in

10 Working Capital Providers to Fund Your Business Growth

default image

Hey there! As a fellow business owner, I know how critical working capital is for funding growth initiatives and managing cash flow. I want to provide you with an in-depth look at some of the top working capital financing options out there today. Whether you‘re just starting out or leading an established company, access to capital is key to seizing opportunities at the right moment.

Working capital concept

Let‘s start by getting on the same page about what working capital actually means.

What is Working Capital and Why Does it Matter?

Put simply, working capital represents a company‘s current assets minus its current liabilities. It provides a snapshot of the near-term financial resources available to cover day-to-day operating expenses and short-term obligations.

Diagram showing working capital formula

Working capital directly impacts a business‘s cash flow – the lifeblood that sustains operations. Robust working capital means you have sufficient funds coming in to smoothly pay vendors, employees, taxes and handle other regular payments essential to keeping your doors open.

Weak working capital leads to missed opportunities, stalled growth, and in the worst case, insolvency. No matter the industry, companies with inadequate working capital run into trouble covering obligations. It‘s like trying to drive a car without gas in the tank – you won‘t get very far.

The bottom line: Monitoring and optimizing working capital should be a priority for every business, especially high-growth companies aiming to scale.

The global market for working capital financing is projected to surpass $3 trillion by 2024. With traditional bank lending on the decline since 2008, innovative alternatives have emerged to fulfill working capital needs.

These technology-powered platforms cater their products and underwriting specifically to the fast pace of startup environments. In turn, they‘ve opened up financing opportunities that simply didn‘t exist a decade ago.

Now let‘s explore some leading working capital providers that offer modern, founder-friendly solutions.

Capchase – Non-Dilutive Growth Capital

Capchase logo

Capchase stands out by providing non-dilutive capital to fast-growing companies. Traditional equity financing means giving up ownership and control – a tough tradeoff for any founder.

Capchase‘s products including invoice financing and revenue-based financing offer an alternative path. Qualified companies can receive up to $10 million based on outstanding invoices or monthly recurring revenue.

You get an upfront lump sum of capital to pour into sales, marketing, or operations. Repayments scale dynamically alongside your revenues over 6-24 months. There are no personal guarantees or fixed repayments required.

The bottom line is you retain control and get affordable growth funding without persistent investor pressure. Capchase‘s technology automates underwriting using fresh data from your accounting platform. No lengthy modeling or negotiations – funding can land in your account within days of applying.

For any founder facing growing pains or pursuing aggressive expansion, I‘d strongly consider Capchase as an enabling partner. Bootstrapped startups in particular benefit from their patient, flexible capital structured for the ups and downs of building a business.

Uplyft Capital – Super-Fast Financing

Need funding ASAP to capitalize on a time-sensitive growth opportunity? Check out Uplyft Capital.

Uplyft Capital logo

Uplyft understands that rapid access to capital means seizing advantage before competitors. That‘s why they position themselves as the "fastest small business lender in the US."

Once approved, Uplyft can deposit funds into your account in as little as 24 hours. They offer multiple loan products including merchant cash advances, SBA loans up to $5 million, and flexible lines of credit.

Uplyft‘s online platform enables convenient application from anywhere. They promote transparent pricing with fixed fees and no hidden costs. Plus personalized support from a funding advisor if desired.

For seasonal businesses or companies poised to rapidly scale, Uplyft‘s urgency and reliability around funding can prove strategically invaluable. They approve 76% of applications and cater specifically to underserved groups like minorities and women-owned businesses.

OnDeck – Loans in Minutes

Need working capital fast and can‘t afford to wait weeks for a conventional bank loan? OnDeck was built to disrupt slow incumbent lenders.

OnDeck logo

OnDeck leverages advanced technology to accelerate every step of the borrowing process. Their website boasts "Term loans in minutes" as opposed to days or weeks.

Here‘s how they deliver speed and convenience:

  • Streamlined application – Apply and submit documents 100% online

  • Proprietary scoring – Automated decisioning using thousands of unique data points

  • Turbo funding – Approved applicants receive capital in as little as 24 hours

OnDeck offers lines of credit up to $100,000 and installment loans up to $500,000. While their rates are higher than banks, the tradeoff is fast access to capital when you need it most.

They also provide free online tools helping borrowers track repayments and monitor the financial health of their business. For any small company prioritizing quick financing for seizing opportunities, OnDeck is worth a close look.

Fundbox – Cash Flow Optimization

Are you looking to smooth out cash flow fluctuations, fill working capital gaps, and better manage finances? Fundbox could be an optimal solution.

Fundbox logo

Fundbox is a next-gen lender using technology to improve efficiency, transparency, and the customer experience. Their products include flexible lines of credit, invoice financing, and payment optimization tools.

A few key advantages:

  • Fast funding – Approved lines of credit funded as quickly as next business day

  • Credit limits up to $100K – Scale funding as business grows

  • Free cash flow dashboards – Tools to control, monitor, and optimize

  • Integrated payments – Automated syncing with accounting software

By integrating financial insights, lending, and cash flow management in one platform, Fundbox aims to deliver working capital solutions that fuel growth while ensuring stability.

