Working capital finance is business finance intended to boost the working capital available to a business. It’s often employed for specific growth projects, such as taking on a bigger contract or investing in a new market. Different businesses use working capital finance for various purposes.
However, the general idea is that using working capital finance frees up cash for expanding the business, which will be recouped in the short- to medium-term.
Cash flow concerns are a significant cause of why several enterprises, especially small-scale ones, strive to grow or even survive the competition. Matters get worse when most of your customers delay payments.
Such a long duration is bound to overstrain your company’s liquidity, tying your hands from undertaking new projects or addressing necessary expenditures. OXYZO offers working capital finance for businesses to meet their working capital requirements and buy equipment/rawmaterials.
Advantages Of Working Capital Finance
Getting funds on time can make a world of difference in any business. Assume you have received a massive order from a client, but you have been given only a week’s deadline to deliver.
Now, you will need to employ excess resources to its realization, which will require a substantial influx of cash. In that regard, leading financial service providers like OXYZO can help avail finance for purchasing equipment.
Another crucial advantage of working capital credit is you can get up to two crores. What’s more? You can use the loan to meet a host of business expenses, from operational overheads to salaries to restocking inventory.
The flexibility in usage and their high-value will boost working capital management considerably.
The simple loan disbursal process is one reason why working capital credit is an ideal solution for a growing enterprise’s credit needs. All you need to do is register, upload your company’s details, and receive funds in your account, all within 1 – 3 days.
The hassle-free, digitized process offered by financiers like OXYZO makes it possible to turn to working capital credit for your company’s working capital needs, time and again.
You do not need to pledge any asset to acquire funds. It’s sanctioned simply against your credibility to repay the credit. Thus, it leaves behind no risk of asset liquidation.
Availing credit from banks can often become challenging, owing to factors like stringent eligibility criteria, lengthy documentation, and processing period. You can turn to working capital credit for bypassing such challenges and ensure that your company’s working capital needs are adequately met.