Working Capital Loan

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Working Capital Loan

A short-term loan to finance day-to-day operations of a business. It is normally a loan for a comparably small amount, and is not used for long-term investment purposes. Rather, it funds immediate needs, such as payroll and accounts payable.
References in periodicals archive ?
Working capital loans from Abba Equipment Leasing are typically funded within 72 hours and can be used for a multitude of purposes.
Contract award: tender for the granting and maintenance of investment and working capital loans to finance investment task .
The carrier has accumulated losses of over ` 14,000 crore in the last four fiscals and a total debt of over ` 40,000 crore, including the ` 18,000 crore of working capital loans.
The banking regulator in China is to monitor working capital loans issued by banks.
There are four areas of approved investments: Healthcare facilities loans; Commercial real estate loans; Working capital loans for businesses (including the business of developing multifamily housing); Business factoring and asset-based loans.
These working capital loans may be used to pay necessary operating expenses that could have otherwise been covered.
In fact, nursing home operators with working capital loans are less likely to default on their mortgage loans or rent because their A/R lender can help the mortgage/HUD lender by:
The interest rate on the working capital loans is 4 percent or less with a maximum term of 30.
9) The court rejected INI's characterization of the loans as ordinary working capital loans because INI was told how the funds would be used and exercised significant control over the funds.
If the company is unable to attract bankers willing to extend working capital loans, it may have to factor receivables, work with vendors to finance inventory or mortgage the fixed assets.
Medical doctors, surgeons, veterinarians, chiropractors and other healthcare workers with so-called less than desirable or damaged credit, that are usually turned down by banks after applying for working capital loans can most likely hear the word "approved" when applying for the same type of loan with a private finance broker.
BMV: FINDEP; OTC: FNCRY), (FINDEP), a leading Mexican microfinance lender of personal loans to lower income segment individuals and working capital loans through group lending microfinance, will hold its fiscal 2015 third quarter conference call on Friday, October 23[sup.