Business Finance
Finance That Follows Your Cash Cycle
When money leaves the business before it comes back in, the gap is a working-capital problem — not a growth problem. It needs the right instrument.
Definition
What is working capital finance?
Working capital finance funds the operating cycle: buying, producing, selling and finally collecting. The longer that cycle runs, the more cash is tied up inside the business even when it is profitable.
Unlike a term loan repaid over fixed instalments, working capital is usually arranged as a limit you draw on and repay as collections arrive — so the cost tracks usage rather than sitting on the books permanently.
Eligibility, amount, structure, pricing and tenure are decided by the relevant lender or institution, based on business profile, financials, documentation and applicable policies.
Who may need it
Businesses this is usually considered for
- Businesses selling on credit terms of 30 to 90 days or more
- Manufacturers holding raw material and finished stock
- Distributors and traders funding inventory cycles
- Contractors and service firms with milestone-based billing
- Seasonal businesses with concentrated buying periods
Common funding purposes
What the money usually does
Inventory
Hold the stock the sales cycle demands.
Receivables
Bridge the wait between invoicing and collection.
Payroll and overheads
Keep fixed monthly outflows steady.
Seasonal peaks
Fund concentrated buying ahead of a season.
How the process works
Five steps, in the order they actually happen
Sanction and disbursement depend entirely on the relevant lender or institution and on eligibility. Our work is everything that leads up to that decision.
- 01
Understand your requirement
A direct conversation about the purpose, the amount and the timing.
- 02
Review the business & financial position
Financials, filings, banking conduct and existing obligations.
- 03
Identify suitable finance pathways
Which structures realistically fit — and which do not.
- 04
Prepare & coordinate
Documentation readiness and coordination through the process.
- 05
Move toward funding
Sanction and disbursement rest with the institution, subject to eligibility.
Documentation
Documents commonly required
- KYC of the business and its promoters
- Business registration / MSME (Udyam) documents where applicable
- GST returns and bank statements for the recent period
- Audited or provisional financial statements
- Income-tax returns of the business and promoters
- Existing loan sanction letters and repayment records, if any
- Debtor and creditor ageing statements
- Stock statement where a limit is being assessed
Requirements differ between institutions and by the structure being considered. This list is indicative, not exhaustive.
Assessment
Factors lenders consider
- Operating cycle length
- How many days cash stays locked between purchase and collection.
- Banking conduct
- Turnover routed through accounts, returns and limit utilisation.
- Debtor quality
- Concentration and payment behaviour of your key customers.
- Security
- Whether stock, book debts or property support the limit.
Enquiry
Discuss Your Working Capital Gap
Share the requirement in a sentence. We will come back with what is realistically available, what will be examined, and what to prepare.
FAQs
Questions businesses ask about working capital finance
Related finance solutions
- 01
MSME Loans
Registered micro, small and medium enterprises looking to fund working capital, expansion or business requirements.
- 02
Business Loans
Businesses that need funding for growth, operations or a specific commitment and want the requirement structured properly first.
- 03
Bank Finance & Funding Assistance
Businesses approaching banks or institutions and wanting their requirement, numbers and documents to hold together.
- 04
Property Finance
Businesses and promoters holding residential, commercial or industrial property that may support a funding requirement.
Next step
Let's Understand What Your Business Needs Next.
Tell us what you are trying to finance. Our team will help you understand the available pathway and the next steps.