Square Capital Expands SMB Loan Access To Third Parties

Invoice2go and Square Capital announced late last week they inked a partnership in which Invoice2go customers can access funding from within the Invoice2go app.

In a press release, the companies said the partnership marks the first time Square Capital, the small business loan program developed by Square, has inked a partnership in which customers get embedded access to business loans via a mobile app. “By partnering with Invoice2go, via our new APIs, we can now bring the end-to-end loan application experience directly inside their mobile app,” said Nicolas Chinot, product manager at Square Capital, in the press release. “This integration enables us to meet small businesses right on the phone or tablet where they manage their business, and goes even further in taking the ‘work’ out of applying for funding.”

According to the companies, Invoice2go will be able to access loan offers ranging from $500 to as high as $100,000. With more than half of the company’s customers in building and home services industries, the partnership with Square Capital should improve access to financing for those that are working on large home improvement projects. Contractors can apply for funding to cover up-front expenses to get the jobs started quicker.  What’s more, small business owners won’t have to fill out long forms or wait long periods of time to find out if they are approved. They can start the application in the Invoice2go app and upon approval receive the funds into their accounts as soon as the next business day. Repayment is automatic, noted the companies in the press release.

“Access to capital can be the largest obstacle standing in the way of growth for many small businesses. In fact, according to a Federal Reserve survey, a staggering 70 percent of small businesses that apply for traditional loans do not receive the funding they want,” said Greg Waldorf, CEO of Invoice2go, in the press release. “Partnering with Square Capital means we can help more one and two-person businesses access the funding they need to buy equipment, invest in marketing, hire staff, or invest in anything else their business needs to grow.”


New PYMNTS Report: Preventing Financial Crimes Playbook – July 2020 

Call it the great tug-of-war. Fraudsters are teaming up to form elaborate rings that work in sync to launch account takeovers. Chris Tremont, EVP at Radius Bank, tells PYMNTS that financial institutions (FIs) can beat such highly organized fraudsters at their own game. In the July 2020 Preventing Financial Crimes Playbook, Tremont lays out how.