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Working capital finance is a short-term loan that allows you to use the money for working capital. It's typically used by businesses in their early stages or those who need extra cash to fund growth opportunities. Working capital loans can range from £50,000 to £1m and are available from most lenders (online and high street). Working capital loans are used for a variety of reasons – for example, if you want to grow your business or expand into new markets but don't have enough cash flow or slow sales cycles. What Is Working Capital Finance? Working capital finance is a type of asset finance, which means it's a short-term loan used to pay for stock or raw materials. It can also be used for paying employees and wages, as well as for general business purposes. It’s similar to other types of asset finance in that it’s used for investment, so it doesn't need to be repaid until after you have sold the goods or services you purchased with the working capital finance.