By moving into working capital lending, PayPal is going head to head with other online services that are targeting the same kind of business and the same kind of customer and the same pain point: expensive banks that move too slow in the lending process. For example, companies like Kabbage, which advances online merchants money and even uses merchants’ PayPal histories, among other things, as part of its credit profiling algorithm. In the U.S. it also competes against the likes of Square, another payments platform that has moved into cash advances recently.

http://techcrunch.com/2014/07/22/paypal-working-capital-uk/?ncid=rss