PayPal Working Capital is a business loan with one affordable, fixed fee. You repay the loan and fee with a percentage of your PayPal sales. There are no periodic interest charges, monthly bills, late fees, pre-payment fees, penalty fees, or any other fees.

The process is easy:

1. Select your loan amount. The maximum loan amount depends on your PayPal sales history.
2. Choose the percentage of your PayPal sales that will go toward repaying your loan and fee.
3. If approved, receive the funds in your PayPal account within minutes.
4. Repay automatically with a percentage of each sale until your balance is paid in full. You can also make manual payments or even pay the loan in full with no early repayment fee, using your PayPal balance or a linked bank account.

To be eligible to apply for PayPal Working Capital, you must:

• Have a PayPal Business or Premier account for 3 months or more
• Process at least $20,000 in annual PayPal sales if you have a Premier account or at least $15,000 in annual PayPal sales if you have a Business PayPal account.
• Pay off any existing PayPal Working Capital loan

For many merchants, all you need is some basic info about your business and yourself, as the authorized representative on the account. However, for certain business types, you will want to have additional information on hand. You will need the contact details, birth dates, and Social Security numbers of your primary business owners and business management, as well. These people won’t have access to the account (unless you authorize them on your PayPal account), and the information won’t be used for a credit check.

Unlike traditional loans, PayPal Working Capital charges a single, fixed fee that you’ll know before you sign up. No periodic interest, no hidden fees, and no late fees.

Because your automatic repayments get deducted as a percentage of each PayPal sale, the amount you repay each day changes with your sales volume. The more you sell, the more repayment progress you’ll make that day. On days without sales, you’ll make no payments, but there is a minimum repayment requirement every 90 days.

Depending on the loan terms you choose, you must pay at least 5% or 10% of your total loan amount (loan + the fixed fee) every 90 days.

The 5% minimum applies to loans estimated to take 12 months or more to be repaid, based on your business’ past PayPal sales and other factors. The 10% minimum applies to loans estimated to be repaid within 12 months.

Here are some examples:

• If you borrow $10,000 ($9,800 loan + $200 fixed fee) and the loan is estimated to be repaid in 13 months based on your previous years’ PayPal sales, then your minimum repayment is 5% or $500, every 90 days.
• If you borrow $30,000 ($29,500 loan + $500 fixed fee) and the loan is estimated to be repaid in 8 months based on your previous years’ PayPal sales, then your minimum repayment is 10% or $3,000, every 90 days.

For most of our customers, regular automatic repayments easily cover the minimum and this is never an issue. But if you do get behind, you can make additional payments on the PayPal Working Capital website.

If you do not meet the minimum and your loan goes into default, your entire balance could become due and limits could be placed on your PayPal account.

Please see Section 12 of the Terms and Conditions to learn more about default.

PayPal Working Capital loans are issued one at a time. You can apply after paying off one loan to get another one – many merchants do. Keep in mind that it can take up to 3 business days for your final payment to process before you'll be able to apply for future loam, which will then be subject to approval.