is even delivered to your warehouse.