Does your event business need a boost? Do you have a list of inventory you’d like or need to buy? 

We checked, and money still does not grow on trees. But besides budgeting and raising your prices, there are other ways you can grow your business. One of them is considering financing through Stripe Capital. These short-term capital loans and merchant cash advances can help you take on VIP clients, expand inventory, and comfortably get through the slow season.

Is Stripe Capital financing for you? Read on to learn about eligibility requirements, approval processes, and repayment options, so you can decide if it’s right for your business.

When Should You Consider Stripe Capital Financing?

Deciding to take a loan or merchant cash advance is a big decision, and depends on your business’s financial situation. Are you just looking for some quick cash, or do you need some funds to help shore up your inventory or support a big new client?

We see a lot of Goodshuffle Pro users who are hesitant to take on financing unless they have a specific reason with a clear ROI. But if you do have a clear use case for your business, Stripe Capital financing could be a good choice.

Are You Eligible?

If you’re eligible to apply for Stripe Capital financing, you should have received an email from Stripe Capital and Goodshuffle Pro. To qualify, you must:

• Be based in the US. Funding may also be restricted in certain states due to local rules and regulations.
• Have processed payments on Stripe for 9 months or more. (If you use Goodshuffle Pro to process credit card payments, you’re already using Stripe.)
• Have a processing volume of 5,000 USD minimum per year.
• Be in good standing with Stripe Capital. If you’ve received an email offering you financing, you’re good to go.

Of course, meeting these minimum criteria doesn’t guarantee you’ll qualify for a loan or merchant cash advance offer. Stripe Capital also considers other aspects of your business, including:

• Is your business growing?
• Do you have a steady processing record?
• Do you have a large customer base?
• Do you have a low dispute rate?

 To stay up to date on the latest eligibility requirements, visit Stripe’s eligibility page.

What’s the Approval Process Like?

Personal credit checks aren’t required for Stripe Capital loans, but the merchant cash advance program involves a soft pull on consumer credit of the business representative. Your personal credit won’t be impacted if you take financing, but this is just something to be aware of as you consider applying.

For loans, Stripe Capital follows an “underwriting model,” or risk analysis. Essentially, the more transactions you process on Stripe, the steadier and higher your processing volume will be, which increases your chances of receiving an offer.

In addition to shifting your transactions from other payment sources onto Stripe, an upward financial trajectory makes you a good candidate. Keeping disputes to a minimum helps, too.

Pro Tip: In Goodshuffle Pro, you can track your finances alongside your inventory and projects. That way, you’ll always know what your cash flow looks like.

How Does Financing Selection Work?

If you’re approved for a loan or merchant cash advance, you’ll be able to select from various offer offer amounts. These amounts are based on your transaction history, so you’ll have already demonstrated you can make payment toward them. Your offers will display their respective fees and rates (more on that soon).

If you’d like to choose a custom financing amount, Stripe Capital will automatically calculate those fees and rates for you.

What About Interest and Fees?

Loans and merchant cash advances without interest are few and far between, but Stripe Capital loans is one of them. You’ll receive your payout quickly, and you’ll only pay the flat fee you accepted during the financing selection stage.

Kristen-Bender-Daaboul-1

“My company was offered a last minute job for a major celebrity. It was the opportunity of a lifetime for a small business like mine, but serving all their needs in terms of inventory and staff required some upfront cash.”

Kristen Bender Daaboul

Kadeema Rentals

What Does Payment Toward Financing Look Like?

After you’ve accepted your loan or merchant cash advance, you’ll see your “payment toward financing rate” listed as a percentage. This percentage represents the amount that will be deducted from each payment you receive through Stripe. 

This means your pay toward rate will be based on the transactions processed. You pay back more during the busy season, and less during the slow season. 

You’ll have a minimum amount due each repayment period, and if the total amount that you repay through sales doesn’t meet the minimum, you must pay the remaining amount at the end of the period.

Once your loan is repaid, you’ll automatically be evaluated for another loan. Each loan offer is valid for 30 days, after which your account will be reevaluated for another loan. You are at no point obligated to accept a loan, and accepting a loan will neither guarantee nor disqualify you from a future loan offer. In other words, there’s no pressure to accept a loan.

Is Stripe Capital Financing For You?

Stripe Capital financing has benefited many Goodshuffle Pro users — by allowing them to take on VIP clients with high up-front costs, to help during transitional times, and to expand their inventory offerings, which in turn allow them to make more money. A finance offer from Stripe Capital could just give your event company the boost it needs to succeed.

If you want more information or have any questions, check out our Stripe Capital financing FAQ.

Stripe Capital offers financing types that include loans and merchant cash advances. All financing applications are subject to review prior to approval. In the US, Stripe Capital loans are issued by Celtic Bank, and YouLend provides Stripe Capital merchant cash advances. See your Dashboard for the terms of your offer.