Square Loans and COVID-19

[Laura123]

We thank you for your patience during these difficult times. We understand the challenges you have faced and are proud to partner with a business as resilient and flexible as yours.

As you may have heard, eligibility for loans through Square Loans was paused temporarily so we could address how COVID-19 has impacted our sellers’ businesses, as well as our own. As of now, some business markets have stabilized so we can responsibly provide access to loans to some businesses once again.

COVID-19 definitely forced us to take a step back and recognize how this virus changed how our sellers do business. New signals and criteria are consistently incorporated into our lending models to ensure we can best serve you. Eligibility and offer sizing for loans through Square Loans is based on a variety of factors related to your Square account, including payment processing volume, account history, and payment frequency. More details on eligibility and offer sizing for Square Loans loans can be found here.

If you do not currently have an offer available for a loan through Square Loans, please know that we will continue to check your eligibility on an ongoing basis. If you’re eligible for a new loan through Square Loans, you’ll be notified directly on your Square Dashboard and via email.

[fablashbobo]

you haven't received new offer since you just paid off recent loan ?

[585Print]

Nope still nothing.  We solely used Square for payments for the past month hoping for a better offer.  Our square sales were 20x the previous month when we were offered a small loan.

[Laura123]

Hey @newsandinfo , thanks for your question! We appreciate you reaching out and your
patience during these difficult times. 

While offers through Square Capital may be available to some businesses, we are still actively making updates based on the current state of COVID-19 and changing public health guidelines. The status of restrictions and reopening in your location and industry may impact your eligibility.

We understand that the current situation is very uncertain and changing rapidly. For this reason, we are unable to provide specific examples of these restrictions. 

We know that funding is important to businesses now more than ever, and we are continually re-evaluating your account on a daily basis to determine if you’re eligible to receive another loan through Square Capital. So far, there have been various industries and states that have recovered and will start to see offers appear. We will continue to check your eligibility on an ongoing basis, so check back regularly for any updates. If your business becomes eligible, you’ll be notified directly on your Square Dashboard and via email.

If you’re looking for other potential sources of funding, you can also visit this list of national and state business financing resources that we’ll continue to update.

Please feel free to contact us directly if you have any other questions! 

[Jblack2327]

YEP IM DONE! BYE SQUARE!!!! Just ready to get this paid off and I’m done! I am

tired of y’all’s BS responses! I AM OVER you abandoning long term customers!!! ✌🏼✌🏼✌🏼✌🏼

[Soulsquad]

Man I hope when this was me, I didn’t sound like this. You gotta change your mindset, I was the same way, just keep doing business, once I stopped working about when I was gonna get a capital loan, I realized they are great and needed, but crutches, surely your business didn’t start with Square capital and square Capital won’t end it;,good luck to you all

[585Print]

It's not a crutch for everyone.  I use Square instead of a traditional bank.  I use Square capital loans for investing in new equipment and growing my business.  Without using a traditional bank I can't get other funding or lease new equipment (many lenders say they may start using Square sales in the future).  Up until now this wasn't an issue because Square capital loans were perfect for us.  I don't need the loans to survive, I use them for capital investment in my business, which is what they are intended for.  

[Soulsquad]

I get, I use it as a bank as well, but I'm saying I had to change my mindset. Covid wasn't foreseen by us; I understand how frustrating the algorithm is, but change Is the only constant in business, gotta continually pivot, if nothing else Covid has taught us that. My philosophy is to keep moving, no matter what, if what you've been doing isn't working anymore, Gotta move to the next part of your story. Square capital has been Great, and then not so great, then Great, so as most business, they pivot. Ultimately in MY EXPERIENCE, the benefits have outweighed the issues, the loans have helped me grow business, hire people, compete for contracts I wouldnt have been able to; Ive have big months and no offers and small months and offers, so as I keep moving, I'm confident another Offer will come exactly when its supposed to. Peace and Good Vibes!

[southlakeCPA]

yes

[AshlyKayes]

In VA as well...loan has been paid off for over a month, was paid off early, business is good, and no new loan offer. 

[ianssoph]

Has anyone received a capital offer in Arkansas?

[AshlyKayes]

My loan has been paid off in full for over a month. It was paid off early and we have not dipped in our sales. When is there going to be more funding options available? I'm to the point of needing to establish a processing relationship with another company if this is not going to open back up any time soon. Tried calling customer support, literally read a response from a page and was no help at all.

[Soulsquad]

We got one a month ago, almost paid in full; just keep processing, you’ll drive yourself crazy wondering and waiting; it will magically appear. Watch! Good luck to y’all 

[Jblack2327]

So over their generic responses blah blah I’m just ready to be paid off and MOVE ON! I am done supporting a company who has abandoned good, loyal, long time clients!! BYE BYE SQUARE 

[585Print]

I think I'm with you on switching.  I did get a Square capital loan a month ago.  It was very small.  I started using another payment processor during the summer because Square stopped offering capital loans.  After I was surprisingly offered a loan from Square, I started using them again for all of my payment processing.  I have paid off this small loan 100% last week and have 20x more sales with them over the past 30 days.  I still don't have another offer.  Square seems to be very random in offering loans... I have to believe they aren't offering loans again.  How can I be eligible one month with barely any sales with Square, but not eligible the next month with 20x more sales (about $20k in sales)?

[Jblack2327]

Yes I’m done I have always had new loan offers and I always pay my minimum way in advance! May I ask who you use now???

[Jblack2327]

And has the bee processor offered you any loans? PayPal business doesn’t look at you til you’ve been business account for 90 days 

[Jblack2327]

New* not bee lol 

[585Print]

I started using Stripe during the summer.  All processors want you to build a relationship before they offer you a capital loan.  I should have stuck with Stripe.  I don't recommend Paypal.  I used them a few years ago.  I would read the horror stories of businesses getting their funds held by Paypal for no reason for up to 3 weeks.  Then if finally happened to me twice with 3 months.  They hold your funds for the full 21 days for "security reasons".  That's when I left Paypal and found Square.  I've been very happy with Square until this lack of/ random capital loan mess... if a business is making sales, that's all that should matter.     

[Jblack2327]

Yep it just happened to me! 

[Jblack2327]

Do you like stripe???

[585Print]

Stripe is fine, but the funds get deposited into your bank account and it takes a couple days.  I like Square (and Paypal) because the funds are available instantly.