Business Loans

Working Capital Loans

Business Loans

Having the right amount of cash on hand is fundamental for business success. Enter working capital loans – the financial lifeline that keeps your operations running smoothly. In this blog post, we'll dive into working capital loans, why your business needs them, and how to secure one to propel your growth.


What Are Working Capital Loans?


Working capital loans bridge the gap between your business's short-term assets and liabilities. Simply put, they provide the cash injection needed to cover everyday expenses like payroll, inventory, and operational costs. Consider it as the fuel that keeps your business engine humming.


Why Does Your Business Need Working Capital Loans?


  • Smooth Sailing Through Cash Flow Hiccups:

    • Ever faced a situation where you have orders pouring in, but your suppliers need payment upfront? Working capital loans ensure you have the cash flow to handle these situations.


  • Seasonal Surges and Dips:

    • Businesses often experience seasonal fluctuations. Working capital loans act as a financial safety net during slow seasons, allowing you to keep the lights on and employees paid until business picks up again.


  • Seizing Growth Opportunities:

    • Opportunities don't wait, and neither should you. Whether it's expanding your product line, opening a new location, or investing in marketing, working capital loans empower you to grab those growth opportunities with both hands.


How to Secure a Working Capital Loan 


  • Assess Your Needs:

    • Before diving in, assess your business's working capital requirements. What are your short-term financial needs? Knowing this helps you determine the loan amount required.

  • Credit Profile:

    • Lenders love a trustworthy borrower. Ensure your business credit profile is in good shape by paying bills on time and managing outstanding debts responsibly.

  • Gather your documents:

    • Gather documents such as bank statements and financial statements so that the lender can assess your financial health. Lenders will want to see that the business generates consistent cash flow and may ask for an explanation for fluctuations. 

  • Loan Options:

    • Explore various lenders – traditional banks, online lenders, or government-backed programs. Each has its perks, so cast a wide net to find the best terms for your business. If you want a speedy credit decision with fast drawdown, digital lenders such as Santiago SME Finance are your go to. 


Working Capital Loans: Your Business's Financial Ally


In the fast-paced world of business, having sufficient working capital is the secret sauce for sustained success. Working capital loans empower you to navigate cash flow challenges, capitalise on growth opportunities, and keep your business thriving.

So, if you're ready to take your business to new heights, consider a working capital loan – your key to unlocking a world of financial possibilities. Seize the day and propel your business forward with the cash flow it deserves! 


Santiago SME Finance provides working capital loans to SMEs in Ireland. We provide two loan products; merchant advance loans and business term loans. 


What working capital loan options are there in Ireland? 

  • Traditional Bank Loans:

    • AIB and Bank of Ireland offer working capital loans to businesses. These loans may have fixed or variable interest rates and typically require collateral and a detailed business plan.*Please contact them directly for the most accurate and up-to-date information. 

  • Government-Supported Loan Schemes:

    • The Irish government, through agencies like Enterprise Ireland or the Strategic Banking Corporation of Ireland (SBCI), may offer support programs or guarantee schemes to help businesses access working capital.

  • Credit Unions:

    • Credit unions in Ireland may provide working capital loans to small and medium-sized enterprises (SMEs). 

  • Online Lenders:

    • Online lending platforms, such as Santiago SME Finance, offer working capital loans to businesses in Ireland. These lenders often provide a quick application process and may have more flexible eligibility criteria compared to traditional banks. We provide a credit decision in 24 hours once we have received a completed application from the business. 

  • Peer-to-Peer Lending:

    • Peer-to-peer lending platforms connect businesses with individual investors who are willing to lend money. This can be an alternative to traditional banking, with potentially more lenient terms. Your business profile may be publicly listed on the platform so this may be an issue to consider for businesses wishing to retain a more private profile. 

  • Invoice Financing:

    • Invoice financing allows businesses to get an advance on their outstanding invoices. This can be a useful option to improve cash flow by receiving funds before customers pay their invoices.

  • Trade Credit:

    • Negotiating extended payment terms with suppliers or using trade credit can provide a form of working capital financing. This allows businesses to hold onto cash for a longer period before paying their suppliers.

  • Merchant Cash Advances:

    • Santiago SME Finance provides merchant cash advance loans, which involve receiving a lump sum in exchange for a percentage of future credit card sales. This is a quick way to access capital, with minimal documents required for an application. 

Before choosing a working capital loan option, it's crucial for businesses to carefully evaluate their financial needs, consider the terms and interest rates, and ensure that the chosen financing solution aligns with their business goals. 


Working Capital Loan Requirements 


We accept applications from SMES in a variety of industries such as professional services, e-commerce, hospitality, health and wellness, retail, trades, and franchises.


The minimum criteria that we ask for is:

  • You must generate revenue from credit/debit card or online sales to be eligible for a merchant advance loan 

  • You must be an Irish CRO registered limited company

  • Minimum 1 year in business

  • Directors must be over 18 years old


Please accompany your application with:​

  • 6 months merchant / bank statements 

  • Tax clearance cert 

  • 2 years financial statements (term loan)


We also use open banking to ensure that this process is as seamless as possible.



Working Capital Loan Interest Rates: 


Interest rates for working capital loans vary from lender to lender. At Santiago SME Finance, our rates are very competitive for the alternative unsecured lending market. Get in touch with us today at +35315766810 to find out more.