• Home
  • Blog
  • PayPal Working Capital Loan Review & Loan Requirements

PayPal Working Capital Loan Review & Loan Requirements

Reviewed by Ty Crandall

June 13, 2024


PayPal Working Capital Review Credit Suite

PayPal Working Capital is a lending company in the online space. They provide small business loans. We look at the specifics and drill down into the details. This review was updated in March of 2022.

PayPal Working Capital Review:  Background

PayPal Working Capital is located online here: https://www.paypal.com/webapps/workingcapital/. Their physical address is:

2211 North First Street
San Jose, California 95131.

San Jose is the home of PayPal Working Capital’s corporate headquarters.

You can call them at: (888) 221-1161. Their contact page is here: https://www.paypal.com/us/smarthelp/contact-us. They have been in business since 1998 but that is actually how long PayPal itself has been in business.


PayPal Loans Credit SuiteThey offer flexible payments with a fixed fee and no credit check.

The maximum loan amount can be up to 30% of annual PayPal sales. Your business can get funding in minutes and there is no early payment penalty.

You need to have a PayPal Business or Premier account for 3 months or more. This means having a PayPal business account. You also have to process a least $20,000 in annual PayPal sales if you have a Premier PayPal account. Or you need at least $15,000 in annual PayPal sales if you have a Business PayPal account.

And you have to pay off any existing PayPal Working Capital loan.

These are loans with no credit check. Eligibility is solely based on your PayPal sales.

Loan Fees

Automatic repayments are deducted as a percentage of each PayPal sale. The fee is based on your business’s PayPal sales history, your loan amount, and the repayment percentage chosen. A higher payment percentage will lower the fee.

You must pay at least 5% back every 90 days. Or, you can pay 10% of the total loan amount back. The 5%+ minimum applies to loans estimated to take 12 months+ to be repaid. It is based on business’ past PayPal sales and other factors. And the 10%+ minimum applies to loans estimated to be repaid within 12 months.

Note: PayPal will monitor accounts for unexpected drops in PayPal sales volume. Hence your loan will be in default if you move your sales away from PayPal in order to avoid repayment.

PayPal Working Capital Review:  the Advantages

Advantages include that the payments are deducted from sales so are easier to make and not miss. Plus few American-based online lenders seem to offer funding which is available outside the United States. PayPal does a lot of volume and is accepted by numerous merchants.

Also, the annual sales requirements are pretty low.

Check out our Credit Suite Credit Line Hybrid, where you can get up to $150,000 to help your business thrive.

PayPal Working Capital Review:  the Disadvantages

Disadvantages are that the whole system is predicated upon your customers using PayPal. If you have customers who do not, then that will make it harder to get funding this way. This is so even with good credit, time in business, and annual revenues. In addition, if yours is a business which receives many of its revenues through Amazon (such as a bookseller), this is problematic.

This is because Amazon does not take PayPal. Hence that will artificially decrease your revenues as perceived by PayPal Working Capital. It will also make it far less convenient to pay back your loan.

Check out our Credit Suite Credit Line Hybrid, where you can get up to $150,000 to help your business thrive.

PayPal Working Capital Review:  The Big Picture

The companies which will do the best with PayPal Working Capital are the ones which make a large volume of their sales via PayPal. If your business does not, then PayPal Working Capital will not be for you.

And finally, as with every other lending program, whether online or offline, remember to read the fine print and do the math. Go over the details with a fine-toothed comb, and decide whether this option will be good for you and your company.

In addition, consider alternative financing options that go beyond lending, including building business credit, in order to best decide how to get the money you need to help your business grow.

Check out our Credit Suite Credit Line Hybrid, where you can get up to $150,000 to help your business thrive.

A Word about Financing and Our PayPal Working Capital Review

Always use financing responsibly! Never borrow beyond what you can pay back. Keep track of balances and deadlines for payments. Paying off punctually and in full will do more to increase business credit scores than pretty much anything else.

And while a PayPal business loan review may be helpful, business credit is a lot more so.

Today, we want to hear from our audience! Share your voice with us about your experiences with online lenders. And we’d love your opinion of our PayPal Working Capital review.

About the author 

Janet Gershen-Siegel

Janet Gershen-Siegel is the seasoned Finance Writer and a former content manager at Credit Suite. She has been admitted to practice law for over 30 years, with a focus on litigation and product liability, and is a published author, with writing credits at Entrepreneur, FedSmith.com and BusinessingMag.com.

She has a BA in Philosophy from Boston University, a JD from the Delaware Law School of Widener University, and a MS in Interactive Media (Social Media) from Quinnipiac University.

She regularly writes for Credit Suite, which helps businesses improve Fundability™, build credit, and get approved for loans and credit lines.

Her specialties: business credit, business credit cards, business funding, crowdfunding, and law

{"email":"Email address invalid","url":"Website address invalid","required":"Required field missing"}

Stay In The Loop

Subscribe to our weekly newsletter that delivers the most actionable, tactical, and timely business financing tips you actually want and need for Free
*Plus get instant access to the 3-part Fundability™ training - a systems that helps your business become more Fundable and makes you look great to credit issuers and lenders