A working capital loan is a loan that has a fixed repayment schedule and a fixed interest rate. A working capital demand loan has no fixed repayment schedule and a variable interest rate. The interest rate of a working capital loan is usually lower than a working capital demand loan, as the lender has more certainty about the repayment.
Some examples of working capital loans are Term Loans, business lines of credit, invoice financing, and business credit cards. Some examples of working capital demand loans are packing credit, invoice factoring, and warehouse financing.