Backing Australian SMBs: PayPal delivers AU$1.5 Billion in flexible financing to 13,000 businesses across 60,000 loans
PayPal Australia today announced a major milestone for its PayPal Working Capital program. Since its launch in 2014, PayPal Working Capital has supported more than 13,000 Australian business owners by granting nearly 60,000 loans and providing over AU$1.5 billion in financing.
This milestone underscores the demand for fast and flexible alternative financing options that help Australian small businesses access the capital they need. With PayPal Working Capital, loan amounts are primarily based on a business’s PayPal sales history, allowing most approved businesses to receive funding within minutes. There is only one fixed fee agreed at the start of the loan and repayments automatically adjust in line with daily sales, making it simple and flexible for business owners.
Andrew Toon, General Manager of PayPal Australia, said, “Many small businesses in Australia find getting a loan from a bank extremely difficult. PayPal Working Capital removes many of those barriers with a fast, simple online application that requires no collateral and has no impact on credit history. This means our business customers can access the funding they need without lengthy delays or the risk of raising a loan against their home as surety.”
Capital Challenges Continue to Hold Australian SMBs Back
While Australia’s small businesses demonstrate resilience and adaptability, many are navigating a complex economic environment. According to PayPal’s 2025 eCommerce Index, the state of the economy remains the leading concern for SMBs (49%), with concerns around rising operational costs (44%) and reduced consumer spending (43%) also putting pressure on their ability to grow.
One of the most significant hurdles for SMBs is access to capital. Two-thirds (67%) of Australian small businesses say they’ve missed out on revenue opportunities because they couldn’t access timely funding. Without the right financial backing, businesses can struggle to hire new staff, invest in innovation, or expand into new markets. Capital doesn’t just help businesses stay afloat - it enables them to evolve, compete, and thrive.
How PayPal Working Capital Works
PayPal Working Capital offers a level of flexibility seldom provided by traditional lenders, helping SMBs maintain cashflow during uncertain times. With PayPal Working Capital, there is one fixed fee that is agreed upon when the business applies. There are no late fees or penalties for early repayment or one-off repayments.
The fixed fee is determined by three factors: the amount borrowed, the business’s PayPal sales history, and the repayment percentage chosen by the business.
Repayments are then based on the performance of the business and are automatically adjusted in relation to the volume of sales made via PayPal. This means that that if a business has a slow sales day, a smaller repayment can be made, easing pressure on cash flow and giving small businesses greater flexibility to manage their finances, while meeting minimum repayments.
For information on PayPal Working Capital visit www.paypal.com/au/workingcapital.