The one drawback of opening up a store on sites like eBay and Etsy is that raising working capital from banks is extremely difficult. These stores are not yet regarded as small businesses by the financial community. And that even applies to the ones which are wildly successful.
Enter Kabbage. This new site offers online merchants a chance to get the capital that they wouldn?t qualify for otherwise.
This is done by analyzing the online activity of the merchant over time. His whole sales and credit history are gone through, and so are the prices that he charges in relation to his competitors. Based on that information, Kabbage will inform the merchant of how much of a credit advance he is eligible for, and (if he agrees with that amount) he will receive the money via PayPal.
Something very commendable is that an actual analysis is carried in no time at all. Any merchant will have his whole financial selling and credit history assessed in little more than a couple of minutes.
Kabbage.com In Their Own Words
Kabbage provides working capital to help you grow your online business.
Why Kabbage.com It Might Be A Killer
Until financial institutions place online sellers in the same plane as actual businesses, a system like Kabbage will let their owners have access to very same set of opportunities.
Some Questions About Kabbage.com
Are there other companies rendering similar services? Or is Kabbage the first of its kind? 
