oboloo Glossary

Liquidity Finance

oboloo Glossary

Liquidity Finance

Liquidity finance is the process of raising money to support current and ongoing business activities. By using liquidity finance, businesses can borrow money to cover short-term costs such as day-to-day operational expenses, pay suppliers, purchase new inventory, or meet payroll demands. It takes many forms, including lines of credit, loans, credit cards, invoice financing, and asset-based lending. The aim of all these tools is to provide quick access to cash flow when needed, helping businesses stay afloat. Liquidity finance plays an important role in keeping a business running and provides a sense of financial security, providing businesses with the flexibility they need to stay agile and competitive in their respective markets.