Square Capital Offers Next-Day Business Cash Advances
Need quick access to funds for your business? Trying to get an advance can be a slow and painful process, but Square wants to help.
The mobile payment company, best known for a small plastic credit card reader that plugs into the audio jack of iOS and Android devices, on Wednesday officially launched Square Capital, a cash advance program intended to give businesses quick access to funds.
“Independent businesses have historically faced high hurdles when trying to get capital, often forced to spend months filling out massive amounts of paperwork and navigating complicated application processes,” Square wrote in a news release. “With Square Capital there is no application process, and businesses get their money as soon as the next business day.”
Paying back the loan should also be hassle-free. You’ll automatically pay Square a set percentage of your daily card sales, so you’ll pay more when you’re busy and less if business dies down. Even better — the cost of the loan never changes, regardless of how long it takes you to pay Square.
To become eligible for Square Capital, you’ll first need to download and use Square Register for either iOS or Android. You can’t actually request an advance, but Square will reach out to prospective businesses that might be good candidates, based on their processing volume and history with the company.
“Square can offer capital to a wide array of young companies with high-growth potential — something that many financial institutions do not do,” the company said. “Square’s data enables a holistic and real-time understanding of a business’ sales history, growth, cash flow, and financial needs. With Square Capital, businesses will sell a specific amount of their future card sales to Square and in return the seller will receive a lump sum payment.”
Source: http://www.pcmag.com/article2/0,2817,2458652,00.asp
