Applying for small business financing through traditional channels can be overwhelming – and may involve endless stacks of paperwork. Not to mention that after all that time and effort, there’s no guarantee that you’ll be approved.
That’s why we offer Square Loans – a program designed to take the headache out of the business financing application process.
If we spot that you’re eligible to apply for a loan through Square Loans, we might proactively reach out to you (via email and in your Square Dashboard ) with a customised loan offer. You will be offered the amount of financing that we believe your business can support.
If you apply for a business loan, we’ll do a quick review to confirm that your business is healthy and you’re in good standing with Square. Upon approval, the money will be transferred into your bank account as soon as the next business day.
Our sophisticated tools are running every single day to find sellers who would be a good fit for offers through Square Loans. To date, over $8 billion in financing has been extended globally through Square Loans to over 435,000 independent businesses using Square.
So how do we determine if you may be eligible for a loan through Square Loans?
We look at many factors to determine who we can extend loan offers to. Key among those factors are:
Processing volume: In general, we look for businesses that have processed at least $10,000 or more in a year. So the more you process with Square, the better.
Recent payments: How recently have you taken a payment? One of our indicators is whether you’ve taken a payment at least once in the last week.
We also look at factors such as:
Your history with Square: Seeing your history with Square helps us spot trends and understand how your business might grow in the future.
Your activity level: Are you an active Square seller? The number and frequency of payments matters, too. If you take a lot of payments often (say, every week), you’re more likely to get noticed.
Your customer mix: Do you have a mix of new and returning customers? A diversity of new and returning customers shows us that you’re growing in different ways. You can use Square’s analytics tools to get a grasp on your mix of customers.
The goal of Square Loans is to help promising sellers grow their business (minus the friction of traditional financing programs). We’re here to help.
Learn more about Square Loans.
This article is for informational purposes only and does not constitute legal, personal, or tax advice. The information contained herein is subject to change and may vary from time to time. For specific advice applicable to your business, please contact a professional.