A merchant cash advance is a lump sum of money that you can apply to receive for a fixed fee. You pay Shopify Capital a percentage of your daily sales until the total amount is paid.
For example, Shopify Capital might advance you $5,000 to for $5,650 paid from your store’s future sales, with a remittance rate of 10%. The $5,000 amount received is transferred to your business bank account, and Shopify Capital receives 10% of your store’s gross daily sales until the full $5,650 total to remit has been remitted. After you remit over 25% of your total to remit, then you have the option to remit the remaining balance in a single lump sum.
There is no deadline for remitting the total to Shopify Capital. The daily remittance amount is determined by your store’s daily sales, because the remittance rate is a percentage of your store’s daily sales. The remittance amount is automatically debited from your business bank account.
Shopify Capital offers funding amounts between $200 to $2,000,000 USD or $200 to $2,000,000 CAD. The total to remit and remittance rate depend on your risk profile.
Request a merchant cash advance
You can view your funding offers and request a merchant cash advance directly from the Capital page of your Shopify admin.
On the Capital page, there are different funding options. Compare the terms of the funding options, and click Request beneath the one that you want.
The terms of each option will include the amount received, the total to remit that Shopify Capital will buy, and the remittance rate that will be deducted from your daily sales and remitted to Shopify Capital.
In the Review and accept terms dialog, carefully review the Terms and conditions section, and then click Shopify Capital Agreement to open it in another browser tab.
Carefully review the terms of the Shopify Capital Agreement and the Pre-authorized debit agreement if you are in Canada. If you agree with the terms, then go back to the Review and accept terms dialog, and click Accept terms.
Once you have accepted an amount, if you are in Canada and want to change your bank account for Shopify Payments payouts and your remittances, then you need to contact support to complete a new pre-authorized debit agreement.
Your request will be reviewed by Shopify Capital, and you’ll hear whether you’ve been approved within 2-5 business days. If you’re approved, then your merchant cash advance payday loans in Circleville will be delivered to your business bank account.
If you switch your payment provider to Shopify Payments when you request funding, then it might take longer than five business days to approve your request.
Two days after you’ve received the merchant cash advance, Shopify Capital will begin debiting the daily remittance from your business bank account based on your sales revenue each day.
After receiving your merchant cash advance, you can track the remaining balance of your total to pay back, or remit, in your Shopify admin by going to Settings > Capital.
- the remaining balance.
- the amount that you’ve paid, what percentage of the total is paid, and the transfer history.
You can view each day’s sales revenue in the Total sales column of the transfer history section. You can view how much is paid to Shopify Capital in the the Amount column.
Remit the remaining balance
When you’ve remitted over 25% of your total to remit, then you have the option to remit the remaining balance in a single lump sum. The payment is debited from the same business bank account that’s tied to your Shopify account.