Virtual Piggy Inc. has taken out an aggressive short-term loan, one which includes the possibility of lenders taking a stake in the company.

The Hermosa Beach creator of Oink, a kid-friendly online payment system, has taken a $1 million loan from two undisclosed investors, according to a filing with the Securities and Exchange Commission. The deal, which is structured as a venture-debt arrangement, carries a provision for the lenders to purchase 75,000 shares of stock at 1 cent each and an additional 100,000 shares at $1 each.

Shares of Virtual Piggy, which trade on the Over the Counter market, closed at $1.01 on Dec. 31.

The loan has a relatively high 10 percent interest rate and will mature at the earliest of three events: the sale of $3 million worth of stock, the acquisition of the company or Feb. 28.

These types of venture-debt deals are typical of firms in need of quick cash; they often function as a stopgap measure to keep operations running or indicate a coming expenditure such as an expansion.

A spokeswoman for Virtual Piggy did not return requests for comment. But co-founder and Chief Executive Jo Webber has indicated there are plans to significantly grow the company in 2014, including bringing its payment system into brick-and-mortar stores..

Virtual Piggy runs an online payment system where kids make parent-approved purchases at partner sites including K’nex and Toys R Us. It generates revenue by taking a percentage from each transaction.

In its most recent quarterly report, the company said it had $2.7 million in cash on hand. It also said that its operations had been financed “through private placement offerings of equity and debt securities,” adding that the company did not have a line of

credit or term loan agreements with any financial institutions.

Among the company’s backers is billionaire investor John Paul DeJoria, co-founder of the Paul Mitchell hair care product line. His family trust controls 8.6 percent of the company.

Virtual Piggy is coming off a turbulent year.

Last month, the company announced it was rebranding its payment system as Oink. Executives explained that the new name has greater appeal for teens, which have becoming an increasingly important part of the company’s user base.

That move also highlights the company’s need to generate revenue. Virtual Piggy reported revenue of $1,382 and a loss of $5.3 million for the quarter ended Sept. 30.