Working capital loans are facilities provided by banks to help business people improve and enlarge their businesses by providing soft loans. Not much different from other types of bank loans, working capital credit borrowers also have to pay installments plus interest every month until the loan is paid off.The main benefit of working capital loans is to increase sources of capital, so that the business will run smoother. The additional capital also allows entrepreneurs to expand their business or open new locations.However, before applying for a working capital credit loan, entrepreneurs must be able to analyze and make predictions for their business whether it is possible to increase working capital or not.