The five most common reasons why an application for PayPal Working Capital is denied are:
You don’t meet the basic requirements. Maybe you don’t have at least three months of PayPal sales history or don’t have the minimum sales volume.
The loan amount you’re seeking is too high relative to your sales volume.
There are too many customer returns or disputes on your PayPal history.
There was a bug in the PayPal Working Capital algorithm.
You had trouble paying back a previous PayPal business loan.