Biz2Credit – All-in-One Online Lending

With over $3 billion in small business loans funded, Biz2Credit is a leader in convenient digital financing.

Biz2Credit logo

Business owners can visit their website and in minutes:

  • Get matched with appropriate loan products

  • Apply by securely connecting business accounts

  • Get funded as quickly as the next business day, with capital in your account even faster when selecting ACH.

For working capital needs, Biz2Credit offers lines of credit and installment loans from $5K up to $5 million. Their expanding network of bank and non-bank lending partners enables competitive rates.

I like that you receive fixed daily or weekly payments, providing predictability and control in managing cash flow while repaying the loan. For a full-service digital financing platform, Biz2Credit is a compelling one-stop solution.

LendingTree – Compare Financing Offers

As an online loan marketplace, LendingTree takes a different approach than direct lenders. Their platform lets you easily compare personalized offers from multiple competing providers.

LendingTree logo

By entering your desired loan amount, purpose, and timeline, you can receive side-by-side quotes from LendingTree‘s extensive network of lenders. Offers often include:

  • Term loans
  • Lines of credit
  • Merchant cash advances
  • SBA loans
  • Invoice financing

It‘s a helpful way to shop for the most competitive working capital financing in one place. LendingTree‘s tools filter and organize the proposals for easy comparison.

The main downside is you still have to vet each lender individually unless opting for their bundled Comparisons product. However, it‘s a convenient starting point to explore your working capital financing options.

Pipe – Data-Driven Financing

Pipe goes beyond lending, aiming to proactively optimize businesses‘ financial operations through integrated data platforms.

Pipe logo

Here are some powerful capabilities Pipe provides:

  • Cash flow management – Software providing real-time visibility into accounts, invoices, revenue, payroll, etc. to inform financing and payments.

  • Automated underwriting – Uses permissioned data to instantly qualify and value companies for capital offers.

  • Flexible financing – Revolving credit lines up to $100 million scaling with data-driven insights.

  • Built-in payments – Repayments automated as a percentage of revenue.

Essentially, Pipe embeds working capital into a holistic financial growth stack. I like their forward-looking approach assessing opportunities and risks using real-time data integration.

FoundersPath – Revenue-Based Funding

SaaS startups using recurring revenue models have unique working capital needs. Enter FoundersPath.

FoundersPath logo

Their products include:

  • Flexible lines of credit – Up to $5 million over 12-24 months

  • No equity dilution – You retain ownership

  • Revenue-based payments – Aligns costs to revenue patterns

  • Runway extension – Stretch cash to hit milestones

FoundersPath focuses specifically on bootstrapped B2B SaaS. Their technology automates underwriting using metrics like MRR and growth rate. Fast approvals and funding in as little as 5 days.

For capital-efficient founders who value control, FoundersPath provides growth capital structured to match SaaS revenue models. Their expert team guides you in effectively leveraging capital to accelerate expansion.

Uncapped – Loans for High-Growth Companies

Need significant capital to feed exponential growth? Uncapped specializes in loans up to $10 million for proven high-growth tech companies.

Uncapped logo

They offer flexible product suites tailored to different business models:

  • Revenue-based financing – For SaaS & ecommerce

  • Amazon lending – Capital based on Amazon seller revenue

  • Runway extension – Loans to bridge to milestones

While Uncapped requirements are more stringent, their loans enable rapid scaling for companies with strong metrics. No need to give up equity or control.

Underwriting is tech-enabled, with funding possible in as little as 24 hours. I‘d recommend applying if you have an established high-margin business already scaling over $100K+ MRR.

Clearco – Non-Dilutive Growth Capital

Clearco offers another take on non-dilutive growth capital for ecommerce and SaaS companies. Like Capchase, they provide an alternative to traditional equity financing.

Clearco logo

Here‘s an overview:

  • Funding up to $10 million based on growth potential

  • Payments scale up/down dynamically with revenue

  • No equity or control given away

  • Fast decisions in as little as 24 hours

  • Clear terms – fixed percentage paid until repaid

I like that Clearco provides substantial capital for growth initiatives without requiring founders to relinquish ownership through outside equity. Payments naturally scale down when revenues dip, reducing risk.

For any founder focused on retaining control, Clearco is worth considering to unlock growth. Their technology and analytics provide efficient access to significant capital based on merit and traction.

Which Option Is Right For You?

So there you have it – 10 leading providers delivering working capital through modern online platforms. Each caters their underwriting, products and customer experience to different types of companies and their growth needs.

Before applying, take time to assess your specific situation. Ask yourself:

  • How quickly do I need funding?

  • How much capital do I need?

  • What terms best fit my risk profile and projected cash flows?

  • Will financing align with my business model and values?

While there are always pros and cons to weigh, alternative lenders provide more choice than ever before. For today‘s fast-moving startups, agile financing can prove strategically invaluable at the right moments.

I hope this overview gives you a helpful starting point for securing the working capital your business needs to confidently pursue growth. Wishing you the best of luck – now go seize the opportunities before you!

Written by