Spectora has partnered with Stripe to offer eligible US businesses access to fast, flexible financing through the Stripe Capital program.
Stripe Capital is a flexible funding option that helps businesses grow by providing quick access to financing. Designed with simplicity in mind, Stripe Capital allows you to borrow funds based on your business’s performance and repay them automatically as you earn.* Whether you're looking to invest in new equipment, expand your operations, or cover unexpected expenses, Stripe Capital offers a convenient way to access the capital you need without the lengthy approval processes of traditional loans.
In this article, we'll explore how Stripe Capital works and how it can benefit your business.
How do I know if I am eligible?
The criteria for eligibility is based on a number of factors including your transaction volume and history with Spectora Payments. Users are automatically reviewed for eligibility on a daily basis by Stripe who will then send you an offer email if your business qualifies.
What offers are available?
If eligible, you’ll receive an email with your personalized offers, and you can choose the one that works best for your business. Each offer will outline:
The financing amount: the dollar amount that will be deposited into your bank account
The flat fee: the fee you’ll pay over time in exchange for the financing amount – there are no other fees and or compounding interest
The total amount owed: the sum of the financing amount and the flat fee
The repayment rate: the percentage of your daily card transactions processed through Spectora that will be withheld to repay the total amount owed.
Here’s an example offer you might receive:
If you accepted the example offered above and were approved, you would receive 17,000 USD in the bank account associated with your Spectora Payments account within 1-2 days along with your usual payout. Stripe would then withhold 12% of your daily transaction total in addition to the usual processing fees until you’ve paid down the total amount owed of 18,700 USD (the 17,000 USD advanced plus the 1,700 USD flat fee).
Important Information for Capital Repayment
You’ll automatically repay the financing over time through a percentage of your transactions according to your repayment rate. The repayment process will begin automatically 1-2 business days after the funds have been deposited into your account.
The more card sales you process through Spectora Payments, the faster you’ll repay.
If you would prefer to repay faster or repay the entire outstanding balance, you can arrange to make a manual payment in addition to the withheld amounts.
To make an additional manual payment, click the ‘Make Payment’ button on your loan overview page on your Spectora Payments Stripe Dashboard.
There are no additional fees for early repayment.
Repaying early does not guarantee subsequent financing offers.
Accounts are automatically reviewed for additional offers on a daily basis, and we’ll send you an email if you qualify for any additional offers.
You’re expected to repay a minimum amount every repayment period.
That period will be determined during underwriting and based on the total term of your loan offer.
If the total payments deducted from your sales cover the minimum payment requirement, then you’ll continue to pay back your loan through a percentage of your transactions.
However, if payments deducted from your sales over that period happen to fall below the minimum payment requirement, you’ll be required to pay the remaining amount.
Stripe automatically debits your bank account or account balance for the balance needed to meet your minimum payment.
You can view your minimum payment amount in the Dashboard or in your loan agreement.
To see a daily summary of your repayment progress, see the loan overview page.
Support for Stripe Capital
For more information about Stripe Capital contact the Stripe support team which can be reached at capital-support@stripe.com. We do have an FAQs page available for your convenience.
Click here to see our Frequently Asked Questions article about Stripe Capital!
Loans are issued by Celtic Bank and powered by Stripe. All loans are subject to credit approval.
*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, your account will be automatically debited the remaining amount at the end of the period
