Last Updated: 02/23/2026
SuperMoney User Recommendation Score -14
Mostly not recommended73 total votes
Cast Your Vote
Compare All Business Loans
Filter & compare all your options in one place.
Highlights
Community Rating
Mostly not recommended
Amount Range
$5,000 - $500,000
APR (Fixed APR)
N/A
Loan Term (Months)
3 - 13
Number of Reviews
PayPal Business Loan Review
PayPal Working capital is a business financing offering by PayPal Inc, based in San Jose, CA. Founded in 1998, PayPal Inc offers access to small business loans in 50 states (and Washington, DC).
PayPal Working capital FAQ
What are PayPal Working capital rates?
PayPal Working capital offers a fixed APR business financing product but they do not disclose their rates.
Does PayPal Working capital charge an origination fee?
No, PayPal Working capital does not charge a loan origination fee. A loan origination fee is what some lenders charge for processing, underwriting, and funding a business loan. Typically fees range from 0.5% to 5% of the loan amount. Whenever possible, go with lenders that don’t charge origination fees.
Does PayPal Working capital charge a late fee?
No, PayPal Working capital will not charge you a late fee. However, it does charge a $20 fee if a payment is returned due to non-sufficient funds.
Does PayPal Working capital charge prepayment fees?
No, PayPal Working capital does not charge prepayment fees. This means you will not have to pay additional fees if you decide to pay the business loan off early.
How much can you borrow from PayPal Working capital?
Business loan amounts start at $5,000 and go up to $500,000.
What is the maximum business loan term you can get with PayPal Working capital?
PayPal Working capital offers small business loans with terms ranging from 3 to 13 months. Having the option of longer terms allows borrowers to take on larger loan amounts while keeping monthly payments more affordable. However, the longer the term of your loan, the more interest you will pay.
What do you need to qualify for PayPal Business Loan?
PayPal Business Loan requires companies to be in business for at least 9 months. Businesses must have a minimum annual revenue of $42,000 to be considered.
Applicants with a credit score of at least 560 and up to 850 may be eligible for PayPal Business Loan. The minimum age to be eligible is 18 or the state minimum, whichever is higher. U.S. citizens and permanent resident / green card holders with a U.S. tax identification number are eligible to apply for the services offered by PayPal Business Loan.
To qualify, applicants may need to provide the following documentation:
- Proof of income
- Business formation documents
- Driver's license or other government photo ID
- Proof of identity
- U.S. tax identification number
What is the estimated funding time for a business loan via PayPal Working capital?
PayPal Working capital can fund small business loans within 7 business days.
Does PayPal Business Loan report your account activity to credit bureaus?
Yes, PayPal Business Loan reports to the following credit bureaus:
- Equifax
- Experian
- TransUnion
Making regular on-time payments to a creditor that reports to one or more credit bureaus will demonstrate your financial responsibility and may help build your credit.
Does PayPal Inc perform a hard credit pull?
Yes, PayPal Working capital performs a hard credit pull when you apply for a loan. Additionally, it doesn't provide the option to check your rates using a soft credit pull, a feature that many lenders offer.
Click here to get prequalified rates from multiple leading lenders without a hard credit pull. However, if you accept a loan offer, a hard credit pull will likely be performed.
SuperMoney Disclosure: SuperMoney.com is an independent, advertising-supported service. The owner of this website may be compensated in exchange for featured placement of certain sponsored products and services, or your clicking on links posted on this website. Read more...
Editorial Disclaimer: Editorial and user-generated content on this page is not provided or commissioned by the issuer. Opinions expressed here are the author's alone and have not been approved or otherwise endorsed by any financial institution, including those that are advertising partners.
Message from PayPal Working capital
Message from our editor
What We Love About PayPal Working Capital Loans
PayPal Working Capital is one of the simplest, quickest ways to fund a business with capital. Those who use PayPal as a payment portal can apply for a loan based solely on their transaction and relationship history with PayPal over time. This funding will be approved instantly, with only a few questions required, such as how much the borrower actually wants (based on pre-approved amounts offered by PayPal), and if they agree to repay the funds out of their sales transactions. Most accounts are funded instantly, too.
What Could PayPal Working Capital Do Better?
The options for PayPal’s working capital loans are quite limited. For example, one borrower was only given the option to borrow two different small amounts. The repayment terms are also set in stone. Borrowers won’t be able to negotiate paying less on the repayment or taking longer to get it paid off-- a certain percentage is taken from each sale until the loan is repaid, starting within the first seven days.
PayPal Working Capital Backstory
PayPal launched its Working Capital branch in 2013 as a way to help small businesses get fast access to capital so that they could continue to grow. The company has provided over $1 billion in funds to more than 60,000 small businesses in the U.S., UK, and Australia since it began. PayPal remains one of the primary financial solutions for small businesses in these countries and elsewhere around the world.
The Verdict
PayPal Working Capital is quick and easy if that’s what you need. You won’t have the flexibility in repayment terms or negotiations like you might with some lenders, but then when you need quick capital, leverage isn’t really important. All in all, we give this one a win for the quick cash and hassle-free repayment (PayPal just takes the money from your transactions as they happen, so you don’t even notice you’re repaying the loan).