Como o Shopify Capital calcula o seu empréstimo?

Table of Contents

1. Introduction
2. What is Shopify Capital?
3. How Does Shopify Capital Calculate Your Loan Amount?
4. Types of Funding
5. Applying for Shopify Capital
6. Fees and Costs
7. Conclusion
8. Frequently Asked Questions (FAQ)

Introduction

Imagine being able to inject your business with the financial fuel it needs without the grueling task of traditional bank loan applications. If this has ever crossed your mind as a Shopify merchant, then you're in luck. Shopify Capital offers a streamlined way for Shopify-based businesses to secure funding quickly and efficiently. But how does this system actually calculate your loan amount? That’s the question we’re diving into today.

In this blog post, we’ll break down the mechanics of how Shopify Capital calculates loan amounts and repayment terms. By the end, you'll have a comprehensive understanding of how to leverage this financial resource to grow your business. From eligibility and loan types to repayment structure and fees, we're covering it all.

So, let’s get started. Have you ever wondered if there's a simpler way to boost your cash flow, replenish inventory, or fund marketing campaigns? Keep reading because we’ve got some answers.

What is Shopify Capital?

Before diving into the mechanics of loan calculations, let's get acquainted with Shopify Capital. This is a financial service offered by Shopify to help e-commerce businesses obtain funding without the traditional hurdles associated with securing loans. Shopify Capital offers both loans and merchant cash advances based on your store's performance metrics like sales history.

Shopify Capital doesn’t just consider your credit score. Instead, it evaluates how well your business is performing on the Shopify platform. This makes it an accessible and tailored solution for Shopify merchants needing financial support for expansion, inventory, marketing, or operational needs.

How Does Shopify Capital Calculate Your Loan Amount?

Sales History

The crux of Shopify Capital’s loan calculation lies in your store’s sales performance. The platform evaluates your daily and monthly sales figures to determine your repayment capability. A consistent track record of robust sales improves your chances of securing a higher loan amount.

Risk Profile

Your store’s risk profile is another crucial factor. Shopify gauges the risk by looking at various elements such as customer disputes, refunds, and the overall health of your store. Merchants with fewer disputes and stable sales will likely be offered better terms and higher loan amounts.

Location and Market

Where your business operates can also impact the loan amount. Shopify Capital is available in select regions, including the USA, Canada, the UK, and Australia. Your location might influence loan terms based on market dynamics and economic conditions.

Repayment Structure

One of the unique aspects of Shopify Capital loans is the repayment structure. Instead of fixed monthly payments, repayments are a percentage of your daily sales. This dynamic approach ensures that payments are smaller during slower periods, easing cash flow pressure on the business.

Types of Funding

Shopify Capital Loans

For a Shopify Capital Loan, the platform sets a borrowing fee called the factor rate, usually ranging between 1.1 and 1.13. For example, if you borrow $20,000 at a factor rate of 1.1, you’ll repay $22,000 over time. The loan term is usually up to 12 months, and repayments are a fixed percentage of daily sales.

Merchant Cash Advances

Alternatively, Shopify offers Merchant Cash Advances (MCAs). Here, you sell a portion of your future sales to Shopify in exchange for a lump sum. For instance, Shopify might advance you $10,000 in return for $11,500 of your future sales. The remittance rate, or the percentage of daily sales that go towards repayment, depends on your risk profile and sales performance.

Applying for Shopify Capital

Eligibility

Shopify Capital uses machine learning models to determine eligibility. Factors like sales consistency, disputes, and adherence to Shopify policies play a role in this assessment. If you’re eligible, you’ll receive an invitation via your Shopify admin panel.

Application Process

The application process is relatively straightforward. Once you're invited, you’ll see three offers to choose from. Select the one that suits your needs, and Shopify’s underwriting team will review your choice. You’ll know within a few days if you’ve been approved, and funds are typically deposited into your account within 2-5 business days.

Fees and Costs

Fixed Fees

For Merchant Cash Advances, Shopify Capital charges a fixed fee instead of interest. This fee is transparent and explicitly stated when the funding offer is made, allowing merchants to understand the full cost upfront.

Factor Rates

Loans come with factor rates, meaning you repay a fixed amount over the loan term. For example, a loan of $50,000 with a factor rate of 1.1 means that you’ll repay $55,000. This structure is different from traditional interest-based loans and provides clarity on repayment amounts from day one.

No Hidden Fees

One of the advantages of Shopify Capital is the absence of hidden fees or early repayment penalties. This transparency allows business owners to plan their finances more effectively without worrying about additional expenses down the road.

Conclusion

Shopify Capital is an innovative financing solution tailored for Shopify merchants. By considering your sales history, risk profile, and business health, Shopify Capital provides a dynamic way to access the funds necessary for growth and expansion. The flexible repayment structure, based on daily sales, and transparent fee system make it an attractive alternative to traditional loans.

If you're a Shopify merchant looking to boost your capital without the hassle of typical lending processes, Shopify Capital might be the key to unlocking your business's next stage of growth.

Frequently Asked Questions (FAQ)

1. Who is eligible for Shopify Capital?

Eligibility is determined by an automated process that considers your sales history, risk profile, and adherence to Shopify policies. You will receive an invitation through your Shopify admin if you qualify.

2. How long does it take to get the funds?

Once approved, funds are typically deposited into your business bank account within 2-5 business days.

3. What are the fees associated with Shopify Capital?

For Merchant Cash Advances, there are fixed fees. For loans, a factor rate applies, which determines the total repayment amount. There are no hidden fees or early repayment penalties.

4. How are repayments structured?

Repayments are a fixed percentage of your daily sales. This means that during slower periods, your repayments will be lower, easing cash flow pressures.

5. Can I apply for another loan before repaying the first one?

Yes, if you’ve repaid at least 65% of your existing loan, you might be eligible for additional funding offers.

Understanding how Shopify Capital calculates your loan can give you the confidence to leverage this financial resource effectively. With a clear grasp of eligibility, fee structures, and repayment terms, you can make an informed decision that suits your business’s unique needs.